Italian Spaghetti with Meat Sauce

2 lbs. ground beef
1 medium onion, finely chopped
1 green pepper, finely chopped
2 cans (15 oz each) tomato sauce
2 cans (12 oz each) tomato paste
1 can (7 1/2 oz) pitted ripe olives, drained and sliced
2 envelopes (1 1/2 oz each) italian-style spaghetti sauce mix with mushrooms
3 cups water
1 tbsp. sugar
1 tsp. oregano leaves
2 cloves garlic, crushed
1 bay leaf, crumbled
16 oz italian style spaghetti
grated parmesan cheese
8 servings
Cook and stir meat, onion and pepper until meat is brown and onion is tender.
Stir in remaining ingredients except spaghetti and parmesan cheese.
Cover; simmer 1 1/2 hours, stirring occasionally.
Cook spaghetti as directed on package; drain.
Serve meat sauce over hot spaghetti; pass parmesian cheese.