In 1921, plans were once again made to build three locks at Big Chute, to be part of a new section of canal which would take boats from Big Chute and rejoin the existing waterway downstream from the Little Chute, avoiding the fast water in the Little Chute. However because of the post war recession the scheme was put on hold once more, although remains of the beginning of the dams required to maintain the water levels can still be found in the surrounding forest. In 1923 the original railway at Big Chute was replaced, as the size and number of boats had increased, with the second carriage being able to carry boats up to 60 feet long. The 1923 carriage was used up until around 2003, on days of extremely heavy traffic, or as a backup for the new carriage. Although the old carriage is no longer used, it remains on display.
In the 1960s surveys of the area were done yet again. The old, outdated railway at Swift Rapids was replaced with a single conventional lock in 1964, and plans were made for a single lock at Big Chute. Before construction began the Sea Lamprey, which had been devastating the fishing industry in the Great Lakes, was found in Gloucester Pool—at the bottom of the railway—and plans were put on hold. Several impractical ideas were suggested, but no practical solution could be found. By the end of the 1960s the old marine railway could not keep up with the amount of boating traffic in the area. Long lines formed at either end of the railway, with waits often being overnight. Research was done to find a way to prevent the migration of the Sea Lamprey into Lake Couchiching and Lake Simcoe, while still effectively increasing the flow of traffic. A biologist sat at the bottom of the railway for days, checking the bottom of boats that locked through, and finally saw a lamprey attached to the bottom of a boat. The lamprey fell off after less than 6 meters, so the railway was determined to be effective at preventing the Sea Lamprey's migration. In 1976, under the Government of Pierre Elliot Trudeau, it was finally decided that a new, enlarged railway would be built. The current carriage was opened to the public in 1978, and can carry a boat up to 100 feet long. It cost $3 million to build .
After a few impractical ideas were thrown around, a marine biologist was hired to examine the old marine railway and see if it was effective at stopping the lamprey migration. The biologist discovered that the railway was a good preventative measure against the migration of the lamprey into the rest of the Trent-Severn Waterway. Unlike many types of eel, the lamprey could not survive outside of water and so could not migrate any further into the system. As a result, the old mechanism was retained, and the new one built in 1978 to accommodate the increase in boat traffic. Up until 2003 the original marine railway was still occasionally used, when the new system would break down, or during periods of high boat traffic.