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The New York Times has an article on eating squirrel. http://www.nytimes.com/2009/01/07/dining/07squirrel.html

Unfortunately, it included no recipes. Here is Ad Aged's favorite:

Squirrel Cacciatore

~ 2 - 3 squirrels cut up in pieces
~ 1/4 cup flour
~ garlic salt
~ black pepper
~ 2 tbsp oil
~ 1/2 tsp oregano
~ 1/4 tsp ground cloves
~ 1 4oz can sliced mushrooms, drained
~ 1 medium green pepper, chopped
~ 2 onions, sliced
~ 1 rib of celery, chopped
~ 1 15oz can tomato sauce
~ 1/2 cup dry white wine
~ 1 small can(2oz) ripe sliced olives

Shake the squirrel pieces in a bag with flour, garlic salt and pepper. In a Dutch oven saute the pieces in the oil until golden brown.

Add the remaining ingredients, except for the olives. Cover and simmer over low heat about 1 hour, or squirrel is tender.

Stir in black olives simmer 10 minutes more.

Serve with rice or noodles if desired.