Fry bacon in heavy large saucepan over medium-high heat until crisp. Remove with slotted spoon; drain on paper towels. Crumble bacon and set aside. Pour off drippings. Melt butter in same pan over medium heat. Add vegetables and cook until slightly softened, stirring occasionally, about 15 minutes. Add bacon, water, salt and pepper. Cover and simmer until vegetables are tender, about 20 minutes. Add milk and heat through. Stir in dissolved cornstarch and cook until soup thickens, about 5 minutes. Serve immediately. Cutlass Motor Lodge Antigo, WI.