Pretzel dough:

1. In a large mixing bowl, add warm water, sugar and yeast, stir and let sit for 5 minutes, until foamy
2. Add flour, salt, and melted butter
3. Mix until a dough forms
4. Knead the dough on a floured surface for 5-7 minutes, or until smooth and elastic
5. Place dough in greased bowl, cover, and let rise for 1 hour, or until it doubles in size

Shaping Pretzel Bites:

1. Preheat the oven to 425
2. Prepare baking sheets with parchment paper, punch down the dough and divide into 4 equal parts
3. Roll each part into a long rope, about 12  inches and cut each rope into 1 inch pieces to make the pretzel bites

Baking the Bites:

1. In a large pot, bring 10 cups of water and the baking soda to a boil
2. Add pretzel bites in small batches, boiling for about 30 seconds and remove with a slotted spoon to drain the excess water
3. Place on prepared baking sheets
4. Brush each pretzel bite with beaten egg and sprinkle with coarse salt
5. Bake 12-5 minutes or until golden brown

Cheddar Cheese Sauce: 

1. In a saucepan, melt the the butter over medium heat
2. Whisk in the flour and cook for 1 minute
3. Gradually whisk in the milk and cook until thickened, about 3- 4 minutes
4. Add cheese, garlic powder, mustard powder, salt and pepper
5. Stir until smooth and melted