2 med. potatoes, pared & cubed
1/2 c. boiling water
1 c. chopped onion
3 tbsp. butter
3 tbsp. flour
Dash of pepper
3 c. milk
1 1/2 c. fully cooked ham or sausage
1 1/2 c. (8 oz.) shredded sharp American cheese (or any kind)

Cook cubed potatoes in the boiling water until tender, about 10 minutes. Drain, reserving liquid. Add enough water to reserved liquid to make 1 cup.

In saucepan, cook onion in butter until tender, but not brown. Blend in flour and pepper. Add milk and potato water all at once. Cook and stir until mixture thickens and bubbles. Add chopped ham and cheese, stir to melt cheese. Serves 3.