Constraint Local Space broken

So I'm trying to create a new vehicle rig where the wheel's local X rotation is influenced by the root local Y location. However, when I rotate the root (on the Z axis for example) the wheels don't turn as they are supposed to, only reading the root global Y position and not the local Y position. In previous rigs that I have made in previous Blender versions this was not a problem. This same problem occurs within the other constraints such as copy location, copy rotation and so forth. (The screenshot in the thumbnail shows both source and destination set as location, but the principle still remains the same)

Here's a link of an example that is supposed to work: imgur.com/p5PhVpt

Here's a link of how it is in the current Blender version: imgur.com/9MEGWjM

I'm not sure if this is the right place to post these types of questions, but I felt like it is worth giving it a shot. Anyone have any suggestions?