4 weeks into the process, lender adding $10,000 adjustment fee?

[Mark C.]

So long story short, my fiance and I are buying a foreclosure. We're working with a lender called "Prospect Mortgage" who has a local office in our area. The name recently changed to "Homebridge Financial" I believe. The house has some structural work and needs a new well, so the loan were using is a conventional renovation loan by Fannie Mae called "homestyle". It's essentially the conventional equivalent of the 203k. House price is 226k, renovation cost for the repairs I mentioned is 14k for a total of 240k.  We have been under contract for probably 6 weeks now on the property.

We've been working on this loan for over a month now, closing date is supposed to be at the end of March, and they just sent us the final application to sign, after we've spent weeks of collecting paperwork and signing dozens upon dozens of documents, and providing everything that everyone that's ever gotten a mortgage is aware of; as well as coordinating everything with the contractors involved. I'm looking at the final document and they added a line at the bottom of the closing cost details page which says "Adjustments and Other Credits: $10,000". 

This is on top of the $4,672 in closing costs a d $5,861 in "prepaids and initial escrow payments". What is this? Are they really trying to add $10,000 on top of my already $10,000 in closing costs for no apparent reason? We're at the point that without significantly extending the closing date, we don't have time to go to another lender and we've already put so much time into this loan. I wanted to get the opinion of some others who may be familiar with this before I call these people and lose my temper. We simply can't afford another $10,000 cash tacked on for no apparent reason. Has anybody ever heard of this? Is this common?