Does 'Local' have another purpose?

Repeat blocks have their own scope while If blocks do not, for example.

Yes they do.

Strict

If(True)
	Local y:Int = 4
End If

y = 12

That won't compile the y=12 line because y is local to the If block.

Anything which finishes with an End... statement is a block with its own scope. Repeat...Until/Forever, For...Next and While...Wend are blocks too.