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Preheat oven to 350. Brown meat with peppers and onions in large skillet on medium-high heat, stirring occasionally to break up the meat, drain. Return meat mixture to skillet. Add taco seasoning mix and water, stir until well blended. Stir in potatoes, corn and velveeta. Spoon into 13X9 baking dish, cover with foil. Bake 20 min. Uncover, stir gently. Bake, uncovered, an additional 15 min or until heated through.
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