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One thing you might consider is something I've been having success with
the last few years. We approach the school administration or computer center
and see if they have any real projects for us. Then, I select one that
makes a semester long project for the entire class to work on. When we're
finished, the university actually uses them (and of course we put who
produced the document right on it). It gives them better documents to use,
it gives the class wonderful experience, it gives the students a sample to
include in potential job searches, and it gives me a break from having to
come up with hypothetical exercises. Everyone is happy. :)
This semester we are producing a document for instructions for students
on campus to use the "Outlook 98" program. It's new to our campus and they
don't have instruction sheets for every student. They want us to produce
a two page (front and back) document so students sitting down for the first
time can use it. The class is REALLY getting into it. Give it a try.