I agree that AAU events can really leave a bad taste in one's mouth. I have gone home from a few of these things wishing I hadn't contributed my time or cash...
But there are a few good ones... I remember going to a few big national-level ones when I was still living in Portland... Full of 4 and 5 star guys from all over the country, well-run events.
Of course, a big reason why this and a few other Portland events were so good was the huge presence (and investment, I'm sure) of Nike, since that's where the HQ is... That's such a big deal in the shoe biz that many other shoe companies have large regional offices in town. And they also put on hoop events, many of which are terrific.
However, far away from the influence of the big bosses, things can get a bit squirrelly. Heck, some of the events in Portland were not-so-good... I remember one where they had scheduling and staffing problems all over... No refs for this game, only one team showing up for that, etc... That event deserved what it got afterward... While on my way to the car, I heard that someone had run off with the cash box.
Don't get me wrong, the HS hoops is clearly better in CA than it is up in my old stomping ground, but the summer stuff is often quite amazing up there...