34 C.F.R. § 694.3
(a) In general. Each cohort to be served by a Partnership or State must be from a participating school—
(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.
(Authority: 20 U.S.C. 1070a-22)