In my view, much of the failure of all aspects of government is accepting incompetence. Failures are often awarded with promotions. In government entities, lawyers run policy, and policy dictates way too many hurdles to terminate the employment of a problem employee. It's much easier to promote such employees and end the problem.
I've watched local larger communities slowly sliding into blight over the last four decades. Money is squandered through unreasonable salaries; pensions are destined for bankruptcy, and the caliber of employee doesn't match the pay. To make things worse, too many of those that failed in the private sector thrive in the public sector.
How does this end? More urban blight, unwillingness for businesses to be created, the fleeing of those concerned with their children, and the unacceptable condition of increasing crime. People don't like to see their money wasted, and larger cities are exceptional at wasting the limited resources of taxes.
As the infrastructure deteriorates, the businesses close, the population of taxpayers decreases, and incompetence becomes rampant, many cities become wastelands filled with those that can't leave, or thrive in the criminal underground society. It's unhealthy, and ultimately leads to large cancerous areas surrounded by younger communities filled with those that only work in the city because that's were their job is. With time, and more jobs not requiring commuting, the cancer eventually completely destroys what at one time was a city with proud citizens willing to be proactive.