It sucks to keep track of dev/prod local files, it makes it hard to setup a simple script inside of a django environment, it makes multi tenant apps unnecessarily complex, app developers usually want to shove every single configuration option inside of it...
If anyone with more than a few hours of django development is doing split settings or something more complex, and even the official docs and best practices recommend doing so, why are we still stuck with it?
There are much saner ways to deal with configuration: Flask's[1] is one nice way, as is Padrino's[2].
As a Django dev, this is one of those things that actually makes me jealous of Rails, where the core devs are not afraid of breaking backwards compatibility for sanity's sake.
In my opinion it should be priority #1 for an overhaul.
[1] http://flask.pocoo.org/docs/config/ [2] http://www.padrinorb.com/guides/mounting-applications