diff --git a/lib/compass/actions.rb b/lib/compass/actions.rb
index bc4a2b82..4e924f1b 100644
--- a/lib/compass/actions.rb
+++ b/lib/compass/actions.rb
@@ -65,7 +65,10 @@ module Compass
     end
 
     def remove(file_name)
-      if File.exists?(file_name)
+      if File.directory?(file_name)
+        FileUtils.rm_rf file_name
+        log_action :remove, basename(file_name)+"/", options
+      elsif File.exists?(file_name)
         File.unlink file_name
         log_action :remove, basename(file_name), options
       end
diff --git a/lib/compass/commands/update_project.rb b/lib/compass/commands/update_project.rb
index d570da2f..30e2654f 100644
--- a/lib/compass/commands/update_project.rb
+++ b/lib/compass/commands/update_project.rb
@@ -54,6 +54,7 @@ module Compass
           compiler_opts = {:sass => Compass.sass_engine_options}
           compiler_opts.merge!(options)
           compiler_opts[:sass_files] = explicit_sass_files
+          compiler_opts[:cache_location] = determine_cache_location
           compiler_opts
         end
 
diff --git a/lib/compass/compiler.rb b/lib/compass/compiler.rb
index 961a4624..606f9406 100644
--- a/lib/compass/compiler.rb
+++ b/lib/compass/compiler.rb
@@ -75,9 +75,9 @@ module Compass
     end
 
     def clean!
-      FileUtils.rm_rf options[:cache_location]
+      remove options[:cache_location]
       css_files.each do |css_file|
-        FileUtils.rm_f css_file
+        remove css_file
       end
     end