Preheat the oven to 350°F.
Grease or spray a 9x13-inch casserole dish with nonstick cooking spray.
Cook the rotini pasta according to the package directions until it reaches a firm al dente texture. The pasta should remain slightly firm, as it will continue cooking in the oven.
Drain the pasta and rinse it under cold water to stop the cooking process. Set aside.
In a large skillet over medium heat, cook the ground beef and mild Italian sausage until fully browned, breaking the meat into small crumbles as it cooks.
Drain the excess grease from the skillet, reserving approximately 1 tablespoon of grease in the pan.
Transfer the cooked ground beef and sausage mixture to a bowl and set aside.
Add the diced onion and chopped mushrooms to the skillet with the reserved grease.
Cook until the onion and mushrooms are softened.
Add the minced garlic and sauté for 2 to 3 minutes, stirring frequently to prevent burning.
Stir in the Italian seasoning, diced tomatoes, tomato sauce, and white sugar.
Allow the sauce to simmer briefly until heated through and combined.
Return the cooked ground beef and Italian sausage mixture to the skillet.
Stir until the meat is evenly coated with the tomato sauce mixture.
Remove the skillet from the heat.
Spread a small amount of the meat sauce over the bottom of the prepared casserole dish.
Add the cooked rotini pasta over the sauce and spread it evenly.
Sprinkle the shredded Italian cheese blend evenly over the pasta.
Pour the remaining meat sauce over the cheese and pasta layer, spreading it evenly across the dish.
Cover the casserole dish with foil.
Bake for 45 minutes, or until the casserole is hot and bubbling.
Remove the foil and sprinkle the shredded sharp Cheddar cheese evenly over the top.
Return the casserole to the oven and bake until the Cheddar cheese is fully melted and bubbling.
Remove the casserole from the oven and allow it to rest for 5 to 10 minutes before serving.
Spoon portions onto plates and serve warm.