Twist is used to induce spin on a bullet so as to confer static stability for the duration of the flight. The minimum amount of spin required to achieve this stability is influenced almost completely by the length of the bullet; the longer the bullet is for a specific caliber, the faster the twist it requires to stabilize it. Manufacturers do not market or sell their bullets by length, but rather by weight. In fact it's difficult to get the exact length of various bullets without buying them, but there is a database that has a lot of that info.
The .mil went to a 1:17 twist (from the original 1:12 of the early M-16) so that this rifle could stabilize the very long M856 tracer round, the companion to the M855 62gr w/ steel penetrator round. It is actually too fast a spin and it keeps the bullet too stable when it hits something, but for target purposes it's fine.
Now the 1:7 twist will stabilize virtually any .224 caliber bullet you put in it, except perhaps for the very long 90gr SMK or JLK, as these require a 1:6.5 twist. For your M193 equivalent, the 1:7 will do just fine. There have been reports of 40gr thin jacketed bullets flying apart as they exit the barrel because the spin is too fast; I have never seen that out of a .223 Remington. (I have seen plenty of that in 6mm Rem, and other such calibers.)
The 1:9 twist is actually a better twist for the .223 Remington, if you do not want to handload an 80gr SMK, Berger or JLK for it. The 1:9 twist will stabilize any loaded factory ammo you can buy with the possible exception of the Black Hills 77gr offering, especially since you have a 16 inch barrel. Yes, you can make up a bit of twist with a longer barrel because you get a higher MV which creates more spin. For your stated purposes, you will have no problems with either rifle, and you will be able to experiment with other loads, especially with the 1:7 twist.