This publication has been adapted from a larger book, The New-York Historical Society: Lessons from One Nonprofits Long Struggle for Survival (Jossey-Bass, 1996). It is a unique case-study analysis of the New York Historical Societys 200-year-old institutional history. It shows how nearly century year old decisions greatly impacted its present operations.

In 1993, the New-York Historical Society was facing closure, brought on by a crisis enveloping because of perceived elitism, an inability to engage the community, and intense financial difficulties. However, these very issues plagued the venerable institution, founded in 1804, even in its early days. Key problems were a dwindling endowment, a shrinking donor base, and management having run a deficit in 20 of the past 25 years.

The major issues fell into three broad categories:

1. the burden of caring for invaluable collections (valued at more than $1 billion) and an aging physical plant;
2. the responsibility to provide a public service; and
3. the institutional and governance issues that arise from the need to balance both a museum and library.

After presenting the societys history, the author outlines three lessons:

1. the nature of a nonprofit institutions assets;
2. the need for balance between a nonprofits sources and uses of funds; and
3. the signal importance of governance to the long-term health of an organization.