If the .qmd file is stored in a the "script" subdirectory and the .yml file specifies `output-dir: output` the resulting files will be rendered into a new script directory nested within the output directory.

I thought specifying `execute-dir: project` would avoid this issue, but it does not. 

Please see below for a graphical demonstration: 
before rendering: 

project
|----.gitignore
|----_quarto.yml
|-------project:    
|----------title: "some-proj"
|----------output-dir: script
|----README.md
|----some-proj.Rproj
|___script
|---------|    some-proj.qmd
|___output

after rendering: 

project
|----.gitignore
|----_quarto.yml
|-------project:    
|----------title: "some-proj"
|----------output-dir: script
|----README.md
|----some-proj.Rproj
|___script
|---------|    some-proj.qmd
|___output
**|-----------|____script
|---------------------|    some-proj.html
|---------------------|    some-proj_files__**

2022-08-05T00:20:16Z
Rory-OG
closed
output-dir: output stores files in a new script directory while rendering if .qmd file is in a script subdirectory within quarto project
https://github.com/quarto-dev/quarto-cli/issues/1691