[Milhouse]

The thing is that texturecache.py will, by default, try to auto-update itself, so if you put it somewhere that is writeable only by root (such as /usr/local/bin) it will need to be run as root in order to update itself (not generally considered a good idea) or you must change the ownership of texturecache.py to pi:pi after copying it to /usr/local/bin as root.

I guess the advantage of putting it in /usr/local/bin is that it should be on the default path (depending on distro, of course), and should therefore be executable from "anywhere", but given the nature of the script it's hard to see this as being of much benefit.

For a Raspberry Pi user, creating texturecache.py in /home/pi (or /storage if using OpenELEC) is by far the simplest option - that way the script is persistent, owned by the user that runs it (and therefore writeable), and requires no special privileges during installation or execution.