With inflation driving construction costs higher than in previous years, local service distracts are having trouble coming up with the 10 per cent in funding they need to tackle important infrastructure upgrades. When small communities and local service districts in Newfoundland and Labrador need to build roads or water treatment plants, most of the cost is covered by the provincial government. But some districts have started to run into problems, when jobs can no longer be done for the amount of money available by the time tenders go out.