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In most cases it can be putting anywhere. But certain map mod may share traffic semaphores from base game and DLCs. Some traffic vehicles/density mods may also silently alter the semaphores. In that case, put this mod at higher priority than map mods and traffic mods.
It's been fixed and updated. Thank you for the report.
Yes. Read the mod description.
Try unsubscribe then resubscribing the mod. This will forcing Steam to refresh and re-download recent mod update.