The show really took a hit the past season. It think they knew they were getting canned and just really don't care. It's been demoted to the same 7:30 slot that killed KOTH (yet it ran for seasons afterward, as the episode count was split up, making a production season 2 or 3 broadcast seasons). The 3rd season is going to be burn on demand with no features (ouch), and they've been running extra episodes the past month to burn through them, so they don't have to air them next season. Not to mention the fact that all the other Fox cartoons were renewed months ago.
The show wasn't as bad as everyone says it is. It's certainly more enjoyable than Family Guy has been. Cleveland is far more likable as a character than Peter Griffin (the newly founded sociopathic tendencies, aside would someone please tell them that the recurring gag where Peter inexplicably behaves like a slow witted 5 year old stopped being funny seasons ago?) Rallo is far funnier than Stewie (who turned into a Sideshow Mel character too many times- i.e. he has a funny voice and says funny things)... and the overall writing that doesn't need to be augmented with cutscenes. Especially since FG abandoned the actually funny pop culture based ones, and now feature some weird inside joke or Peter doing something even stupider than usual. FG, while it has the occasional good episode, has devolved into "Peter gets obsessed with something for the first half of the show."
That said, surprised they're still doing the (superior to all of them) American Dad, considering it's been on 10 years and garners NO merchandise. The show's a long runner that's completely under-appreciated compared to the main series.