We found the PM has been burning through our money (almost $2,000 for 2019 plumbing bills, due to hiring people on weekends for simple things), not calling us in a timely manner when we had an unrelated issue cause water damage!

You are paying 100% - Water - See if you can get the tenant to pay for it 

My other concern is water, if we let them use it I was thinking about a cap for the water bill but I have no idea what a good figure for that would be...The yard is very small and we inherited a lawn mower so I thought about just making that available for them.

Typically water won't be individually metered on these types of properties (too costly due to impact fees).  

Water, sewer3.

I do want to stay away from the water to avoid flood insurance.Thank you!

Roof, water heater are new (2019).

Today I get a call about water in the utility room of one of my houses .

If you don't disclose it, technically its loan fraud and you can get in hot water. 

I replaced the HVAC in 2012, water heater in 2010.