A fresh install of ocata horizon on Ubuntu Xenial 16.04, receiving the error (pasted below) and looks to be introduced with https://review.openstack.org/#/c/450343/ code commit. The change looks like it was meaning to fix an issue on Debian but Ubuntu still have the content located in /usr/share/openstack-dashboard. The issue goes away once I fix the apache alias directive to point to /usr/share/openstack-dashboard. At this point, probably should consider making the alias a parameter that defaults to the params value.
[Fri Jun 23 19:26:36.532480 2017] [core:error] [pid 9741:tid 139755157161728] (13)Permission denied: [client xxxxxxxx] AH00035: access to /horizon/static/dashboard/img/favicon.ico denied (filesystem path '/var/lib/openstack-dashboard/static') because search permissions are missing on a component of the path, referer: https://xxxxxxxxxxxx/horizon/auth/login/?next=/horizon/settings/
Looks like the fix is in master but never cherry-picked back to stable/ocata.