The dam is 6,830 feet (2,080 m) long, across a narrow section of the Guadalupe River valley.

The rocky canyons to the west of the escarpment can carry more water than the riverbeds of the plains to the east; this has caused problems with flash flooding in cities and towns east of the escarpment.

Construction of Canyon Dam began in 1958 to provide both flood control and water conservation.

The dam was built by the Tencon Corporation of Fort Worth, Texas.

The United States Army Corps of Engineers controls the physical operations; and water in the lake is managed by the Guadalupe-Blanco River Authority.