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Preheat oven to 400 degrees F.
Use a large saucepan to make the sauce. Mince the yellow onion and red bell pepper. Add olive oil to the pan and heat on medium. Add yellow onion and red bell pepper to the pan and cook until softened. Add minced garlic and saute for 1 minute. Add ground Italian sausage and cook, stirring constantly, until browned. Turn the heat to low. Add ¾ of the jar of Ragu sauce. Sprinkle the paprika, basil, salt, and pepper over the top. Stir until everything is combined. Simmer on low while you prepare the noodles.
Fill a large pot ¾ full with water. Add salt (make it salty like the sea.) When the water has come to a rolling boil, add the penne pasta. Boil the pasta, stirring occasionally, for 9 minutes. Drain the pasta and add the remaining Ragu sauce. Stir until the pasta is evenly coated.
In a 9 x 13 inch (3 quart) casserole dish layer the sauce, pasta, and cheese. Start with about ⅓ of the sauce spread out evenly on the bottom. Next, add ½ of the pasta and top with another ⅓ of the sauce. Sprinkle with a layer of cheese. Then, add the rest of the pasta and top with the rest of the sauce. Top with the rest of the cheese and sprinkle with dried parsley.
Place in a preheated oven and bake for 25 minutes. You will know it's finished when it's bubbly and the cheese is golden.