Dacrymyces palmatus

Scientific name:   Dacrymyces palmatus (Schweinitz)
Bresadola
Derivation of name:  Palm- means "palm" (of a hand) and
-atus means "resembling" or "similar to."
Synonyms:  
Common name(s):  Orange jelly; Orange witch's butter.
Phylum:   Basidiomycota
Order:   Dacrymycetales
Family:   Dacrymycetaceae
Occurrence on wood substrate:  Saprobic; forming dense
clusters on decaying conifer wood; May through November. 
Dimensions:  Fruitbodies 1-6 cm wide and up to 2.5 cm
high.   
Description: Irregular brainlike or lobed gelatinous mass;
yellowish-orange to orange; whitish near the point of
attachment.
Edibility: Edible.
Comments: Similar to Tremella mesenterica but differing in
growth on conifer wood and white point of attachment.

More information at RogersMushrooms.com:   


Figure 1. Can you see Dacrymyces palmatus on the
hemlock (Tsuga canadensis) trunk?    


Figure 2. A closer view.

Figure 3. Characteristic, irregular, gelatinous masses.

Figure 4. The white mycelium at the point of attachment is an
important field character. You may have to dig out the cluster
in order to see it.


Figure 5. The narrow point of attachment.

Figure 6. When dry, Dacrymyces palmatus develops a
reddish-orange color.