(Oregonian source). The average retiree, no matter the years of service, now gets $27 thousand/year. The problem began with the matching part of the ridiculous system: matching super-high returns isn't a long-range solution to anything. 
So, yes, we have a really bad situation. Payments to people that retired during the halcyon years are non-sustainable unless drastic cuts are made to those currently working and/or state-funded programs (education): the only other solution would be substantial tax increases--- don't hold your breath.
Tying retirement payments to contributions' earnings is lunacy. We now pay the price for that, as a state. 
There are no easy answers at this point. FInally, whoever determined that such modest buy-ins should result in close to a fifty-percent of salary retirement payment is nuts. Period.