Copyright 2015 by M. D. Vaden
This is Fairy Puke, or Icmadophila ericetorum, the only species of that genus found in North America. It is one of the life forms least often seen during my redwood adventures. It can be closer to the ground, but also up in the redwood canopy given the right conditions.
Sometimes I may find some more than once in a full day off-trail, but other times we bushwhacked two days and never spotted any. I don't particularly go looking for it. But I admire it when I see it, as another small part of the coast redwood forest.
It was also described briefly in Richard Preston's redwood adventure book, the Wild Trees. I recall, maybe, the chapter covering the climb of Adventure redwood.
It has thallus that looks like a mint green or bluish thin film, sometimes dotted with pink apothecium, the tiny fruiting discs. They are tiny, like 1/4 inch size.
Image: the fungi Fairy Puke, in Prairie Creek Redwoods State Park