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Cut the potatoes into half inch cubes. In a medium saucepan add the potatoes and cover with cold water adding a few pinches of salt. Bring the water to a boil then cook for 1-2 minutes longer. Potatoes should be slightly firm and not mushy. Drain the potatoes and shake off excess water, let cool for 5 minutes.
While the potatoes are cooking heat a large skillet over medium heat, add 1 tablespoon of olive oil and when hot add the onions, bell pepper and jalapeno. Saute for about 5 minutes. Add a few pinches of salt and pepper. Set aside.
In another large skillet heat the oil and butter. Add the potatoes and season with the salt and pepper. Spread the potatoes in a single layer and cook for 8-10 minutes without stirring, you want the bottoms to be browned and crisp.
Add the onions, bell pepper mixture to the potatoes. Add the garlic powder and paprika to the pan and stir to combine.