Scalloped Potatoes and Ham

2 cups cooked ham, cubed
1/3 cup onion, finely chopped
1/3 cup butter
1/3 cup flour
3-3/4 cups milk
7-8 large potatoes, thinly sliced
2 tsp salt
1/4 tsp pepper

1. Preheat oven to 375. To make sauce, cook onion in butter until tender but not brown. Stir in flour, salt and pepper. Add milk. Cook, stirring, until thickened and bubbly. Cook, stirring, one minute more.

2. In a 2-quart casserole dish, place half of the ham and half of the potatoes. Cover with half the sauce. Repeat layers.

3. Bake, covered, for 45 minutes. Uncover and bake 45 minutes more or until potatoes are done.

Serves 6.