I bet it's incredibly frustrating to have this happen. I think most of us love the idea of our kids attending the neighborhood school. Walking to school....getting to know your neighbors better...lots and lots of benefits! And sometimes we even pay more for our houses because they're assigned to a better school. So of course it's frustrating when our kids don't get to go there!
Here in California lots of schools flat out don't have enough room for all the kids in their assigned geographic area. So they end up sending some kids to other schools that have more capacity. No one likes it, but the schools really have no other choice. Maybe that's the case with your school?
I don't know of other legitimate reasons for a public school to deny enrollment. I think they're required to meet any special needs a child may have.
Did the school give you a reason for the denial? I'd ask for a meeting with the principal, and if necessary the district superintendent, if you're not getting information about the denial.
I am in saint louis mo i am having the same problem. Saint louis public schools would be my district school we also have Charters schools. I have to schools all around my home but slp school district sais they wont accept my kids because they came from charter school as if it matters. But the charter schools in my district said there full.
As a result my kids are not in school because no school is accepting new enrollments. WHAT SHOULD I DO? I already went to the board of education." smack in the face there also"