Both a description of the development of the community library in Olney, Texas, and an evaluation of its services are provided in this report on the merger of the town's three school libraries and one public library. The four libraries, which were all small, inadequate, underbudgeted, and understaffed, were run as a single unit from 1974 until 1979, with a single administration, a single fiscal policy, and a single librarian serving as coordinator. The collections of the four libraries have been merged in the new building which was dedicated in mid-1979, completing the consolidation process. Included in the report are a history of the project from the very beginning in 1971, a discussion of the negative and positive aspects of combined libraries based on a review of the literature, and an analysis of library usage in Olney from 1970 to 1979 which indicates the numerical and fiscal changes occurring after the merger, as well as the extent to which the citizens of this small town use their library. Appendices provide statistical data, interview schedules, detailed findings from the interviews, and a map of the Olney school campus. The bibliography lists 74 references. (RAA)