Cook the bacon. In a very large skillet, cook the bacon until crisp. Remove to paper towels, crumble and set aside. Dispose of most of the bacon grease, but do not clean the pan.
Cook the chicken. Heat the pan over medium-high and cook the chicken breast 3 minutes per side, until browned and cooked through. Remove to a cutting board, cover with foil, and let rest while you prepare the sauce. (This is a good time to start cooking the penne.)
Cook the veggies and spices. Heat the olive oil over medium heat in the same large skillet.. Add the salt, sugar, smoked paprika, cayenne, and onion. Cook until the onion is translucent and softened, about 3-4 minutes. Add the garlic and cook one minute more.
Add liquids. Add 1 cup of chicken broth, scraping the pan to incorporate all the seasonings. Add the cream and milk and simmer for 3-5 minutes, until the sauce reduces slightly. (Meanwhile, slice the cooked chicken)
Thicken sauce. In a small bowl or liquid measuring cup, combine the remaining 1/4 cup of chicken broth with the flour and add to the sauce to thicken it. Add the grated parmesan. Simmer over low heat while stirring until cheese is melted.
Assemble and serve. Pour the cooked pasta into the sauce, stir, and add the bacon, cooked chicken, additional parmesan and any herbs or fresh veggies you’d like. . Serve immediately.