In a large sauté pan, cook diced onions and peppers until soft. Add canned tomatoes. If you're adding meat to your sauce, this would be the time. (We've used both Italian sausage and chicken breast and both are fantastic in this dish.)
While veggies are browning, combine pasta sauce, hearts of palm, Italian seasoning, onion powder, and garlic powder in food processor. Blend until evenly chopped.
Add sauce mixture from food processor to the sauté pan. For maximum flavor, allow to reduce on low heat for about an hour. (If you're in a bit of a time crunch, you can cook on medium-low heat for 30 minutes instead.) Garnish with fresh basil or parsley.