Some users may want to set "tool damage" only and not effect items.

Maybe, but the only time this would make any difference is if they provide a list of tools, some of which are damageable and others which aren't.

The issue I had was with this:

STONE:

• toolexcept: ANY_PICKAXE
  drop: NOTHING
  damagetool: 5

The issue is that this will also remove 5 items from any itemstack you happen to be holding (nice feature if planned - eg. like growbie but not good if unplanned). Of course this point is moot if 2.0 doesn't yet replicate this feature.

Was thinking of adding removeitem, replaceitem (replace the item in hand, eg. for buckets/filling) & additem (there was a good idea for this but can't remember at the moment...) eventually, low priority.

Ah, I see what you mean.

Well, I've done this, so I guess I'll close the issue.