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You don't have to worry about any setups as long as the code/web.config settings are correct (smtp host, username, pwd, etc...)<br />
<br />
For example:<br />
&lt;configuration&gt;<br />
&nbsp; &lt;!-- Add the email settings to the &lt;system.net&gt; element --&gt;<br />
&nbsp; &lt;system.net&gt;<br />
&nbsp; &nbsp; &lt;mailSettings&gt;<br />
&nbsp; &nbsp; &nbsp; &lt;smtp&gt;<br />
&nbsp; &nbsp; &nbsp; &nbsp; &lt;network <br />
&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;host=&quot;relayServerHostname&quot;<wbr /> <br />
&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;port=&quot;portNumber&quot;<br />
&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;userName=&quot;username&quot;<br />
&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;password=&quot;password&quot; /&gt;<br />
&nbsp; &nbsp; &nbsp; &lt;/smtp&gt;<br />
&nbsp; &nbsp; &lt;/mailSettings&gt;<br />
&nbsp; &lt;/system.net&gt;<br />
<br />
&nbsp; &lt;system.web&gt;<br />
&nbsp; &nbsp; ...<br />
&nbsp; &lt;/system.web&gt;<br />
&lt;/configuration&gt;<br />
<br />
Here's a nice article if you need examples:<br />
<a href="http://aspnet.4guysfromrolla.com/articles/072606-1.aspx" rel="ugc">http://aspnet.4guysfromrolla.com/articles/072606-1.aspx</a><br />
<br />

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i want to use the local server to send the mail. &nbsp;I already have the administrator username and password, is that what I use? &nbsp;Is IIS7 already setup to sendmail out of the box? &nbsp;Don't I need to configure IIS at all?
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I dont think so, unless your server is running exchange server, etc... &nbsp;When I develop in localhost I use the smtp settings for my email, whether it's gmail or another provider. &nbsp;Do you have an email address? &nbsp;It most likely has smtp settings. &nbsp;Post your domain (for your email) if you want and I will get you your smtp settings for the web.config.<br />

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my server will be the domain. &nbsp;I am on a dedicated server. &nbsp;The domain will be on the server. &nbsp;The server is WIndows 2008 Web version with IIS7. &nbsp; 
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they were not installed properly. &nbsp;
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<div class="content wysiwyg-content">
I have an asp.net contact form that is programmed to send email using the local host. &nbsp; How do I setup IIS7 on Windows Server 2008 to do this? &nbsp; Thank you.
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I have an asp.net contact form that is programmed to send email using the local host.   How do I setup IIS7 on Windows Server 2008 to do this?   Thank you.

How to configure IIS 7 to send email from ASP.NET application?

IIS is Internet Information Services, the web server included with Windows Server operating systems. All current versions are built on a modular architecture; modules can be added or removed individually so that those required for specific functionality are installed. The full installation of IIS includes HTTP, security, content, compression, caching, logging and diagnostics.

Microsoft IIS Web Server

The successor to Active Server Pages, ASP.NET websites utilize the .NET framework to produce dynamic, data and content-driven web applications and services. ASP.NET code can be written using any .NET supported language. As of 2009, ASP.NET can also apply the Model-View-Controller (MVC) pattern to web applications

ASP.NET

Windows Server 2008 and Windows Server 2008 R2, based on the Microsoft Vista codebase, is the last 32-bit server operating system released by Microsoft. It has a number of versions, including including Foundation, Standard, Enterprise, Datacenter, Web, HPC Server, Itanium and Storage; new features included server core installation and Hyper-V.