NOTE: There are plans to remove the //auto override// flag entirely, making this task obsolete. This task is postponed until that was investigated.
This is mostly a design question of where to show this, implementation should be trivial.
This flag allows to enable or disable the auto-override (i.e. detection of changed properties in local override, which mostly is used to show that status in UI with the teal-colored background of relevant widgets).
Current idea would be to show this either in the Outliner and/or the ID template. Not sure how best to do that though, especially for the ID template we have the idea for some time to add a 'context' menu to it, as more and more features (could) get added to it, and we cannot add many more buttons to it…