I have found a way to recycle that also has solved some other problems.
The problem started because we heat our house with wood, and starting the stove in the morning was a pain and sometimes took longer than I had time for. So I started using our shredded bills instead of newspaper. I only need a handful or two to catch the leftover coals, and the bills take up less room than stacks of newspapers. It also keeps the shredded paper out of the landfills.
Swanzey, New Hampshire
P.S. For anyone with small critters in the house, shredded bills also make wonderful bedding.