(a) The contracting officer shall insert the clause at 52.232-17, Interest, in solicitations and contracts unless it is contemplated that the contract will be in one or more of the following categories:
(1) Contracts at or below the simplified acquisition threshold.
(2) Contracts with Government agencies.
(3) Contracts with a State or local government or instrumentality.
(4) Contracts with a foreign government or instrumentality.
(5) Contracts without any provision for profit or fee with a nonprofit organization.
(6) Contracts described in Subpart 5.5, Paid Advertisements.
(7) Any other exceptions authorized under agency procedures.
(b) The contracting officer may insert the FAR clause at 52.232-17, Interest, in solicitations and contracts when it is contemplated that the contract will be in any of the categories specified in 32.611(a).