Q:

SSRS Remote Processing Mode in Reportviewer in Hosted non- AD environment

I have a SSRS server(MachineSSRS) and a web server(MachineWebServer) in a hosted environment. They have nothing to connect them like an domain. They are machines with different IPs. I connect to these servers via VPN. The SSRS is hosted on the same box as the database server.
I connect / RDP to these servers from my laptop ( again non-AD) using a local username and password.
I want to build a .net webform webapplication with a reportviewer control to access the reports deployed on SSRS in a remote processing mode.
I can access the SSRS server from my laptop at http://MachineSSRS_IP_Address/Reports/Pages/Folder.aspx. It asked me for a username/ password. I provided a username local to MachineSSRS and the password. It succeeded and loaded an error page with following message "User 'MachineSSRS\localAdmin' does not have required permissions. Verify that sufficient permissions have been granted and Windows User Account Control (UAC) restrictions have been addressed.".
I tried to access "http://MachineSSRS_IP_Address/ReportServer" and got this message" The permissions granted to user 'MachineSSRS\localAdmin' are insufficient for performing this operation. (rsAccessDenied) Get Online Help."
What security method should I employ to show my reports in a reportviewer for a public facing site? Can I use a username password just for SSRS access without using a localadmin user?
Please let me know if you need aditional details. My authentication settings(from c:\Program Files\Microsoft SQL Server\MSRS11.MSSQLSERVER\Reporting Services\ReportServer\RSReportServer.config) are as follows:
<Authentication>
    <AuthenticationTypes>
        <RSWindowsNTLM/>
    </AuthenticationTypes>
    <RSWindowsExtendedProtectionLevel>Off</RSWindowsExtendedProtectionLevel>
    <RSWindowsExtendedProtectionScenario>Proxy</RSWindowsExtendedProtectionScenario>
    <EnableAuthPersistence>true</EnableAuthPersistence>
</Authentication>

i also came across http://www.sql-server-performance.com/2012/accessing-ssrs-reports-report-viewer-web-page/
i would like to understand the security mechanism.
thanks 
kd

A:

You need to add a local user, a ssrs machine user, as a user on your ssrs instance. Once you grant that user proper authentication and authorization to your reports you can the use that user's credentials to request reports.

