I think the children's puzzler "Fuzzy Wuzzy was a bear, but Fuzzy Wuzzy had no hair. So Fuzzy Wuzzy wasn't fuzzy was he?" is better known despite the Urban Dctionary selection biased votes.
Not in the UK. I don't think the tongue-twister is well known here, but the phrase is used in the other sense in the TV show Dad's Army[1], which is still shown on the BBC. However, it's only used by one character[2], who's supposed to be 70 at the time World War II starts. So, I think it's a very outdated expression, and not likely to cause offence when used in the context of a programming library. I've certainly never heard the expression used other than in the TV show (where, as far as I know, it's still not censored - it's understood that the character's views were outdated even at the time the show was set).
The term is from a Kipling poem[3]:
"A derogatory term for a black person, especially one with fuzzy hair... From... one of Rudyard Kipling's... poems, written in 1918. The poem is in the voice of an unsophisticated British soldier and expresses admiration rather than contempt, although expressed in terms that sound patronizing today."
