Great idea, Carly! I've been trying to think of something for my mom, too.
What about a felted purse?
Here are a few links for the popular ones knitted frequently from KH members:
http://www.helloyarn.com/lopitote.htm
http://www.blacksheepbags.com/booga_bag.html
http://www.magknits.com/warm04/patterns/sophie.pdf
Can't wait to see your gift!
