Woo hoo. It's not the water pump that is causing the leak. Right towards the middle of the thermostat that is a plastic tube that comes off and splits into 2 (which than splits into 4 hoses). One of the "legs" is broken off. Seems like an easy fix. Does anyone know what this is called or have an extra one laying around

.
According to the book I have to take the timing belt off to take the head off so I think I am just going to do the timing belt/balance shaft belt/water pump anyways. While everything is off, im might as well change the piston rings if needed, and why not rebuild the head.... ahhhh this is why I didnt want to do this! One thing leads to another.