Probably I am beating on a dead horse but am surprized that nobody has commented on the following:
Yield strength is closely related to the percent of as-quenched Martensite. Also toughness is in part a function of microstructure. And yes you can easily achieve the required hardness level with oil quench in this relatively thin section but if what HIMES stated "A water quench will result in a higher hardness than oil" is true does this not equate to higher percentage Martensite? So...when you temper this higher percentage Martensite to come up with the required hardness, you probably will have a tougher product like the customer wants.
Also if the geometry of the part is not complex or does not have geometric stress risers, then water quenching such a thin section should not hazard quench cracks. This phenomenon occurs from relatively thick sections because the core transforms later than the surface. Since Martensite takes up more volume than Ferite or Austenite, the later expansion at the core puts the surface in tension.
If the part has sharp changes in section or other potential quenching stress risers then prewarn your customer and then if cracks occur, so be it.
Jesus is THE life,
Leonard