Ok first of all thanks you guys for the help, I just got back from the dealer which is an hour drive both ways and I guess I feel a little stupid oh well. The dealer told me that the hole is for moisture or water or whatever to drain out of the spark plug access hole, it doesn't have anything to do with coolant. I also live in a humid wetter area so moisture can condense in there I suppose, but when I saw little puffs of steam and the thing I feel stupid for could only be explained by a loose spark plug. So we took off the tank and sure enough the spark plug was a tiny bit loose, I guess if I hadn't gotten so nervous that I had to go straight to the dealer I would have taken the tank off and checked the plug myself oh well.
Thanks again guys and thanks RobG for the awesome site!
The bike is still the greatest and I feel much better now that I know.