The Department of Integration says there is currently no proposal to use a former army barracks in Tralee to house people seeking international protection.
It had been reported that Ballymullen Barracks in Tralee may be used to house international protection applicants.
It comes as Kerry Sinn Féin TD, Pa Daly, criticised the lack of communication from the government on the proposed use of the barracks.
Sinn Féin councillor for Tralee, Cathal Foley, said the lack of communication was disgraceful.
On Thursday morning, the Irish Independent reported it had learned details of a new government strategy to relieve the acute pressure in Dublin to accommodate asylum seekers.
This reportedly involved the use of Ballymullen Barracks in Tralee to house a large number of people seeking international protection, among other sites across the country.
The Department of Integration has now told Radio Kerry there is no proposal currently for the use of Ballymullen Barracks in Tralee.
The Department said, in relation to recent media reports, no decisions were taken at Cabinet regarding accommodation.
Meanwhile, Kerry Sinn Féin TD Pa Daly, said the news about Ballymullen led to rampant speculation, something that is extremely unhelpful and negative in the current climate.
He said the government had a plan for accommodation needs, but has failed spectacularly to implement it.
Deputy Daly said communities deserve full disclosure of the facts, and as an elected representative, he had hoped the government would be responsive to his requests for information and a full briefing.