The Federal Emergency Management Agency has agreed to compensate Warsaw for some of the money it paid to repair its water treatment plant after it was badly damaged by the 2008 flood.
At the time, the city expected to be reimbursed 100% for the repairs. FEMA later decided the city was due 75% of the repair costs because the county didn't meet its poverty guidelines.
City finances were strained to come up with the $285,000. The city has tried to recoup that money ever since.
County Board Chairman said FEMA has agreed to pay two-thirds of the city's share.