You can set a fixed color palette by Fancy Design, but it would be more efficient to also be able to set it by Product in the Individual Product Settings. For example, let's say I have a particular Fancy Design (clip art) that I want to print on T-Shirts. For White T-Shirts I want to use the color picker for the clip art, and for Black T-shirts I want to fix the color palette to light colored inks.
There is currently no way to do this, unless you create two copies of every Fancy Design: one version with a fixed color palette and one version with the color picker. That may be OK for a site with just a few pieces of clip art, but if you have thousands of image files it is a big waste of space. You CAN choose between a fixed palette and the color picker for Text in the Individual Product Settings, so why not Fancy Designs too?