I managed to fix the "BugOptions - Cannot Locate Settings Folder" by turning system notifications to "Never."
However, every time I reboot the game my Bug preferences (i.e. the mods I turned off/on/customized) are erased and the all of the mods are being used. I have placed the User Settings and Info folders in a Bug Mod folder in Custom Assests, but to no avail. What should I do?
The "BUG Mod" folder must go up one level next to CustomAssets, *not* inside it.
Beyond the Sword
BUG Mod
Info
UserSettings
CustomAssets