Heat 2 tablespoons olive oil in a large Dutch oven or heavy pot over medium heat. Add the diced onion and bell pepper and cook, stirring occasionally, until softened, about 5–7 minutes. Add the minced garlic and cook 30–60 seconds until fragrant.

Brown the meat

Increase heat to medium-high and add the ground beef. Break it up with a spoon and cook until no longer pink, about 6–8 minutes. Season with 1 teaspoon salt and 1 teaspoon black pepper while cooking.

Add spices and tomato paste

Stir in the chili powder, cumin, smoked paprika, and oregano along with the tomato paste. Cook 1–2 minutes, stirring constantly, until the spices are fragrant and tomato paste darkens slightly.

Simmer with tomatoes and beans

Pour in the crushed tomatoes and 1 cup beef broth, scrape any browned bits from the bottom of the pot. Add the drained kidney and black beans, brown sugar, red wine vinegar, optional hot sauce, and bay leaf if using. Bring to a gentle simmer, then reduce heat to low.

Cook

Cover partially and simmer for at least 25–30 minutes, stirring occasionally to prevent sticking. For deeper flavor, simmer 1 hour, adding a splash of water or broth if it becomes too thick. Taste and adjust seasoning with additional salt, pepper, or chili powder as needed. Remove and discard bay leaf before serving.

Toppings & Serve

Ladle the chili into bowls and top each serving with shredded cheddar, a dollop of sour cream, and a sprinkle of sliced green onions. Serve with cornbread, tortilla chips, or rice if desired.