The King Vidor award, named after the director of the 1956 movie "War and Peace," honors career achievement in filmmaking.
Fonda, who will turn 68 on Saturday, is best known for his role in the 1969 film "Easy Rider." He has received two Oscar nominations, one for acting ("Ulee's Gold") and one for screenwriting ("Easy Rider").
His screen credits also include "Race With the Devil" and "3:10 to Yuma."
The festival runs March 7-16.