The Rangers on Monday finalized the deal with the 36-year-old free agent, who led Texas in wins last season with 17.
Since undergoing hip-resurfacing surgery, which forced him to sit out the 2013 season, Lewis has compiled a 27-23 record with a 4.90 ERA. He is the first major-leaguer to make it back to an active roster after having the surgery.
"It's a great opportunity for me and my family to stay in a spot we love," Lewis told reporters. "It was just a matter of working out small details and getting the deal taken care of."
Lewis set career highs for starts with 33 and innings with 204 2/3 last season. He had the eighth-highest ERA among American League qualifiers at 4.77.
Next season will be the well-traveled Lewis' seventh season with the Rangers since coming back from playing in Japan.
Lewis has a career record of 71-67 with a 4.81 ERA over 10 seasons with Texas, Detroit and Oakland.