who actually has the authority to classify that rm
That would be left up to the Fire Marshal or the local inspector. I can tell you for
certain that "company management" does not have that authority.
70%-30% Isopropyl Alcohol/Water is what we normally see as "Rubbing Alcohol" in the drugstore.
Here's a copy of a MSDS.
I did an air washing system for a clean room that had some pretty high concentrations of alcohol. We used haz loc ventilators, and installed alarms in case of a failure. The company had a backup generator, and the system was thought out and engineered (by a GENUINE engineer) so that a failure of one unit would not cause an unsafe build up of vapor. There were no daisy-chained plug strips there. Safety was the primary concern, even though there was nobody to require it. It was in TJ---Tijuana, Mexico.