Wow my version seems really weird in comparison. we did do the hand clapping around a circle. Once the last bit was said you were supposed to pull your hand before the clapper got to you. If you did they were out, if not you. So the circle got smaller and smaller. Here was Kennesaw, Georgia's version

Down by the banks of the hanky panks
Where the bullfrogs jump from banks to banks
Singing eeps iips ops oops
Chili willi ding dong
Lets play a game of ping pong

In the year of 1995
I pledge alligance to the flag
Micheal Jackson is a fad
Coca cola busted up
Now I'm drinking 7 up
7 up has no caffeine
Now I'm singing Billy Jean
Billy Jean went out of style
Now I'm singing bob....ie...brown!