The federal government currently runs Medicare, Medicaid, the VA, FEMA and many other public service programs.
And the federal government does an absolutely terrible job at all of them. Waste is abundant. Leaders are selected based on political ties and favoritism, not qualifications and the service provided is bad.
The beauracracy in all of these programs is atrocious.
I recently lived through superstorm Sandy and it was my first encounter with FEMA. What an utter disaster. If the employees I encountered at FEMA had worked for me they would have been fired on the spot for bad performance. And the horrible performance continuues - just look at those trying to recover from Harvey - and Puerto Rico for examples.
The VA has been shown to provide substandard care at inflated costs.
My life recently switched to Medicare from private insurance. What a disaster. No coordination. Records lost. Reams of paper every month explaining claims - and most of it uninterpretable. Used to be just one email following a claim, an operable website and a summary at year end.

I do not know a single federal program that is not an utter disaster.
While I would love to see a national healthcare program that provides care to all (ala Bernie Sanders), the US government is simply incapable of ever delivering anything close.

So, I believe the better alternative to to privatize everything the federal govenment does. Even a poorly run corporation could do it better, at lower cost, and still make a profit.
Get the federal government out of the service business.
Sadly, we probably need to leave the military to the feds. Hard to privatize that - but the beauracracy, inefficiencies and whopping high costs are the same there as everywhere else.