The Oregon House of Representatives passed a pension reform bill Wednesday that lowers the maximum cost-of-living adjustment for retirees of the $61.1 billion Oregon Public Employees Retirement Fund, Salem.
The Senate passed the bill on April 11, and Gov. John Kitzhaber is expected to sign it into law.
Under the bill, the COLA will be capped at 1.5%, down from 2%, on annual benefits more than $20,000.
All recipients will receive a 2% COLA for the first $20,000 in benefits. The COLA then decreases to 1.5% for benefits between $20,000 and $40,000; 1% for benefits between $40,000 and $60,000; and 0.25% COLA on any portion of benefits above $60,000.
The bill takes effect Aug. 1.