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It is now common to have WiFi and/or 3G, but their reason for existing is to tie you to one ebook store. If you use the reader only at home and you have WiFi, then 3G is not needed at all. All ebook readers support "side-loading" ebooks via USB from a PC, this is your only option with some of them and is all you need. A simple ebook reader is a good fit to your situation, if you can afford ~$100-150 to read books.
Lending library ebooks require Adobe ePub support, which rules out the Kindle 3 WiFi - although it is otherwise a good fit to your needs (you can ignore the WiFi if you like). Check that your local library has a good selection of ebooks before weighting this high in your criteria.
Good options for you to consider are the Sony PRS-350 (the best 5" E Ink device), the Nook WiFi or Sony PRS-650 (6" Ink) and the Jetbook Lite (5" reflective LCD).
I read a lot, and I now read books only on an E Ink device. It is good to use at home and also on travel. If you don't travel then battery life isn't as big a deal and the JetBook Lite might be a good choice.
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