You define the projection by defining functions:

    myProjection.fromLatLngToPoint();
    myProjection.fromPointToLatLng();

So the answer to both questions is: Yes. Just write the functions to
work that way.

However your second question raises questions:
- is a 10,000m wide area a "local area"?
- can you make UTM work over such a wide area with acceptable accuracy?

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