Portland will also send $1.5 million to Los Angeles in the trade and is responsible for $2 million in incentives Camby will earn before season's end, sources said Tuesday.
The trade will be finalized later Tuesday, multiple sources told ESPN.com, but the trade call required to secure league approval is under way.
All three players being discussed are in the final years of their respective deals, so it would be a swap of expiring contracts.
In a text message to ESPNLosAngeles.com, Camby said that he "hadn't heard anything about it" from either his agent or the Clippers. He has said that he would prefer to remain in Los Angeles, but he understands why his name continues to come up in trade talks.
There has been a season-long debate in Portland over whether Blake or Andre Miller, whom the Blazers signed as a free agent last summer, is a better fit at point guard next to All-Star shooting guard Brandon Roy.
Outlaw, meanwhile, has not played since breaking his left foot in mid-November and is just on the verge of returning to action.
The 35-year-old Camby is the league's second-leading rebounder (12.1) on an underachieving Clippers team that has lost four straight and fallen out of the Western Conference playoff race.
With several playoff teams -- Denver and Miami, to name two -- looking to add a big man for the stretch run, there's still the chance of a last-minute bid for Camby that would beat the Blazers' offer.
Portland is currently clinging to the eighth and final playoff spot, with Roy missing Sunday's All-Star Game in Dallas because of a nagging hamstring injury.
Blake, a 6-foot-3 guard, is putting up 7.6 points and 4.0 assists per game. He's coming off a 20-point, 12-assist game in a win over the Suns before the All-Star break.
Ric Bucher covers the NBA for ESPN The Magazine.