The workaround that was provided to me was that I would have to re-add every student's dropped courses and then drop the course as a "scheduling error" which removes all grades etc. associated with that course. That is not something that we want to do.
Additionally, I am using this report card to send mid-semester grades to colleges for our graduating class. I do not want dropped courses to show up on this report.
This has been implemented in the Report Card Builder with our November release.
There seems to be a problem with this. We do NOT want dropped courses to appear, but if you check that box and a student withdraws during the year, even if it is after first semester ends, if the course is a full year course, their report card and transcripts are now blank.