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Due to limited funds resulting from the state of California’s deficit, Los Angeles County Metropolitan Transportation Authority (LA MTA) cut several projects from this year’s budget, but officials kept a Metro Gold Line extension on the drawing board. Yesterday, the Federal Transit Administration approved $490.7 million in federal funds for the six-mile Eastside extension.

Running from Union Station to Little Tokyo, Boyle Heights and East Los Angeles, the $898.8 million extension is expected to open for service in mid-2009. The line will include eight stations and serve one of Los Angeles County’s most densely populated areas.

After obtaining the grant, LA MTA awarded a $600.4 million construction contract to Eastside LRT Constructors, a joint venture between Washington Group International, Obayashi Corp. and Shimmick Construction Corp.

Linking Union Station and Pasadena, the 13.7-mile Metro Gold Line opened for service last July.