A rain garden is a very attractive way to hide a draining system that can last for years and with the right planting materials it will attract birds and butterflies. It can be used to show off native plants of the region or be planted every year with annuals for a cottage garden look. For a complete look at what a rain garden is, how to design one and all the do's and don'ts, check out this link from Low Impact Development.org.
How to Install a Rain Garden
Key Ideas for Installing a Rain Garden