The city of La Porte is going after contractors who pay workers cash.

An ordinance was passed by the city council this week.

It’s for residential and commercial construction valued at 250 thousand dollars or more.

Companies caught paying workers cash will be banned from receiving a building permit for

three years.

City councilman Paul Vincent says the measure supports contractors taking out taxes and providing

workman’s compensation….

Cash payment doesn’t do that…..

Officials say paying with cash gives companies an advantage in bidding for projects because they’re

not paying taxes and providing workman’s compensation insurance.

And the country loses billions in tax revenue from paying workers with just cash