Jon,
If you are using On The Fly report generation, then different sequences are called in the "reportgen_txt.seq" Sequence File, than the normal calls that are made from TestReport callback. In fact, the entire TestReport callback is skipped if you use On The Fly reporting. It may be that your sequences are not being called as expected. Try placing a breakpoint in the "Initialize OTF" sequence of the "reportgen_txt.seq" in your "Compenents\User" directory.
That being said, however, the "reportgen_txt.seq" in your User directory should be called. This is because the User directory comes before the NI directory in your Search Directories. Additionally, the "reportgen_txt.seq" Sequence File is called as a relative path. That means, that TestStand should search for the "reportgen_txt.seq" and it should find it first in your User directory. Place a breakpoint in the "reportgen_txt.seq" file that is called in both the NI and User directory to determine which sequence is being called. If the NI sequence is being called, then you should check your Search Path configuration to be sure that the User directory is higher than the NI directory.
Please let me know if you have questions or are still experiencing a problem.
Thanks,
Tyler Tigue