My steps to reproduce on a Trusty cloud image (off the top of my head -
let me know if you have any problems):

1. sudo adduser --disabled-password --gecos '' otheruser
2. echo 'otheruser ALL=(ALL) NOPASSWD:ALL'|sudo tee --append /etc/sudoers
3. sudo add-apt-repository ppa:juju/stable
4. sudo apt-get install -y juju-core juju-local
5. Log in as otheruser (arrange authorized_keys first, etc).
6. sudo deluser ubuntu
7. juju generate-config
8. juju switch local
9. juju bootstrap --upload-tools --series trusty

uploading tools for series [trusty]
Logging to /home/otheruser/.juju/local/cloud-init-output.log on remote host
chown: invalid user: ‘ubuntu:ubuntu’
Bootstrap failed, destroying environment
ERROR exit status 1

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https://bugs.launchpad.net/bugs/1328958

Title:
  Local provider assumes a local "ubuntu" user exists

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