This can be a very frustrating hobby at times, but the key to most of it is patience, the cheapest tool in reefkeeping but also the one in shortest supply
I'm still dealing with some nitrates in my 125 from the changeover from the 55. Nothing like what you're experiencing but they are still slightly elevated as I have almost the same bioload as the old 55 but with a new sandbed which while seeded from the 55 is still struggling to establish itself. It takes time. Having the nitrate cycle finished in your tank really is only the begining of a tanks maturation cycle. As your tank is two years old though, it should be settled in. Did you post your tank system and specs in a thread? If so, could you give me the url?
Whether or not your tapwater is high in nitrates it's still bound to have other nasties. Using tapwater just isn't a good idea.
As far as the nitrates, have you double checked the nitate reading against another brand of kit and/or with a LFS? You may be getting high readings. If you have and the results are the same or similar, water changes (with good water) and time will bring them eventually under control as long as your tank is not overstocked. Unless you are pretty sure you have a good amount of snails missing or one or two huge ones, it may not be worth tearing the tank apart to find it, depending on the tank size.
Do you have a sump? If so, throw some lights over it and grow some
macro algae in there to harvest on a regular basis to help export nitrates. If you don't have a sump and don't have tangs in your tank, you could grow some of the less invasive macros in the main tank and harvest it the same way for export.
Keep us updated.
HTH,
~Alice
[ 08-19-2001: Message edited by: Alice ]