The creation of a Bangsamoro State in Federal Republic, according to the then Senator Aquilino Pimentel, “is the last viable option left for the government” (Inquirer 2009, 4). Given the autonomy provided by the State to the Autonomous Region of Muslim Mindanao (ARMM), is federalization politically viable? This paper explores the viability of federalizing the ARMM. It is premised that the ARMM is a test case for federalism as it is part of the rational consideration for the peace resolution of the armed conflict that has been long standing in the region. Examination is limited to discussions on the political structure of the ARMM governance through decentralization, its political culture in relation to patronage politics, and the fiscal governance in the ARMM particularly in the delivery of basic services to the people.