Government projects suffer without bonds

City, state and local governments nationwide have been shut out of the bond markets for the last two weeks, raising costs of operation and threatening long-term projects. Washington, D.C. had to shelve a planned bond offering to pay for construction in expanding Dulles and Reagan National airports. Billings, Montana is struggling to come up with $70 million for a new emergency room and Maine has been unable to raise $50 million for highway repairs. New York City issued $300 million in bonds for public schools on Monday, the only bond issued that day.