Local representatives in Athlone tried to intercede on the centre with a capacity for 1,000 male asylum seekers.
The Department of Integration is refuting claims made by Westmeath Councillors about the impact of a planned accommodation site for one thousand male International Protection Applicants.
Works continue on the development in Lissywollen despite an attempted legal intervention by local representatives in Athlone.
The latest turn in the struggle between central and local government comes following a high court injunction earlier this week that cancelled out Roderic O'Gorman's Ministerial order to deliver a similar accommodation project in Dublin.
The future of that Thornton Hall development is now very much in doubt, after a judicial review found there was inadequate environmental screening at the site.
Environmental assessment reports, and the Local Government Act of 1948 were being held up as reasons to stop works on the Athlone development at a public meeting in the town on Tuesday evening.
The State say Independent Environmental and Appropriate Assessments were carried out earlier this year.
No substantive issues were present on the site and those reports are publicly available online.
While the Department says an order issued by Athlone councillors under the Local Governemnt Act still has procedural steps to go through, and in the meantime, there remains no barrier to works continuing on the Lissywollen site.
This week, Independent Ireland rep Paul Hogan has questioned the level of engagement from the government on the issue.
The State says they've held several meetings with Westmeath County Council, and as recently as yesterday, their Community Engagement Team met with local groups including representatives from a school located near the site.
Finally, the Department of Integration addresses the suggestion of using a site marked for traveller accommodation within the local community.
They say that would be solely the responsibility of the local authority, and its use and development is outside their remit.