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Beavers build dams to flood out streams and create safe habitats for their families. Dams block streams or rivers to create a calm pond deep enough for the beavers to build a lodge. Design and build a dam, then add water to one side to test your dam. You can build your dam in a paint tray or head outside to a sandbox or beach instead. Try different materials to find out what works best to keep the water on the upper side of your dam.