Bad water tank?
#1

I have a Clayton Mark IV water tank. I adjusted the pressure switch on pump which also requires a pressure adjustment on the air bladder in the water tank. When I pressed the valve stem on my tank, water came squirting out instead of air. Is this a major problem?
#2

Yes, your air diaphram is ruptured causing a "waterlogged" condition. You can drain it down and add air to the tank, but it will dissolve back into the water soon, or worse , it will oxidize some of the iron or H2s in the water causing quality problems.
The best replacement is a tank called Well-mate. they are fiberglass, and have a super heavy duty air bladder. There is going to be a sale on them next week at http://worldwidewater.bigstep.com
The best replacement is a tank called Well-mate. they are fiberglass, and have a super heavy duty air bladder. There is going to be a sale on them next week at http://worldwidewater.bigstep.com