I think the fabric and thread issue comes right down to really being sure that your fabric, thread, velcro, etc. are Phthalate and Lead free. Although, that the CPSC, won't be hunting us down during the stay, we will be liable for any product with those substances.
The lead issue, from what I understand had some fabric excemptions, while the Phathalate portion of the law, does not have fabric exemptions, for any toys, (even fabric) for children under 12, or child care products (even fabric) for children under 3 years of age, such as baby quilts, bibs etc.
Just my take however, it is so messed up everyone is totally confused. Maybe Admin is still trying to figure this all out like the rest of us!