Profiles Issue - Server 2008 Standard Term Srvr

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I have a Terminal Server, Server 2008 Standard. I have a group of students that log into this server. When they login it does not create a profile for their account. They log in and if they save to the Documents/Desktop and log out. It does not retain the settings. Almost like a mandatory profile. When they log out and admin logs in there is no profile folder, its as if they never logged in. I have logged in for all the 16 accounts, and there are no users folders created.

Currently there are only 5 accounts listed under the USERS folder. There are items in the document folder. But when I login as any of those 5 users, I do not see those documents. Not sure if those profiles are current/correct.

The 5 that are there are local accounts. I notice that these student users cannot save to the C: drive, they can create/save to a different folder on C: and that does retain the info. It is only when they save to their desktops/documents folder.

There are no GPO's from the network. There was a setting on the local machine to delete temporary files only. No security configuration wizard set up on this server. The only item in the event log is warning missing TS CALS for terminal server.

I suppose I can elevate their privileges temporarily and change the path for saving documents. But maybe there is an easier way to "fix" this.

Ideally, it would be nice to have each user have a local profile. With the ability to save to their respective documents/desktop folders.

Any help would be greatly appreciated.

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