I have a sample project that shows the problem, I should file a FB now, right?
If you would
I haven’t yet
FB# 41549
Ah when you turn use builds folder OFF it gets it wrong
Hence why I’d say folks should never be allowed to turn it off 
And this why I think it should be allowed to turned off:
C:\Resources_Problem\Builds - Resources_Problem.xojo_binary_project\Windows\Resources_Problem\Resources_Problem Libs
versus:
C:\Resources_Problem\Resources_Problem Libs
You’ll have issues building for 32 and 64 bit as they’ll have the exact same name
Everything will collide
Its why we implemented it in the first place
For anyone who had several projects in one dir etc putting things in a dir per project was kind of necessary so they could tell which project was which when they built
And When we had Carbon & Cocoa they would get built as the same app name
So that had to be separated
And with 32 and 64 bit the same issue will exist if you run a two line script that builds a 32 bit then 64 bit version of your app
One will overwrite the other
So better to bite the bullet and move things around while I am in there anyway?
Its still a bug
But the build folder is to try & make it so if/when you do want to do several builds they dont overwrite each other
That one used to drive people crazy when you could build for Carbon & Cocoa in one pass
Only one would show up
And with 32 and 64 bit etc it will only get worse
And, just FWIW, the IDE actually does use a build folder either way
It does this JUST to be sure that the process of building your app doesn’t overwrite something while it compiles etc
At the end it copies everything from there up to next to your project and nukes the build folder
Thats how it can warn you IF something is going to get clobbered before it does the copy
The upshot of the previous post is regardless of whether you’re using the builds folder or not this bug has to get fixed as even with a build folder it’s obviously putting it in the wrong spot
Now to sort out WHY
No, I meant as far as packaging is concerned. I agree, if it is a bug, definitely should be fixed. I never changed things around earlier, because the Installer scripts I use were working and they’re much easier to read the shorter lines. In the IDE I don’t care, I’m not really interested in where it puts the Libs and resources, just as long as they can be found at debug time.
Sounds like it would be time well spent to switch that option on, and change the build scripts now as I move to 2015r3.1 this week.
if you expect to build 32 and 64 bit versions it might make sense to make that change now since they will land in different dirs in the build folder
Without that you will find they overwrite each other next to the project