I don't think there is a setting that would allow you to do this natively in w7. (unless someone out there has some Group Policy Fu they'd like to share?)
Assuming there isn't one, I would consider two alternatives:
1) Setting up a Software Restriction Policy to limit execution paths to known drives only.
2) Disabling Plug and Play
I personally use 1 on all of my machines just to prevent things from executing from my user directory. It wouldn't prevent media from mounting, but it would stop anything from executing.
2 is more of a guess, TBH. I've never tested it personally, and it may cause other windows services to act funky, but it would (in theory) prevent ANY new device from installing unless you re-enable the service or installed the device manually (usually these actions require admin rights, so that may work for you).
I also want to add that if physical security is a concern, consider simply locking the machine in a cabinet. This will protect your USB ports in Windows and also keep anyone without the key from performing boot kit attacks.
**EDIT**
One afterthought: If your hardware supports it, consider using PS2 keyboards/mice and disabling all USB controllers through the BIOS.