Museum and Library Services Act of 2003

Museum and Library Services Act of 2003 - Amends the Museum and Library Services Act (MLSA) and the Library Services and Technology Act (LSTA, which is subchapter B of MLSA) to extend authorizations of appropriations and revise programs under such Acts.

Amends MLSA to establish the National Museum and Library Services Board within the Institute of Museum and Library Services (IMLS). (Eliminates a National Museum Services Board.)

Requires the IMLS Director to: (1) ensure coordination with certain activities under the Elementary and Secondary Education Act of 1965, as amended by the No Child Left Behind Act of 2001 (Public Law 107-110), and other Federal activities; and (2) conduct and publish analyses of museum and library services impact.

Revises requirements for annual national awards to outstanding libraries and museums that have made significant contributions in service to their communities.

Includes specified entities under the term museum, for MLSA purposes. Revises museum services activities. Entitles subchapter C of MLSA as the Museum Services Act.

Amends LSTA to provide for: (1) an increased portion for administrative costs; (2) an increased alternative minimum allotment to States under certain conditions; (3) State plans once every five years, as determined by the IMLS Director; (4) additional uses of grants to States for library programs; and (5) recruitment of library and information science personnel under the program of national leadership grants, contracts, and cooperative agreements.

Amends the National Commission on Libraries and Information Science Act with respect to contributions and membership. Repeals requirements relating to Commission responsibilities to: (1) advise the IMLS Director; and (2) meet with the National Museum Services Board, which is eliminated by this Act.

Amends the Arts and Artifacts Indemnity Act to increase maximum limits on liability amounts.

Designates the Capital Children's Museum in Washington, D.C., as the National Children's Museum.