(b) The submission of a memorandum of understanding and support between the governing authority of the school district serving the area in which the schools proposing to participate in the facility's project are located and the applicant—article 28 facility shall be a condition of eligibility for a grant under this Part. For those projects to be located in any nonpublic school, the submission of a memorandum of understanding and support between the governing authority of such nonpublic school and the applicant—article 28 facility shall also be a condition of eligibility for a grant under this Part. Services funded by these State grants shall be available to all pupils enrolled in participating schools regardless of ability to pay. Only article 28 facilities proposing projects based in schools located in cities exempt from the requirements of State mandated public school pupil medical inspections and examinations under article 19 of the Education Law will be eligible to receive grant funds. Grant funds received pursuant to this Part must be used solely for a school health project approved pursuant to this Part. Selection of applications for grants shall be based upon criteria which, at a minimum, shall include:

1. (1) the extent of need and high risk in the community to be served based upon health indicators relating to children;
2. (2) the degree of participation by, and the commitment of, the schools and school districts proposing to participate in the project;
3. (3) the quality, scope and feasibility of the project proposal; and
4. (4) the qualifications, experience and commitment to the proposal of the applicant.