Preheat oven to 350 degrees.
Place beef, onion and pepper in skillet and cook over medium-high heat until beef is browned. Drain off excess grease, if necessary.
Add in garlic and cook for 1 minute.
Add seasoning, tomato and ONE CUP of the water to skillet and bring to a boil. Reduce heat and cook for 5 minutes, stirring occasionally.
Break strands of spaghetti into thirds and place in the bottom of a 13×9 baking dish.
Pour the ½ cup of remaining water over the pasta.
Spread beef mixture over the pasta.
Cover tightly with aluminum foil.
Bake 40 minutes.
Add in parmesan and mozzarella cheese.
Bake an additional 10 minutes.
Stir before serving to distribute the cheese.