It's believed the talented Glen playmaker has an offer on the table to play in the States this summer and played only a limited role in the National League as Derry missed out on promotion to Division One on the final day.
Derry are currently preparing for an Ulster Championship quarter-final against either Tyrone or Fermanagh with Gallagher stating McFaul has not been as committed as he would have liked.
"Ciaran is no longer part of the panel," explained the Oak Leaf boss, "I'm not sure if he is going to travel or not but he is potentially talking about going to America. I'm not sure, it's a long way off before he would go but look, from our point of view he hasn't been as committed as we would have liked over the course of this year.
"By his own admission Ciaran's form this year has not been what he would expect of himself but, look, whatever he decides to do, whether he decides to travel or not, we wish him well."
The Derry manager did not close the door completely on McFaul, saying that if the Glen player wished to return in the future he would be open to discussions.
"If he decides for next year it (returning) is something he wants to do, we will certainly sit down with him again and talk about it," added Gallagher.
Derry's focus remains on preparing for that May 1st Ulster Championship clash with their opponents to be revealed this Saturday when Tyrone and Fermanagh clash in Brewster Park on Saturday at 6.30pm.