diff --git a/src/agent/system_prompt.rs b/src/agent/system_prompt.rs
index b2575bf..97403ce 100644
--- a/src/agent/system_prompt.rs
+++ b/src/agent/system_prompt.rs
@@ -39,7 +39,6 @@ impl SystemPromptBuilder {
             sections: vec![
                 Box::new(ToolHonestySection),
                 Box::new(NoToolNarrationSection),
-                Box::new(ToolsSection),
                 Box::new(YourTaskSection),
                 Box::new(SafetySection),
                 Box::new(WorkspaceSection),
diff --git a/src/skills/mod.rs b/src/skills/mod.rs
index c4030be..193580e 100644
--- a/src/skills/mod.rs
+++ b/src/skills/mod.rs
@@ -70,6 +70,15 @@ impl SkillsLoader {
         let mut state = self.state.lock().unwrap();
         state.loaded_skills.clear();
 
+        // Ensure ~/.picobot/skills directory exists
+        if !self.picobot_skills_dir.exists() {
+            if let Err(e) = std::fs::create_dir_all(&self.picobot_skills_dir) {
+                tracing::warn!(dir = %self.picobot_skills_dir.display(), error = %e, "Failed to create skills directory");
+            } else {
+                tracing::info!(dir = %self.picobot_skills_dir.display(), "Created skills directory");
+            }
+        }
+
         // Load from ~/.picobot/skills
         if self.picobot_skills_dir.exists() {
             let loaded = self.load_skills_from_dir(&self.picobot_skills_dir);