The Ford Foundation has stepped in to save the American Folk Art Museum (along with some of the trustees) from dissolution, according to the New York Times:

At its board meeting on Wednesday, the trustees of the museum, which had considered closing and transferring its collection to the Smithsonian Institution, created a strategy to increase its visibility and to extend its brand instead. In addition, the museum will try to expand its loans to other New York City museums and to mount traveling exhibitions.

The Brooklyn Museum, the New-York Historical Society and the Museum of Art and Design have expressed interest in working with the Folk Art Museum to identify potential collaborations, museum officials said.

With Help of Friends, American Folk Art Museum to Stay Open (New York Times)