Once at a rolling boil, gently add potatoes. Let boil for 30 minutes.
Drain water from pot, then carefully remove cooked potatoes to a cutting board. Cover with a towel and let cool for at least 2 hours (up to 8 hours).
In a frying pan over medium high heat, fry bacon to desired crispiness. Remove to a paper towel covered plate and let cool. Just before adding to salad cut into small pieces.
In a small bowl, add remaining ingredients and thoroughly combine.
Once potatoes are cooled, cut them into 1 inch chunks and add to serving bowl. Add bacon and then dill dressing. Gently stir, in a folding motion, to coat potatoes without breaking them up too much.
Serve right away or cover bowl and store in refrigerator for up to 48 hours.
Keyword bacon, dill, jalapeno dill dressing, Potato Salad, red potatoes