Thanks for the recommendations in Kerrville. Here is where we ate:
Patrick's Lodge: pretty little rustic restaurant with a nice view of the creek. My chicken au poivre was very tasty, with a good salad, terrific mashed potatoes & mixed vegetables, crusty bread to sop up the sauce ($11.95). My companions liked their quail a lot. They have a $9.95 early bird menu that looked to be a steal, 5 PM to 6:30.
Annemarie's River View: Wonderful view of the Guadalupe River and Hill Country, especially at sunset. Elegant decor and service. We sampled four dinners and each of us thought we had ordered the best one: chipotle chicken, salmon in a champagne hollandaise, grilled shrimp alfredo, steak (I forget the sauce), all good. Sun dried tomato foccacio for the bread. Salad with apple pecan vinegrette. $14.95ish. This place is hard to find, behind the Inn of the Hills motel, but worth the effort.
Cypress: We did not try it but we heard raves about the lamb, steak, trout, and mahi mahi. My friends were so impressed they asked about the chef, and discovered that he is 17 years old and just about to graduate high school. You may wish to try this place soon, in case he leaves to go to college.
Annemarie's Lodge: in the Inn of the Hills. All of the "nice" places are closed on Sunday, so since we liked the River View, we tried this place. It has a nightly buffet, plus menu. The buffet is a big notch above the usual motel restaurant effort. Amazing potatoes and perfectly cooked mixed vegetables. Fish, roast beef, ham, beef tips, and chicken all OK if not exceptional. About 50 dessert choices. All for $13.95. I am leary of all-you-can-eat places, but we were a party of 22 people so it was ever so easy to please everyone. Those who ordered off the menu were also happy.
One off note: one of the restaurants overcharged my dining companions. They asked to see the menu, and showed the waiter the mistake. He consulted with the owner and came back to say: "No, no. The check has the correct price. We just haven't had time to change the menus." Did this work? Uh, no.
Thanks again for the suggestions.