Wow dude this is a big question. Lemme try to answer. If the cue ball is in the rack, where it goes depends on where the 15th ball lies. If the 15th ball is also in the rack, the cue ball goes in the kitchen (behind head string) and the 15th ball is racked on the foot spot with the rest of the 14. Same thing if the 15 ball is pocketed. If the 15 ball is in the kitchen, the cue ball must be head spotted. If the 15 ball is interfering with the head spot, then the cue ball is center spotted! If the 15th ball is neither in the rack or behind the head string, then the cue ball can be placed anywhere in the kitchen. Note: if the 15th ball is on the head string, that is not considered in the kitchen and the cue ball can still be placed anywhere in the kitchen.
Concerning the 3 foul question, if you're talking about the opening break, it does not go "back and forth" The same player continues to re-break and accumulate foul points until he gets it right. Sometimes they deduct only one point for a scratch only when two object balls still touched a rail. If two object balls don't hit the rail it's minus 2.
Now if you're talking about regular play (not the break) where the fouls go back and forth and someone scratches for the third time, he loses 1 point plus 15 points. This is assuming that for the first two fouls, he deducted two points in the previous two turns. The total penalty over the three shots would be 18 points. In this circumstance the cue ball always is played where it is left, unless it is pocketed and then it goes behind the head string. After the first player commits his third foul, the incoming player does remain on two fouls so the first player would do well to keep that in mind and let the player know he is still on two before he shoots. After giving up so many points - it's a chance to get even.