Apparently too young for such a difficult undertaking, Capoocan willingly returned to barrio status after a few years of determined but unsuccessful attempts at independence.

On January 1, 1928, when it finally gathered strength and gained experience, Capoocan was granted municipal status again.

Jose Pigao was elected president but his term was short since he was appointed municipal judge of Pastrana.

During World War II, after the official surrender of the American-Filipino forces, the Japanese troops, ranging from 2000 to 5000, landed on the town on May 25, 1942.

A column proceeded to the east coast, capturing Tacloban and the other to the west to the port of Ormoc.