receive the _Bono de Engreso_ (exit grant), which amounts to roughly $8 per month. The transfer is uniform across families. The amount of the CS transfer is much lower than that of other well known cash transfers in Latin America. The goal of the monthly transfer is to compensate families for the costs of participating in the program, instead of consisting of a subsistence transfer, as in other conditional cash transfers.<sup>12</sup> If eligible, families in CS are guaranteed access to a monthly (non-contributory) allowance for poor families with children less than 18 years of age (SUF - _Subsidio Unico Familiar_<sup>_ ́_</sup> ); the pension for the elderly poor, for the disabled, and for individuals with mental disabilities (PASIS - _Pension Asistencial_ ); and the water subsidy (SAP - _Subsidio de Agua Potable_<sup>_ ́_</sup> ), which covers the water bills for up to 15 cubic meters of monthly consumption. The eligibility to SUF and PASIS is based on categorical requirements<sup>13</sup> and they are means-tested, based on income and the CAS score is used to determine priority in allocation of slots. In practice, the cutoffs for SUF and PASIS are well above than those of CS, so that all households used in our regression sample are ”income” eligible to SUF and/or PASIS.<sup>14</sup> Since 2004, the CS budget includes a provision on the amounts dedicated to SUF, PASIS and SAP for families in the program (see Law 19,949 of 2004<sup>15</sup> ). In 2005 and 2006, the total of payments relative to these three social subsidies and CS grants ( _Bono Chile Solidario_ and _Bono de Engreso_ ) added to 63,5% of the total budget of CS.

**Preferential access to social services and the reorganization of the supply side** Participating families have preferential access to a whole array of social services available in their municipality of residence. In theory, the set of services available to participant families covers the seven areas of program intervention (see table A.1 in Appendix). However, between 2002 and 2004, municipalities and local services providers simply improved the coordination of different programs serving the target population with no increase in the supply of services. With the approval of the law that regulates CS in 2004, there was an improvement in the quantity and quality of the supply of such auxiliary services. The programs (i) re-directed the existing supply geographically, in proportion to the needs of CS families in each municipality; (ii) were tailored to the needs of the target population; and (iii) new programs were created.<sup>16</sup> The budget share allocated to the provision of programs to CS beneficiaries increased sixfold between 2003 and 2007 (Mideplan, 2009, Cama-

> 12For example, depending on the family structure, cash transfers for the poor from Mexican Oportunidades may exceed $150 per month, and the Bolsa Familia monthly transfer in Brazil varies between $40-$60 per family. 13Presence of children in household in case of SUF and elderly or disable in case of PASIS.

> 14SUF awarding is conditional on school enrolment and health check-ups of children. The amount SUF transfer is about USD$8 per month (as of 2006) per child. Eligibility to SAP is conditional on water being supplied by the public network and in having an up-to-date bill (this last requirement is not verifiable in the administrative records). 15 See http://www.leychile.cl/N?i=226081&f=2012-05-17&p=.

> 16See table A.2 in the Appendix A.

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