Drupal for Intranet?

I might end up being solely responsible for creating a new website for my school district, and I was planning on doing it form scratch (I have some pretty re-usable classes written in php that might work well for it) but now I'm also considering drupal. However, the school's server is on IIS and I'm going to have to install php... makes me cringe really, but if you guys say it will work, maybe I'll try it..

I introduced a drupal-based intranet for the board of directors of a nonprofit organization. There are 8 directors, volunteers who live in many parts of the US, and none of them have much technical expertise. Some of them are downright technophobes.

I created a private drupal site for them, and I disabled every single bit of "create content" functionality except blog. I created a taxonomy like this:

Be a Better Board Member
Don't Know
Donors
Finances
Funders
Grant Proposals
How To
Education Reform Project
Minutes
News
Organizing Documents
Personal Updates
Travel

Then, of course, you have to get them to actually use it. I chose two of the board members who are well-liked and influential, and also inclined to resist technology. I called and explained on the telephone how and why this would help the board get their work done better. Then I recruited these two to be the first people to learn about the new intranet, and to be its advocates to the rest of the board members.

They did resist, but the main thing that they agreed upon was that email was no longer a workable solution for collaboration. The problems are:

too much spam
too much email
email too hard to organize or search
email often lost
attachments usually fail to reach at least 1/3 board members
no one knows which is the "most current" version of any document
when reading email, all the projects in the universe are jumbled together

The advantages of a web-based intranet:

it creates a space where *only* the board's work is present, not all the other projects that every board member is involved in (most not related to the nonprofit organization)

it is threaded

it is searchable

it is organized, and indexable in a variety of ways (show me recent posts; show me jane's posts; show me posts relating to board minutes)

I explained to the board members that there was considerable additional functionality available, and they could have access if they asked. Two of the eight did ask, but they have not actually used any functionality other than blog posting.

As the director of the organization, however, I do use other functionality -- I use events, book, filestore, and image. The board members don't need any particular skills to access these items, but they would be intimidated if they were confronted with multiple choices on "create content".

It's been six weeks now, and I would call the implementation a success. All of the members have posted content; they use it to record and schedule board meetings; news; and documents that they are collaborating on.