If you want to line a lycra skirt to keep light from shining through it, you might consider using the kind on lining that is used to line swimsuits, which are also made of lycra. As for appliques, stabilize the part of the skirt that is to be decorated with non stretchable interfacing to prevent the skirt from stretching and popping the applique. You'd have to make sure there was still enough stretch to get the skirt off and on, of course.
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