In 2008, Koch put the team up for sale, with an asking price of $10 million. No investors stepped up. The WNBA took over management of the Comets and disbanded the team in December 2008. They stated that they would only be suspending operations in 2009, which some people saw as a sign that the franchise could be revived if an investor came in. Comets players were sent off to other teams in a dispersal draft.

League president Donna Orender said that the collapse of the Comets was not a sign that the WNBA was in trouble. Former player Cynthia Cooper-Dyke said that the loss of the Comets was “disturbing news” and that the Comets were integral to the WNBA.

The Comets played their final home game on September 15, 2008 at the Strahan Coliseum on the campus of Texas State due to Hurricane Ike. They defeated the Sacramento Monarchs 90-81. They finished the season 17-17 and missed the playoffs for the third time in their history.