I haven't used it in a while, but I'm pretty sure I got it working before I got my USBTiny, so it should still work. I may have changed the pin numbers, and although it can supposedly be used with avrdude, I was never able to get that working, so I can't guarantee I didn't break that part of it (though you should use Mega ISP for that, anyway).
Also, it was compiling for the atmega168 when I last worked on it, but the latest compiler makes it too big. If you need it to run from a 168, try an older version of the Arduino software (I'm thinking I was using 0013 at the time), but it compiles for the 328p just fine.