Thanks for the responses everyone!!!
Phoebe was born on 03/28/10 and we got her from a pet store in the area...
We have had luck mixing her dry kibble with warm water and letting it soak up water. We also put a bit more in the bowl and she drinks that. She is not drinking from the bottle and she drank a good amount from her bowl after one of her mid night potty breaks.
We're a little bit less concerned about her water intake as she seems to be peeing well...although a bit too much inside (5 inside and 4 outside).
She seems to be warming up a bit more, but still VERY shy. I grew up with a Siberian Husky who was active and into EVERYTHING from day one and a lab rescue beagle who was 1.5 yrs old when we got her (didn't know grass, sun, stairs, ANYTHING) and as far as I can remember even SHE was less hesitant that Phoebe is...I know its different strokes for different canine folks...just a bit worrysome.
Any hints helping our puppy to eliminate outside? We take her out often, watch for circling and try to get her out before hand, but she likes going on our floors a bit more than outside...all she wants to do is play outside when we take her out...even at 3am. Any thoughts?
Thanks everyone!!
Jamie, Kate, and Phoebe