White Cheddar Scalloped Potatoes

2nd place Taste Of Home Winner.

• Ready In: 2 hrs
• Serves: 6-8

Ingredients

• 1  medium onion, finely chopped
• 1⁄4 cup butter, cubed
• 1⁄4 cup flour
• 1  teaspoon dried parsley flakes
• 1  teaspoon salt
• 1⁄2 teaspoon pepper
• 1⁄2 teaspoon dried thyme
• 3  cups milk
• 1 (10 3/4ounce) can  condensed cream of mushroom soup, undiluted
• 1  cup sour cream
• 8  cups potatoes, peeled and thinly sliced
• 3 1⁄2 cups cooked ham, cubed
• 2  cups white cheddar cheese, shredded

Directions

1. In a large saucepan, saute onion in butter until tender. Stir in the flour, parsley, salt, pepper, and thyme until blended. Gradually add milk. Bring to a boil; cook and stir for 2 minutes or until thickened. Stir in the soup. Remove from the heat; stir in the sour cream until blended.
2. In a large bowl, combine the potatoes and ham. In a greased 13x9x2 inch baking dish, layer half of the potato mixture, cheese and white sauce. Repeat layers. Cover and bake at 375* for 30 minutes. Uncover; bake 40-50 minutes longer or until potatoes are tender.