Preheat the oven to 375°F (190°C).
In a large skillet, sauté the diced onion and bell peppers over medium heat until softened, about 5-7 minutes.
Add the sliced hot dogs to the skillet and cook for another 2-3 minutes until heated through.
Stir in the can of chili, chili powder, garlic powder, salt, and pepper. Mix well and heat for an additional 2-3 minutes until everything is warmed together.
In a mixing bowl, unroll the crescent roll dough and cut it into rectangles (or continue to use whole triangles).
Pour the hot dog and chili mixture into the 9x13 inch baking dish, spreading it evenly.
Layer the crescent roll dough over the chili mixture, covering as much surface area as possible.
Sprinkle the shredded cheddar cheese on top of the dough.
Bake in the preheated oven for 25-30 minutes, or until the dough is golden brown and the cheese is melted and bubbly.
Remove from the oven and let cool for a few minutes before serving.