I would love to knit baby hats for some of our teachers who are expecting and would like to do so in our school colors. Does anyone know where I could purchase orange or black baby yarn or yarn of a similar weight?

Do you have any fabric stores in your location. We have a place called Hancock Fabrics which is sure to have what you're looking for.

I'm sure the teachers would your love idea for the bonnets. However, I shouldn't think black is a very popular colour for baby yarn and consequently will be very difficult to find.

Have you tried the Yarn category on eBay?