Kalen: trust me, you'd understand if you played with some of the players I did. For reasons of sanity, moving on is the best idea. Now of course in general it is heresy to encourage rule-breaking, but the rules weren't written with 40+ handicap hacks on very crowded courses in mind. I firmly believe the rules were written for competition first and foremost.
Pete does bring up a good point; only problem is, how could you make rules to put this in practice? Declare something not a boundary of the course when the hole has risk/reward elements? Of course that can't be done... thus the preference surely ought to be designing holes in which OB is not an integral part of things, or if it is, make the punishment fit the crime. That is, obviously boundaries of the course must exist most places; when they do, design accordingly, knowing the penalty for failure. Seems pretty easy to do...
TH