Lakeway City Council voted to accept Jones' resignation following executive session of the Aug. 19 meeting.
A statement released by the city of Lakeway quotes Mayor Sandy Cox regarding his role with the city.
"Steve made a big impact on the community of Lakeway during his 14 years as City Manager," Cox said in the statement. "We appreciate his commitment to our residents and staff over that time and wish him well for the future."
The statement also said Lakeway City Council will search for an interim city manager and explore options for hiring a firm to conduct a formal search for a candidate to fill the position.
In the mean time, council named Assistant City Manager Julie Oakley as acting city manager while officials search for Jones' replacement.
No other information regarding the reasons for Jones' resignation are forthcoming at this time.