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   <concept id="DFARS_223.7201"
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      <title class="- topic/title ">
         <ph props="autonumber" class="- topic/ph ">223.7201</ph> Policy.</title>
      <conbody class="- topic/body  concept/conbody ">
         <p outputclass="List1" class="- topic/p ">(a)  The requirements of DoD 5100.76-M, Physical Security of Sensitive Conventional Arms, Ammunition, and Explosives, shall be applied to contracts when—</p>
         <p outputclass="List2" class="- topic/p ">(1)  AA&amp;E will be provided to the contractor or subcontractor as Government-furnished property; or</p>
         <p outputclass="List2" class="- topic/p ">(2)  The principal development, production, manufacture, or purchase of AA&amp;E is for DoD use.</p>
         <p outputclass="List1" class="- topic/p ">(b)  The requirements of DoD 5100.76-M need not be applied to contracts when—</p>
         <p outputclass="List2" class="- topic/p ">(1)  The AA&amp;E to be acquired under the contract is a commercial item within the meaning of FAR 2.101; or</p>
         <p outputclass="List2" class="- topic/p ">(2)  The contract will be performed in a Government-owned contractor-operated ammunition production facility.  However, if subcontracts issued under such a contract will meet the criteria of paragraph (a) of this section, the requirements of DoD 5100.76-M shall apply.</p>
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