In Red Hat Linux, the intended use for /usr/local is slightly different from that specified by the FSSTND. The FSSTND says that /usr/local should be where your store software that is to remain safe from system software upgrades. Since system upgrades from Red Hat Software are done safely with the RPM system and Glint, you don't need to protect files by putting them in /usr/local. Instead, we recommend you use /usr/local for software that is local to your machine.
For instance, let's say you have mounted /usr via read-only NFS from beavis. If there is a package or program you would like to install, but you are not allowed to write to beavis, you should install it under /usr/local. Later perhaps, if you've managed to convince the system administrator of beavis to install the program on /usr, you can uninstall it from /usr/local.