I just remembered another blog design I did, where I compromised with a single image that acts as a long vertical background for the whole sidebar.
http://farmerbarney.com
I say compromise, because if I were to keep adding widgets, they'd end up falling off the bottom edge of the "paper" image.
I accomplished that with an HTML insert:
Code:
td#right {
vertical-align: top;
border-left: dashed 0px #CCC;
padding: 10px 10px 10px 10px;
background: url(ADDRESS-OF-JPG-GOES-HERE) no-repeat top left;
}