While state funding represents a primary source of support for museums, its characteristics and significance have eluded recognition and analysis. Programs and funding mechanisms vary considerably among states, ranging from support for specific projects in museums by agencies that fund multiple types of cultural institutions to state agencies exclusively devoted to museums. The Museum Program of the New York State Council on the Arts, which supports all disciplines of museums, faced critical challenges to its leadership role as funding was restored following a period of severe retrenchment. It engaged in open dialogue with the museum community as it developed new initiatives and services to the field. The Program worked with service organizations to create new approaches for professional learning about museum practices, made revisioning permanent collections an overarching guidelines theme and challenged exhibition applicants to explore neglected topics. It also emphasized multiple interpretive perspectives, mutual engagement with communities and sequential educational activities that provide in-depth learning experiences.