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Preheat oven to 350°F. In a medium saucepan, cook onion in 1/4 cup water over medium heat for 3 to 5 minutes or until tender. Drain; return to pan. In a small bowl, whisk together milk, flour and pepper until well combined. Add milk mixture to saucepan. Cook and stir over medium heat until thickened and bubbly. Stir in rosemary.
Meanwhile, in a 2-quart microwave-safe baking dish, combine red potato, sweet potato, turnip and the remaining 1/4 cup water. Cover with vented plastic wrap. Microwave on High for about 8 minutes or just until vegetables are tender. Carefully drain in a colander.
In the same baking dish, layer half of the ham, half the potato mixture and half of the sauce. Repeat layers. Sprinkle with paprika. Bake, uncovered, about 30 minutes or until heated through. Let stand for 10 minutes before serving.