I am definitely marking. It sounds (to me, anyway) like someone at the CPSC, supported and informed by the various associations at the bottom, asked Nancy Nord to exempt fabrics, pretty much. It does NOT sound like it's "official," by any means, since it's written TO her to consider this, but still, DEFINITELY a step in the right direction!!!
Now, I do hope that those making children's items out of, say, wood, or paper have someone covering their backs in the same way, and that we can get this ironed out ASAP.