HSE South West has established a site review committee to assess Killarney's current and future healthcare needs.
This includes the future of the community hospital and St. Columbanus hospital.
That's according to Minister of State at the Department of Health, Kieran O'Donnell.
He was responding to a query by Senator Mike Kennelly from Listowel.
Junior minister O'Donnell said the HSE is planning to set up an injury unit in the St. Columbanus building after its residents have been transferred to the new Killarney Community Nursing Unit (CNU).
The injury unit will support the emergency department at University Hospital Kerry (UHK) in Tralee.
A design team for the injury unit has been appointed, and the project will now move to the regulatory, technical and planning approval stages.
The HSE's Killarney site review committee will consider the future use of the remaining accommodation within St. Columbanus hospital.
It will also assess the then-vacated Killarney Community Hospital to find a proper use for the additional capacity there.