The Boulder City Council on Thursday unanimously approved an incentives package that could be worth up to $17.3 million to the Sundance Institute, the nonprofit arm of the Sundance Film Festival.
With the approval, Sundance receives a slew of financial and operational benefits ahead of the renowned film festival’s 2027 arrival in Boulder. The agreement lasts through 2036.
Sundance can occupy certain city properties to sell or can license the right to sell goods such as food, drinks or merchandise, among other goods. The agreement doesn’t make clear which spaces Sundance can, or will, occupy. Sundance will lease office space at 1500 Pearl St. as it works to relocate and operate the festival. In addition, the city will also provide a full-time representative to serve as a liaison to Sundance.
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The agreement also outlines rules for revenue sharing between Boulder and Sundance for the 10-year length of the agreement:
• Up to $500,000 annually in parking revenue from up to 1,000 parking spaces. These spaces are in five parking garages: the Pearl Street garage, Randolph Center garage, St. Julien Hotel garage, the garage at 11th Street and Spruce Street, and the garage at 14th Street and Walnut Street. This revenue sharing is only applicable when the festival is happening. The revenue from these locations will be evenly split between the city and Sundance.
• Up to $200,000 in Sundance-related permit fee credits or rebates. That includes — “without limitation,” according to the agreement — building permit and construction fees, fire and inspection fees, local alcohol license fees, tent permits and generator permits.
• Up to $250,000 annually from extra city tax revenue generated while the festival is underway.
• Up to $75,000 annually for staff assistance. This can include, without limitation, assistance for securing sponsors, needed permits or licenses, event set-up and break-down, cleanup, code enforcement, and “ensuring that all the Code provisions in support of the Festival are being used to the extent applicable,” according to the agreement.
• Up to $355,000 for free HOP bus transportation and 5,000 e-bike passes for festival attendees and the Sundance Institute’s patrons.
• Up to $200,000 annually worth of public safety and law enforcement services staffing.
• Up to $150,000 annually in renewable energy credits to offset the festival’s carbon emissions.
In addition, the city will also produce and install banners and signs to promote the festival. Sundance, meanwhile, will provide specialized festival tickets for Colorado residents.
Representatives from Boulder and Sundance will meet April 1 annually to make adjustments to the agreement, and the agreement will be finalized annually by Sept. 1.
Councilmember Taishya Adams said she was excited about aspects of the deal but noted that she wants to see how the communtiy benefits from it.
“I’m hopeful that we can explore more ways to properly track the business benefits, as well,” Adams said. “Itap great to have local ticket options, but our city is investing significant money during a time when we are fiscally restrained.”
Incentives approved Thursday night are in addition to that city, civic and cultural boosters pledged to the festival in May 2025. State lawmakers passed a $34 million tax credit in April 2025.
In an October 2025 meeting, the seven council members who were present that will allow property owners in Boulder to rent out their homes for Sundance.
After approving the package as the council, the governing body later went into recess and reconvened as the Downtown Commercial District Board of Directors and unanimously approved the package.
