It's not a paper craft, but it is another great idea that mixes sentimental with practical. I photograph my kids' art so that it won't overtake my refrigerator and so that I can display it on our family blog.
I was looking for another way to share the kids' art with far flung relatives and with everyone going green and using reusable shopping bags, I thought this would be a perfect Mother's Day gift!
I used my favorite (and FREE) photo program, Picasa (you can get this at Google.com) to create a photo collage. Then I printed it on the photo iron-on paper, and put it on these canvas bags I found at the discount store. (There is one other tiny detail that is important if you are printing any typed words: you need to flip the photo so that it's a mirror image. You can't do this in Picasa, so try adding the image to Microsoft Word or my other favorite free photo program, Photoscape.)
Photo collages can also be added to things like mugs, by ordering from an online photo lab. I love mixing something practical with a sentimental reminder of loved ones and I know these totes will be treasured! I sent them to the moms and aunts in our family, but this would be a great gift for a teacher or Scout leader as well!