Glad you can make it Merlin.
There are 4 hotels in Salado: Holiday Inn Express, Best Western, Super 8 and Stagecoach Inn. I know that Stagecoach is full during the gathering, but have no idea about the others.
If nothing in Salado is open, then Belton is only about 10 miles away, and there are a lot of hotels there.
As to what is good, I don't know. I live about 40 miles from Salado, so I just drive each day.