I am working on a skin for my website and have have successfully uploaded that skin.

However now i would like to make some modifications and test them.  I am attempting to do this by modifying the HTM and CSS files and then using the 'Parse Skin package" function from the Host->Skins menu on my site.  The problem i am running into is when i attempt to use "Parse Skin package" i am getting the following error:

Access to the path 'd:\projects\MyWebsite\portals\_default\skins\MySkin\Horizontal Menu - Fixed Width.ascx' is denied.

I have checked that permission is read/write on the filesystem for the entire project directory.  I also set my the virtual directory in IIS to have write permission.  Lastly, i make sure the skin i am trying to parse is not being used on the website, as i thought that might be causing it to be locked.  All this to no avail.

Any idea what my be happening here?

I would make sure that all files have correct permissions.  I had to redo the permissions every time I copied over a new file.  Not really sure why, maybe because I was creating the files on my Mac, and then transferring to Windows running on my Mac through VMWare Fusion.