<p>Is there any way to force Text-Mate to use a two-space tab instead of a full tab when editing HTML (Rails) documents?</p>

Yes. There's a pop-up menu near the bottom middle of the window that probably reads
```
Tabs: 4
```
or something like that. Click on it and hange it to
```
2
```
and
```
Soft Tabs
```
.
You should have an
```
rhtml
```
or
```
erb
```
document (or whatever file type you want to change) open for editing when doing this. The changes will stick for all documents of that type.