Sonics arena talks end

OLYMPIA – The 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 a 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.

Gregoire’s announcement came after more than an hour of meetings between state officials and representatives from Seattle, King County, and the Sonics.

Lawmakers and the governor had given the parties until noon Saturday to come up with a comprehensive deal to present to the Legislature, which is scheduled to adjourn March 9.

In the end, the negotiations simply didn’t produce a solid enough package to bring to lawmakers, Gregoire said.