Shut off water to the home and drained the water system. In the basement, I removed the pressure regulator valve and the shut off valves for the hose bibs. I replaced the prv, main shut off valve and the hose bibs shut off valves. Turned on the water and pressurized the system to test. No leaks detected. Outside, I dug down at the marked area to find the water service line. I uncovered the line and saw two pinholes spraying water. I shut off the water and cut out the damaged section of water pipe. I replaced that section with polyethylene pipe. Turned on the water and pressurized the system. No further leaks detected. I opened the hose bib to remove as much air as possible. When you open the faucets in the home you may get some air or brown water. Please allow a few seconds to clear then normal water pressure will resume.