Where the Heart Is (2000)
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Although it is not shown on screen, she died in the tornado, as is blatantly spelled out by a scene of Novalee in all black writing her date of death in the family bible literally seconds after the tornado scene. In the book, it says that she was injured severely and was taken to the hospital, where she was put on life support for a couple of days until she finally died. Edit
He sexually molested her children. In the book, it doesn't say much more than what Lexie says in the movie, other than, "Roger was bent over the end of the bed. He was inside Praline, Novalee. Inside my baby," and, "When he tried to put it in Praline's mouth, she threw up on him, and that's when Brownie came in, so he took Brownie instead," so the book gives a clear definition of what is going on. Edit
Unusual but not unthinkable. In a small town, they probably couldn't afford to pay a librarian that much. Since there was room above the library, that's how they would work it out.
In the novel, Forney's family actually owned the building which houses the library, hence why he and his sister still live there. Edit