If it was clearly the passport agency's fault, you can get one issued for free.
This happened to me and I just took the passport to the nearest Passport Agency in downtown Washington, DC. I walked in without an appointment, went through security and talked to a clerk. She asked me to fill out another application and said there would be no charge. I arrived around 11AM and she gave me a pick-up slip with a 2pm pick-up time. I returned at 2PM and my new passport, with all correct info, was ready. The only thing that I had to pay was the $30 parking at the nearby parking garage.