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In a 4-quart Dutch oven over medium heat on stovetop, heat vegetable oil. Add onion, celery, and carrots, and cook for approximately 5 minutes until onion is softened. With a slotted spoon, remove vegetables to another bowl and set aside.
In the same pan, melt butter and stir in flour. Cook and stir for approximately 2 minutes until mixture is smooth and light gold in color. Add milk and chicken broth, and whisk until sauce is smooth. Add thyme, sherry, and garlic powder. Simmer until sauce has thickened. Season to taste with salt and pepper. Add chicken, new potatoes, sautéed vegetables, and green peas and simmer until mixture is heated through. Place in a 13-x-9-inch oven-proof baking dish.
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