Scalloped Potatoes and Ham

Source: Jan Taylor

1/2 cup (1 stick) butter
1/2 cup all-purpose flour
2 teaspoon salt
1/4 teaspoon pepper
3 cups milk
3 cups cubed ham (about 1/2 pound)
1 large onion, chopped (1 cup)
1 large sweet green pepper, halved, seeded and chopped
1/2 cup shredded sharp or mild Cheddar cheese (2 ounces)
5 cups sliced pared potatoes (about 2 pounds)

Heat the butter in a large saucepan over low heat; blend in the flour, salt and pepper. Cook, stirring constantly for 1 minute. Remove from the heat; gradually stir in the milk. Return to the heat; cook until thickened and bubbly.

Fold in the ham, onion, green pepper and cheese. Pour over the potatoes in a large bowl. Stir gently; then pour into a buttered 13 x 9 x 2-inch baking dish; cover with aluminum foil. Bake in a moderate oven (350 degrees F) for 30 minutes.

Uncover and continue baking for 1 hour or until browned and bubbly. Let stand for 10 minutes before serving.