1/4 c. chopped onion
2 tbsp. butter
2 tbsp. all-purpose flour
1 1/4 c. milk
3 c. potatoes, peeled and thinly sliced
1 c. shredded American cheese
1/4 tsp. salt
1/8 tsp. pepper

For sauce, cook onion in butter until tender. Stir in flour, salt, and pepper. Add milk all at once. Cook and stir until thickened and bubbly. Stir 3/4 cup shredded American cheese into thickened sauce until melted. Place half the sliced potatoes in greased 1-quart casserole. Cover with half the sauce. Repeat layers. Sprinkle 1/4 cup shredded American cheese over top before serving.

Bake, covered, in a 350 degree oven for 35 minutes. Uncover, bake 30 minutes more or until potatoes are tender. Let stand 5 minutes. Serves 4.