Generally, extra revenue found or created without new taxes is treated as good news. But in Lincoln, a newly discovered $3 million has raised the protests from skeptical residents.

In November, citing the lack of funds available, Lincoln’s ballot included Measure K, a utility tax that would have filled holes in the city’s budget. But that measure failed by a margin of nearly two-to-one. 

Now Measure K’s opponents are claiming the city hid the money on its books to strengthen the case for the tax increase.

From the Sacramento Bee:

A cash-strapped city “finding” $3 million is a good thing, right?

No, say some Lincoln residents, not if city officials hid that windfall in an effort to get a city-backed tax measure approved by voters in November.

The 3.75 percent utility user tax – Measure K, which the council placed on last fall’s ballot – was defeated by Lincoln voters 67 percent to 33 percent.

Read the full article here.