Country Funding: Organizations Supporting Small Rural Libraries Through Grants
Small rural libraries serve as essential community anchors, providing access to information, digital resources, and cultural programming in areas where such services might otherwise be unavailable. However, these vital institutions often struggle with limited budgets, aging infrastructure, and the challenge of serving dispersed populations. Fortunately, numerous organizations recognize the role of rural libraries and offer grant funding to help sustain and enhance their services.
Federal Support Through IMLS
The Institute of Museum and Library Services (IMLS) serves as the primary federal agency supporting library services nationwide. Through its Grants to States program, IMLS distributes around $180 million annually to State Library Administrative Agencies using a population-based formula (1). This funding reaches rural libraries through state-level distribution systems, providing crucial baseline support for operations and services.
The National Leadership Grants for Libraries program represents another significant IMLS initiative, with $22.7 million invested in library initiatives in fiscal year 2021 alone (2). While not exclusively targeted at rural libraries, this program supports innovative projects that can benefit smaller communities. Additionally, IMLS previously operated the Accelerating Promising Practices for Small Libraries program from 2018 to 2020, offering grants of $10,000 to $50,000 specifically for small libraries (3).
American Library Association’s Transformative Initiatives
The American Library Association (ALA) has emerged as a significant force in supporting rural library infrastructure through its Libraries Transforming Communities initiative. The most recent focus on accessibility has provided substantial funding opportunities for small and rural libraries. The Libraries Transforming Communities: Accessible Small
and Rural Communities program offers more than $14 million in grants to increase accessibility of facilities, services, and programs for people with disabilities (4).
This initiative has demonstrated remarkable reach and impact. During the first round of funding, 240 small and rural libraries in towns with populations under 25,000 received awards of $10,000 or $20,000 (5). The program continues to expand, with an additional $10 million announced in February 2024, and the fourth and final round scheduled to open in fall 2025 (6).
The current funding structure provides flexibility for different project scales. A substantial portion of the funding – $7 million – is distributed in grants of $10,000 and $20,000 to small and rural libraries, with up to 300 libraries receiving awards (7). This approach recognizes that even modest funding can create a significant impact in smaller communities.
ALA’s commitment to rural libraries extends beyond accessibility. Through previous iterations of Libraries Transforming Communities, up to 650 U.S. libraries in small and rural communities received $3,000 each to tackle issues ranging from media literacy to COVID-19 safety to unemployment (8).
Private Foundation Support
Several private foundations have recognized the unique challenges facing rural libraries and developed targeted grant programs. The Dollar General Literacy Foundation focuses specifically on literacy initiatives, supporting programs that help individuals learn to read. The foundation offers Summer Reading and Youth Literacy grants, though there is a
“Two-Year Rule” that prevents organizations from receiving grants for three consecutive years (9).
The Laura Bush Foundation for America’s Libraries represents another significant private funding source, particularly for school libraries in rural areas. The foundation’s grants help librarians expand, update, and diversify their libraries to promote reading among students, with Title I-eligible schools being the primary target (10).
State and Local Initiatives
State library agencies often develop their grant programs specifically designed to address local needs. For example, Pennsylvania’s Bureau of Library Development plans to award $2,500 each to 30 libraries for fiscal year 2024-25, along with professional development mini-grants (11). These state-level programs provide crucial support that complements federal funding and addresses region-specific challenges.
Specialized Grant Opportunities
Rural libraries can access various specialized grant programs targeting specific services or populations. The 2024-2025 cycle includes opportunities for programs supporting older adults, with particular focus on combating isolation through technology training and other initiatives (12). These targeted programs recognize that rural libraries often 
serve as crucial social hubs for aging populations in smaller communities.
Challenges and Opportunities
Despite these funding opportunities, rural libraries face ongoing challenges in accessing and utilizing grant funding. The complexity of grant applications, limited staff time for writing proposals, and the competitive nature of many programs can create barriers for smaller institutions. However, the consistent commitment from organizations like ALA and IMLS demonstrates recognition of these challenges and ongoing efforts to address them.
The funding landscape for rural libraries continues to evolve, with organizations adapting their approaches to meet the changing needs of their communities. Whether supporting accessibility improvements, technology upgrades, or community programming, these grant opportunities provide essential lifelines that help rural libraries maintain their vital role in America’s smallest communities.
Rural libraries interested in pursuing grant funding should regularly monitor opportunities from these key organizations, develop relationships with state library agencies, and consider collaborative approaches that can strengthen applications and extend impact. The sustained investment from federal agencies, professional organizations, and private foundations underscores the recognized value of rural libraries as community anchors worthy of continued support.
Sources
- Institute of Museum and Library Services. “Grants to States.” https://www.youtube.com/watch?v=CDtAt5q_hQg
- Institute of Museum and Library Services. “IMLS Announces $22.7 Million Investment in U.S. Library Initiatives.” https://www.imls.gov/news/imls-announces-227-million-investment-us-library-initiatives
- Institute of Museum and Library Services. “Accelerating Promising Practices for Small Libraries.” https://www.imls.gov/grants/available/accelerating-promising-practices-small-libraries
- American Library Association. “Libraries Transforming Communities: Accessible Small and Rural Communities.” https://www.ala.org/tools/librariestransform/libraries-transforming-communities/access
- American Libraries Magazine. “Libraries Transforming Communities, One Year Later.” November 1, 2024. https://americanlibrariesmagazine.org/2024/11/01/libraries-transforming-communities-one-year-later/
- American Library Association. “ALA awards $3.5 million in library accessibility funding to 300 small and rural libraries in third round of grant initiative.” https://www.ala.org/news/2025/03/ala-awards-35-million-library-accessibility-funding-300-small-and-rural-libraries-0
- American Library Association. “ALA invites applicants for $3.5 million in grants as part of third round of Libraries Transforming Communities: Accessible Small and Rural Communities.” https://www.ala.org/news/2024/09/ala-invites-applicants-35-million-grants-part-third-round-libraries-transforming
- American Library Association. “Libraries Transforming Communities: Focus on Small and Rural Libraries.” https://www.ala.org/tools/librariestransform/libraries-transforming-communities/focusgrants
- Dollar General Literacy Foundation. “FAQs.” https://www.dgliteracy.org/faqs/
- Staying Cool in the Library. “10 Library Grants Every Librarian Should Apply For.” June 18, 2024. https://www.stayingcoolinthelibrary.us/10-library-grants-every-librarian-should-apply-for/
- Compendium. “2024-25 Local Library Grants.” https://compendium.ocl-pa.org/2024-25-local-library-grants/
- Library Grants. http://librarygrants.blogspot.com/