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Windows 2003 Terminal Services Manager: Cannot connect to user sessions

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http://serverfault.com – While logged in to a windows 2003 terminal server with admin rights, and running the Terminal Services Manager, I want to right click the active sessions and 'Connect'. I'm prompted for the password of the user but this is always rejected. After reading around, I'm guessing it's because the remote desktop user's group does not have the 'log on locally' right. But for the life of me I can't figure out where to adjust this. I'm very new to AD...I've looked 'everywhere' for a place to select Remote Desktop Users and add the ability to log on locally. I need pretty specific pointers, as I've not (HowTos)