Okay, let's start at the top. It's UNDER 13. Anything for 12 and under, so up until the 13th birthday.
At the current time cotton and other natural fabrics dyed and undyed are exempt. Only because they are not a usual source of lead. If you paint on them or attach commercial appliques, beads, or other non exempt embellishments then they are NOT OKAY. But you can use diamonds, natural pearls, other precious stones, gold, platimum and other precious metals to embellish!
If you use buttons, zippers or other non fabric non exempt fasteners, then you may have a problem. You MUST KNOW that your zipppers, buttons, snaps, or other fasteners are totally lead free, phthalate free, radon free, xray free, std free, and cocaine free. Now, until Feb. 2010 you don't HAVE to test, but if you sell/distribute/giveaway or raffle off any item that is determined to have components that exceed the level of allowed whatever, the CPSC will not prosecute you, as long as you didn't tell all of us on this forum that you knew that you were in violation of the law,(then you may be totally screwed) but that is really up to your state's attorney general, who has the authority to hang you high.