I'm sorry to say that since you don't have much to lose, you aren't going to be seeing those huge drops during Phase 1. A better way to think of it is in terms of percentage - by losing a pound, you've lost 10% of your goal. That is a huge accomplishment.
Maybe you could post a typical days menu and have some of the "experts" here take a look. You may be lacking in some areas or getting too much in others.
As far as water goes - some people need to train themselves to like water. Apparently the lack of flavor is a problem for some - if this is you, try adding a flavor (cut a lime or a lemon, even oranges or cucumbers deliver a great taste).
Water is very important to weight loss. While it is true that each person requires different amounts, waiting until you are thirsty means that your body is already dehydrated. Your level of thirst is not a good indicator for your level of hydration. It takes about two hours for anything you drink to have an effect on your hydration level - if you feel thirsty, you're two hours behind!
Here are some links as to why water is crucial to weight loss.
http://www.inch-aweigh.com/water.html
http://www.freedieting.com/drinking_water.htm
http://www.webmd.com/diet/news/20040...ed-weight-loss
You may also want to re-evaluate how many calories your body needs...as a person loses weight, they need fewer calories to maintain and to lose. What once made you lose might make you maintain now.
http://www.ahealthyme.com/topic/calneed Try this site.
After you find how many calories your body needs to maintain and to lose, be very diligent about how many calories you are consuming. Log every morsel that crosses your lips and get an accurate reading of how many calories you consume in a day.