The municipal street network acts as a multifunctional asset by providing people, vehicles and public services with a well-functioning infrastructure. To keep it in good condition, optimal maintenance measures are required which would result in an efficient use of taxpayers' money. This paper investigates the street network deterioration processes and the management practices that the municipal administrations have applied in Sweden. The study is based on a survey with Swedish municipalities using questionnaires and complementary interviews. The answers provide insight into a wide range of common pavement distresses and deterioration factors, along with pavement management practices. The study identifies that potholes, surface unevenness and alligator cracking are the most cited challenges, while pavement ageing, heavy traffic and patches are the most noted causes. Similarly, the cold climate and population density are influential factors in pavement deterioration. Allocation of the maintenance and rehabilitation and reconstruction budget is higher in the northern part of the country as well as in densely populated municipalities. Condition data collection and use of commercial Pavement Management Systems (PMS) are limited. Addressing the challenges effectively may be possible through the enhancement of the budget, feasible/clear guidelines from municipal councils/politicians, and reducing the gap between street network administrations and utility service providers.