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Preheat the oven to 350 F.
Line the bottom of an 8x8 or 9x9 pan with parchment, letting the paper hang off both sides.
Place ¾ cup of oats in a food processor or blender and pulse until oat flour forms. Add to a mixing bowl and combine with the remaining 1 ¾ cups oats, cinnamon, baking powder, and salt.
In a large mixing bowl, combine the milk, applesauce, maple syrup, egg, and vanilla and whisk together.
Add the dry ingredients and mix. Add the butter, grated apple, and dried apple and mix just until well combined. Pour into the lined pan and spread until even.
Bake for 40-45 minutes until the edges are golden brown and the center is set. Let cool completely.
Cut into bars and store in the fridge for up to 4 days.