Bad software development processes are everywhere. I've seen more than one successful companies that aren't massive corporations futz around and produce garbage. I've also seen highly effective government organizations produce some awesome product.
While I wouldn't call it "awesome" (bit too clunky for that), the Medicare.gov site that CGI Federal is responsible for (don't know if they built it or the recent Plan D shopping and enrollment part) is pretty good, very solid and gets the job done.
