Cook bacon in 10-inch skillet over medium-high heat 6-10 minutes or until crisp. Remove bacon to paper towel-lined plate. Turn off pan heat. Place French fried onions into pan with bacon drippings; toss until well coated.
Melt butter in 2-quart saucepan over medium heat. Add onion, garlic, salt and pepper; cook 1-2 minutes or until onions begin to soften. Add flour; cook, stirring occasionally, 1 minute. Whisk in chicken broth, 1/2 cup at a time, until mixture just comes to a boil. Add cheese; cook, stirring occasionally, 2-3 minutes or until cheese is melted and sauce is smooth.
Add Brussels sprouts and chopped bacon to sauce; toss to coat.
Pour mixture into ungreased 1 1/2-quart baking dish. Cover with aluminum foil; bake 20 minutes. Remove foil; stir. Top with French fried onions. Bake, uncovered, 10-15 minutes or until sauce is bubbly around edges.
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