Old Fashion Drop Kick used for Kickoff
 

In high school football, is it legal on kickoff for the kicker to set the ball on the tee, signal he is ready and the ready for play whistle is blown and then the kicker walks back to the tee, picks up the ball and at that position of the tee executes an old-fashioned dropkick to put the kickoff in play. I'm 99% sure this is legal at the college level but what about high school?

I don't know of any rule that prohibits it. Therefore legal in my mind.

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Drop Kick
 

Under NCAA rules (which is what we use here in Texas) you can do drop kick to kick off.
Kickoff
ARTICLE 6. A kickoff is a free kick that starts each half and follows each try or field
goal (Exception: In extra periods). It must be a place kick or a drop kick.

As long as he kicks from the same spot that the ball was on the tee. To me, when he placed the ball on the tee, he designated his spot of the kick. If he drop kicks from that spot instead of using the tee, that's fine.

A free kick shall be made from any point between the hash marks and on K's free-kick line. A punt may not be used for a free kick other than after a safety. Once designated, K must kick from that spot. When a punt is used following a safety, the ball must be kicked within one step behind K's free-kick line. In an emergency, such as a pool of water on K's free-kick line, the referee has authority to move the ball to a playable line. in which case, both free-kick lines are moved to compensate.

Didn't know anyone do that these day? Back when I was playing freshman football at Maine, we had a guy who did drop kicks for kick offs, extra points, and field goals. He was pretty good at it as I recall.

NFHS: 2-24-6: "A drop kick is a legal kick by a player who drops the ball and kicks it when it touches the ground or as it is rising from the ground. A drop kick may be used for a scrimmage kick, a kickoff, a free kick following a safety or for a free kick following a fair catch or awarded fair catch."