Shred the cheddar cheese and set it aside at room temperature to allow it to melt smoothly.
Let the bacon sit at room temperature for 5 minutes before frying. Cut the bacon into smaller squares using kitchen scissors.
Heat a large skillet over low heat and add the bacon. Cook slowly, turning it over as it begins to curl, to ensure even cooking. Leave 2 tablespoons of bacon drippings in the pan.
Cut the chicken breasts into bite-sized pieces and season with salt, pepper, 1 teaspoon of onion powder, and 2 teaspoons of Italian seasoning. Toss the chicken pieces in 3 tablespoons of flour.
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