Does the watershed delineation tool work with SS2 or only SS3?

I have been trying to use the watershed delineation tool with the SS2 geopak v. 8.11.07.494 and microstation v. 8.11.07.443 but whenever I do, it doesn't analyze the area right.

I had a trainer come to my company last week and he had SS3. When he tried to used the watershed delineation with our drawing, it worked.