The problem with BULL seems to be BTS's slightly brain-dead usage of HTML for displaying text. Here's how you would normally put an image into HTML:
Code:
<img src="path/to/file.dds" size="24"></img>
Old HTML (pre 4.0) allowed you to drop the ""s around values that didn't have spaces. BTS goes one further: it drops "src=" and
disallows quotes entirely:
Code:
<img=path/to/file/without/spaces/or/yer/screwed.dds size=24></img>
I just tried putting quotes in there and it ends up a) ignoring the size and b) using the Atlas instead.

So there's nothing I can do in BULL, sadly. I remember now wrestling with this back then, but I never encountered the spaces issues since I was working with unmodded BTS XML.
I'm glad you figured it out and helped out the community with the issue. In the future a ping back to me would be helpful so that I can help make people aware of it.
Okay, back to the modmodding structure. My main goal is to allow the user to install a modmod by copying a single self-contained folder into the Modules folder (or some subfolder under it as they please). Having to copy some files into Art and some into Modules and others into Python is a nightmare, necessitating installers and detracting from plug-and-play.
I'm not sure this will be possible, but I can do some preliminary testing to verify it. I just want to be sure that I've got a good target that will solve the actual problems at hand. If nothing else, I'm sure I can remove the need for a single master init.xml, even if none of this other stuff comes to fruition in BUG.