The Barnes and Noble Summer reading program is great. You get a free book when you read eight books off of a specified lists which includes some great classics such as James and the Giant Peach
Sylvian has a free program called Book Adventure where kids can read books and take tests over them to get points. The points can be traded in for prizes (such as a coupon for a free candy bar at Rocky Mountain Chocolate Factory! There are also language arts games that kids can play.
Scholastic has a program where kids can log their minutes to win virtual prizes.
You should also be sure to check out the program at your local library.
