I understand the frustration that Gopher fans had with much of their in-state talent going to their biggest rival, but a basketball roster is small, and increasingly made up of national prospects (and international!). It was a short-sighted, safe decision to hire Johnson. And in some ways, it worked. Johnson seemingly ran a solid program, he just didn't have good enough players.
I've said it before, but I don't think the talent exodus out of the Cities is that different from non-athletes. For kids growing up in the Twin Cities, Madison is a very attractive situation. Beautiful campus, great student/academic experience. Just far enough away from parents to be exciting and new. For high schoolers whose college choice is a Big Ten research university, Madison is often viewed as a tier above "The U," which is often VIEWED as the fallback to getting into Madison for local Twin Cities kids.
Add in all of the basketball-related benefits, and it's an easy choice for any player that wants to have something of a typical college experience. Gopher fans that refuse to see this reality are blindly biased.
In my opinion, the most likely type of program that is successful at Minnesota would be pulling in mid-to-upper tier prospects lacking in academic focus or ambition. Their hope is to make money playing basketball. But a recruiter could highlight the fallback benefits of the U of M... an international city (e.g. international airport) with lots of post-playing employment opportunities.
If the Gophers really wanted to get wild, they should hire some hotshot basketball coach out of Serbia.