> Spending on things like roads is a small percentage of government.

I believe ST's point is that this is only true because cities and towns use cash accounting, and so the depreciation costs of roads and other infrastructure are hidden. Once these wear out and have to be replaced, these cities will find themselves in a very deep hole.

Note that cash accounting is so misleading that it's literally illegal for most companies to use it; municipalities get to be an exception because it helps tax cuts seem more viable than they really are, and voters want to be lied to in this way.