So, I cut into that wall of 2.5 inch x WOF of fabric strips and learned a few things. . . What I did works but is not the fastest way to do it. So here is what I did (and then I'll explain what I'll do in the future instead).
What I did: Cut out 3 strips from 50 different fabrics. Then I stacked all the strips from one fabric together in a row. I then repeated that 6 more times. So I had 7 rows of fabric strips each with 3 strips of fabric. I carefully lined up the rows one under another and used my 6 x 22 inch ruler to cut them into squares. This went pretty fast. The problem was I ended up created 50 piles of the same kind of fabric, which then had to be sorted into 48 stacks of 50 unique fabrics. This took a loooong time.
What I'll do next time, or maybe a better way to do it when cutting from fabric that is WOF. Cut a strip that is 7.5 inches. Then cut that in half so it is 22 x 7.5. You will have 2 bricks of 22 x 7.5. Cut your remaining fabrics and organize them into 2 piles, each pile will have 50 unique fabrics each measuring 22 x 7.5. Then follow DJ's cutting instructions from post #38 - Stack 5 high, line up carefully, cut off salvages, etc. When you cut, cut the narrow end into 3 2.5 strips, then cut those strips into 2.5 inch squares. Then you can put the squares directly into pile/bags/envelopes for each person. (And skip the sorting step that I had to do.)
Hope this is makes sense. Let me know if it doesn't.