Sounds like the document you have is a PDF which is one of the worst formats to read on a 5" or 6" screen. Unfortunately the largest number of ebooks for most libraries is PDF. When you bump the font to medium it is reflowing the text which unforunately will take one PDF page and spread it over 2 or 3 pages on your Reader. There is nothing you can do except remover the DRM, crop the margins or shift to a different format but I would not feel right doing that as it is a Library ebook that you are reading for free.
If you library offers it check on the availability of ePub. They are much nicer to read versus PDF.
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