Wash and dice potatoes. Set aside.
Cook the bacon in a pot over medium heat until crispy, dry on paper towels and save the bacon fat.
Wipe out the pot and remove any burnt bacon bits.
Add 1/4-1/3 c rendered bacon fat back to the pot over medium heat. You can start with 1/4 c of fat and add more if needed.
Add the diced onion to the pot and cook for 10 minutes.
Add chicken stock, better than bouillon chicken base, garlic powder, salt and pepper. Bring to a boil.
Add the potatoes to the boiling chicken stock. Once the water re-reaches a low boil, set a timer for 10 minutes.
While the potatoes cook make the thickener in a separate pot. Over medium heat melt butter then add flour and whisk for one minute. Pour in half and half and continue whisking until it becomes thick.
Whisk the thickener into the soup and work out any lumps. Turn heat to high and once it reaches a boil, reduce the heat to medium and allow to thicken, covered, for 7 minutes.
Add Velveeta and half of the shredded cheddar cheese to the pot and mix until melted. Allow to simmer for 5 more minutes.
If potatoes are still fully formed, smash them against the side of the pot with a wooden spoon to help break them up. Stir.
Serve and top with the cooked bacon, shredded cheddar cheese and sliced green onions.