TCP/IP NetBIOS Helper

I disabled the TCP/IP NetBIOS helper on my Windows 2003 DC and can no longer access the domain group policies. The functional level of the domain is Server 2003 native, and I only have 1 DC. If I enable the service, everything works like it should, but I'd like to completely get rid of anything that is related to NetBIOS.

I read somewhere that this service is needed to process the group policies, but does anybody know why?

Also, for some reason after I disabled NetBIOS, I no longer can connect to the shares hosted on the DC by using its DNS name. It works when I type \\192.168.1.254\Share, but doesn't when I type \\DC.Contoso.com\Share or DC.Contoso.com\Share.
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