Well, Cisco dropped that feature in LMS 2.5/2.6, described in CSCsb07389, so you'd have to explicitly type the local passwords into the NetConfig job, e.g. for CatOS:
set enablepassoldpwnewpwnewpw
set passwordoldpwnewpwnewpw
With LMS 3.x, the local passwords can be stored in the DCR, like it was before in LMS 2.2, through the "secondary credentials" "feature".