I think the place was still open in the late 1970s
The Kamloops Indian Residential School was in operation from 1890 to 1969, when the federal government took over administration from the Catholic Church to operate it as a residence for a day school, until closing in 1978.
It continued in another capacity I think...
yes... and that 'other capacity' is mentioned in the post you're replying to - if you had actually included the original quote!