5 hours of work/service every year at school mandatory to graduate is that legal? ?

Ok so here is the thing, my school emailed and made an announcement that every year you have to do 5 hours of work for the school and pay a fee of 75$ if not paid it's an extra 10 hours for the student! Me and my friends along with the parents are well PISSED OFF and was wondering if they can do that?!?!?!? Remember mandatory to pass!