Oregon may be the first state to impose mandatory rental control laws as it faces rising housing costs.
The bill is on its way to the state house, after it was approved by the House Committee on Human Services and Housing on Wednesday, according to The Oregonian.
The bill would ban annual rent increases of more than 7 percent plus inflation. It would also prohibit landlords to exclude tenants without cause after 12 months of residence permit.
Democrats, including state governor Kate Brown, support the bill.
"I look forward to signing the bill," she told reporters, according to the Associated Press.
The bill would be law if Brown signed it. But the Republicans wanted to enter into a clause to delay it from coming into force until 2020.
Skyrocketing housing prices have plagued the West Coast, including Oregon, and contribute to high homelessness levels.