OH...so Ergot is sort of like organic LSD? That explains a lot. Like, the werewolf legends are supposed to be attributable to ergot, too.
One of Ergot's alkaloids is the component of organically derived LSD. And in fact was what Hoffman first got LSD from.
However, Ergotine is highly poisonous. Also, no you wouldn't get Ergot from damp bread, it has to form on the grain or the flour, but once cooked the fungus will be killed off. Also you're more likely to develop Ergot in wheat or barley.
The Ergot Alkaloids; A. Stoll and A. Hofmann (THE);
Chapter 21, The Alkaloids, Manske (ed. ?) vol. VIII, pgs 725-779+.
Describes lots and lots and lots of chemical detail regarding
everything from biogenesis to complete chemical synthesis as a means
of confirming structure. Also has a section completely devoted to
"Derivatives of Ergot Alkaloids" in which the following processes
for synthesizing amides are discussed:
=> The azide process.
=> DMF-SO3 mixed anhydride method.
=> mixed Lysergic acid trifluoroacetic anhydride.
=> Lysergic acid chloride hydrochloride method.
=> N,N'- carbonyldiimidazole as condensing agent
Needless to say, yes I'm now clinically insane, and I did a lot of research into it.
As far as mushrooms go, as long as we're talking psylocybin and not anything more interesting, sheep do perfectly well too. As long as the spores are around they don't need to have passed through the animal. The grazing is mostly to keep the grass at a good length. You then want fairly warm weather, but with some good rain, in about September/October. Of course I'm talking UK here, and since foot and mouth we haven't had a good mushroom season.
Also, thought this was fascinating -
http://www.cowboybooks.com.au/html/acidtrip1.htmlA set of illustration by an artist at various intervals after having a controlled dose of LSD. Not only are some of the drawings (6, 7 and

absolutely stunning, but the information regarding the guy's activities while tripping were hysterical (possibly only due to experience, much the same way as I find Fear and Loathing in Las Vegas absolutely hysterical).