FAA clears new Chicago O'Hare airport terminals Friday June 21, 4:56 PM EDT CHICAGO, June 21 (Reuters) - The Federal Aviation Administration gave the green light on Friday to a $3.5 billion plan to build two new terminals and add U.S. customs facilities to better accommodate international travelers at Chicago's O'Hare International Airport. The FAA said it found no significant environmental impediment to the project. "They are free to begin the project," said FAA spokesman Tony Molinaro. Monique Bond, a spokeswoman for Chicago's aviation department, said the project would be done in phases over six years, with construction beginning in 2004. The project, which is now being designed, will be financed with federal grants, passenger facility charge revenues and general airport revenue bonds, she added. Chicago Mayor Richard Daley originally proposed the plan in February 1999, saying it would provide seamless travel between international and domestic flights by establishing more customs checkpoints outside of O'Hare's international terminal. The World Gateway project, which would also reconfigure an existing terminal, is also viewed as a way to reduce flight delays by creating more gates for new and larger aircraft. Bond said alliances between air carriers will also be enhanced by allowing foreign carriers to share gates and terminals with domestic airlines. She said the city had a memorandum of understanding for the project with airlines at O'Hare, including United Airlines, a unit of UAL Corp. (UAL), and American Airlines, a unit of AMR Corp. (AMR) The FAA said the World Gateway project was separate from Daley's more recent plan to spend $5.4 billion to add and reconfigure runways, improve traffic access to the airport and increase soundproofing of nearby homes and schools. "(World Gateway) does not depend on any runway changes to make full use of the proposed terminal changes, and implementation of the World Gateway program would not create the need for more runways," the FAA said. Daley's runway plan for O'Hare, the nation's busiest airport based on 2001 takeoffs and landings, is currently pending before Congress for approval. Roger EWROPS