Based on a study of roles, organizational relationships, services and funding of the Dane County Library Service, the Madison Public Library, and the South Central Library System, this report establishes recommendations for the three library agencies as developed by a joint planning committee. The background, composition, methodology, and activities of the committee are presented, and nine organizational options are considered. Based on the recommendation that the Dane County Library Service and Madison Public Library be merged, with appropriate changes in the roles, services, and funding of the library agencies in the South Central Library System, the legal authorization and the board structure of the merged library are discussed, as well as internal organization and staff relationships, funding of library facilities, and community library participation in the combined library unit. A final section considers implementation of the recommendations. Appendices comprise a 1981 statistical overview and 1982 budget for the South Central Library System, a comparison of 1982 library mill rates and a survey of non-resident circulation for Dane County Library Services, a model for public library funding in Dane County, copies of a relevant local resolution and Wisconsin statutes, and a map showing the location of Dane County Public Libraries. (ESR)