I don't recall if/where we discussed this earlier, but I remember talking about it (if there is such a discussion, finding it ought to give you extra insight), but anyway, what I do is described somewhat at http://crazyinsomniac.perlmonk.org/perl/bmm/. When testing stuff, I write unit tests, which I run from the commandline. Also, I have a virtualhost dev.localhost, whose root is my dev directory (cvs checkout area), that way I don't install any module I'm developing until it's tarred'n'gzipped (and maybe up on CPAN or someplace ;). Also, I generally don't install modules I'm developing on my test machine, cause I use this setup.

In case you can't reach my website, here's what one of my typical dev directories looks like

E:\DEV\BMM
|   bmm.cgi
|   bmm.cgi.err.log
|   bmm.cgi.err.log~
|   bmm.cgi~
|   BMM.pm
|   BMM.pm~
|   bmm.sql
|   HeadQUE.pl
|
+---BMM
|   |   DBI.pm
|   |   DBI.pm~
|   |
|   \---CVS
|           Entries
|           Repository
|           Root
|
+---CVS
|       Entries
|       Repository
|       Root
|
+---t
|   |   dbi.t
|   |   dbierr.t
|   |   url.t
|   |
|   +---CVS
|   |       Entries
|   |       Repository
|   |       Root
|   |
|   \---op
|       |   add.html
|       |   add.t
|       |   add.t~
|       |   edit.html
|       |   edit.t
|       |   edit.t~
|       |   newuser.html
|       |   newuser.t
|       |   newuser.t~
|       |   pod2htmd.x~~
|       |   pod2htmi.x~~
|       |   statuscheck.t
|       |   view.html
|       |   view.t
|       |   view.t~
|       |   xml.t
|       |   xml.xml
|       |
|       \---CVS
|               Entries
|               Repository
|               Root
|
\---tmpl
    |   bmm.about.html
    |   bmm.about.html~
    |   bmm.add.html
    |   bmm.add.html~
    |   bmm.edit.html
    |   bmm.edit.html~
    |   bmm.html
    |   bmm.html~
    |   bmm.index.html
    |   bmm.index.html~
    |   bmm.newuser.html
    |   bmm.newuser.html~
    |   bmm.statuscheck.html
    |   bmm.view.html
    |   bmm.view.html~
    |
    \---CVS
            Entries
            Repository
            Root

This works pretty well for me, and I suspect would for others too, but YMMV.

____________________________________________________
** The Third rule of perl club is a statement of fact: pod is sexy.