Cheese Chowder

2 cups cooked potatoes-diced
1/2 cup diced carrots
1/2 cup diced celery
1/2 cup chopped onion
1 tsp salt
1/2 tsp pepper
2 cups water

White Sauce:
1/4 cup butter
2 cups grated cheddar cheese
1/4 cup flour
1 cup cooked ham-cubed
2 cups milk

Combine water, potatoes, carrots, celery, salt and pepper in a large pan. Boil for 10-15 min. Meanwhile, in small pan, make white sauce by melting butter, add flour and stir until smooth. Slowly add milk, cool until thickened, stirring constantly. Add cheese to white sauce, stir until melted. Add sauce and ham to vegetables that have NOT been drained. Heat through.