Odd blind-raise situation

[Overseer55]

I'm playing 20/40 in the SB with A8o. UTG (a bad player) makes a blind raise (he is somewhat short stacked with ~$200 remaining) -- note: live straddles aren't allowed in Canada. The BB (reasonably good and somewhat tricky), shortly after receiving his first card, announces to the table that he's going to make it 60 if no one raises. It's folded to me...

Clearly, I should either raise or fold...I opted for the (ahem) low-variance option.