Even without the lawful occupation/recreation exemption, I read that as prohibiting only open carry of blades over 3". It does not cover concealed knives at all, and does not cover blades under 3" at all.
Since state law prohibits carrying fixed blades concealed, all you are left with is concealed folders (any length), unconcealed fixed blades under 3", and unconcealed folders under 3".
Regarding whether a pocket clipped folder is considered concealed: unless law is very clear, or case law is very clear, I always assume, just to be safe, that it will count against you; i.e., in jurisdictions where concealed is illegal I assume a clipped knife is considered concealed, and in jurisdictions where an unconcealed knife is illegal, I assume a clipped knife is considered unconcealed. (of course, I would argue the opposite in court, but I make these cya assumptions to avoid ever having to go to court)