- Preheat oven to 325 degrees F (165 degrees C). Grease an 11×8 inch baking dish.
- Brown sausage in a large skillet; drain fat.
- Combine sausage with green onion and spread evenly across the bottom of the baking dish. Top with shredded cheese. Whisk together eggs, water, milk, and gravy mix; add mixture to baking dish. Arrange bread squares evenly on top. If desired, drizzle melted butter over bread, and sprinkle with paprika.
- Bake 40 minutes in the preheated oven, or until a knife inserted into the center comes out clean. Set aside 10 minutes before serving.