Flammulaster erinaceellus

Scientific name: Flammulaster erinaceellus (Peck) Watling  
Derivation of name:  Erinace- means "hedgehog" in reference
to the erect granules or scales covering the cap and stalk.
Synonyms: Phaeomarasmius erinaceellus (Peck) Singer;
Pholiota erinaceella (Peck) Peck  
Common name(s):  Powder-scale Pholiota; Hedgehog
Pholiota.
Phylum:   Basidiomycota
Order:   Agaricales
Family:  Inocybaceae
Occurrence on wood substrate: Saprobic; solitary to grouped
on deciduous logs, stumps, and fallen limbs; August through
October.  
Dimensions:  Caps 1-4 cm wide; stipes 3-6 cm long and 3-6
mm thick.   
Cap:   Surface dry, covered with erect granules or scales; rust-
brown at first, fading to yellow-brown; margin often with
remnants of partial veil. 
Gills: Attached; whitish or yellowish at first, becoming rust-
colored in age.
Spore print: Cinnamon-brown.
Stipe: Dry; covered with rust-colored scales below veil; whitish
and without scales above veil.
Veil: Fibrous, leaving zone of minute fibers or a slight ring on the
upper stalk.
Edibility: Unknown.
Comments: The following website lists five features to
help separate this mushroom from similar granular-capped
brown mushrooms. Unfortunately, microscopic features
is one of them.  

More information at MushroomExpert.com

    
Figure 1. A fruiting of powder-scale pholiota. Note the
marginal veil remnants. Photo © William Roody.

Figure 2. Young and mature specimens of
Phaeomarasmius erinaceellus. Photo © John Plischke III.

Figure 3. Note the granular/scaly material on the caps and
stipes. Photo © John Plischke III.