Calcium inside organisms or bound into organics won't be available, but they also won't show up on test kits. I don't know of anything that would confuse a calcium kit. Maybe you're seeing a coincidence, a testing issue, or perhaps some parameter like alkalinity is a bit low. A higher calcium level should make coral growth a bit easier, but I would have guessed that 500 ppm is going to be close to the upper limit if other parameters are fine. I'm not sure, though.
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Jonathan Bertoni
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