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@Sheri Whitten‚ - had to do the very same thing myself last week :-). Rather than display the whole custom field (e.g. myStatusField) in the view or report, fire up Advanced Text Mode and change your valuefield line to valueexpression = LEFT( {myStatusField} , 35) - however I prefer to be a bit fancier
so I can see in the report if I have shortened the value - by adding ... to the end of the 35 characters if I have 'reduced' it.
IF ( LEN({myStatusField}) , 35, CONCAT LEFT ( {myStatusField}, 35) , '...', {myStatusField} )
Note - not double-checked all my commas and brackets in the above but you get the idea!