Plex HTPC Hardware Upgrade Proposal and Feedback

I have a HTPC which acts as both server and client for one of my Plex setups. It is built with an old Dell Optiplex 790. CPU is Core i5-2400.
There are a few existing issues with video playback, mostly dropped frames.
I’m planning an overhaul of the system to correct this, starting with the hardware.
Right now I am planning on keeping the Optiplex 790 but adding a PCI GPU, probabally the NVIDIA GeForce GT 1030. The 1030 supports h.265 hardware decoding, which is a key feature since much of my content is encoded with h.265.
Will Plex be able to direct play anything that the GPU can decode with hardware accelerated support? Will Plex do this by default or will I have to change settings?
Also open to other suggestions on the GPU.

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