Heat oven to 350 degrees F.
In a small bowl, stir together the espresso powder in the water to dissolve the espresso powder.
In a medium-size bowl, whisk together the flour, cocoa powder, nutmeg and salt until well blended.
In a large bowl, beat together the butter, sugar, egg and vanilla on medium speed until light and fluffy, about 3 minutes. Beat in the dissolved espresso. Stir the flour mixture into butter mixture until well blended.
Spoon the dough into a cookie press fitted with a wreath disk. Press the dough out into cookies onto ungreased baking sheets, spacing the cookies about 1 inch apart.
Bake the cookies in 350 degree F oven for 12 minutes or until the cookies are dry. With a metal spatula, transfer cookies to wire racks; let cool.
In a small bowl, stir together 1/3 cup confectioners sugar and 1 teaspoon of the water until smooth and a good drizzling consistency. In a second bowl, whisk together the remaining 1/3 cup confectioners sugar, the 1 teaspoon water and green food color until smooth, evenly colored and a good drizzling consistency. Drizzle both colors over cookies. Let the cookies stand at room temperature until the drizzles are dry. Store in an airtight container at room temperature for up to 1 week. Makes 9 dozen.