diff --exclude-from=exclude -N -u -r nsalibsemanage/src/direct_api.c libsemanage-2.0.27/src/direct_api.c
--- nsalibsemanage/src/direct_api.c	2008-06-12 23:25:16.000000000 -0400
+++ libsemanage-2.0.27/src/direct_api.c	2008-08-14 11:51:15.000000000 -0400
@@ -489,12 +489,6 @@
 	modified |= ifaces->dtable->is_modified(ifaces->dbase);
 	modified |= nodes->dtable->is_modified(nodes->dbase);
 
-	/* FIXME: get rid of these, once we support loading the existing policy,
-	 * instead of rebuilding it */
-	modified |= seusers_modified;
-	modified |= fcontexts_modified;
-	modified |= users_extra_modified;
-
 	/* If there were policy changes, or explicitly requested, rebuild the policy */
 	if (sh->do_rebuild || modified) {
 
@@ -667,11 +661,34 @@
 		retval = semanage_verify_kernel(sh);
 		if (retval < 0)
 			goto cleanup;
-	}
+	} else {
+		sepol_policydb_create(&out);
+		modified |= seusers_modified;
+		modified |= fcontexts_modified;
+		modified |= users_extra_modified;
+		
+		retval = semanage_read_policydb(sh, out);
+		if (retval < 0)
+			goto cleanup;
+		
+		dbase_policydb_attach((dbase_policydb_t *) pusers_base->dbase,out);
+		dbase_policydb_attach((dbase_policydb_t *) pports->dbase, out);
+		dbase_policydb_attach((dbase_policydb_t *) pifaces->dbase, out);
+		dbase_policydb_attach((dbase_policydb_t *) pbools->dbase, out);
+		dbase_policydb_attach((dbase_policydb_t *) pnodes->dbase, out);
 
-	/* FIXME: else if !modified, but seusers_modified, 
-	 * load the existing policy instead of rebuilding */
+		if (seusers_modified) {
+			retval = pseusers->dtable->clear(sh, pseusers->dbase);
+			if (retval < 0)
+				goto cleanup;
+		}
 
+		retval = semanage_base_merge_components(sh);
+		if (retval < 0)
+		  goto cleanup;
+
+		/* Seusers */
+	}
 	/* ======= Post-process: Validate non-policydb components ===== */
 
 	/* Validate local modifications to file contexts.
diff --exclude-from=exclude -N -u -r nsalibsemanage/src/genhomedircon.c libsemanage-2.0.27/src/genhomedircon.c
--- nsalibsemanage/src/genhomedircon.c	2008-08-05 09:57:28.000000000 -0400
+++ libsemanage-2.0.27/src/genhomedircon.c	2008-08-08 14:00:37.000000000 -0400
@@ -21,6 +21,7 @@
  */
 
 #include <semanage/handle.h>
+#include <syslog.h>
 #include <semanage/seusers_policy.h>
 #include <semanage/users_policy.h>
 #include <semanage/user_record.h>
@@ -487,7 +488,6 @@
 				  const char *role_prefix)
 {
 	replacement_pair_t repl[] = {
-		{.search_for = TEMPLATE_SEUSER,.replace_with = seuser},
 		{.search_for = TEMPLATE_HOME_DIR,.replace_with = home},
 		{.search_for = TEMPLATE_ROLE,.replace_with = role_prefix},
 		{NULL, NULL}
@@ -547,7 +547,6 @@
 	replacement_pair_t repl[] = {
 		{.search_for = TEMPLATE_USER,.replace_with = user},
 		{.search_for = TEMPLATE_ROLE,.replace_with = role_prefix},
-		{.search_for = TEMPLATE_SEUSER,.replace_with = seuser},
 		{NULL, NULL}
 	};
 	Ustr *line = USTR_NULL;
diff --exclude-from=exclude -N -u -r nsalibsemanage/src/semanage.conf libsemanage-2.0.27/src/semanage.conf
--- nsalibsemanage/src/semanage.conf	2008-06-12 23:25:16.000000000 -0400
+++ libsemanage-2.0.27/src/semanage.conf	2008-08-08 14:00:37.000000000 -0400
@@ -35,4 +35,4 @@
 # given in <sepol/policydb.h>.  Change this setting if a different
 # version is necessary.
 #policy-version = 19
-
+expand-check=0
diff --exclude-from=exclude -N -u -r nsalibsemanage/src/semanage_store.c libsemanage-2.0.27/src/semanage_store.c
--- nsalibsemanage/src/semanage_store.c	2008-06-12 23:25:16.000000000 -0400
+++ libsemanage-2.0.27/src/semanage_store.c	2008-08-08 15:23:20.000000000 -0400
@@ -1648,6 +1648,47 @@
 }
 
 /**
+ * Read the policy from the sandbox (kernel)
+ */
+int semanage_read_policydb(semanage_handle_t * sh, sepol_policydb_t * in)
+{
+
+	int retval = STATUS_ERR;
+	const char *kernel_filename = NULL;
+	struct sepol_policy_file *pf = NULL;
+	FILE *infile = NULL;
+
+	if ((kernel_filename =
+	     semanage_path(SEMANAGE_ACTIVE, SEMANAGE_KERNEL)) == NULL) {
+		goto cleanup;
+	}
+	if ((infile = fopen(kernel_filename, "r")) == NULL) {
+		ERR(sh, "Could not open kernel policy %s for reading.",
+		    kernel_filename);
+		goto cleanup;
+	}
+	__fsetlocking(infile, FSETLOCKING_BYCALLER);
+	if (sepol_policy_file_create(&pf)) {
+		ERR(sh, "Out of memory!");
+		goto cleanup;
+	}
+	sepol_policy_file_set_fp(pf, infile);
+	sepol_policy_file_set_handle(pf, sh->sepolh);
+	if (sepol_policydb_read(in, pf) == -1) {
+		ERR(sh, "Error while reading kernel policy from %s.",
+		    kernel_filename);
+		goto cleanup;
+	}
+	retval = STATUS_SUCCESS;
+
+      cleanup:
+	if (infile != NULL) {
+		fclose(infile);
+	}
+	sepol_policy_file_free(pf);
+	return retval;
+}
+/**
  * Writes the final policy to the sandbox (kernel)
  */
 int semanage_write_policydb(semanage_handle_t * sh, sepol_policydb_t * out)
diff --exclude-from=exclude -N -u -r nsalibsemanage/src/semanage_store.h libsemanage-2.0.27/src/semanage_store.h
--- nsalibsemanage/src/semanage_store.h	2008-06-12 23:25:16.000000000 -0400
+++ libsemanage-2.0.27/src/semanage_store.h	2008-08-11 09:05:16.000000000 -0400
@@ -97,6 +97,9 @@
 			    sepol_module_package_t * base,
 			    sepol_policydb_t ** policydb);
 
+int semanage_read_policydb(semanage_handle_t * sh,
+			    sepol_policydb_t * policydb);
+
 int semanage_write_policydb(semanage_handle_t * sh,
 			    sepol_policydb_t * policydb);