Do I need to have Media Library turned on to use an external HD?

I have a 2TB external HD I would like to use with my Live Hub but the LIve Hub doesn’t seem to detect it unless the Media Library is turned on.

With the Media Library turned off when I go to Videos only the files stored on the internal HD show up. When I look at disk manager in the setup menu it shows the USB drive. I can hit eject and the USB drive shows up fine and ejects.

With the Media Library turned on when I go to Videos, I select either the Live Hub or my external USB drive and can play files from either.

So is there anyway to have the Media Library turned off and when I go to Videos, be able to select either the Live Hub or the external USB and play files from either?

NO

Red button/local/internal or added usb (assuming it is not still ejected)

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You are mixing two items in your question.

Media Libary ON in your System settings is what you select to build your Media Libary. That combines content from your multiple sources, local storage or network based, if you happen to be using that.

Content Source selection, the RED button on your remote, is what allows you to choose between either Local Storage, which is what appears to be that you are doing, or My Media Library.

So, if you your Content Source is Local Storage, then you would be able to choose which of your local drives to select content from to playback.

The advantage of using My Media Library is that you can see one view of all your content.