Help! Active Directory?

What’s with active directory? Here’s what I want:
W2k server for file/print sharing.
Need terminal services for remote running of programs via dial in.
Have one network print server.

Do I need active directory? If not how do I manage users?
Do I need DNS setup?
I don’t want any web server services or internet sharing.
I’d prefer not to use any TCP/IP protocols for security as we use a dsl router for internet access.
Anybody in the San Antonio, TX area know about terminal services?

Any comments or thoughts are appreciated.

Thanks,

Vicko