Go to www.ltsp.org and read up on that. That site
pertains to using a Linux server as a Terminal Server.

There is a way to get it all going as you request but
it would serve you better to use KDE instead of ICE.
I know KDE has everything you need built in to keep
network traffic low while keeping the whole system
centered around the server. Check out Linuxmag.com or
linuxjournal.com to see if they have that Nov. 2002
article on using KDE desktop throughout the office in
a distributed fashion. If that atricle isn't up, let
me know. I'm still working transcribing it to text
and then to PDF. Of course, scanning it may be
quicker