4. The Library of Congress was established in 1800 by an act of Congress, and was begun with $5,000. 5. In 1814, the Library, which was then located in the Capitol Building, was destroyed when British troops burned the building and ran off with a bunch of the books.6. The library was re-established in 1815 when Thomas Jefferson offered his personal collection of 6,487 books to Congress for that purpose.. The Library of Congress was established in 1800 by an act of Congress, and was begun with $5,000. 5. In 1814, the Library, which was then located in the Capitol Building, was destroyed when British troops burned the building and ran off with a bunch of the books. 6.