Footage circulating on social media show boats getting swamped by the water. Media reports say at least three boats sank during the event.
According to the Austin-Travis County Emergency Medical Services (ATCEMS), nobody was injured as a result of the boats sinking.
According to the organisers of the Saturday boat parade on Lake Travis, more than 2,600 people had planned to attend.
Meanwhile, another boat at a similar parade caught fire on Lake Havasu, in Arizona, a video shared on Twitter showed.