That's helpful clarification, since the Rule links to the actual codification which the original article seems to misread, deliberately or
So the linked article says "The Administrator of the Federal Aviation Administration may not promulgate any rule or regulation regarding a model aircraft, or an aircraft being developed as a model aircraft" (Did you notice the absence of a period at the end of their quote?)
And the Public Law referenced in the FAA Rule actually says:
SEC. 336. SPECIAL RULE FOR MODEL AIRCRAFT.
(a) IN GENERAL.—Notwithstanding any other provision of law relating to the incorporation of unmanned aircraft systems into Federal Aviation Administration plans and policies, including this subtitle, the Administrator of the Federal Aviation Administration may not promulgate any rule or regulation regarding a model
aircraft, or an aircraft being developed as a model aircraft, if—
(1) the aircraft is flown strictly for hobby or recreational use;
(2) the aircraft is operated in accordance with a community based set of safety guidelines and within the within the programming of a nationwide community-based organization;
(b) STATUTORY CONSTRUCTION.—Nothing in this section shall be construed to limit the authority of the Administrator to pursue enforcement action against persons operating model aircraft who endanger the safety of the national airspace system.
So the rule which the original article thinks would prevent the FAA from regulating actually says that it only applies to model aircraft flown as part of a nationwide community's programming.