I tried to get this going on my knitting blog a little while ago....
Sueet. The pattern is in the spring issue of Knitty. It takes 2 balls of a suede-style yarn - I'm using Berroco Suede in the purple color. I'm a few inches into Sueet but have been stalled and would like to get into it. Another thing you need is some kind of lining fabric - quilt prints are fine, as are any other kind of cotton or cotton-blend woven fabric. Overall I think the project can be done for around $20.
This is a fairly easy project, mostly just a lot of stockinette, and the results will be really cute.
Anybody game? C'mon! I'll make a cute graphic button and everything!