CTL,
1. Are they schools or prisons?
2. My experience with central government workers is that they do not care about anything. They just want to collect salaries for a minimal effort. Of course, one can also say that they give equally bad service regardless of political affiliation. When people know you it is hard for them to be unresponsive. Conversely, if someone is a problem neighbor it is easier to deal with him as he wants them to remain responsive to him. In fact, one double settlement (there were two founding groups, one baalei-batish and one yeshivish so they made two separate settlements one right next to the other) united so that it could become a town and run its own municipal affairs.
3. You are assuming that there should be state-allocated franchises. I am in favor of free enterprise.