You know, I've also had an idea for something like this, but I tried to avoid the whole recording problem by making sure everyone would live close by one another so they could rehearse together, rather than just recording themselves along with a track.
That being said, as if my bonus track on SMB wasn't proof enough, I would definitely be interested in arranging VGM, along with any original pieces I manage to come up with.
Oh yeah, and my tenor sax, too. If y'all want that as well.