 Financing and Subsidies Urban water and sanitation systems do not receive direct subsidies and are financed through the capital market, and ultimately through user fees.However, Chile has an innovative system of means-tested subsidies that allows qualifying poor households to receive a subsidy administered by the municipalities to pay parts of their water and sanitation bills.Rural water systems receive a partial investment subsidy that is defined in the Ley del Subsidio al Agua Potable y Saneamiento.