The symptom I had was that, while pulling a shot (or just running the steam wand motor) that water would circulate out of the overflow tube back into the tank. This was, at best, a dribble before.
With the right tools this is probably easy. You will need small adjustable wrenches or a metric fixed-wrench set and needle-nose pliers to help remove the small hose from the barb.
Removing old piece:
0. Remove top of machine, remove retaining plate for water tank.
1. Remove hose clamp from plastic hose, pull hose off barb.
2. Use two wrenches two remove the reinforced line. One holds the line, the other unscrews the nut.
3. Remove the old valve by using a wrench on the hex shaped portion of its body. The old valve will turn itself out, you will need to loosen other components and wires to make this easy.
4. Place thin washer in new valve.
5. Follow reverse instructions to reassemble. Recommend using plumber's tape on the threads.