The Turton chairman has been honoured with the league's Exceptional Merit award which recognises individuals for services to their club.
The league's Andy Hosker and Norman Edmondson attended Turton's 1-0 win over Poulton on Saturday to present Gray with the award.
He said: "I turned up a bit later than normal with all my gear as usual and Andy and Norman were there and asked if they could have a few minutes with me. I immediately thought 'what have I done now?!'.
"But it completely blew me away. I never expected something like this from the league. They were very complimentary and I was really touched by it."
Hon. General Secretary John Brown said: "Peter has been at Turton for many years but in recent years has had to take more control of the club as chairman, secretary and also overseeing the building of the club's new changing rooms.
"Clubs cannot operate and flourish without individuals such as Peter and this award is our way of acknowledging his efforts and achievements at Turton."
Gray, 47, has been involved in Turton for 13 years, initially to boost the club's commercial interests but then in a more involved capacity following the sad death of former chairman Martin Vizzard from a brain tumour in 2014.
The club eventually secured promotion to the Premier Division in 2015 and the Richardson Cup in 2019.
"It takes up a lot of my time - some of that is willing time and some of it is frustrating time," said Gray, who became somewhat of an internet sensation this week when he posted a clip of a club official's offside call in the win over Poulton.
"So to get that pat on the head from the league allows you to pump your chest out and makes all those nights sorting out admin or battling with the Whole Game System worthwhile."
Fast-improving Turton are ninth in the Premier Division and Gray says it was just a matter of time before Craig Allardyce's men clicked. The reserves are joint second in Reserve Division One with three wins from five games.
"We had a rough start - the performances were there but maybe not the results. But it's come good now with four wins from the last five while playing some good football so we're picking up nicely."
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