EmperorFool
Deity
Your quote: If installed as a mod, you want the ini files in "My Docs". Would be better to see them in the mod directory when installed as a mod.
We want the user settings stored in a folder outside the mod's folder so that people upgrading BUG know that they can keep and use them with the new version. This is a common practice in software development (it's the whole reason for the My Games folder).
Note that BUG will look for the folder in many places, so you are free to move the folder to the mod's folder. We are deciding what to do for the 99% of users who may not be as savvy when it comes to upgrading BUG.