just to simplify where the cfg goes, it goes where all other source cfg's go
when you use steam to get a mod/server, eg css or hl2dm, it downloads it into its obviously own directory (css and hl2dm and dod etc)
within that directory for that mod is a cfg folder, in there is where you should keep ALL cfg files, because the server is aware of the files in that directory, and you dont ever have to tell the game where on your hard drive it is.
in this case, the original post has the hldsupdatetool in /orangebox
1) you run it to download the tf2 mod (as outlined above)
2) it makes a subdirectory /orangebox/orangebox (because the original poster was a bit silly with naming the original base directory)
3) in this directory it starts putting all the files and THEN the mod sub directories (note, this is only true for tf2, it will put all these files and mod sub directories in a different place for dods and other mods, THIS IS BECAUSE THEY SOMEHOW THOUGHT ORANGE BOX WAS DIFFERENT)
4) in the /orangebox/orangebox ditectory you will find the srcds_run program, needed to actually run the server
5) you will also find the sub directories in there containing all the actual game data, eg, hl2, tf, etc.
6) the config files are in the tf/cfg sub directory, so the full directory is /orangebox/orangebox/tf/cfg/
7) the motd.txt will be in the tf directory, as well as the maplist.txt and other stuff
8) ???
9) profit
10)
http://youtube.com/watch?v=eBGIQ7ZuuiU