Question
I have capped off my sprinkler lines and am running a hose directly from from well.  When off, the pressure slowly rises to 60 where it automatically shuts off.  The pressure drops a few points then stays at about 57.  When I turn on the hose, however, the pressure drops and the well begins to run at 40 PSI, but the pressure continues to drop, although, at a slower pace.  Occasionally the pressure does not drop and the pump seems to run better, but most of the time, the pressure drops, and the water flow is very poor.  Is this likely a power or old-pump issue?

Rgds,

Answer
Well...it sounds as if your well screen is getting plugged or the pump is going bad. When the hose is on the well is trying to fill the hose. In other words, supply the water you need. If it can't get enough water in it will continue to drop in pressure.
If you try turning the valve 1/2 closed it will probably raise the pressure a bit and run at a steady pressure.
You may want to contact a well service person. They can easily test the flow and pressure.

Matt