Since i started working with Paper Wheels back in 2009 i've experimented with quite a few regritting methods, and the recipe below is what has been working best & longest for me:
1 - First remove all traces of the old wax layer.
For this i use a steel wire brush on the spinning Wheel until most is gone, then i shut the machine down and remove the last remnants with an old rag & brake cleaner.
2 - Then remove all traces of grit & glue until you get to the bare cardboard surface.
For this i use an old coarse silicon carbide stone first and a semi-coarse diamond stone second, but coarse sandpaper on a piece of wood also works well.
3 - Take a good quality water resistant wood glue and coat the bare cardboard surface evenly.
I just use a clean finger while turning the Wheel with my other hand.
Let dry at least overnight.
4 - The next day apply a new and just a little thicker layer of the same glue, and immediately after coat the surface with the grit.
For this i put a thick layer of grit in a small rectangle box or a deep plastic lid from a jar and gently push the surface of the wheel in it, evenly and all the way around.
Put the wheel back on the machine and let dry at least overnight.
5 - The next day run the machine with the wheel for just a few seconds so any loose grit particles fly off.
I also hold my diamond stone shortly to the sides of the Wheel to remove grit particles that stick out there.
Stop the wheel and coat the gritted surface with a very thin & even layer of the same wood glue, so thin you can still feel the grit under your fingertips when you're done.
Let it dry at least overnight.
6 - The next day run the machine and hold an old junk knife a few seconds to the wheel (still without the wax), as this will lay bare the highest points of the grit particles.
Now you can put some wax on the surface (don't overdo it) and sharpen away.
As you can see the process takes some time, but to me it's worth it.
The triple layer of glue makes for a much stronger bond of the SiC grit to the cardboard surface compared to just one layer of glue, and each grit particle is also held better in the glue since it's almost completely encapsulated by it, while the glue itself will wear away easily during sharpening.
This method provides me with a grit Wheel that works perfectly and also lasts longer between regrittings.