I found it! This is the tutorial I used for my rosette dress. What did we ever do before google?? (It took a few searches on a couple different days. Now it is saved in my bookmarks!) It is a great tutorial and an easy way to make a big difference in a garment. I want to do some on a top for me. Who's coming over to do it with me?
And here is a similar one where she uses felt and just one layer to decorate a pillow!