Uses Powershell remoting for administering SQL Server logins, users, and roles. All actions audited to a custom Eventlog on proxy server. SMO not needed on client. Uses a proxy server with SMO installed and Powershell remoting enabled.
Setup Tasks
1. Install SMO or SQL Server clients tools (Express edition will work) on proxy server
2. Copy the SqlProxy.psm1 module from http://poshcode.org/3040 to C:\Windows\system32\WindowsPowerShell\v1.0\Modules\SqlProxy folder of proxy server
3. Create the SqlProxy Eventlog and Source by running following command "New-EventLog -LogName SqlProxy -Source SqlProxy" on proxy server
4. On client (machine running PowerGUI), download and install this PowerPack
5. On client right click "Connect to Server" Node
6. On client select "Shared Scripts" and change $global:SqlProxy variable to your proxy server

Note: Powershell V2 client user requires sysadmin access to SQL Servers. In Powershell V3 Delegated Administration can used by creating a runas account and adding -ConfigurationName parameter to new-pssession in the Get-ValidSession function

See http://sev17.com/2011/11/delegated-sql-server-administration-with-powershell/ for more information on this PowerPack