Cheesy Baked Grits with Bacon

Name: Cheesy Baked Grits with Bacon
Ingredients: 8 ounces thick-cut bacon; 8 cups water; 1/2 teaspoon kosher salt; 2 cups corn grits; 8 ounces smoked gouda cheese, shredded (about 2 cups), divided; 4 ounces sharp cheddar cheese, shredded (about 1 cup); 8 tablespoons (1 stick) unsalted butter, plus more for the skillet; 2 teaspoons garlic powder; 1 teaspoon smoked paprika; 1 teaspoon dried parsley, plus more for garnish; 2 cups whole or 2% milk; 3 large eggs