No I did not have any issues moving back into the public sector. Though admittedly I believe that had more of my own doing then anything else. I work in IT and the same sigma can apply. Mostly it's along the lines of public IT folks being too far out of date of current technologies. But instead I found myself in better positions in the government sectors to actually be ahead of most private companies. Most of it was by luck, such as the 20 million dollar test bed for installing and managing a 75+ node highly moble network enabling real time information flow from individual soldier units to battalion commanders, including graphical representation of the moble battle field while in the Army. The management position I held at the state level allowed me to manage a 10 million dollar network infrastructure overhaul, and a 5 million dollar data wharehousing projected aimed at simplifing company EPA regulatory reporting by combining 4 different regulatory systems into one main reporting system. Just by being a bit of a go getter in an environment that generally does not have many of those types, I found it easier to get the type of projects and assignments that made my resume stand out.
When I finally started job hunting in the public sector, I actually had enough job offers that I could pick and choose my ideal position and barter for a more then fair salary. I don't know if there were companies out there that didn't respond to my resume due to all the government level work I had done, but all the ones that did contact me actually liked the fact that I had an enormous range of expirence and knowledge on ALL IT systems and infastructures.
But to be honest, government sector jobs are really only beneficial if you planned to stay in long enough for the pension before moving back to the private sector. For me, both jobs were more a matter of convience, the first job was straight out of college, the second job was after a move to a new state. The move came quickly and unexpectedly, and the state job was the easiest and quickest to hunt down. The job I left for, I'm making twice the pay with half the responsibility. At the state job, I was already topped out on levels and in the top half of the salary range, which left very little room for upward mobility or salary increases.