Group Policy for Win2003 Server

Hi,

I have an Audit Policy I have assigned to an OU. All of the machines have picked it up. I realized the Win 2003 server did not pick it up so I imported the policy to the same level as the default domain policy (which does not have audit policy set). The problem seems to be that the Win 2003 Server does not pick up this policy. Am I doing something wrong? I assume if I set it in the Default Domain Policy it would get picked up but I wanted to avoid doing this.

Thanks
Kevin