Users may notice the Capacity Planning Report seems to be adding in students who are not returning as well as processed contracts.
The Capacity Planning report is taking a look at the enrollment rows in the User Profile. If the student has a contract marked as not returning and if there is not a withdrawn date marked in the enrollment row in the User Profile then the student still gets counted in Capacity Planning.
If a student is marked as not returning you will also want to add a withdrawn date to the enrollment row under their User Profile. This will exclude them from the Capacity Planning Report.