The rewards will be based on the use of IT in documentation of treatment procedures, care management and patient education. The vendors will not recommend specific hardware or applications to meet the criteria, Rideout said.

Over the long term, the vendors plan to expand the consortium in locations where they have large concentrations of employees and invite smaller physician practices to join, he added.

IDC analyst Scott Tiazkun agreed that the collaborative is the first pay-for-performance initiative to focus on IT. But he questioned whether it can spur the use of EMRs by small physician practices.

"The financial incentives offered are a way to reward the 'haves' rather than creating electronic health record opportunities for the 'have-nots,'" Tiazkun said.