Citizens is holding back $38k in depreciation on my Idalia repair and my contractor wont start without the full check - how do i unstick this

okay this is going to be long because i need to explain the timeline. Hurricane Idalia hit us in september 2024, we filed within a week, Citizens (florida) inspected in october 2024, and after a lot of back and forth our final approved estimate came in at $94,200 RCV. they wrote a check for ACV which after depreciation and our 2% hurricane deductible came to about $51,800. the remaining $38,400 is being held as recoverable depreciation that they will only release once the work is done and i submit final invoices.

here is where im stuck. our contractor (legit, licensed, came highly recommended) wants 50% down to start, balance on completion. so he needs roughly $47k to begin. i only have $51,800 from Citizens. by the time we pay the deductible and a few out of pocket items (temp roof tarp, debris removal Citizens shorted us on) we are at maybe $44k available. we are short. and Citizens is not budging on releasing depreciation until work is verified. classic chicken and egg.

my mortgage company also has its name on the check which is a whole other layer of bureaucracy - they want to inspect at 0%, 50%, and 100% completion before releasing funds in tranches. so even the money i HAVE is not really fully usable until they sign off.

what im trying to figure out: is there a way to negotiate with Citizens for partial depreciation release based on contractor draw schedule? has anyone gotten the mortgage holdback rules waived for hurricane claims (Florida statute something)? do i need to find a contractor with different payment terms (and is that even realistic given the post-hurricane demand)? or do i need to bridge finance this somehow? we are 9 months in and i cannot keep living with the temp roof and the half-gutted living room. any concrete tactical advice appreciated. florida specific advice especially.