The article does not indicate that the police are taking any action against the library for their perceived recalcitrance. Presumably if the library acted against the law, they would.
Lawsuit decisions take time. Further, the ALA purposely trains lawyers by the hundreds to get into communities to quell these things before they get out of hand. But they won't be successful in doing that all the time, so sooner or later the ALA's agenda will likely be exposed for public viewing.