documents & settings

I have a W2k terminal server. The system partition that contains the documents and settings folder is 4GB. As more users login and create local profiles in this folder the less disk space I have for the system partition. How can I move the documents and settings folder to anothe partition and have the new profiles be created in the new location? From what I can tell the profiles are always created in the documents & settings folder on the C drive.

Thanks