If you mean a musty smell, it's probably caused by some mild form of fungus or mould. Sometimes my shampoo smells like that if kept under the sink too long

)
Anyway, two pointers. When you hoover your PSU, be careful to IMMOBILISE THE FAN BLADE. If you don't, it'll spin hard and generate a current like a generator and could damage the PSU. Second, water is ok if not used on electronics, like the plastic fan blade. IPA (isopropyl alcohol) is better, but water is ok.
These kind of smells tend to dissapear with time, but if it really annoys you, you could open up the whole PSU and give it a clean, preferably with IPA.