There's 2 general ways: copy the footage to your computer and create a dvd, or use a DVD recording console.
1) Capturing analog video onto your comp and use a DVD-R (aka the hard way). You'll need analog video capture hardware: either a traditional capture card, a high-speed USB capture device, or an analog-to-DV bridge (such as those from Dazzle; you'll need a firewire port to receive DV video from the DV bridge). The capture device will record full-resolution video (640x480, up to 720x480 NTSC) from your VCR, straight to either a compressed AVI, or MPEG-2, or DV format video file. You'll need TONS of harddrive space. Expect an average of 2-4MB per second of recorded video+audio. You know how long the movies are, so you can do the math. When the video is on your harddrive and ready, you'll need transcoding programs or DVD authoring programs to format the video to proper DVD specifications, and you can finally burn a dvd. In terms of time cost, there's the time involved with watching/recording the video, then transcoding/conversion, then burning the dvd. The methods other than the DV bridge method requires your system to be in tip-top shape; fast harddrive, decent-as-of-2001 CPU, clean defragged drives, no other programs running other than the capture program, a fixed-size swap file to minimize unnecessary harddrive operations; OTHERWISE you risk dropping frames during capture. Can be a headache when somethings not quite right.
2) Use a DVD recording console that has analog inputs (transfer your home movies to dvd! -- crap like that, it's been around). You'll hookup your VCR straight to this DVD recorder, and it should burn your DVD as you watch it. However, I expect either the VCR or the VHS tape to support Macrovision copy protection, in which case any analog video recording will show up as a garbled mess on the destination medium, or no video shows up at all. In which case, you'll have to hookup your VCR's analog outputs to a little unit that strips the Macrovision copy protection, then hookup another set of analog cables from the little unit to the DVD recorder. Pricey but less painful option.