I have about 200 script ideas in a notebook, and if some idea comes out that would be good for a new script, I enter it. If something comes along for an existing script idea, I add that in for that particular script entry. I continue to collect notes, ideas, and snippets for all my script ideas. When a new project begins, I scan the notebook, and when I finally select the idea for the next script, many notes over time are already collected. My wallet holds a pen and small pad of paper, and my PDA is also generally available. I never know when inspiration will strike or when I'll observe, hear, or coin something worth recording.
Overheard Conversations
Just listen to the world around you and you'll find plenty of sources for material. In airports, malls, parks, and other public places, people are constantly engaged in conversations. As I listen, certain phrases catch my attention: the way they're worded, or perhaps a grammatical blunder, or something simply surprising or amusing. Sometimes I only catch someone's answer to a question, or just the last half of a sentence. These can be the most fun, since I don't know what preceded the part I heard; I make up what leads to a person saying that particular thing.
Recording Life
Since they're so prevalent these days, people generally don't take notice of video recorders. I'm actually more interested in the audio than the video. If I stand near someone having a conversation, but point away at some other subject, the microphone on the camera will pick up all nearby sounds, including conversations, and the people will go about their business unaffected by my presence.
Other times I've used a handheld cassette recorder and spoken into it as the muses came over me. Sometimes it was describing a particular story line; other times it was just letting my mind and voice wander.
Visuals
Many times a script idea comes from a remarkable visual: a picture, a scene, or a person. These can spark ideas for set designs, situations, or interesting characters. A good exercise is to write down the description of the visual while looking at it, and then determine whether the written description captures not only the subject, but also the moods and emotions that caught your attention.
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