The leadership landscape at two major Texas public utilities is changing: Rudy Garza, who has led CPS Energy in San Antonio, has accepted the role of general manager at the Lower Colorado River Authority (LCRA). The LCRA board announced the appointment on June 1, and Garza is expected to assume the post effective July 20, 2026. This transition marks a significant move for both the utility executive and the organizations he will leave and join.
Garza’s departure triggers an immediate succession process at CPS Energy, where the governing board scheduled a special meeting for June 4 to begin planning the next steps. Stakeholders in both agencies are watching closely because the change arrives amid ongoing debates about budgets, rates and long-range planning across Texas’ municipal and regional utilities.
Career path and qualifications
Garza’s background combines technical training and public-sector management. He holds a Bachelor of Science in electrical engineering from The University of Texas at Austin and an MBA from the University of North Texas. After joining CPS Energy in 2012, Garza progressed through a variety of operational and customer-facing roles before being named interim CEO in 2026 and elevated to the permanent post in August 2026. During his time at CPS Energy, he led the rollout of Vision 2027, a multi-year strategic plan intended to shore up operations and expand power capacity.
Before his CPS Energy tenure, Garza worked in municipal government in Corpus Christi, including assignments as assistant city manager and director of intergovernmental relations. In addition to his executive roles, he serves on national industry boards such as the Large Public Power Council and the American Gas Association, and he was recently elected to the Electric Power Research Institute Board of Directors.
Why LCRA chose Garza and what he will oversee
The LCRA board cited Garza’s track record managing complex utility operations and building community trust as reasons for his selection. As general manager, he will oversee the agency responsible for both water and power resources along the Colorado River in Central Texas. LCRA’s portfolio includes reservoir management, electric generation and transmission, recreation operations and regional planning — responsibilities that require balancing resource reliability with environmental and community interests.
Organizational priorities and expectations
Board leadership highlighted the growing demands on LCRA as Texas continues to expand. The new general manager will be expected to guide efforts on water resource development, strengthen the power portfolio and coordinate with local governments and stakeholders to support regional growth. Garza emphasized the practical nature of the work in his response, noting that managing river systems and delivering dependable utility services are tasks with immediate consequences for communities.
Implications for CPS Energy and local governance
CPS Energy is owned by the City of San Antonio, which retains authority over rate decisions and strategic direction. Garza’s exit comes after a period when the utility confronted pandemic-related revenue dips and fallout from Winter Storm Uri. Under his leadership, CPS Energy increased generation capacity through acquisitions that added more than 3,300 megawatts, and the executive compensation profile drew attention when the board adjusted his pay to $742,000 in 2026.
More recently, tensions surfaced between CPS Energy management and San Antonio City Council members over proposed budgets and assumptions about rate increases. Council members pushed back on a budget that included a projected shortfall and what council members saw as an assumed rate hike. CPS Energy later said it would revisit the budget after the summer, but that reconciliation now begins with a new interim leadership phase.
Succession and next steps
The CPS Energy board’s special meeting on June 4 is intended to lay out the path forward for CEO succession. Options may include launching an external search, appointing an internal interim leader or promoting a permanent successor from within the existing executive team. Garza indicated he would work with CPS Energy’s board and senior leadership to ensure an orderly transition, thanking the organization’s workforce and reflecting on his time leading the utility.
At LCRA, board members expressed confidence that Garza’s experience will help the authority navigate growth-related challenges and develop long-term solutions for both power and water needs. For regional stakeholders and utility observers, the move underscores how executive leadership changes can ripple through operational planning, rate discussions and infrastructure strategy across Texas’ public power and water systems.
What to watch next
Key developments to follow include the outcome of the CPS Energy board meeting, any announcement of an interim or permanent CEO, and LCRA’s early strategic priorities under Garza’s leadership after he takes office on July 20, 2026. These decisions will shape near-term budgeting, rate deliberations and longer-range investments in generation and water management for communities served by both organizations.
