Almost certainly yes (and one could similarly make a good argument for federalizing a lot of our services). However, having services run by larger jurisdiction

Almost certainly yes (and one could similarly make a good argument for federalizing a lot of our services). However, having services run by larger jurisdictions is directly at odds with the American need to ensure that the "haves" have distinctly better living conditions than the "have nots," and so this is a political non-starter. Put another way: poor services (such as healthcare, schools, and even potable water) are a design feature, not a bug, of American civics.