Nova Scotia municipalities are struggling to keep up with the cost of services and programs due to an insufficient tax base. A report released by the Canadian Centre for Policy Alternatives suggests that local governments should seek new revenue sources, including requesting a portion of personal income taxes from the federal government. The report emphasizes the need for diversifying municipal revenue sources and calls for these ideas to be part of the upcoming municipal elections in October. Municipalities currently heavily rely on property taxes, with an average of 63% of operating revenue coming from this source.