"I will send your application to the president, but in the mean time you must desist from the formation of any negro military organization.

"I am your obedient servant,

"Benj. F. Butler, Major-General Commanding.

"Brigadier-General Phelps, commanding forces at Camp Parapet."

General Phelps' resignation was accepted by the Government. He received notification of the fact on the 8th of September and immediately prepared to return to his farm in Vermont. In parting with his officers, who were, like his soldiers, much attached to him, he said: "And now, with earnest wishes for your welfare, and aspirations for the success of the great cause for which you are here, I bid you good-bye." Says Parton:

"When at length, the government had arrived at a negro policy, and was arming slaves, the president offered General Phelps a major-general's commission. He replied, it is said, that he would willingly accept the commission if it were dated back to the day of his resignation, so as to carry with it an approval of his course at Camp Parapet. This was declined, and General Phelps remains in retirement. I suppose the president felt that an indorsement of General Phelps' conduct would imply a censure of General Butler, whose conduct every candid person, I think, must admit, was just, forbearing, magnanimous."

General Butler was carrying out the policy of the Government at that time, but it was not long before he found it necessary to inaugurate a policy of his own for the safety of his command. On the 5th of August Breckenridge assaulted Baton Rouge, the capital of the State, which firmly convinced General Butler of the necessity of raising troops to defend New Orleans. He had somewhat realized his situation in July and appealed to the "home authorities" for reinforcements, but none could be sent. Still, the Secretary of War said to him, in reply to his application: "New Orleans must be held at all hazards."

With New Orleans threatened and no hope of reinforcement, General Butler, on the 22d day of August, before General Phelps had retired to private life, was obliged to accept the policy of arming negroes. He issued the following order:

"HEADQUARTERS DEPARTMENT OF THE GULF,
GENERAL ORDERS}"New Orleans, August 22, 1862.
NO. 63.}

"Whereas on the 23d day of April, in the year eighteen hundred and sixty-one, at a public meeting of the free colored population of the city of New Orleans, a military organization, known as the "Native Guards" (colored,) had its existence, which military organization was duly and legally enrolled as a part of the militia of the State, its officers being commissioned by Thomas O. Moore, Governor and Commander-in-Chief of the militia of the State of Louisiana, in the form following, that is to say: