Ok, firstly i really thing for 2.5k is just an engine reconditon.
Secondly, if i see vapour coming out of my car i'll definately STOP and CHECK but you DID call ICE and they told you its only BURNING stuff like WD-40 and really anything that WENT wrong with your engine after that, is NOT your responsibility anymore. I really think its a blown headgasket.
For the TOW's bill, i don't think it matter that much anymore but your engine now mate, personally i think you should get an engine rebuild or re conditon for FREE. If nothing wrong with it just pay for the TOW.