FAQ: Logic and Voltage Translation > Voltage Translators >> Current FAQ
Yes, the internal pull-up resistors are disconnected once OE is asserted(to enable High impedance on the IO ports)
Additionally, if the device supports Vcc isolation feature (Ioff), with any one of the supplies is at ground, regardless of the state of the OE pin, all of the I/O ports will be in a high impedance state and the internal pull-ups will be disabled.