Abstract: Starting with "resource and resource allocation", this paper explores the function of local government and professional football clubs, considering their development dilemma. The study shows that the "urban resources" for the development of Chinese professional football clubs can be divided into operational resources, non-operational resources and quasi-operational resources. And, three key problems arise when local governments allocate these resources, including the misallocation of regional industrial resources, insufficient supply of institutional public goods, and failure of quasi-operational resource allocation. The optimal path lies in the government's assuming the responsibility of leading the development of local professional football clubs, guiding professional football clubs to connect with the emerging industrial chain, innovating the supply of institutional public goods, and continuously improving government's responsibility system to push the modernization of Chinese football governance.