Fabric paper is made by liberally coating cotton fabric (cheap calico is fine) with PVA glue (diluted 1:1 with water), then add tissue paper or napkins (only use the 1st layer), more PVA glue and paint if required. It's a bit of a messy process, and it needs to be done on plastic sheeting. After making the paper it is then left to dry overnight. When it's dried out, put the fabric paper in between two sheets of parchment or greaseproof paper and iron it. This flattens out the paper and gets rid of the creases.
The fabric paper below was made from 3 different types of Christmas napkins - 1 with poinsettas, another with the Christmas tree and the script one was used for the background.
Some of this paper and other "fabric paper" ones were used to make Christmas Tree ATC's. The advantage of using this "paper" is that it doesnt fray, can be glued, is fairly sturdy and can also be stitched on.
This one was made using squares of coloured kitchen paper (left over from another experiment). The red flowers were cut out using a flower punch and then added to the squares.
The black one was made from a black & white patterned napkin. Colour was added with diluted walnut ink.