Replacing older Server hardware Windows 2003

I am looking for a steps to do this. I have a new Dell server hardware.one hard-drive.80gig SATA.
Purpose of the server is to run this application: small set-up of 31 PC-s using A+ education software http://www.amered.com/index.php
The old hardware is running Windows Server 2003 SP1 - I have the disks for Windows Server 2003 R2. What would be the smoothest switch over plan. 1)install the Windows2003R2 on the new hardware - and pick most of the extras POP3/Application/DHCP - if I use them or not.
2) Then to get the active directory and application over??
Thanks again for all assistance. I work a lot on non-server Windows PC-s. Not very much on Windows 2003 Server OS.
Russ

So, this server is also going to be the primary domain controller, and you'll be removing the older server from use? It has been a very long time since I have done this, but I faintly remember adding the new server to the mix as a secondary domain controller, getting active directory set up, then promoting the server to the primary dc.

this old thread may point you to some resources active directory migration

Active directory migration is half-luck, half-pure voodoo - when it works. A much better bet is to invest in Jeff Middleton's "Swing Migration" kit.

See www.sbsmigration.com.

If you want to reinstall all users and re-connect all workstations, then you won't need this.

But, it will probably save you two days worth of time!