My district has an excellent music program. All kids are required to take music (band, orchestra, choir) in 4-6th grades. And in these grades there is usually only one ensemble but the more advanced kids might have a solo. And there is district honors & state honors programs which many of the top kids make. In higher grades there are levels of band/orchestra/choir. Everyone who is in band/orchestra/choir get to perform at all concerts. Band takes in anyone who wants even if they have never played an instrument before (even in H.S.). But you do have to try out to get first chair, or into the higher level band.
A perfectly normal and resaonable system, IMO, and one I support. Isn't this part of why we have first, second, and third parts? (Not sure how common third parts are, but I seem to recall third sections in my band.) I also support what we have where I live--one level of musical group in elementary (4 and 5) with multiple levels in middle school. You audition for higher-level ensembles. I suppose it's possible some kids are asked not to play in some of these at times if not prepared (never heard ofit, but could be). But there is always some kind of performance opportunity for anyone who wants to play or sing.
Trust me, there are oodles of higher-level music opportunities in the area in question. If talented kids want opportunities, they have them.
