Dublin City Council is being accused of reneging on a deal to help repair Longboat Quay apartment complex.
The development has been found to breach fire safety regulations and residents have been told they will have to move out if the building is not brought up to standard.
It had been agreed that the Local Authority and the management company would divide the €2.5m cost of upgrades between them.
However, it is understood that new investigations have found the works will cost less and local Councillor Chris Andrews said that the Authority wants to reduce its contribution.
"Previously, Dublin City Council and the Receiver gave a commitment that they would pay half-and-half in terms of the contribution, €1.25m each, towards rectifying the defects in the Longboat Quay development," he said.
"However, Dublin City Council now appear to be reneging on that and backtracking."