1 1/2 cups uncooked white rice
3 cups water
1 cup sour cream
1 (4 ounce) can chopped green chilies
1/4 teaspoon salt
1 cup grated Monterey Jack cheese
1 cup sliced ripe olives, divided
1 cup grated Cheddar cheese
Bring the rice and water to a boil in a saucepan over high heat. Reduce heat to medium-low, cover, and simmer until the rice is tender, and the liquid has been absorbed, 20 to 25 minutes.
Preheat an oven to 350 degrees F (175 degrees C).
Combine sour cream, green chilies, and salt in a small bowl. Layer 1/2 of the cooked rice on the bottom of a 1 1/2 quart baking dish. Spread the sour cream mixture over the rice, and sprinkle the Monterey Jack cheese evenly on top. Layer half of the olives, followed by the remaining cooked rice and the Cheddar cheese. Decorate the top of the casserole with the remaining olives.
Bake in the preheated oven until the cheese has melted, 30 to 40 minutes.