After going into Education Edge-->Administration--->Set up system security-->FAWeb Group Under Registrar's Office, Notes section making a selected few to Cannot View and Cannot Edit
When logged into FAWeb can see all notes listed and all are still viewable. Although for the Note Type drop-down only those that were still viewable and editable in Education Edge can be chosen.
This may happen if a teacher is a member of both an FAWeb security group and a security group that has access to Registrar's Office. Removing the teacher from the security group that has access to RO resolves the issue.