Olympus C-5060 buy it
pretty fantastic, rugged and built to last.
Olympus C-8080 buy it
the link is to a review on dpreview.com. very well written site and excellent review quality. read the conclusion on the last page. tough call between this one and an digital SLR. it might be more than you need already.
Nikon D-70
this is the choice in digital SLRs.
I'm choosing between these models. Obviously I haven't decided on a budget yet. I'll probably get the 5060.