I live overlooking the Pepacton Reservoir, enjoy all the boating opportunities there and regularly paddle the waters since they have allowed kayaking and canoeing. It's true, no swimming, and no playing with the dog in the water...however, here is the good news. If that is your pleasure, just down the road from the Shavertown Bridge, in the direction of Lew Beach, is Big Pond, a free, public lake where you can swim, fish, and play with your dog to your hearts' content. Also has great hiking trails. Then, just a little further down the road, another great water sport location, Alder Lake, once the private home of the Coykendall Lodge--nice swimming, boating, and dog friendly grassy beach setting (also check out the Lodge ruins). Again, marked hiking trails that let you walk for hundreds of miles if you so desire!