[Code of Federal Regulations] [Title 48, Volume 1] [Revised as of October 1, 2002] From the U.S. Government Printing Office via GPO Access [CITE: 48CFR45] [Page 831] TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM CHAPTER 1--FEDERAL ACQUISITION REGULATION PART 45--GOVERNMENT PROPERTY--Table of Contents Subpart 45.5--Management of Government Property in the Possession of Contractors 45.507 Segregation of Government property. Government property shall be kept physically separate from contractor-owned property. However, when advantageous to the Government and consistent with the contractor's authority to use such property, the property may be commingled-- (a) When the Government property is special tooling, special test equipment, or plant equipment clearly identified and recorded as Government property; (b) When approved by the property administrator in connection with research and development contracts; (c) When material is included in a multicontract cost and material control system (however, see 45.505-3(f)); (d) When (1) scrap of a uniform nature is produced from both Government-owned and contractor-owned material and physical segregation is impracticable, (2) scrap produced from Government-owned material is insignificant in consideration of the cost of segregation and control, or (3) Government contracts involved are fixed-price and provide for the retention of the scrap by the contractor; or (e) When otherwise approved by the property administrator.