The Seattle SuperSonics' high-pressure campaign for a new taxpayer-funded arena died Saturday, with Gov. Chris Gregoire saying time had run out for a deal this year.

The team's owners have threatened to move or sell the team without a new lease and significant upgrades to Key Arena, at an estimated cost of $220 million.

Gregoire and top state lawmakers asked the team to keep negotiating with government officials in hopes of bringing a renovation package back to Olympia in 2007.

"The message is, we want the Sonics. We want them to stay," Gregoire said.

"We're just asking for a little overtime," said House Finance Committee Chairman Jim McIntire, D-Seattle.