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I'm trying to setup a proxy account for a SQL Server 2000 instance (for running xp_cmdshield, by the way). I have administrative privilegies on the local server, but not in the domain. The xp_sqlagent_proxy_account procedure expects the domain as a mandatory parameter. I don't see any reason to require a domain account. I would like to use a local account. How I should I configure this to use a local account instead of a domain account?

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Use the local server's hostname as the domain. For example, if your server is named server1 then use the account server1\username

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