Traditional Irish Music
Seems like the festivals around here are tending more toward the Celtic Rock stuff than TRAD. I like the rock, but the TRAD gets in your soul.
Colorado Irish Festival is adding more acoustic local groups in addition to the headliner bands, so that's nice.
I've heard good stuff about the Spanish Peaks festival, though I have yet to attend one.
In general, if you're looking for TRAD, I'm not sure festivals are the best place. They're still a lot of fun though.
UPDATE: Rocky Mountain Irish Festival has been moved to Boardwalk Park in Windsor, except for a Friday night concert at the Event Center. See www.rockymountainirishfestival.com.
Also, Colorado Irish Festival will host TRAD sessions on Friday evening, 8 July, and Saturday evening, 9 July. See www.coloradoirishfestival.org
Here in Phoenix there is a strong and dedicated group. There has been consistent sessions held at least 2 locations, one having been going close to 9 years now. In Tucson, AZ there is strong session attendance some of which make the 1 hour trek to Phoenix. I understand Flagstaff, AZ has a strong following and their annual Celtic Festival is going on this weekend (July 16 &17). I'm sorry that I am unable to attend it this year.
Also, while living in Upstate, NY...Buffalo has a very large session group that has been ongoing for at least 6 years, Syracuse is also doing strong.
My good friends at the Fiddle and Bow Music Society in Winston-Salem, NC was founded on the Traditional Music genre and is still going strong after 20 years with weekly shows and sessions of performing artists and local musicians respectfully.
From my experience, there is a considerable amount of musicians, (professional and non-professional) venues, sessions, etc. all dedicated to the preservation and engagement of traditional Irish Music here in the states!