Preheat oven to 400°F.
In a large bowl, combine peaches, ¼ cup granulated sugar, ¼ cup brown sugar, ¼ teaspoon cinnamon, nutmeg, lemon juice, and cornstarch. Toss to coat evenly, and pour into a 2 quart baking dish. Bake in preheated oven for 15 minutes.
Meanwhile, in a large bowl, combine flour, ¼ cup white sugar, ¼ cup- plus 2 tablespoons brown sugar, baking powder, and salt. Blend in butter with 2 butter knives, or a pastry cutter, until mixture resembles coarse crumbs (butter pieces should be the size of peas). Stir in water until just combined.
Remove peaches from oven, and drop spoonful’s of topping over them. Sprinkle cobbler with the cinnamon-sugar mixture. Bake until topping is golden, about 30-40 minutes. Serve warm with vanilla ice cream. Enjoy!
