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The New York City Opera was nicknamed The People's Opera when it was founded 70 years ago. It's always been a low cost alternative to the more upscale Metropolitan Opera. City Opera featured innovative productions and great American voices, such as Beverly Sills. But the company has fallen on hard times.

Jeff Lunden reports if it doesn't raise $7 million this month, it will have to cancel the rest of this season.

UNIDENTIFIED WOMAN: (Singing) (unintelligible)

JEFF LUNDEN, BYLINE: There are lots of operas which end with heroines on their death bed, singing one glorious aria before they die. That's what happens at the end of "Anna Nicole," the controversial new work which New York City Opera is presenting at the Brooklyn Academy of Music next week. But the company's artistic director and general manager, George Steel, says it could also be City Opera's last gasp.

GEORGE STEEL: The issue is this: We don't have any credit, we don't have any working capital, and so we are managing our cash incredibly carefully. But it doesn't take much to knock us off our game, we're so vulnerable.

LUNDEN: When Steel took over City Opera in 2009, the company was already in dire straits. A series of board and management decisions had seen the endowment shrink and an entire season was lost while City Opera's Lincoln Center Theater was being renovated. Steel presented a couple of short seasons at the arts complex, then made the controversial but cost-cutting decision to leave and perform in different venues around New York.

STEEL: Leaving Lincoln Center is a part of what makes it tough to raise money. But also, leaving Lincoln Center saved our lives. If we were still at Lincoln Center, we would have closed. We saved probably five or $6 million a year by not being there.

LUNDEN: Anthony Tomassini, chief music critic of The New York Times, says the results have been mixed.

ANTHONY TOMASSINI: The idea of the nomadic company going from neighborhood to neighborhood was an intriguing idea. But it also seemed potentially full of problems and challenges, in that there would be no identity. But the actual work that George Steel has produced has been quite good.

LUNDEN: Just to get through this season, the company needs to raise $7 million. And to present next season, they need to raise an additional $13 million by the end of the year.

GAIL KRUVAND: We're shocked and angry and sad.

LUNDEN: Gail Kruvand has played bass in the orchestra for 22 years. She says the musicians found out about the cash crisis via email and the orchestra committee is demanding George Steel's resignation.

KRUVAND: We've experienced it; the new model, the sustainable model for the New York City Opera that apparently isn't sustainable. We're looking at this season, 22 performances. We used to do 122 at Lincoln Center.

LUNDEN: New York Times critic Anthony Tomassini hopes an angel can come along and save the company.

TOMASSINI: I'm looking forward to "Anna Nicole" and I certainly hope it's not the last production that the New York City Opera presents.

LUNDEN: New York City Opera has begun a Kickstarter campaign to raise $1 million from the company's fans by the end of the month. As of this afternoon, only about $55,000 had been pledged.

For NPR News, I'm Jeff Lunden in New York.

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