I discuss our local situation here:

https://news.ycombinator.com/item?id=19734501

I guess if Nextdoor wanted to get in on that, they could hire journalists, but it is a reasonable outlay of money if you want to scale it, and something they don't currently do. Journalists need editors, and people to manage them who know how to hire the good ones, and probably other stuff that someone like me unfamiliar with the industry isn't even thinking of.

This is not something that can be 'crowdsourced'. Any citizen that sits through some portion of a city council meeting is probably there because they're interested in - and opinionated about - some local issue. This makes them less than ideal 'reporters'.