Hello! We have a very hot, dry spell now for almost 2.5 weeks and I noticed several patches of white/ yellowish mold (i think) growing on top of mulch back by my bushes. When I watered it, it began to smoke like crazy, almost a brown powdery discharge that billowed out when water touched it. It scares me to think this might be harmful to me or my pets. Has anyone seen this before? It is harmful? Thanks for your input