Batch file can't find program

[Darwin]

I have a project step that invokes a batch file. However, when the batch file runs, it's unable to locate an executable even though it's part of the PATH. Is the PATH being ignored?

Here's the Run Program proerties:
Command: %DOSCMD% c:\temp\test.bat
Start in: c:\temp
Read Output From: Standard output

Here's the test.bat batch file:
python.exe

python.exe is located in c:\util\python which is in the PATH. It can be invoked from the command prompt in any directory.

thx.
-Darwin