an ongoing series of doable ideas that might be worth riffing on
Beck has started something he's called the Record Club for which he and friends like Devendra Banhart, MGMT, Jamie Lidell, and producer Nigel Godrich get together and re-record someone else's classic album in its entirety with little or no rehearsal.
According to Pitchfork, Beck will use his website as well as the websites of the other musicians involved to offer up a free song from the sessions every week. He bravely started off with The Velvet Underground and Nico. I guess because he's giving it away, he's not too worried about paying songwriter royalties.
Why couldn't your band along with other bands in your town or scene or on your record label do the same thing?