Speaking of local... Austin is a pretty GREEN place to live. We love our local, organic, homemade here. So Ive been looking up some sites for great organic fabrics.
Mod Green Pod - is an Austin based company with beautiful fabric prints and wallpaper. You can even design your own room. Pretty swank.
Modern Organic Fabrics - is based alittle further north, Wisconsin. There's a great selection of designers and lines on this site. Both have twitters you can follow.
Daisy Jane - Kinda stumbled on to this one. Her Etsy shop boost hemp/cotton blends with original printings.
Laurie Wisbrun - While not organic she is local. Her adorable prints got picked up by Robert Kaufman. View her Etsy page, scarletfig, to see her whole collection of bright truly cute fabrics.