Hi Steve,
Check on the Dissociate check box, this removes the specific printer from the report so it no longer looks for your printer and looks for the default "family" of printers on the local PC.
If you do not do this then the report will always be printed to your printer if it exists on the network and the users PC has access to the domain. Unplug the network cable and you'll see it will use the local printer, assuming it's plugged into LPT1 or local USP port.
A little history. As of CR 2008 our Developers gave the Report Designer the ability to set the page orientation for each section. Part of this ability requires the Report creator to check on the Dissociate so it goes the the users default printer.
Another feature now is the User Defined paper size, previously to create a report for example 42"'s wide you had to install a Plotter printer driver that was capable of printing to that size. User Defined no completely dissociates from the printer and will simply display that size.
So, check on Dissociate and that should fix your problem.
Don