(a) In general. Each cohort to be served by a Partnership or State must be from a participating school -
(1) That has a 7th grade; and
(2) In which at least 50 percent of the students are eligible for free or reduced-price lunch under the National School Lunch Act; or
(b) Public housing exception. If the Partnership or State determines it would promote program effectiveness, a cohort may consist of all of the students in a particular grade level at one or more participating schools who reside in public housing, as defined in section 3(b)(1) of the United States Housing Act of 1937.