(1) A library federation is a combination of libraries serving a multicounty, multicity, or city-county area within a federation area designated by the state library commission. Any other public, school, special, college, or university library or town, city, or county within the federation area may participate in a federation.
(2) The governing body of any library may agree to participate in the federation. The participating entities may retain the autonomy over their respective libraries.
(3) The expense of providing library services for the library federation must be based on funds received from the state or participating libraries.
(4) A participating entity may withdraw from a federation according to the terms for withdrawal provided in the federation's bylaws.
(5) A federation may contract with other federations, libraries, or the state library to provide federation services.