Unfortunately, federal and state governments through various means, bail out failed blue cities. Without the bail outs, failed cities would collapse sooner than later. We see the same failed principal applied when the federal government or federal reserve intervene to save a "too big to fail" bank or company.
There is a time to help and there is a time when helping becomes the problem. Wisdom is knowing the difference.
Presently, Portland is in a state of failure and no federal action is being made to reverse the issue.
The same can be said for others that are beyond help but not t the degree of Portland.
The example to refute your argument is Baltimore. Baltimore died and there was no federal salvation