Kevin's code can be easily modified to use simple gear tooth sensors instead of quadrature encoders. All you need to do is open the encoder.c file and remove the code that uses the second phase.
You'll probably be using two sensors, so you need to do this to both. Find the functions in encoder.c called Encoder_n_Int_Handler, where n stands for the digital port you're using for that sensor. Modify it to look like so:
Code:
void Encoder_n_Int_Handler(void)
{
Encoder_n_Count += ENCODER_n_TICK_DELTA;
}
Should be fairly simple to do this.