This article uses Chile’s state milk program as a prism to map the trajectory of Chile’s social state through three combinations of political, economic, and welfare regimes. It traces the informal strategies deployed by citizens and local service providers and presents a historical typology of these encounters between 1954 and 2010, examining what commodification and decommodification mean to families in their everyday lives and discussing the implications of these findings to the literature on welfare regimes. The most important finding of this article is that regime type shapes but does not determine levels of provision. Welfare provision occurs in everyday interactions between state workers and citizens, and changes in regime type are filtered through and resisted through practices and strategies deployed in face-to-face encounters between local state representatives and citizens. There is often a large gap between central policy and these informal institutions that are created in everyday on-the-ground encounters between local state workers and citizens. Therefore, a second main conclusion of this article is that the informal institutions created at the local provision level coexist, compete, and clash with formal rules. A third conclusion of this article is that, to some extent, people who are regulated by the state also have some capacity to regulate their exchanges with the state, and, at the same time, state workers who organize and are organized by the state to distribute resources exercise discretionary power when implementing social programs.