The Supreme Court (SC) has affirmed that barangays have the legal authority to conduct bingo fundraising events without securing permits from any national or local government agency, including the Philippine Amusement and Gaming Corporation (PAGCOR).

In a decision penned by Associate Justice Jose Midas P. Marquez, the SC En Banc ruled in favor of Barangays Trancoville, Outlook Drive, and Military Cut-off in Baguio City, which organized "Bingo sa Barangay" events to raise funds for community projects. The Court held that such events did not require approval from PAGCOR.

The barangays had passed resolutions formally declaring bingo as an official fundraising activity. However, during one such event, local police apprehended several barangay officials, citing alleged violations of Presidential Decree No. 1602, also known as the Anti-Gambling Law.

In response, the Association of Barangay Councils filed a petition before the Regional Trial Court (RTC), seeking a declaration that the bingo events were lawful and within barangay authority.

The national government, through the Republic of the Philippines, contended that barangays lacked the jurisdiction to conduct bingo games without PAGCOR's authorization, emphasizing the agency’s exclusive mandate to regulate gambling nationwide.

Nonetheless, both the RTC and the Court of Appeals sided with the barangays. They cited the Local Government Code of 1991 (LGC), which empowers barangays to hold fundraising activities for local initiatives without needing additional permits from higher authorities.

The Supreme Court concurred, highlighting that barangays, as the most basic political units, enjoy local autonomy under the Constitution. Section 391 of the LGC specifically permits barangays to organize fundraising events, such as bingo, so long as they adhere to national standards concerning morality, health, and safety.

Although the amended PAGCOR Charter (Republic Act No. 9487) authorizes the agency to regulate bingo nationwide, the Court pointed out that it expressly excludes games of chance, cards, and numbers that are authorized and regulated by local government units.

The Court thus ruled that the barangays acted within their legal powers, and their bingo activities fall outside PAGCOR’s regulatory scope.

In a Concurring Opinion, Senior Associate Justice Marvic M.V.F. Leonen underscored the importance of preserving barangay fiscal autonomy, noting that PAGCOR’s mandate does not override the powers granted to local governments under the LGC.

However, in a Dissenting Opinion, Associate Justice Alfredo Benjamin S. Caguioa argued that under the amended PAGCOR Charter, only PAGCOR has the authority to regulate bingo, and therefore barangays cannot legally operate such games—even for fundraising purposes.

Despite the dissent, the majority of the SC stressed the vital role of empowering barangays to raise local revenues.

“Barangays must be empowered. Allowing them to conduct ‘Bingo sa Barangay’ fundraisers without needing permits from PAGCOR or any other government body gives true effect to the Constitution’s mandate for local autonomy,” the Court concluded. “This is the duty of this Court.”