Brown the ground beef and sausage in a skillet over medium heat.
In a medium stock pot or dutch oven, heat the diced tomatoes and chilies over medium-low.
Stir in the cheeses, sour cream, garlic powder, and onion powder. Continuing stirring, leaving only for very short periods of time, until completely melted and blended.
Add the remaining ingredients to the pot and stir to combine.
Optional: If a thinner sauce is desired, add ½ cup milk.