Leave it to [MENTION=870]Second Chance[/MENTION] to throw a wrench in the gears...
I sanitize my water system with bleach. Having said that, last season we developed a rotten egg smell when using hot water. After struggling with this for a couple of trips, I was advised not to use a solid aluminum anode rod as this promotes a certain bacterial growth that gives off a rotten egg smell. I was told to change the anode to an aluminum/magnesium(?) rod to prevent this from occurring. I was also advised to sanitize the water heater tank (by itself) using hydrogen peroxide, as chlorine is (mildly) caustic and could damage the tank. After changing the anode and sanitizing (maybe cleaning is a better term) the water heater tank with hydrogen peroxide, the smell was gone and has never returned.
John