Water should not come out of that tube. There should not be a hose attached to it either.
Most likely, you have water in the flywheel cavity. You can check by removing your starter and taking a peek inside the opening for the starter.
Some of the older 90's had an issue with weak water seals under the power head. There was a running change to change those seals to stronger seals and changing the extension case to include drain holes to reduce the water pressure against the seals.
The only way to fix is to remove power head and change the seals and ideally change the extension case to a more current one, if yours does not have drain holes. At the same time, the shift shaft seals should be changed, as well as the lubricating the shift shafts themselves (inside the flywheel case).
If left unrepaired....especially in salt water, the starter will fail, the shift shafts could freeze, and the crank could erode to the point that oil will leak from the crankshaft seal and then the only way to repair is change the crankshaft (major teardown) or install new complete short block.
You can have your local dealer check Service Bulletin #26 revised September, 2003.
I hope you do not find any water in there.....but.....
Mike