The Clohaninchy Action Group says it fears coastal protection works in the area could be years away.
Over a dozen homes there were devasted as a result of severe storms in January and February of this year.
The Office of Public Works has written to the comittee to say funding applied for by Clare County Council for a new structure is not part of the Government's programme to repair damage caused to public infrastructure by the winter's weather.
The storms of last winter saw more than a dozen families flee their homes in Clohaninchy due to severe flooding.
The townland near Quilty was one of many to suffer from a series of storms in December January and February.
Following this Clare County Council submitted two separate requests for assistance from the Goverment to repair damage caused.
The local community in Clohaninchy formed a committee in a bid to liasie with the local authority and various government bodies involved.
As part of this the group's been in communction with the Office of Public Works.
In a letter to them from the OPW the body says the funding applied for have not been approved as the construction og new coastal protection mechanisms does not fall under the remit of the of the Government's programme to repair damage caused to public infrastructure by the winter's weather.
In a statement Clare County Council says it is awaiting a decision regarding its application for funding.
It goes onto say the local authority was advised in April that 16.8 million euro was being committed to storm repair and remediation work in County Clare, the total cost of the estimated repair and remediation works required stands at 36.8 million euro.
