Coat a 6-quart slow cooker insert with nonstick spray and layer one-third of the potatoes, ham and onion inside.
Repeat the layers twice, keeping the potato slices flat rather than clumped.
Melt the butter in a saucepan, whisk in the flour for 1 minute and gradually whisk in the warm milk.
Cook until the sauce coats a spoon, 4 minutes, then stir in the salt, pepper, garlic powder and 1 cup cheddar.
Pour the sauce evenly over the layers, cover and cook on low until a knife slides through the center potatoes, 4 1/2 to 5 hours.
Scatter the remaining 1/2 cup cheddar over the top, cover and cook on high until melted, 10 minutes.
Turn off the cooker and rest the potatoes uncovered for 15 minutes before scooping.