IIS_USERS problem in ISS

After reinstalling Vista, I tried to set up IIS, and ran into a problem I
know I've run into before, but can't seem to get it working this time. I am
using a folder inside Documents as my web folder for localhost (this makes
backing up easier). I was able to add the IIS_USERS group to that folder,
but still wasn't able to browse from ISS. Instead of getting the ubiquitous
error 500, I now get an error 401.3, that the web server does not have
permissions to open the file. (There is no file in that directory, they are
in the subdirectories of it, but directory browsing is turned on). There is
also something about checking ACLs, but I have no idea how to do that. Any
ideas that will let me use the directory I have chosen as my localhost, and
be able to browse that for development purposes, will be appreciated.
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Larry S
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Larry S