branches of the service as connected with the prisoners at the several stations. Examine all matters mentioned and provided for the in printed circulares from this office, particularly as to the disbursement of and accountability for the hospital and prison funds, and also the manner of accounting for money deposited by individual prisoners. When charges are necessary in the administration of the affairs of the hospital, to improve the condition of the sick, you will order them made, and you will direct such improvements in the accommodations for the sick and in the public arrangements as may be indispensably necessary, provided they can be made at a small expense. For improvements costing more than $100 the matter, which an estimate, should be submitted to this office. It is not expected that anything more will be done to provide for the welfare of rebels prisoners than is absolutely necessary, and in directing or recommending expenditures for their benefit you will have this constantly in view. Structures which may be ordered for them must be of a temporary and cheap character, though suitable to give protection against inclement weather and to serve for the war. Hospitals will not be fitted up with all the conveniences which are provided in hospitals for Federal soldiers, but enough will be allowed to insure good police and to meet all wants of the sick. Report by telegraph your arrival at and departure from each station, and from each station forward a written report of your inspection. Having performed the service above ordered you will report in person at this office.

Very respectfully, your obedient servant,

W. HOFFMAN,

Colonel Third Infantry and Commissary-General of Prisoners.

HEADQUARTERS OF THE ARMY,
Washington, September 6, 1864.

Major-General CANBY, New Orleans: *

GENERAL: * * * I presume that General Grant's order to make no more exchanges of prisoners was based on the fact that they gave us only such men as they have utterly broken down by starvation, receiving in return from us men fit for duty. Every exchange, there fore, gives them strength, without a correspondence advantage to us. Not so, however, with exchanges made on the battle-field or immediately after an engagement. Exchange of this kind, made man, for man, as provided for in the cartel, General Grant did not intend to prohibit. You and the officers under your command are therefore at liberty to continue the exchange in the field, as provided for in last clause of article 7 of the cartel of July 22, 1862.

Very respectfully, your obedient servant,

H. W. HALLECK,

Major-General and Chief of Staff.

OFFICE AGENT OF EXCHANGE,

MILITARY DIVISION OF WEST MISSISSIPPI,

New Orleans, La., September 6, 1864.

Rear-Admiral D. G. FARRAGUT,

Commanding Western Gulf Blockading Squadron:

ADMIRAL: I have the honor to acknowledge the receipt of your communication of the 3rd instant and to inform you that I have already negotiated the exchange of which you speak.

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* Portion here omitted belongs to Series I.

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