The President has authority to make such an arrangement as you refer to, and I would suggest that parties wishing to engage in the enterprise present to him their names, purposes, and terms, either directly or through your obedient servant,

Very respectfully,

S. R. MALLORY,

Secretary of the Navy.

[Inclosure Numbers 1.]

An act of the rebel Congress to provide for special service, 7c.

Numbers 229.

AN ACT to provide for local defense and special service.

SECTION 1. The Congress of the Confederate States to enact, That the President be, and he is hereby, authorized to accept the services of volunteers of such kind and in such proportion as he may deem expedient, to serve for such time as he may prescribe, for the defense of exposed places and localities, or such special service as he may deem expedient.

SEC. 2. And such forces shall be mustered into the service of the Confederate States for the local defense or special service aforesaid, the muster-roll setting forth distinctly the services to be performed; and the said volunteers shall not be considered in actual service until thereunto ordered by the President, and they shall be entitled to pay or subsistence only for such time as they may be on duty under the orders of the President or by his direction.

SEC. 3. Such volunteer forces, when so accepted or ordered into service, shall be organized in accordance and subject to all the provisions of the act entitled "An act to provide for the public defense," approved March 6, 1861, and may be attached to such divisions, brigades, regiments, or battalions as the President may direct, and, when not organized into battalions and regiments before being mustered into service, the President shall appoint the field officers of the battalions and regiments when organized as such by him.

[Inclosure Numbers 2.]

An act of the rebel Congress for the formation of a secret service corps.

CHAPTER LXIII.

AN ACT to authorize the formation of volunteer companies for local defense.

The Congress of the Confederate States of America do enact, That for the purpose of local defense in amy portion of the Confederate States, any number of persons, not less than twenty, who are over the age of forty-five years, or otherwise not liable to military duty, may associate themselves as a military company, elect their own officers and establish rules and regulations for their own government, and shall be considered as belonging to the Provisional Army of the Confederate States, serving without pay or allowances, and entitled, when captured by the enemy, to all the privileges of prisoners of war: Provided, That such company shall, as soon as practicable, transmit their muster-roll or list of the names of the officers and privates thereof to the Governor of the State, the commanding general of the department, or any brigadier-general in the State or Confederate service, to be forwarded to the Secretary of War; but the President or commander of the district may, at any