Potatoes Au Gratin

I made these for a friend we had over for dinner and they were awesome!  He didn't like the way they looked, but loved the way they tasted. 

• 3 tablespoons butter
• 2 tablespoons flour
• 2 cups whole milk
• Salt and white pepper
• 1 1/2 pounds new red potatoes cooked and sliced 1/2-inch thick
• 3 ounces grated Cheddar cheese
• 3 ounces grated Monterey cheese

Preheat the oven to 400 degrees F. Grease an 8 cup rectangular baking dish with 1 tablespoon butter. In a nonreactive saucepan, over medium heat, melt the remaining butter. Stir in the flour and cook for 2 minutes. Whisk in the milk and cook until the liquid is slightly thick and coats the back of a spoon, about 4 to 6 minutes. Season with salt and pepper. Remove from the heat. In a mixing bowl, toss the sliced new potatoes with salt and pepper. Fold in the cream sauce and pour into the prepared pan. Sprinkle the top of the potatoes with the grated cheese. Place the pan in the oven and bake until golden brown and bubbly, about 8 to 10 minutes. Remove from the oven and cool for a couple of minutes before serving.
from Emeril Lagasse