ACADEMY NOMINATES BIG BOYS FOR EFFECTS.

Byline: P.J. Huffstutter Daily News Staff Writer

Last year's top box-office smashes have grabbed this year's Oscar nod for Best Visual Effects.

``Independence Day'' and ``Twister'' - the two top-grossing films for 1996, with earnings of $306.1 million and $241.7 million respectively - received academy nominations in the category Tuesday morning. ``Dragonheart'' got the third nomination.

``I'm surrounded by people who tell me how it usually goes at this thing,'' said Volker Engel, the co-visual effects supervisor for ``Independence Day.''

``I got the impression that it's not necessarily the huge studio box-office films that win the Oscars.''

Indeed, this year's top Oscar nominations - Best Picture, Best Director, Best Actor and Actress - predominantly favor independent films. But in the art-meets-technology categories such as visual and sound effects, blockbusters dominate.

``Dragonheart,'' however, is an exception. Though the film faltered at the box office, it pushed the technological boundaries of filmmaking by creating a living, breathing, predominantly digital dragon.

``You always hope that people recognize your work, but you can never predict these things,'' said Scott Squires, the visual effects supervisor on ``Dragonheart.''

Squires was previously nominated for, but did not win a visual effects Oscar for his work on the 1994 film ``The Mask.''

Said Squires: ``People mentioned things about winning an Oscar during the course of (`Dragonheart'). But I couldn't think about it too much because it's always disheartening if it doesn't come through.''

Many people in the visual-effects community insist the Academy of Motion Picture Arts and Sciences' award process is flawed because too few films are recognized. Out of the 248 films released in 1996, only three movies make the cut for a nomination. The category for Best Sound, an equally technical but less high-profile field, allows five films to be nominated.

Visual effects insiders also criticize the academy's rule that only four nominees may be submitted by the producers of any picture. In general, most effects-heavy films employ several effects houses and hundreds of crew members to create the final product.

The people nominated for this year's visual effects award are Engel, co-visual effects supervisor Douglas Smith, mechanical effects supervisor Clay Pinney and pyrotechnic supervisor Joseph Viskocil for ``Independence Day''; visual effects supervisor Stefen Fangmeier, assistant visual effects supervisor John Frazier and digital tornado designers Habib Zargarpour and Henry La Bounta for ``Twister''; and Squires, dragon designer Phil Tippett, special effects supervisor James Straus and character animation supervisor Kit West for ``Dragonheart.''

QUOTES

`The film's 12 nominations reflect the commitment, passion and vision of Anthony Minghella and Saul Zaentz and on their behalf, I am particularly delighted.'

Ralph Fiennes 

Best Actor, ``The English Patient''

`An unprecedented campaign was launched to injure ``The People vs. Larry Flynt'' and to sway the votes of the members of the academy. Movies can still, with artistry and honesty, reflect life in all its diversity and inspiring intricacy. This is my belief. I am honored by the nomination.'

Milos Forman

Best Director, ``The People vs. Larry Flynt''

`I'm thrilled and overwhelmed by the nomination. It was a joyous experience and an incredible labor of love for everyone involved.'

Kristin Scott Thomas 

Best Actress, ``The English Patient''

`It's fantastic. I was actually at a television station when I found out. I pass right by NBC on the way to work (she's working on a film in Pasadena), so they asked me to drop by. So I went in with trepidation. I thought, `I'll be embarrassed if I don't get the nomination.' I thought it was a remarkable movie. I thought it deserved the recognition. I'm just flattered to be on the list.

Brenda Blethyn

Best Actress, ``Secrets & Lies''

`I want to thank Meryl Streep for giving me the chance to play Bessie opposite her.'

Diane Keaton

Best Actress, ``Marvin's Room''

`These nominations are thrilling, a vindication of the monumental obstacles we had to overcome, and a reward for the passionate commitment of our cast and crew. There were many dark days on this adventure. This is not one of them.'

Saul Zaentz

producer of ``The English Patient''

CAPTION(S):

7 Photos, Box

Photo: (1) The year's biggest blockbuster at $306.1 million, ``Independence Day'' may take home an Academy Award for Best Visual Effects.

(2) One of the three films nominated for their special effects, ``Twister'' was also shut out of the acting, directing and Best Picture categories.

BEST DIRECTOR

(3) Joel Coen (``Fargo''): May be a weirdo, but he's the only homegrown weirdo in this category.

(4) Milos Forman (``The People vs. Larry Flynt''): Already has two Oscars for ``One Flew Over the Cuckoo's Nest'' and ``Amadeus.'' Film not nominated for Best Picture, plus it's about a sleaze bag and unfashionable free speech issues.

(5) Scott Hicks (``Shine''): Nominee with most feel-good film. Minghella's most serious competition.

(6) Mike Leigh (``Secrets & Lies''): Widely admired in filmmaking circles, plus his unique working method (he creates story and characters a step at a time with each actor) impresses many.

(7) Anthony Minghella (``The English Patient''): Front-runner because his film is - and also because it was a bear of a thing to adapt, stage and keep straight on film.

Box: no caption (Celebrity quotes) (See Text)