One councillor says they were given the impression the process was underway.
Plans for a new sports hall in Laois are in doubt after council officials failed to apply for funding.
It's also emerged that €68,000 available for refurbishing a current facility wasn't drawn down in October as the money to match it wasn't available.
Local councillors are seeking a meeting with CEO John Mulholland before Christmas to raise questions as to why no application was made and if they project can be rectified.
Sinn Fein Cllr Caroline Dwane-Stanley says reps were given the impression that the process was underway: