Festival Chairman Harold Matzner tabbed Penn's portrayal of openly gay San Francisco politician Harvey Milk as "one of greatest acting performances in 2008," Daily Variety reported Saturday.

For portraying the man who was the first openly gay politician in California history before being assassinated, Penn will receive the festival's Desert Palm Achievement Award.

The 20th annual festival will take place Jan. 6, 2009. Among the other honorees set to attend is director Gus Van Sant, who directed Penn in "Milk."

Penn's latest honor comes a year after the actor earned the festival's Director of the Year award for "Into the Wild."

Daily Variety said previous winners of the Desert Palm award include actors Daniel Day-Lewis, James Stewart and Nicholas Cage.