Most local governments in America are separate from the actual school district. The way the Illinois public system is set up is just pretty crappy. All of the funding for school districts comes from property taxes, which allows for huge inequalities in education. One school district might be able to afford $16,000 per student, while another can only spend $2,000 per student. Kids should be able to have the best educational opportunities available to them and the public school system just isn't it for most kids.
I would like to see schools under local government control (i.e. cities) if there's a public school system at all. I'm really impressed with what I've seen from homeschoolers, though, and believe strongly that it should be given as much room to grow as possible.