(a) To be eligible to apply for and receive grant funding an entity must:(1) be a new or expanded physician residency program at teaching hospitals and other appropriate health care entities;(2) meet any other eligibility criteria set forth in Texas Education Code, §58A.081; and(3) have or create a resident physician site in a rural or nonmetropolitan area.(b) Eligible sites will be confirmed by Coordinating Board staff, in cooperation with the applicant.