So once again, it's a problem with local government - a government that is a lot more responsive than the FCC or any federal solution. If the teclos can manipulate your local gov, imagine how effective they'll be at the national level.
I agree that local and state governments are a problem, but only because these national corporations have so much power over them. I don't agree (or at least I'm not yet convinced) that the FCC or Congress adding some "light touch" neutrality regulation would be a terrible problem, or that it's an either/or situation. In other words, these national ISPs need to be fixed at a national level, while broken local regulations need to be handled at a local level. Fixing one may help fix the other.