I am having this issue and have posted about it as well.  I was told
to file a complaint here: 
http://code.google.com/support/bin/request.py?contact_type=AppEngineBillingSupport

Good luck, my app has been down for hours.

On Jun 14, 6:04 am, mcilrain <[email protected]> wrote:
> I have been trying to change the billing settings of an application,
> everything works exactly right, except that the settings don't change.
>
> I have tried both increasing the budget and just readjusting it. Same
> thing happens, tells me it is changing, after awhile that message goes
> away, but it is still the same. I have tried this multiple times,
> waiting between 20min and 3hours after each attempt, no change.
>
> Trying this on a different app doesn't work either.
>
> It's not a matter of my payment being rejected either, since I get the
> emails providing a receipt and such, and making changes that don't
> increase the weekly cost (and don't require re-google-checkouting)
> don't work either.
>
> The last event on the billing history log was on the 12th, and that
> was a usage report.
>
> Is anyone else having this problem? (Can you adjust your quotas?)

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