Corn Casserole with Bell Peppers

I love corn. Mostly, I love it on the cob or cut off the cob and cooked with some salt, pepper, and butter. But this corn casserole ranks right up there for me as corn goes. Its a nice variation. I like the bell peppers in it and I love the bread crumb topping. This is a recipe of my grandma's that I first tried at her house when I was in college. I've been making it ever since. I really love that I can make it with entirely local, cheap ingredients here where I live. I almost always make it for either Thanksgiving or Christmas, but I usually make it a few other times through the year, too! I made it this week for local friends and it went over really well. Hope you enjoy it!

Corn Casserole with Bell Peppers
2 cans whole kernel corn, drained but reserve liquid (or 3 cups fresh, cut from cob and boiled)
1/2 cup diced green or red bell pepper, or combo of both
1/2-1 cup bread or cracker crumbs
1 egg, well beaten
1 tsp sugar
1 cup milk
2 Tbs flour
2 Tbs butter
1/2 tsp salt
1/8 tsp black pepper

In a small saucepan, melt butter. Add flour and whisk together. Add milk slowly, stirring constantly. Cook until thick and smooth. Remove from heat. Add sugar, salt and pepper. Allow to cool slightly. Place corn and bell pepper in a mixing bowl. Stir in egg. If white sauce has thickened too much, you can add in about 1/4 cup reserved corn liquid. Stir into corn. Pour into a greased casserole dish (8x8 or 7x11 work nicely). Cover with bread or cracker crumbs. Bake at 400F (205C) until well browned and set in center--about 30-40 depending on thickness in dish.

Notes: Leave the bell pepper out if you have an aversion for some reason! It does add some nice flavor and color but it'll be good without it.