O'Charley's Style Baked Potato Soup

3 lbs. red potatoes
1/4 cup butter, melted
1/4 cup flour
2 quarts half&half
1 pound block Velveeta cheese, melted
White pepper, to taste
Watkins Garlic powder, to taste
1 tsp. Watkins Jalapeño sauce
1/2 lb. bacon, fried crisply
1 cup cheddar cheese, shredded
1/2 cup fresh chives, chopped or Watkins Chives
1/2 cup fresh parsley, chopped or Watkins Parsley

Dice unpeeled red potatoes into 1/2 inch cubes. Place in a large Dutch oven, cover with water and bring to a boil. Let boil for 10minutes or until almost cooked. In a separate large Dutch oven, combine melted margarine and flour, mixing until smooth. Place overlow heat and gradually add half and half, stirring constantly. Continue to stir until smooth and liquid begins to thicken. Add melted Velveeta. Stir well. Drain potatoes and add to cream mixture. Stir in pepper, garlic powder and hot pepper sauce. Cover and cook over low heat for 30 minutes, stirring occasionally.

Place soup into individual serving bowls and top with crumbled bacon, shredded cheese, chives and parsley.