I think your question is a rather complicated one because many of the local filmmakers use the paycheck from the Hollywood films that come through to pay their bills and fund their projects. Its a system that is frustrating for all the reasons you point out and for as Charles said earlier to another post, because there isn't much capital in Seattle to help fund local work.
That being said, I think we could rethink "local work" to reflect a sustainable filmmaking culture. On in which projects have shorter production time frames and smaller budgets, but still aim to pay their crews.
I also think Charles idea is interesting, but would point out that there's a fair amount of indie film made for local consumption, many of which you'll find in our Local Sightings Festival every October.
Either way I'm curious to hear what others think about this as well.