MonitoredEntireDirectories - Use this setting to monitor entire directory structures, for example C:\Windows\System32\Logfiles. This means all sub-directories below this directory would be monitored. The c:\windows\system32\logfiles directory would NOT be monitored, ONLY the sub-directories below. If a directory isn't present, its just logged as not being found and will be skipped. It won't cause IISLogs problems, if these directories aren't used either remove them or leave alone. The preference is up to whoever is responsible for configuration.