It's a problem that needs to be dealt with at the state, or ideally federal level. It needs significant regulatory change and a large investment.
You mean the levels that produced all the sweetheart deals the ISPs currently have? The ISP monopolies are products of state and federal (mostly state) intervention in the name of supposedly necessary things like "enabling internet access".
Sort of like Biden canceling student debt by executive order when the constitution says congress has the power of the purse. You can assign the blame to Biden, Republican AGs, the Supreme Court, or the authors of the constitution. Doesn’t make much difference, so long as the issue is correctly understood. A day in court makes sense.
There was a contract between every municipality and ISP with an explicit term that the municipality couldn't finance a competitor? That seems unlikely.
The so-called big govt states subcontract to private companies and let them make large profits.
Yes, and the problem in the US has been that every time a local municipality tries this, they get sued by the ISPs, and since the ISPs have much deeper pockets, the suits never get to the point where they could drive meaningful change with a ruling against the ISPs. That's a big reason why net neutrality has been pushed in the US: because it's the best that can be done given that a better fix has failed.