Yesterday, Governor Tina Kotek officially put her signature on Oregon's latest push against climate change—the Climate Resilience Investment Act (HB 2081A)—in a ceremony swarmed by state officials and environmental enthusiasts. As reported by the Oregon State Treasury, the new legislation equips the state treasury to secure investment opportunities that can lessen the carbon footprint of the Oregon Public Employee Retirement Fund (OPERF), while holding firm to its financial duties to retirees.
The act leads the charge by directing treasury staff to reduce involvement with volatile fossil fuel endeavors, and alongside that responsibility, to constantly review and update the legislature on the fund's ongoing health and climate resilience. According to the Oregon State Treasury, Governor Kotek said, "The risks of climate change go beyond the immediate hazards of floods and wildfires – they are financial," signifying the dual benefit of environmental mindfulness and fiscal stability.
According to a statement obtained by the Oregon Newsroom, Treasurer Elizabeth Steiner—who played a pivotal role in advocating for the bill—underscored the economic shift taking place: "Most markets around the world are moving toward a cleaner energy future. Clean energy will play a larger role in meeting the energy needs of Oregon and the rest of the world." She went on to expound on how this law arms the Treasury with the tools to cash in on the accelerating migration to cleaner energy sources, while reducing the reliance on "dirty, outdated fossil fuel investments."
With the climate investment legislation now official, Oregon cements itself among the vanguards of states taking legislative action in this arena. The Oregon Treasury handles around $101 billion in OPERF assets, and as of 2021, fossil fuel stakes made up about 3.7%, a share that is now poised for reduction. As reported by the Oregon State Treasury news release, in the words of SEIU Local 503 President Johnny Earl, "The stability of PERS is important to our members and all Oregonians," hinting at the broader impact of moving away from high-risk investments.
The bill’s support crossed various sectors, backed by labor unions, environmental advocates, and investment professionals, celebrating a collaborative step towards a sustainable economy. Nearly a dozen bill supporters were present at the signing, bearing witness to Oregon's commitment to its environmental and economic future. For more details on the Climate Resilience Investment Act, visit the Oregon State Treasury news release.
