As a scoutmaster, I have the ability to go at things a little differently.
Upon ranking up to first class, I award each scout a Mora knife, which we allow at our camps. I've even gotten a couple of the summer camps to accept our rule.
For Totin' Chip, I have a vast assortment of refurbished boy scout knives, swiss army knives and some Opinels, that they use to earn the Chip. Then I give them the knife. Now that I think about it, though, I'll probably transition to only Opinels, for the locking feature.
By the way, one of the reasons why the scout knives get dull so quickly is also the reason why they are so easy to maintain. We keep a set of sharpening stones available for all scouts on all outings, left in a central place, to build in the discipline of keeping one's tools sharp. The lack of a locking feature should also be a minor thing, as I would expect any older scout to stop a younger scout long before the knife went towards the tennis ball... or both younger and older scout would be missing a corner on their Totin' Chip (or the whole card).
As for young scouts buying cheap knives at the trading post, we don't find that to be a problem, because all the older scouts carry quality knives that they maintain meticulously... and the younger scouts want to be like the older scouts. Yes, some of the older scouts get ridiculous tactifolders, but they usually move back to regular knives or the Mora after a couple of trips show them the flaw of the tacticool. And then it also helps that the adult leaders do just fine with a Leatherman Wave or a simple fixed blade.