(1) The state engineer shall inspect each dam that in the state engineer's opinion, if it failed:
(a) poses a threat to human life; or
(b) could cause significant property damage.
(2) An inspection required by Subsection (1) shall occur:
(a) at increments commensurate with the relative risk to life and property; and
(b) not less than once every five years.
(3) The state engineer may inspect a dam that is not exempt from regulation by this chapter.