This is how I configure my terminal servers.

• Disabled Internet Explorer Enhanced Configuration Mode
• Install User Profile Hive Cleanup Service (note there isn't a 64bit version, but apparently there is one in beta)
• I am starting to play with ThreadMaster, which adds QOS to the CPU, ie stopping a single application from consuming too much processor time. Read about it here and download it here.
• Only domain admins are a member of the builtin administrators group
• Policies to restrict playing around

There is more I do, this is a work in progress. I'd love to know any little trick you have when configuring terminal servers, please leave a comment in the form below.