I have a somewhat vast DivX collection of movies...I mostly just watch them from my computer area, but VCD's are a great idea. I've never done it myself, but try to get Emily to help you with them.
I use Sonic MyDVD (it came with my Firewire card and it's a special version that only burns VCDs and not DVDs). I think for the most part you need a program like MyDVD to do it. I'm sure Roxio and Nero burn VCDs too, but I've never used either of them.
The only burning program I really use is Windows Media Player, since it's convenient for me.
I have briefly used both Roxio and Nero, but am not all that savvy on their features.
I might give MyDVD a try to be able to make some VCDs. Although I've heard that only some DVD players will play VCDs...is this true? I always play DVDs through my PS2, because I'm cheap. ^.^