Federal and state legislation which provides funds in support of library programs and legislation that has financial implications for libraries are reviewed with examples from public and academic libraries. Implications of accepting library funds, the impact of the Copyright Act law, Title II-C of the Higher Education Act, postal regulations, the Library Services and Construction Act, the General Revenue Sharing Act, and long-range planning through the Office of Libraries and Learning Resources in the Office of Education are discussed. Legislative efforts currently underway, such as the revision of the Communications Act of 1934, revision of Title 44, and direct Federal funding of public libraries, are also reviewed, and a final comment on data collection and statistical analysis of library information closes the paper. (RAO)