If it were only localism, there would be localities that were fantastic at investing in their own infrastructure. Responsibilities, even funding local schools, have been nationalizing slowly over the years without an explicit change in the U.S. Constitution. So the national government has to 'hack' the system with grants and taxes to indirectly get national policies enacted. It's a corruption of the system to work around the Constitutional protection of federalism.
One solution would be to amend the Constitution to make things like education national policy once and for all. Another would be for the national government to leave things like building roads and funding schools to the local governments.