Index: java/org/apache/catalina/startup/Bootstrap.java
===================================================================
--- java/org/apache/catalina/startup/Bootstrap.java	(revision 1061812)
+++ java/org/apache/catalina/startup/Bootstrap.java	(working copy)
@@ -56,13 +56,6 @@
 
     private static final Log log = LogFactory.getLog(Bootstrap.class);
 
-    // -------------------------------------------------------------- Constants
-
-
-    protected static final String CATALINA_HOME_TOKEN = "${" + Globals.CATALINA_HOME_PROP + "}";
-    protected static final String CATALINA_BASE_TOKEN = "${" + Globals.CATALINA_BASE_PROP + "}";
-
-
     // ------------------------------------------------------- Static Variables
 
 
@@ -115,38 +108,11 @@
 
         ArrayList<String> repositoryLocations = new ArrayList<String>();
         ArrayList<Integer> repositoryTypes = new ArrayList<Integer>();
-        int i;
 
         StringTokenizer tokenizer = new StringTokenizer(value, ",");
         while (tokenizer.hasMoreElements()) {
             String repository = tokenizer.nextToken();
 
-            // Local repository
-            boolean replace = false;
-            String before = repository;
-            while ((i=repository.indexOf(CATALINA_HOME_TOKEN))>=0) {
-                replace=true;
-                if (i>0) {
-                repository = repository.substring(0,i) + getCatalinaHome()
-                    + repository.substring(i+CATALINA_HOME_TOKEN.length());
-                } else {
-                    repository = getCatalinaHome()
-                        + repository.substring(CATALINA_HOME_TOKEN.length());
-                }
-            }
-            while ((i=repository.indexOf(CATALINA_BASE_TOKEN))>=0) {
-                replace=true;
-                if (i>0) {
-                repository = repository.substring(0,i) + getCatalinaBase()
-                    + repository.substring(i+CATALINA_BASE_TOKEN.length());
-                } else {
-                    repository = getCatalinaBase()
-                        + repository.substring(CATALINA_BASE_TOKEN.length());
-                }
-            }
-            if (replace && log.isDebugEnabled())
-                log.debug("Expanded " + before + " to " + repository);
-
             // Check for a JAR URL repository
             try {
                 new URL(repository);
Index: java/org/apache/catalina/startup/CatalinaProperties.java
===================================================================
--- java/org/apache/catalina/startup/CatalinaProperties.java	(revision 1061812)
+++ java/org/apache/catalina/startup/CatalinaProperties.java	(working copy)
@@ -5,9 +5,9 @@
  * The ASF licenses this file to You under the Apache License, Version 2.0
  * (the "License"); you may not use this file except in compliance with
  * the License.  You may obtain a copy of the License at
- * 
+ *
  *      http://www.apache.org/licenses/LICENSE-2.0
- * 
+ *
  * Unless required by applicable law or agreed to in writing, software
  * distributed under the License is distributed on an "AS IS" BASIS,
  * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
@@ -24,6 +24,8 @@
 import java.net.URL;
 import java.util.Enumeration;
 import java.util.Properties;
+import java.util.regex.Matcher;
+import java.util.regex.Pattern;
 
 import org.apache.catalina.Globals;
 
@@ -53,6 +55,33 @@
     }
 
 
+    // ------------------------------------------------------ Protected Methods
+
+
+    /**
+     * Returns the provided string with all property variables (in the form
+     * <code>${property.name}</code>) replaced with their respective values.
+     *
+     * @param value The <code>String</code> in which property expansion should
+     *        be performed.
+     * @return The provided value with all property variables replaced.
+     */
+    protected static String expandPropertyVariables(String value) {
+
+        final Matcher matcher = Pattern.compile("\\$\\{(.*?)\\}").matcher(value);
+
+        if (matcher.find()) {
+            return value.substring(0, matcher.start())
+                + System.getProperty(matcher.group(1), matcher.group())
+                + expandPropertyVariables(value.substring(matcher.end()));
+        }
+        else {
+            return value;
+        }
+
+    }
+
+
     // --------------------------------------------------------- Public Methods
 
 
@@ -60,7 +89,7 @@
      * Return specified property value.
      */
     public static String getProperty(String name) {
-    
+
         return properties.getProperty(name);
 
     }
@@ -140,7 +169,15 @@
             String name = (String) enumeration.nextElement();
             String value = properties.getProperty(name);
             if (value != null) {
-                System.setProperty(name, value);
+                String result = expandPropertyVariables(value);
+
+                properties.setProperty(name, result);
+                System.setProperty(name, result);
+
+                if (log.isDebugEnabled() && !value.equals(result)) {
+                    log.debug("Expanded Catalina property \"" + name + "\" from \""
+                        + value + "\" to \"" + result + "\"");
+                }
             }
         }
 
@@ -154,8 +191,8 @@
         return System.getProperty(Globals.CATALINA_HOME_PROP,
                                   System.getProperty("user.dir"));
     }
-    
-    
+
+
     /**
      * Get the value of the catalina.base environment variable.
      */