Roll out Pie Strip Pastry to 1/8- inch thickness on a lightly floured surface; cut into 1-inch strips. Reserve enough strips to lattice top of cobbler. Place remaining strips on baking sheet, and bake at 450° for 10 minutes or until crisp. Remove strips from baking sheet; set aside.
Combine peaches, water, and butter in a medium saucepan; bring to a boil, and cook over low heat until peaches are tender. Combine 1 1/2 cups sugar, flour, cinnamon, and salt; add to peach mixture. Cook over low heat, stirring gently until sugar dissolves and mixture thickens.
Pour half the peach mixture into a lightly greased 12- x 8- x 2-inch baking dish. Arrange baked pastry strips on top of peach mixture. Spoon remaining peach mixture over pastry strips in baking dish. Arrange unbaked pastry strips in lattice design over peaches. Sprinkle with 1 tablespoon sugar. Bake at 375° for 35 to 40 minutes.