In a large saucepan, bring rice and water to a boil. Reduce heat; cover and simmer for 15-18 minutes or until water is absorbed and rice is tender.
In a large nonstick saucepan, saute onion and green pepper in oil until tender. Add garlic; cook 1 minute longer. Remove from the heat; stir in the beans, olives and rice. In a small bowl, combine 1-1/2 cups cheddar cheese, ricotta cheese, sour cream and chili powder.
Spoon half of the rice mixture into a 13x9-in. baking dish coated with cooking spray; layer with half of the cheese mixture and salsa. Repeat layers.
Bake, uncovered, at 350° for 25 minutes. Sprinkle with remaining cheddar cheese. Bake 3-5 minutes longer or until heated through and cheese is melted.