Take a look at this video on placing a line in the DGN and Adding that line as a breakline in the terrain model. You can add a smartline in the DGN and use the Add Features option to add it as a break line into the terrain model:
communities.bentley.com/.../32524.video-add-break-line-feature-to-a-terrain-model
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RE: GEOPAK Civil Engineering Suite - Adding a Breakline or Swap Edge of a Triangle on a Terrain Model
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