Honestly, it sounds to me like this company has a hiring process issue, not a regional issue. Good people are everywhere, including Silicon Valley. It’s up to your hiring process to find the best ones for your company.
I was having drinks with a founder buddy last night (200+ person org, $80m ARR) and they've now implemented a "no Bay Area sales talent (AEs, leaders)" policy after contending with unending amounts of entitlement, whining, and low integrity behavior.
Midwest, mountain west, south, and northeast only now.
It started with Google's monopoly money eroding the performance tempo of the entire engineering strata of the Valley, then started leaking into other functions, before ZIRP sprayed it across everyone.
It's going to be a while before this resets.