I don't know much about musicals, so I was thinking that someone might have ideas for working in a few additional references.
First draft (with minor changes underlined):
@@LEADER@@: The Musical!
Last night, the students of @@CAPITAL@@ Central High School performed a spirited rendition of the play "@@LEADER@@: Glorious Hero of @@NAME@@". Horrifyingly, they turned it into a musical parody -- with you as the villain instead of the hero.
Validity: Repressive dictatorships with minimal freedom of speech
1. "See, this is what happens when we let people make decisions on their own," complains Propaganda Minister @@RANDOMNAME@@, idly twirling his mustache. "We gave these kids the freedom to perform a variety of theatrical productions, ranging from '@@LEADER@@'s Greatest Victories' to 'The Sun Shines From @@LEADER@@'s Every Orifice'. Instead, they turned our most beloved national hagiography into a vulgar parody where you torture dissidents and sing about sending innocent people to the gulags! Drag these teenage reprobates and the school administrators to a re-education camp until they learn that you are a kind and merciful leader who only wants the best for our people."
Effect: citizens can freely debate whether @@LEADER@@ is a great leader or the greatest leader
2. "Please! I didn't know about those rewrites that the students made," pleads Principal @@RANDOMNAME@@, who was brought before you in chains. "It's normal for teenagers to go through a rebellious phase. If this wretched worm before you might make a suggestion, perhaps a small amount of political satire would be a good thing! Allowing your unworthy subjects a little more freedom of expression would show that you're a good sport with a sense of humor -- and ample reserves of forgiveness toward those of us who can never hope to live up to your magnificent example."
Effect: community theaters are known for their bawdy renditions of "Springtime for @@LEADER@@"
3. "I actually liked the part where you slaughtered your enemies and literally danced on their graves," enthuses your Minister of Cruel and Unusual Punishments, who appears to be sketching new ideas for torture devices in a notebook. "It would be a shame to waste all that raw talent by sending them to break rocks in a quarry. If those troublesome teens think it's so fun to write clever songs, we'll just make them do that for the rest of their lives. I'm sure that our Ironic Punishments Division can find jobs for them on the 'Fawning Adulation for @@LEADER@@ Variety Hour' or a similar program. They'll really hate that."
Effect: songs of praise to @@LEADER@@ are filled with coded messages from the resistance
4. "It sounds like those kids wrote some really catchy songs," exclaims lyricist and composer Stephanie Soundheimer, who is shackled to a writing desk in your office until she creates a new version of 'Let Us All Praise @@LEADER@@' that doesn't meet with your displeasure. "This sort of musical drama about a political figure is very popular overseas -- just look at the success of 'Maxita' or 'Spamilton'. With your approval, I could remove the obvious slander, the rendition of the national anthem performed entirely with farting noises, and the many other offensive parts, and perhaps turn this into a blockbuster musical sensation that would run in theaters worldwide. With the financial windfall that this would bring us, you could finally build that new palace that's made of solid gold, with faucets that dispense the tears of your enemies!"
Effect: musical fans visiting @@NAME@@ are shocked to discover that the most common form of singing is the screams of dissidents
you are right, issues for crazy dictatorships are fun to write as you've proven with this draft.
