Increasingly, there is good data from local government. Both TeleAtlas and Navteq try to get this data. Not all governments make it available on reasonable terms. In some states, there is an organized effort to create good maps of the entire state.
There is also some effort to coalesce mapping collection within government. Often there are four or five independently developed maps. A county may have a GIS department, your local town or city may have one, your local 9-1-1 PSAP has one, and often there is a state map. While today, they all are independent, with different "base maps", we do see some changes where there is sharing of map data among the government entities.
The ideal is that local government has a single, accurate, up to date map, which feeds both state-wide maps, and is made available to the commercial companyies who depend on good map data. I work on the 9-1-1 system, and I can tell you that, for example, if the local utilities used the same base map as the PSAP, things would be A LOT better, and the utility crews could probably provide another great source of error checking, updates and additional information that would benefit other map users. It could be win-win: local government provides the base map and a set of public layers, which is given at low cost to commercial enterprises so long as they contribute errors, updates and layers appropriate for the government to have.