Ok How far along in that process are you? Have you been formally told something or are you just on some kind of perceived "shit list"?
Yeah it sucks but their gym..their rules. You have to decide if you can play along or take your proverbial ball elsewhere.
What do you mean "we (the students) do not have the option to pay for the school gym or not so I can't get my money back" is the gym cost figured into your tuition or something? Sorry man but I have to kind of call bullshit on this whole "I'm just a poor college kid" thing. You guys got money for beer and weed so pony up $20 a month for a decent gym membership to somewhere that isn't run by fags. I know your not looking for this advice but this is the internet...lol
maybe this http://www.bodybuilding.com/store/xf/chalk.html
or this http://www.liftinglarge.com/dryhands.aspx