It was clear that Colonel Young had problems. Colonel O'Neill knew it. Camille suspected it. But not so bad that he couldn't be self corrected. He did eventually pull himself together. But given how intelligent and perceptive Rush is, despite being insensitive and seriously arrogant, he felt he had to withhold information for fear of Young exploiting it carelessly. Not every situation had to be taken as a military issue.
I did like quite a bit of the interpersonal tension that was depicted on the show. It was usually quite visceral and at times believable. But it was dragged out a bit too much. Into S2, they finally eased back on it. But by then it was too late. The budget per episode was very high and the ratings just couldn't justify it.