Your group and their comments sound exactly like my group. What I did was take over making the kits. I took it all to my house and then gradually eliminated the crap. It went on to the second hand store that decided if it was worth reselling or if it should be recycled for rags. They actually advertise they will take anything, stained or torn... for rags.
Making the kits does not require cutting it all, but sometimes I would cut the fabrics that would make the quilt sing. Something bright or pretty in with the uglies. Sometimes I would donate a few strips of my own fabric to make that happen. Nobody has ever said a thing in 10 years like "what happened to all those sheets and curtains we had donated".
Lots of compliments on the quilts though.