The U.S. Yacht Ensign Is a Variant of the National Ensign in Which the Union Consists of Thirteen Stars in a Ring Surrounding a Fouled Anchor Set Diagonally. It Was Authorized By Congress in 1848 on the Recommendation of the Commodore of the New York Yacht Club As a Signal To Be Flown By Yachts Holding Special Licenses From the Secretary of the Treasury So That They Could Be Exempted From Having To Enter with Or Clear Customs Every Time They Put Out To Or Returned From Sea. the Design Was Prescribed By the Secretary of the Navy and Introduced Into Use in 1849.