Instead of changing the name for the Honors class, how about if you change
the requirements? Students have to submit a portfolio of say, 5 pieces, a
written essay about what being in the Honors class will do for one's art and sign a
contract to complete the requirements for the course (listed in the contract
of course) and also have the contract signed by the parent. Then say only
_____# of students can be accepted (make the number a few below your maximum if
possible so you don't get into in any trouble). This way, serious students have
the benefit of a serious Honors class, and you get the benefit of having
serious motivated students!
Perhaps this would solve your problems. Hope it helps!