All video editing programs will author DVDs, as well as edit video, and all sorts of cool stuff.
I've used Pinnacle Studio to edit videos and burn DVDs, including old VHS and 8mm tapes. There are plenty of programs in the $99 range that offer video editing, menus, chapters and DVD creation.
Pinnacle Studio 9
ULead VideoStudio
Sony Vegas Movie Studio+DVD
Adobe Premiere Elements