Are Custom Taxonomy Templates Possible?

I am trying to have some information specific to a taxonomy term appear above that taxonomy’s archive list.

Example: Taxonomy is ‘Sports’, with football, soccer, and baseball being terms within the ‘Sports’ taxonomy. I would like to have a small description of each sport display above that term’s archive page.

In researching this possibility, I have read the Category Templates page, found a plugin that appears to do what I want, but only with regard to Categories and not custom taxonomies.

I would do it with Categories, but I have multiple taxonomies now and cannot use the simple categories solution any longer 🙁

Am I being dense, or are custom taxonomy templates not possible?

Custom Taxonomy templates are entirely possible, the order of the template loading is,

1. taxonomy-{sometax}-{someterm}.php – If the taxonomy were sometax, and
   taxonomy’s slug were someterm
2. taxonomy-{sometax}.php – If the taxonomy were sometax.
3. taxonomy.php
4. archive.php
5. index.php

This template hierarchy give you tons of control on how you want to alter the display of taxonomies as a whole, as a group or alone.
http://codex.wordpress.org/Template_Hierarchy

For example in your case you can create a template called taxonomy-sports.php and then customize it however you want using conditionals, template tags and functions.