Preheat oven to 350 degrees.
In a bowl, combine cream cheese, Italian seasoning and garlic powder; spread on the bottom of a greased 9-inch pie plate. Combine cheeses; sprinkle half over the cream cheese layer. Top with the pizza sauce and peppers. Sprinkle with remaining cheeses.
Bake the dip for 20 minutes. Serve warm with tortilla chips or breadsticks.