Given that we probably won't have Mineworld on this server, should we designate an area for strip mining sand? Obviously it isn't all that nice-looking an operation, so if we pick somewhere out of the way that nobody wants to settle it will keep the damage contained. The far northern desert has a couple of villages and the central area will probably be too well traveled, but that still leaves a few around the edges of the map. I'd be inclined to use the island at (1000, 3300) myself, just because it seems less interesting than the rest. It's somewhat out of the way, but once nether access is up that won't matter so much.
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