Hi tongs
Yes, the 'local' folder is the folder with all of your downloaded assets. To make a backup, copy of this folder to another location on your computer.
illinoiscentral
Please read the 'what to post in XXX section' before telling people where to post. This section is 'General Trainz'. In Lance Jago's words:
"This forum is for all general discussion relating to the software known as Trainz, whether that be the original Community Edition or the latest Trainz Classics. This area can be used for topics of discussion that don't quite fit into the numerous other forums within the Trainz Discussion Forums."
Zec