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First, install CWallpaper, either from source or using a package.
Now we need to make the config folder.
me@home:~$ mkdir -p ~/.config/cwallpaper
Next you need to create a list of the folders containing the wallpapers you'd like to use.
Open a text editor and create the file ~/.config/cwallpaper/wallpaper_folders
For example:
/home/USERNAME/Images/Wallpapers/
/home/USERNAME/Images/Wallpapers/Abstract/
/home/USERNAME/Images/Wallpapers/Nature/
Now you need to copy a config file to your ~/.config/cwallpaper folder.