Utah leaders look to offer $3.5M ahead of Sundance's anticipated decision
Keeping the Sundance Film Festival in Utah isn't the top priority, but it is one item Utah leaders are looking to include as they work this week to finalize a nearly $30 billion budget.
The state's proposed final budget includes $3.5 million for the festival in the 2026 fiscal year. How that money is to be used is not clear, but Senate President Stuart Adams, R-Layton, told reporters Monday that the figure matches what Sundance leaders had asked for. It's also close to what its two competitors are reportedly offering should it be a regular payment.
'I want Sundance to stay, and I've expressed that to them. I think many people have,' he said. 'I don't think they'll have the same notoriety if they leave Utah. ... I think they'd make a big mistake by moving or leaving, but that's up to them.'
Sundance Film Festival has been a Park City tradition for decades, but Sundance Institute officials announced last year that they would explore other options once their contract expires after the 2026 festival.
Their decision ignited efforts from other U.S. cities to woo the prestigious festival, while Utah — and local entities — offered a proposal to split the festival between Park City and Salt Lake City. The event began as the Utah/United States Film Festival in 1978 in Salt Lake City before it was moved to Park City and the Sundance Institute took it over.
Institute leaders narrowed the field in September 2024 to Park City/Salt Lake City; Boulder, Colorado; and Cincinnati, Ohio. They said they would make a decision sometime after the 2025 festival, which wrapped up on Feb. 2.
Adams said Monday he doesn't expect the institute to make an announcement this week, which is the final week of the legislative session, but the decision could come at any time.
The Governor's Office of Economic Opportunity had recommended $1.5 million in one-time funding and another $1.5 million in ongoing funding for the festival when it presented its budget request to the Economic and Community Development Appropriations Subcommittee on Jan. 24.
'Those would be tied, obviously, to the festival staying,' said Kameron Dalton, the officer's managing director of operations, at the time. 'I know leadership and others have had many discussions with that team, and we're hopeful to keep that as a bright spot for Utah moving forward. Those funds would certainly help that to continue.'
Gov. Spencer Cox had reiterated earlier in January that he believes Sundance would be making a 'huge mistake' by leaving Utah. He likened the situation to Outdoor Retailer, which bolted Salt Lake City for Denver only to return to Salt Lake City within a decade of the move.
That came after he was asked about the up to $34 million in tax incentives that the Durango Herald reported Colorado lawmakers were willing to offer the festival.
The Colorado Sun explained that the measure would allocate $4 million to $5 million a year in incentives through 2030, and then $3 million a year through 2036, maxxing out at $34 million. WCPO in Cincinnati reported that the Cincinnati City Council approved $5 million toward its bid last year, which would be allocated over 10 years.
The $3.5 million that the Utah Legislature approved isn't the only item within Utah's incentives package. A spokesperson for Salt Lake City confirmed to KSL.com there are 'other factors to the financial package,' including a mix of public and private funding opportunities.
Adams said Utah can also use the $3.5 million elsewhere in the state budget should Sundance leave.
According to a report by Y2 Analytics, last year's festival generated $106.4 million in out-of-state spending and $132 million in economic impact while supporting over 1,700 jobs. The economic impact of this year's festival is still being calculated.
Local leaders have also said they believe Utah and Sundance are intertwined given the history together. Salt Lake City Mayor Erin Mendenhall said in September that she believes splitting the event between Salt Lake City and Park City could help the festival grow without moving.
'The place for Sundance is the state of Utah,' she said at the time. 'What we're offering is a new friendship, a new friendship between Salt Lake City and Sundance that hasn't quite existed in the past — in a bigger way.'
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