Mr. RICE, of Massachusetts, from the ComNavAffrs, reported back, with an amendment in the nature of a substitute, bill of the House No. 163, to further regulate the appointment of rear admirals and for the appointment of certain volunteer Officers to the reular Navy. The substitute was read. The 1st section provides that the SecyNavy shall appoint a board of 3 naval Officers above the grade of commodore to examine and select for promotion to the office of rearadmirala number of commodores from the active or retired lists who shall be deemed by them most meritorious in character, ability, and honor able service, equal to 2 commodores for each vacancy, one ofwtheh to be nominated to the Senate by the President for confirmation as rear admiral; provided no further romotious shall be made while the whole number on the active and retired lists shall equiti the number now authorized by law. Section 2 provides that of the line officers of the Navy on the active list, 5 lieutenant commanders, 20 lieutenants, 50 masters, and 75 ensigns may be appomted from volunteer officers of the Navy who have served for aperiod of not less than 2 years, and may now be in the service, or have been lion orably discharged therefrom; provided that if, by reason of these appointments, the number of officers in any grade in the Navy shall exceed the number now fixed by law, no moron pointments shall be made until the number shall be reduced to that fixed by law. Section 3 provides that the SecyNavy shall appoint a board consisting of 3 aval Officers, superior in rank to the Officers to be appointed from, the volunteer service, to examine the claims of all candidates, and to select and report from the most meritorious in character, ability, and honorable service, twice the number to be transferred to the several gradesmentioned, from whom the SecyNavy shall select the persons to be appointed to each grade. Any officer who has served for 2 years or more in the Navy shall have the right to appear before the board for examination. Section 4 authorizes the SecyNavy to retain or upon it, under existing laws and regulations, such volunteer officers of the Navy as the exigencies of the service may require, until their places can be supplied by graduates from the Naval Academy. Section 5 repenls all acts and parts of acts inconsistent with this act.