(Solution found) Rules are not triggered by "Changed to ON"

@opus Here is what I got from a debug log file with physically turning the dimmer on, setting a dim level and turning it off.

2016-09-05 14:44:41.761 [DEBUG] [essage.ApplicationUpdateMessageClass] - NODE 3: Application update request. Node information received.
2016-09-05 14:44:41.762 [DEBUG] [alization.ZWaveNodeInitStageAdvancer] - NODE 3: Starting initialisation from DONE
2016-09-05 14:44:41.762 [DEBUG] [ve.internal.protocol.ZWaveController] - Event Listener org.openhab.binding.zwave.internal.protocol.initialization.ZWaveNodeInitStageAdvancer@8a8d9b already registered
2016-09-05 14:44:41.763 [DEBUG] [.serialmessage.ZWaveCommandProcessor] - Checking transaction complete: Sent Message: class=SendData[0x13], type=Request[0x00], priority=Poll, dest=6, callback=120, payload=06 01 00 
2016-09-05 14:44:41.764 [DEBUG] [.serialmessage.ZWaveCommandProcessor] - Checking transaction complete: Recv Message: class=ApplicationUpdate[0x49], type=Request[0x00], priority=High, dest=255, callback=0, payload=84 03 11 04 11 04 26 27 75 86 70 71 85 77 2B 2C 72 73 82 87 
2016-09-05 14:44:41.764 [DEBUG] [.serialmessage.ZWaveCommandProcessor] - Checking transaction complete: class=ApplicationUpdate, callback id=120, expected=SendData, cancelled=false      MISMATCH
2016-09-05 14:45:25.364 [DEBUG] [WaveSerialHandler$ZWaveReceiveThread] - Receive Message = 01 17 00 49 84 03 11 04 11 04 26 27 75 86 70 71 85 77 2B 2C 72 73 82 87 24 
2016-09-05 14:45:25.375 [DEBUG] [ve.internal.protocol.ZWaveController] - Receive queue TAKE: Length=0
2016-09-05 14:45:25.379 [DEBUG] [wave.internal.protocol.SerialMessage] - Assembled message buffer = 01 17 00 49 84 03 11 04 11 04 26 27 75 86 70 71 85 77 2B 2C 72 73 82 87 24 
2016-09-05 14:45:25.384 [DEBUG] [ve.internal.protocol.ZWaveController] - Process Message = 01 17 00 49 84 03 11 04 11 04 26 27 75 86 70 71 85 77 2B 2C 72 73 82 87 24 
2016-09-05 14:45:25.388 [DEBUG] [ve.internal.protocol.ZWaveController] - Message: class=ApplicationUpdate[0x49], type=Request[0x00], priority=High, dest=255, callback=0, payload=84 03 11 04 11 04 26 27 75 86 70 71 85 77 2B 2C 72 73 82 87 
2016-09-05 14:45:25.389 [DEBUG] [essage.ApplicationUpdateMessageClass] - NODE 3: Application update request. Node information received.
2016-09-05 14:45:25.390 [DEBUG] [alization.ZWaveNodeInitStageAdvancer] - NODE 3: Starting initialisation from DONE
2016-09-05 14:45:25.391 [DEBUG] [ve.internal.protocol.ZWaveController] - Event Listener org.openhab.binding.zwave.internal.protocol.initialization.ZWaveNodeInitStageAdvancer@8a8d9b already registered
2016-09-05 14:45:25.393 [DEBUG] [.serialmessage.ZWaveCommandProcessor] - Checking transaction complete: Sent Message: class=SendData[0x13], type=Request[0x00], priority=Poll, dest=6, callback=120, payload=06 01 00 
2016-09-05 14:45:25.396 [DEBUG] [.serialmessage.ZWaveCommandProcessor] - Checking transaction complete: Recv Message: class=ApplicationUpdate[0x49], type=Request[0x00], priority=High, dest=255, callback=0, payload=84 03 11 04 11 04 26 27 75 86 70 71 85 77 2B 2C 72 73 82 87 
2016-09-05 14:45:25.397 [DEBUG] [.serialmessage.ZWaveCommandProcessor] - Checking transaction complete: class=ApplicationUpdate, callback id=120, expected=SendData, cancelled=false      MISMATCH