They said the name Greerton Village stemmed from a marketing programme by Greerton Mainstreet which "did not appear to have had widespread uptake amongst Greerton retail/residents to date".
They argued that the library served a wider area than Greerton Village and changing the name might create a precedent for other changes, such as renaming Greerton Hall.
"This may have cost implications," the report said.
A council community connections meeting held at the Greerton RSA in December saw 36 of the 40 residents at the meeting favour the status quo name.
The report said that only one building, the Greerton Village School, contained the word village in its name.
"There appear to be no retail shops which have picked up this initiative."
The name Greerton Village arose when the town centre was upgraded and it was used as a marketing tool to set the area apart from the city, with Mainstreet saying the village concept made the shopping centre more appealing.
The new 960sq m library was double the size of the old library and will open on to the shopping centre's village green.
It will include a large learning centre and community meeting room. Ms Best said it would become a community hub rather than just a place to borrow books.
Historical background to emergence of name Greerton Village:
* Village green first mentioned in 1993 submission to the council
* Greerton Village Bulletin issued by Mainstreet 1995
* Greerton School added 'village' to name 1998