3 dried guajillo or pasilla chiles
2 dried ancho chiles
2 lb ground beef
1/2 lb thick-cut bacon, cut in 1/2 inch pieces
3 large vidalia or other sweet onion, chopped
2 green sweet peppers, chopped
2 serrano peppers, finely chopped
8 cloves garlic
2 tbsp. chili powder
2 tsp. cumin
1 28 oz. can diced tomatoes
1 c. water
1 tbsp. lime juice
In large skillet over medium heat cook guajillo and ancho chiles 3-4 minutes, turning occasionally, until toasted. Cool; remove and discard stems and seeds. Transfer to bowl, cover with boiling water. Let stand 20 minutes. Drain, reserving 1/3 cup soaking liquid. In blender, puree chiles and liquid and set aside.
Brown beef, drain and remove to bowl. In same pan, cook bacon 5-6 minutes and add onions, sweet and serrano peppers and garlic. Cook 7 minutes, stirring occasionally. Add pureed chiles; cook and stir 3 minutes. Add chili powder and cumin; cook and stir 1 minute. Add beef, undrained tomatoes and water. Bring to boiling; reduce heat to medium-low. Simmer, covered, 30 minutes.
Remove from heat; stir in lime juice. Top with cheese and onions.