Morris, I think The Cyber Hymnal (click here) may be just what you're looking for. They started out with just lyrics and MIDI tunes, but lately they've been adding the histories of songs.
Here are some books to look for:

101 Hymn Stories and 101 More Hynm Stories, by Kenneth W. Osbeck, Kregel Publications, 1982 & 1985
A Hymn Is Born, by Clint Bonner, Broadman Press, 1959 - may be out of print, but common in used book stores
My Favorite Hymns and the Stories Behind Them, Norman Vincent Peale, 1994 (may be out of print)

Click on the "Help Support the Mudcat" banjo on the top of this page, and search under "Hymn" at Amazon or Barnes & Noble - you'll be amazed what you'll find.
-Joe Offer-