locally made french press 'cozies' - really keeps your coffee nice and hot! (fits the 8 cup bodum)
felt punch out ornaments
wallets (leather ones in store too!)
locally knit wraps and scarves - love these! this saved me today, wrapped around my head and neck, didn't feel the cold (except for my feet)
wine tags - fits around the neck of the bottle and you can write on them with a ball point pen. good hostess gift too.