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U.S. Transportation Secretary Mary Peters recently signed a $2.6 billion Full Funding Grant Agreement for MTA Long Island Rail Road’s (LIRR) East Side Access project — the largest-ever federal investment in a transit project, according to the U.S. Department of Transportation. The FFGA will be administered by the Federal Transit Administration.

Once complete in 2013, the $6.3 billion project will provide LIRR commuters direct access to New York City’s Grand Central Terminal, shaving more than 40 minutes off commute times. Currently, Long Island commuters take trains to Penn Station, then back-track to Manhattan’s east side.

The project includes new tunnels under Manhattan and Queens to connect with the existing 63rd Street Tunnel below the East River.

Grant funds will be distributed between now and 2016.