A report in the impeccably named Non-Profit Quarterly suggests that the last production staged by New York City Opera was actually the nail in its coffin:
As a somewhat bizarre coda to these events, the final production put on by the NYCO may have led to its demise. The last work performed was “Anna Nicole,” a paean to the tragic life and death of blonde model/actress/reality-show-diva Anna Nicole Smith. Although the show drew fairly large audiences and generally positive reviews, those in a position to know say that it alienated billionaire donor David H. Koch. Why? Because Anna Nicole Smith was married to J. Howard Marshall II, an oil tycoon who had owned 16 percent of Koch Industries before his death—and the Marshall clan loathed her, fighting bitterly to keep her from inheriting any of J. Howard’s estate.