In a medium bowl, combine 1 cup flour and 3 tablespoons granulated sugar. Use a pastry blender to cut in 1/3 cup butter until mixture resembles fine crumbs and starts to cling. Pat butter mixture into the bottom of a 9x9x2-inch baking pan; set pan aside.
In a mixing bowl, beat 1-1/4 cups granulated sugar and 3/4 cup butter with an electric mixer on medium speed until combined. Beat in corn syrup and egg just until combined.
Add 1 cup flour and evaporated milk alternately to beaten sugar-butter mixture, beating until just combined after each addition (batter will appear slightly curdled). Pour into crust-lined baking pan.
Bake in a 350 degree F oven about 35 minutes or until the cake is nearly firm when you gently shake it. Cool in pan on a wire rack. If you like, sift powdered sugar over cake before serving. Makes 12 servings.