A bill proposing a 2 percent cap on impact fees is dead, its sponsor said Tuesday.

Sen. Steve Poulton, R-Holladay, just introduced SB226 on Friday. On Monday, Poulton thought he had enough support to get the bill out of the Senate.But by Tuesday morning, when the measure was scheduled for its first debate, that support had eroded, the senator said. He postponed the debate and later said he would no longer pursue it.

Poulton credited the lobbying effort of the Utah League of Cities and Towns with assuring the bill's defeat.

"We're pleased that there won't be any impact fee legislation this year," said league lobbyist Dave Spatafore. "However, that doesn't mean the issue is over. We know this is an issue that will be revisited in the interim."

SB226 would have limited the amount a local government or service district could charge in impact fees to 2 percent of a home's cost - $3,000 for a home valued at $150,000. Several cities, including Draper and St. George, now charge around $5,000 in impact fees.