Heat oven to 350. Layer ingredients in 2-quart casserole with tight-fitting lid.
After corn is added, sprinkle with salt and pepper and pour one can of the tomato sauce and 1/2 cup of the water.
After meat is added, sprinkle again with salt and pepper. Pour second can of tomato sauce and remaining 1/4 cup of water. Top this with the bacon slices. Cover and bake for 1 hour. Uncover and bake about 30 minutes longer, or until bacon is crisped.