Step 1

Heat the oil in a large skillet over medium-high heat until shimmering. Add the beef, onion powder, garlic powder, kosher salt, and chili powder and cook until the beef is browned, mashing and breaking up any large pieces, about 8 minutes. Add the tomato sauce, ketchup, and mustard and reduce the heat to low. Simmer for 10 to 12 minutes to let the flavors meld. Meanwhile, grill the hot dogs.

Step 2

Heat an outdoor grill to for direct, medium-high heat. Scrape the grill grates clean as needed. Place the hot dogs on the grill and grill until well-marked and heated through, about 2 minutes per side. Turn the heat off and gently toast the buns on the still-warm grill, about 2 minutes.

Step 3

To serve, place a hot dog in each bun and top with the chili, cheddar cheese, and red onions, if desired.