Governor Kotek Formally Signs the Climate Resilience Investment Act (HB 2081A)

Today, Governor Tina Kotek formally signed the Climate Resilience Investment Act (HB 2081A), a landmark climate positive investment law, in a ceremony at the state capitol. The Climate Resilience Investment Act (CRIA) was championed by Oregon State Treasurer Elizabeth Steiner, MD, who applauded the Governor's signing at today's ceremony.

The new law encourages the Oregon State Treasury (OST) to pursue profitable climate positive investment opportunities that support reducing the carbon footprint of the Oregon Public Employee Retirement Fund (OPERF), consistent with Treasury's fiduciary responsibility to retirees. The law directs Treasury's staff to safeguard OPERF's long-term value by reducing its exposure to risky fossil fuel investments, strengthen the fund's climate resilience, and produce regular reports to the legislature. The legislation underscores the state treasury's fiduciary responsibility to retirees.

Governor Kotek said, "The risks of climate change go beyond the immediate hazards of floods and wildfires - they are financial. This bill is both responsible and forward thinking, protecting state workers' retirement investments and moving us closer to a clean energy future."

Treasurer Steiner said, "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. This law gives Treasury the tools to take profitable advantage of this accelerating shift, grow the PERS fund, and reduce our exposure to dirty, outdated fossil fuel investments."

The law keeps Oregon at the forefront of state climate investment legislation. While a handful of state and municipal public employee pension funds have announced emission reduction targets and timelines, we are leaders among only a few states that have passed climate positive investment legislation.

OST currently manages approximately $101 billion in OPERF assets. Oregon has the 17th largest retirement fund in the nation. As of 2021 (the latest date that information is available), fossil fuel investments accounted for approximately 3.7% of OPERF's holdings.

The Climate Resilience Investment Act (CRIA) was supported by labor unions, environmental advocates, and national investment experts. The Governor and Treasurer Steiner were joined by nearly a dozen of the bill's supporters at today's signing ceremony.

SEIU Local 503 President Johnny Earl said, "The stability of PERS is important to our members and all Oregonians. By moving away from risky fossil fuels investments and supporting clean energy, we can create secure retirements and good jobs. We thank former Treasurer Read, Treasurer Steiner, our labor partners, and Governor Kotek for their leadership in passing HB 2081."