State and federal leaders announced this week that a project to replace the Bourne and Sagamore bridges will shift to the state level.

Under a new memorandum of understanding, the U.S. Army Corps of Engineers will continue to own, operate and maintain the existing bridges until replacement bridges are built and operational. The Massachusetts Department of Transportation will lead construction efforts of the replacement bridges. Once the new bridges are complete, MassDOT will own, operate and maintain them as part of the state’s network of roads and bridges.

“The economic vitality of Cape Cod and the Islands and the quality of life for people who live and work in those communities is dependent on our Cape Cod Canal crossings,” Lieut. Governor Karyn Polito said in a press release.

A study completed last fall by the Army Corps concluded that the bridges, built in the 1930s, are functionally obsolete and should be replaced. The estimated cost of the replacement is $1 billion.

Going forward, MassDOT and the Army Corps will work together to plan, permit, fund, construct, demolish and transfer ownership of the two new bridges, which will be built to current federal highway standards, according to the release. Funding for the project will remain a federal responsibility.

“Replacing these bridges will help us grow our regional economy while enhancing public safety,” Sen. Elizabeth Warren said in the release. “And I will keep working with my delegation colleagues to ensure this project receives the federal funding it needs.”

A location has not yet been determined for the new bridges, and a timeline is still being drafted for the project, according to MassDOT spokesman Jacquelyn Goddard.

“There is a very lengthy environmental permitting process ahead,” Ms. Goddard said. “There will be a great deal of public engagement to decide on a location for both new bridges.”