Windows XP Incomming Connection and DHCP

When you create an incoming connection, in the TCP/IP properties you get the
choice of using DHCP or specifying a range of addresses to assign to the
incoming client.
Choosing DHCP results in an error in the system event log which says that
the remote access service cant contact a DHCP server. The incoming
connection has been created on an ics host. Should the incoming connection
be able to use the DHCP "light" built into ICS or is this error normal, and
unless you have a bona fide dhcp server on the network, you must use the
range option for incoming connections?

Paul