They preferred instead a federal arrangement composed of Luzon, Visayas, and Mindanao as a logical substitute because of its indigenous elements.
On December 2, 1898, after series of serious discussions and thorough deliberations, with the merger of the Central and Western Visayas Cantonal Governments --the Panay government, based in Iloilo was renamed "Estado Federal de Bisayas" or Federal Republic of the Visayas, patterned after the U.S. Federal and Cantonal government of the Swiss Confederation.
Earlier, Gen. Roque Lopez and Gen. Pablo Araneta of Iloilo secretly maintained liaison with their “Parientes“ and friends in Negros Island, namely; Gen. Aniceto Lacson of Talisay, Gen. Juan “Tan Juan” Araneta of Bago, Gen. Marciano Araneta of La Carlota, Gen. Leandro Locsin of Silay and others to start the armed uprising against the Spanish forces in their respective areas.
Gen. Pablo Araneta, a Physician-Surgeon by profession, as Panay Island Commanding General and Chief-Expeditionary Forces for the Visayas under Martin Delgado (Gen-en-Gefe), commissioned Colonels Eduardo and Emilio Esteban to coordinate with other Visayan Revolucionarios. While the Negros revolutionary leadership also assigned Gen. Pantaleon “Leon Kilat“ Villegas of Bacong, Negros Oriental to organize the Cebuano patriots and join in the revolution.