The Galway Public Library was established by referendum of the taxpayers in the Town of Galway in November 1997. Soon after Election Day, members of the IOOF, Galway Lodge, offered the use of their building as a home for the Galway Public Library . Membership had declined, and the Lodge was having trouble meeting expenses. IOOF members were enthusiastic about having a library in the community.Library board members agreed the IOOF Hall would be an ideal home for the library. Built in 1989, the Hall is located on the main street in Galway Village, a short distance from the Galway Central School. The building is handicapped accessible and has space for off-street parking.

In January 1998 a lease agreement was signed between the IOOF and the Library Board. For use of the building, the Library agreed to pay for heat, electricity, snow removal, and lawn mowing. On July 2, 1998, the Galway Public Library opened its doors to patrons at the IOOF Hall.

In June 1999 members of the IOOF informed the library they could no longer afford to pay the taxes and other fixed expenses. The building was for sale, and the library was given the first chance to buy it. At a meeting of the Galway Town Board on December 30, 1999, the Board of Galway Public Library asked the Town Board to purchase the building for the library. The Library Board offered to provide a $10,000 down-payment, using capital funds set aside in the 1998 Library Founders' Drive. The Town Board agreed to consider the request.

At their March meeting, the Galway Town Board passed a resolution to purchase the IOOF Hall for the express use as a library for the Town. On May 25, 2000, the Town of Galway purchased the IOOF Hall using $10,000 from the library accounts and the remaining $25,000 from the BAN secured by the town.

The Galway Public Library received its provisional New York State Charter on July 14, 2000. The library was subsequently accepted into the Southern Adirondack Library System. After many months of bar-coding by staff and volunteers (most notably former Library Clerk Tamara Williams), the library began circulating with the online system in June 2002. The library now participates fully in all functions of the automated SALS/MVLA system, including loaning books and materials to other libraries within the system.