When the government took over the railway, two separate sections of trackage had been completed: A small section between North Vancouver and Horseshoe Bay, and one between Squamish and Clinton. By 1921, the provincial government had extended the railway to a point north of Quesnel, still south of a connection to Prince George, but it was not extended further. The track north of Quesnel was later removed. Construction of the line between Horseshoe Bay and Squamish was given a low priority because there was already a barge in operation between Squamish and Vancouver, and the railway wanted to discontinue operations on the North Vancouver-Horseshoe Bay line. However, the railway had an agreement with the municipality of West Vancouver to provide passenger service that it was unable to get out of until 1928, when they paid the city $140,000 in support of its road-building programme. The last trains on the line ran on November 29, 1928, and the line fell into disuse, but was never formally abandoned.