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Cake Directions:
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Preheat oven to 350u00b0F Butter three 9-inch-diameter cake pans with 1 1/2-inch-high sides.
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Line bottom of pans with parchment paper; butter paper.
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Dust pans with flour.
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Sift cake flour, baking powder, and salt into medium bowl.
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Transfer 1 tablespoon flour mixture to large bowl.
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Add fresh blueberries and toss to coat.
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Set remaining flour mixture and blueberries aside.
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Stir whole milk, vanilla extract, and grated lemon peel in small bowl.
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Using electric mixer, beat butter in another large bowl until light and creamy.
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Gradually add sugar, beating until mixture is light and fluffy.
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Beat in eggs 1 at a time (mixture will get'rocky' keep beating until well blended).
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Beat in flour mixture alternately with milk mixture in 3 additions each, just until blended.
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Fold in blueberries.
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Divide batter equally among pans.
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Bake cakes until tester inserted into center comes out clean, about 25 minutes.
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Cool cakes in pans on racks 10 minutes.
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Run knife around pan sides to loosen.
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Turn cakes out onto racks to cool completely.
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Peel off parchment paper.
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Frosting Directions:
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Using electric mixer, beat cream cheese and butter in large bowl until light and fluffy.
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Gradually beat in powdered sugar.
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Beat in lemon peel and vanilla.
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Cover and refrigerate until just firm enough to spread, about 30 minutes.
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Assembly:
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Transfer 1 cake layer to platter.
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Spread 3/4 cup frosting over cake layer.
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Top with another cake layer; spread with 3/4 cup frosting.
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Top with third cake layer.
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Spread remaining frosting over top and sides of cake.
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(Cake can be prepared up to 1 day ahead of time. Cover with cake dome and refrigerate. Let stand 30 minutes at room temperature before continuing).
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Garnish cake with lemon peel strips and additional blueberries, if desired, and serve.
