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Hi Brianna,
I'll leave the copyright issue to someone more qualified, though I'm 90% sure you won't get in any trouble for using stories from the Grimms, HCA, Aesop or Oscar Wilde. I'm a former Girl Scout with a Gold Award myself (also completed at the last possible minute), and I think your project sounds great. A friend of mine (who was in my troop) used to do theater with children in the Bay area that transformed traditional stories to address modern problems (something like using Peter Pan to talk about recycling). What you'd be doing could also be connected to a larger discourse about narratives and performance as activism and therapy. I'm thinking of something called the Medea Project: Theater for Incarcerated Women, run by Rhodessa Jones. She worked with women in prison, asking them to perform their own stories and draw parallels to folklore and mythology. That's rather more intense than anything you'll be doing and this post is a bit free-associational, but I think looking at other examples of theater addressing social problems would be helpful to you.
Good luck with this.