Finally got my ACV roof settlement - but now they're saying I have to pay depreciation holdback even after I replace it?

Had a hailstorm hit our neighborhood in February. Adjuster came out, confirmed damage to the roof, and after two weeks we got a settlement letter for actual cash value: $9,200. Our roof replacement estimate from three contractors averaged $18,800. So they depreciated out $9,600 and said we'd get the recoverable depreciation after we complete replacement and submit invoices.

We hired a contractor, completed the replacement last week, paid the full $18,800, and submitted everything. Now the claims rep is saying we only get back $7,400 in depreciation because some of the line items on the original estimate were "non-recoverable." Things like the permit fee, a small amount for steep slope charge, and the tear-off labor cost. I had no idea these were non-recoverable - that was never explained to us at the start. The policy language is really dense and I genuinely missed it.

Is this legitimate? Can they just hold back part of the depreciation without making it clear upfront? And is there any way to negotiate the non-recoverable items or am I stuck? $2,200 is a meaningful amount of money and I feel like this came out of nowhere.