Comment by Miraste

Schools used to do this, but the push for risk reduction, metrics, and rules has become so great that it no longer happens. There used to be thousands of student-run organizations in schools across the country. That wasn't a euphemism like it is now-there were no teachers or other adults involved. The kids running them did have to learn to cooperate and make decisions in a responsible way, or face the natural consequences of the group falling apart and social failure.

Now, such organizations are banned. The closest analogue is a "student" council, run by an adult, that might get to choose the color of the wallpaper at prom.