My response is focused specifically on Public schools where I think trying to achieve the right balance in terms of accessibility and priorities is a tricky thing. The families in the neighborhoods that you mention pay their state taxes just like everyone else, actually they pay far more than most. I don’t know where the balance should lie but I’m pretty sure that we haven’t arrived anywhere near it to date.
The issue is far more acute for doughnut hole families than the wealthy. In my area the wealthy just opt out of the UC system and focus on privates but among the doughnut hole families competition for the top publics is fierce and the angst levels high.
Personally I believe that Private schools should be able to admit anyone they want within the bounds of legality. I have no issue with ALDC preferences at all. The acceptance of a lesser admit who family funds a building benefits potentially millions of students over the lifespan of that building. People who complain about these things are missing the forest for the trees. Students are left behind in HYPSM admissions because of preferences, they are left behind because when 60,000 students apply for 2,000 spots the sheer numbers overwhelm all other considerations.