Grau has been the interim city manager since April, following the retirement of previous City Manager Kenneth Williams. Grau also served as the deputy city manager for Buda.
Through executive search firm Baker Tilly, the City Council conducted a search that yielded 89 applicants for the position.
“The City Council is confident that promoting Mr. Grau provides us with a unique change to preserve stability within the organization while providing opportunities to make improvements in the operation,” Mayor Lee Urbanovsky said in a press release. “We are excited to be able to continue this relationship.”
Grau will continue to serve as interim city manager until an employment agreement can be reached, which is expected to happen by July at the latest.