Is the current “MODE” stored locally? I want to create Automations using Lights and Motion Sensors with Local processing. However, I want to be able to add some other parameters, such as Luminance, Bypass, etc. that may not run locally. So my intent is to create a Mode using those parameters that do not run locally and then run the automations only in that MODE. I will use Smart Lighting for the automation.I understand that, if there are cloud issues, the Mode will not chance, but I can change it manually if needed.
You can’t change the mode manually without the cloud, if that’s what you’re asking. 
If you lose connection to the cloud, the local mode remains whatever mode you were in at the time the connection was broken. Remember that you can’t use the mobile app to communicate with the hub without the cloud. And routines don’t run locally. And no custom code ones locally, There’s just literally no way to change your local mode without the cloud.
If your local Internet was down you might be able to sign into your IDE account using your cell phone, And you might be able to change the Mode there, but your hub would still be using the previous mode that was in force when the connection to the cloud was lost.
So a copy of the mode is stored locally, but I don’t think it’s going to help with the case that you describe.
@tgauchat or one of the other master coders might be able to say more.
As soon as I posted that I realized that I can’t change Mode without the cloud. However, Mode changes do not happen frequently and reaction time is not an issue. My question really is: If the Mode is created by cloud-based devices using WebCoRE, as long as it is stored locally, if I create automations based on devices that are running locally and using Smart Lighting, then those automations will run locally when I am in that MODE, correct?
You’ve actually gotten routines with SmartLighting to run locally? I was never able to get this to work because of custom DTH for almost all my devices. Out of 40 devices I have one that is local, a contact sensor.
Routines can’t run locally. Smartlighting automations can run locally provided all of the included devices are eligible to run locally and the choices are limited to some fairly simple things.
You could definitely set up a smart lighting automation so that, for example, a zigbee motion sensor using a stock device handler could trigger a zwave light switch using a stock device handler.
https://support.smartthings.com/hc/en-us/articles/209979766-Local-processing
I’m not getting into this again with you…I said right there that I couldn’t get any to run locally because all the devices I have are in the cloud because of custom DTH. You are cherry picking from what I said. And the question wasn’t to you, was it?
I am doing exactly what @JDRoberts said. Smartthings has many lights and motion sensors that run locally. I am using the things that don’t run locally to create modes (Simulated switches, illumination, etc) and then creating Smart lighting that run in those modes.
This is a very supporting community and we all value @JDRoberts contribution.