Note - I (Damyon) have updated this issue to describe a more general feature.
It would be great to have a cut-down editor available for forms that only want simple formatting of text. Examples of places this would be useful: Gradebook, Marking guide (I bet there are lots more)
It would be good/better if the Marking Guide "Description for Student" sections used the full editor. Some clients have requested that they at least have basic formatting of the text in these areas. At the moment there is nothing.