Requires the maximum fee charged to a public or private high school student, eligible to participate in the federal free and reduced-price meals program, for an associated student body card, other student identification card, participating in an extracurricular activity, or participating in career and technical student organizations to be five dollars.

Prohibits a student from being required to complete a physical examination to participate in extracurricular activities more often than every twenty-four months.

Creates the promoting lively activities for youth grant program to subsidize small school districts impacted by the cap on the fees charged to public high school students eligible to participate in the federal free and reduced-price meals program.

Requires the office of financial management to contract with the Washington interscholastic activities association to administer the program.

Requires the Washington interscholastic activities association to allocate, on a first come basis, up to fifty thousand dollars per school year for the purposes of the grant program.