Unfortunately, there are plastic things we use even though we know the consequences, plastic garbage bags being one of them.
Yes, we use both indoor and outdoor plastic garbage bags, but try and limit their use. We have friends who come by each Fall, to collect our raked leaves... they use them as compost, so that helps eliminate plastic waste.
We also visit the recycling bins at the refuse facility where we separate households plastics from paper, from cardboard, from glass, etc. We have bins at home where we deposit like things into each, so when the time comes to do a drop, everything is organized and pre-separated for ease.