From what you've said, it doesn't sound like you had any agreement, spoken or not, with this woman to make something for her from her fabric. Perhaps she doesn't even expect this. I have a close friend who was a pastor's wife, and I know how you have to walk on eggshells. I would suggest talking to this woman and express your appreciation, but explain your time contstraints with making things for her, and that you will have to decline the fabric. Suggest others who might use it. Hopefully it will turn out that all this was a misunderstanding, and she'll be happy to have you use the fabric any way you like!