We demonstrate an improvement of optical receiver performance for an optical signal with beat noises. The decision threshold level is adjusted automatically according to the detected average optical power. This simple method improves optical receiver performance under a wide range of input signal conditions, e. g., beat noise level and extinction ratio. Thus this proposed method is useful to optical receivers for WDM-PONs. By employing this control circuit, we successfully demonstrate a WDM-PON based on a wavelength-locked Fabry-Perot laser diode at 1.25 Gb/s per channel with 100 GHz spacing.