PREHEAT oven to 325°F. Beat cream cheese, ricotta cheese, 2 of the eggs, 1/4 cup of the granulated sugar, the lemon peel and juice with electric mixer on medium speed until well blended; set aside.
PLACE flour, butter, remaining 3 eggs, remaining 1/2 cup granulated sugar, the milk and baking powder in separate bowl; beat with wire whisk until well blended. Spread 1/3 of the dough onto bottom of greased 13x9-inch baking dish; cover with cream cheese mixture. Top with spoonfuls of the remaining dough.
BAKE 45 to 55 min. or until centre is set. Sprinkle with icing sugar.