The distribution of the rosy fan crust is primarily determined by its habitat and the tree species with which it is associated. This fungus grows on elm wood, mainly on fallen logs, as well as on dead trees that have already been removed from the forest. Consequently, the fungus can also be found in log piles at sawmills. The rosy fan crust was first discovered in Latvia in 1991, and the first person to spot it was a 2-year-old girl, on the 7th of November. This means that it is possible to find the rosy fan crust even in late autumn.

Most of the rosy fan crust sites are within the Gauja National Park, with only a few located outside it, for example, in the Ogre River valley and on Liepu Island in the Aizkraukle marsh.
http://www.senes.lv/species/rhodotus_palmatus_1.htm