Ingredients:

  Amount  Measure       Ingredient -- Preparation Method
--------  ------------  --------------------------------
     1/2  cup           red bell pepper -- chopped
     1/2  cup           green onions/tops -- sliced
   2                    serrano chiles -- *
   2      tablespoons   margarine or butter
   1 1/2  cups          milk
   1 1/2  cups          water
     1/2  teaspoon      salt
     1/4  teaspoon      pepper
     3/4  cup           white hominy quick grits
   1 1/2  cups          cheese; 6 oz -- **

Preparation:

* Serrano Chiles should be seeded and chopped. ** Use Shredded Monterey Jack Cheese in this recipe. Cook and stir the bell pepper, onions, and chiles in the margarine in a 10 inch skillet until the pepper is tender. Heat the milk, water, salt and pepper to boiling in a 2-quart saucepan. Gradually add the grits, stirring constantly, and reduce the heat when they have all been added. Simmer uncovered, stirring frequently, until thick, about 5 minutes. Stir in the bell pepper mixture and cheese.