InDesign Data Merge w/Multiple Page Document

I am working to print a multiple-page newsletter, and printing the mailing information using a Data Merge in InDesign CS4 (PC), with the intent of printing this in-house to send to our members. (My office has been doing this successfully for years using Publisher, but I insisted we update to InDesign.)
I have the document ready, and I have the Data Source information (set up in tab-delimited (.txt) text format).
After I have selected the Data Source (Window > Automation > Data Merge), inserted the Data Fields, and then Created Merged Document, I wind up with multiple versions of the Document; one for each person we are sending the newsletter to!
I was working with our printer technician to solve the issue, but his sources told him that the only way to do this was by using one document as the newsletter master and another document as the Data Merge document, and doing a little magic thru the PostScript driver in the printer.
(Specifically: the document is letter-sized, set to print as a booklet. The work-around involves copying and pasting these pages into a new tabloid-sized document, creating another blank tabloid-sized document that has only the Data Merge info in the proper place, printing the cover with this Data Merge separately, loading that into a drawer, and printing the new document and wrapping it with the pre-printed cover.)
1 - What am I doing wrong that gives me over 800 InDesign documents for this newsletter?
2 - Is there a way for me to print this without the work around?

That is what Indesign does when it does a data merge, it creates copies of the document and there's no way to change this.  Have you tried exporting to PDF (In CS4 you can do this in one step from the original) and printing?  I've never had anyone confirm it definitively but I'm pretty sure that the PDF created will be an 'optimized' one, meaning that when it sends it off to a compatible printer the images will be sent once and cached, with only the text that changes being sent separately.
Definitely worth comparing it to Publisher for speed anyway, Office programs can merge straight to the printer, but in effect they're doing the same thing.  There are programs out there for doing far fancier stuff than data merge, probably the best is XM Pie, but unless you've got a printer that recognises their language they're a waste of time in this circumstance anyway.

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