Preheat oven to 375 degrees F. Lightly grease a 9x13 inch baking dish.
Place sausage in a large, deep skillet. Cook over medium-high heat until evenly brown. Drain and crumble. Spread into bottom of baking dish. Sprinkle with Cheddar cheese, Monterey Jack cheese, onion, chile peppers, and jalapeno pepper. In a medium bowl, mix eggs with chili powder, cumin, garlic powder, salt and pepper. Pour over contents of baking dish.
Bake in preheated oven for 18 to 22 minutes, or until a knife inserted into the center comes out clean. Cool for 10 minutes, then cut into squares.