This is an excellent idea, Jennie - and one I am working on here at the SSWT site. A newsletter makes a great RSS Feed, as you are writing the content once and then getting 3x the results for it (email, RSS, HTML).
I am also planning to create a Feed for specific forum categories, to run on related web pages throughout the site. There are tons of creative ways to use RSS, and I especially like the idea of combining it with content that is already available