Sprinkle kosher salt in bottom off large skillet. Heat over medium high heat. Crumble ground beef into skillet, breaking it up with a spoon as it cooks.
Strain fat once beef is brown if necessary. Add diced onion, 1 cup water, ketchup, mustard, Worcestershire sauce and liquid smoke. Stir well and continue cooking for 10 minutes or so.
Meanwhile, put bacon on baking sheet. Pepper bacon and sprinkle brown sugar over all. Place on bottom rack in oven and allow to cook until brown and crispy, about 8 minutes. Remove to paper towel covered plate to drain.
When sauce has cooked down in beef mixture, add the processed cheese and stir well.
Grill buns if desired before plating. Add generous scoop of meat mixture, a slice of pepper jack cheese and the pickled peppers to the bottom bun. Top with sugared bacon then bun top.