There are countless topics on the forum dealing with configuring local saves rather than the cloud, so I suggest you start by using the forum search feature. From your post, you already know how to do this. Preferences are often reset. So what you are after is a way to automatically have Photoshop's Preferences > File Handling set to use your local computer whenever Photoshop starts, which is possible via action or script via the Script Events Manager.
Preferences > File Handling:

Action:

JavaScript:
saveToCloud(false); // true to save to cloud
function saveToCloud(defaultCloudSave) {
var s2t = function (s) {
return app.stringIDToTypeID(s);
};
var descriptor = new ActionDescriptor();
var descriptor2 = new ActionDescriptor();
var reference = new ActionReference();
reference.putProperty( s2t( "property" ), s2t( "fileSavePrefs" ));
reference.putEnumerated( s2t( "application" ), s2t( "ordinal" ), s2t( "targetEnum" ));
descriptor.putReference( s2t( "null" ), reference );
descriptor2.putBoolean( s2t( "defaultCloudSave" ), defaultCloudSave );
descriptor.putObject( s2t( "to" ), s2t( "fileSavePrefsClass" ), descriptor2 );
executeAction( s2t( "set" ), descriptor, DialogModes.NO );
}
There are many preferences that one may wish to enforce, some that I personally reset via an Action and the Script Events Manager:

P.S. This isn't a bug, it is clearly a design decision you disagree with, so this topic would be better as an idea/feature request.