(a) Requirement. A DoD Component's general terms and conditions must address the standards for property management systems of institutions of higher education, nonprofit organizations, local governments, and Indian tribes.
(b) Award terms and conditions. A DoD Component's general terms and conditions therefore must either:
(1) Include the wording appendix B to this part provides for Section C of PROP Article II; or
(2) Reserve Section C of PROP Article II if no institution of higher education, nonprofit organization, local government, or Indian tribe will acquire or improve equipment, in whole or in part, or be accountable for federally owned property under awards using those general terms and conditions or subawards under those awards.