Here are some helpful links to resources and ideas for restoring and preserving your family legacy.
Researching Your Family History
First, do you know any friends or relatives that are versed in Photoshop. If so, they may have the ability to enhance faded photos or restore photos that have been damaged.
Also, there are several places that restore old photos, like your local big-box drug stores like Walgreens and CVS. In addition, check out:
Video to Digital Transfers: