In a saucepan mix the 2 1/2 tablespoon of sugar, salt, and vegetable oil over medium heat until it boils. Remove from heat and mix in the flour until it comes together and forms a light, fluffy dough.
In another pot heat the frying oil to 375°F.
Add the dough to a pastry bag with a large star tip. Pipe strips into the oil and cook until golden brown.
On a plate mix the 1/2 cup of sugar with the cinnamon. Roll the fried churro sticks immediately after cooking to coat evenly. Serve with the dipping sauce below.
In a small bowl add the chocolate chips, butter, and water. Microwave 30 seconds and mix until creamy.