The building dates to 1856 when a Percy family bought land at the Phippsburg Center (beside what is now the Bisson's Center Store) and erected a building. The building was named Percy Hall and was used for community affairs. In 1886 the hall was sold to the Phippsburg Congregational Church to be used as a chapel.
In 1923, at the annual town meeting, the citizens of Phippsburg accepted from the will of Albert F. Totman a bequest of $4,400.00 to establish a public library. The Phippsburg Congregational Church chapel, formerly the Percy Hall, was bought from the church for $250.00 with $2,400.00 spent for remodeling the building. Townspeople donated old and used books. Mrs. Annie Pease was named librarian at a salary of $100.00 per year.
By 1945 the Totman bequest was down to $500.00 and for reasons of safety the deteriorating building was closed. At the 1949 town meeting, as a result of a warrant article sponsored by the Phippsburg PTA, five trustees were elected and the library was reopened for two hours on Saturdays.
In November 1984, to make way for the widening of Route 209, the library was moved to its current site at 28 Parker Head Road.
An addition was added in 1991 which now houses the public computers and genealogy research items. In 2008 a meeting room was built, the installation of the elevator was completed in 2009 and the second floor was renovated for a new children's room in 2010.