Tramore Town Council is to seek a meeting with the South Eastern Health Board over the number of asylum-seekers living in the town.
Councillors were told at a meeting this week that there were 372 asylum-seekers living in the Co Waterford town, which has a population of about 7,000.
Mr Blaise Hannigan, a Fianna Fáil member of the council, said there were concerns that holiday accommodation, currently occupied by asylum-seekers, would not be available to tourists from April.
"If they are allowed to stay where they are now, will there be any accommodation for holidaymakers in the summer?" he asked. People feared that the town was "going to become another Mosney". And if the asylum-seekers had to vacate holiday homes they currently occupied, where were they going to go?
Councillors were informed that 266 asylum-seekers were living in private rented accommodation, with the support of the health board.
A further 106 lived in three centres funded by the Department of Justice's "direct provision" system.
In a letter to the council, Mr Noel Waters of the Department's reception and integration agency said there were no plans to acquire further properties in the Tramore area.
"However, the overall national situation in relation to meeting the accommodation needs of asylum-seekers is being kept under review in the light of the numbers of such applicants entering the State," he said.
The agency was not involved in placing asylum-seekers in private rented accommodation, but in some cases the immigration status of those living in direct provision changed, "for example by virtue of being the parents of an Irish-born child".
"Such persons have the right to work, the right to access rent allowances and so forth . It is also the case that health boards may, for exceptional social or medical needs, pay asylum-seekers full supplementary welfare allowance as well as rent supplement in lieu of direct provision arrangements while their applications for asylum are pending."
