Place potatoes in a saucepan, and cover with water. Bring to a boil. Reduce heat, and simmer 5 minutes. Drain.
Heat oil in a large nonstick skillet over medium heat. Add bacon; cook 4 minutes, stirring frequently. Add bell pepper and green onions; cook 2 minutes, stirring frequently. Add potatoes, salt, celery seed, pepper, and nutmeg; cook 4 minutes, gently stirring occasionally. Stir in broth and vinegar. Toss gently until liquid is absorbed.