Cr Kellie Marsh, who has expressed concerns about proposals to relocate the library service to Shell Cove, will hold a Save the Village Rally on Friday, July 4, at 4pm.

The library is managed under a strategy adopted by the council in March to improve the form and function of local libraries, and incorporate community input, demographic analysis and research.

A council spokesperson said the strategy explores the concept of moving the Shellharbour Village Library to a suitable site at The Waterfront Shell Cove, development in 2018, but all plans were at a conceptual level and any changes would involve further community consultation.

Barrack Point resident Harry Gooden said the community does not want to see the building demolished, instead saying "we want it enhanced".

"It's in a perfect spot, right in the middle of town and central for pensioners; we want it to stay here," Mr Gooden said.

Cr Marsh said if the library were to close her main concerns would be the loss of service for the residents of Shellharbour Village and Barrack Point, the social isolation for elderly residents, travel costs and the loss of internet services for families and students.

A council spokesperson said the library's home service would be expanded to meet residents' needs.