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Terminal Services License Server

We have a domain and are trying to add a new terminal server.  When we try to connect to the licensing server, we receive a message that says it is unable to connect to the licensing server.  The machines can ping each by IP and name.  The environment is a WIN2k3 SP2. The current licensing server is activated and displays the correct number of licenses as being installed.  We have installed both terminal services and terminal server licensing on the new server.
 
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The exact message is "No Terminal Server license server is available in the current domain or workgroup. To connect to another license server, click Action, click Connect, and then type the server name.

The two servers are on the same network in the same workgroup.
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Yes, that is what we are trying to do.
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