Step 1: Preheat the oven to 400 F.
Step 2: Bring water, sugar, cornstarch, cinnamon, nutmeg and salt to a boil-stir until thickened, about 1-2 minutes.
Step 3: Reduce heat to medium and add the apricots and butter. Simmer for 5 minutes. Transfer the mixture to an 8x8 or 9x9 square baking dish ( pyrex).
Step 4: Make topping: whisk together the the flour, 2 Tb sugar, baking powder and salt.Cut in the butter and mix with fingers until the mixture looks like coarse crumbs.
Step 5: Stir in the milk until just moistened.
Step 6: Spoon the topping over the apricot mixture and sprinkle with the 1 Tb. sugar.
Step 7: Bake for 25-35 minutes or until golden brown.
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