How can I use this stuff?

The needles are falling from the redwoods, cedar, Grand Fir, Douglas Fir and
Ponderosa Pine that grow in an island in my yard. The oak leaves are
starting to fall too. There is just too much to leave it all under the
trees. It will bury everything growing beneath! I'd like to leave some
under, but what can I do with the rest? We were blowing it all out and
tossing it, but that seems a waste of good material. I could mow it up with
the mulching blades and spread it around the other beds. Or should I stack
it all in a pile and compost it? Suggestions?

Karen