I think it depends...I have been involved in some local government activities and come away pleased.  I have heard of stories like yours as well.  All I was really trying to relay to folks is that we have a better chance of making a difference at the local level in getting them to respond to something than the federal these days.  Sometimes successful, sometimes not.
I think local government is corrupt as hell too.  It's just as bad if not worse in a larger city.  People are given jobs through blatant cronyism, whatever their qualifications.  If anything it is worse than on a State or Federal level because there is little or no scrutiny on that level.