Thanks to for this Frugal Baby Tip!
I have the First Years diaper pail too and thought of using a nylon bag in it, but thought it was too small after switching to cloth so I use it for a garbage can now! The garbage smells worse anyway!
For a diaper pail we use a Rubbermaid container that is about the size of tall garbage can, but has a tight fitting lid and is rectangle shape. I put the large nylon bag in the Rubbermaid container and snap the lid on tightly after the nylon bag is out over the edge like you would a garbage bag. I think these container are under $10 at Wal Mart type stores and it works great for us. Before I bought this I used a simple 5 gallon pail with a snap on lid. Those types of pails are pretty easy to find in farm type stores, but my husband got this one free with some dog food and it had never been used. I even covered it with some leftover contact paper so it matched Meg's room, but eventually when I went to full time cloth it was too small too. It would work well if you wanted 2 diaper pails though (one just wet and one for poopy ones).
Oh, obviously I use a dry pail. I hardly ever soak in the washer either, but do put them through at least 2 washes and they come out looking great.