HOUSTON -- The mayor of Houston went on the defensive on Wednesday at City Hall about a questionable financial deal the city made to try to cut big debts it owes to its pension system.

The mayor said all the financial moves he’s made to reduce pension debts have been good ones.  This includes the city's decision to put off paying millions of dollars of interest on one loan it backed with a downtown hotel.  

Another financial move that he made was to borrow money from Wall Street to pay off the debts by selling pension bonds.  Again, this decision will cause the city to pay more interest.

Houston’s controller said she has warned the city not to do the pension deal.

“I made a presentation to the council recommending against pension obligation bonds. But they chose to issue pension obligation bonds,” said Annise Parker.

Parker said she didn’t like the bonds because the city would be using debt, to pay a current obligation.