I remember that scene fondly. Watching Charlotte Ross trying to cover up her ample self with her hands when the boy accidentally walks in on her. They did show a lot.
I read another article about this same fine, and that article stressed how the episode aired in the central and mountain time zones much earlier in the evening than on the East Coast. In my humble opinion, NYPD blue shouldn't have been airing at 8PM in the mountain zones. It's an adult show, not a kids show. The affiliate stations that were fined were in those two time zones. If I recall correctly, the stations on the East coast and in Pacific time were not fined because they aired the episode at 10PM.