Heat oven to 400°F. In large bowl, mix meatball ingredients. Shape into 30 (1-inch) meatballs. Place in ungreased 13x9-inch pan.
Bake uncovered about 15 minutes or until thoroughly cooked and no longer pink in center.
In 3-quart saucepan, heat all sauce ingredients exept chives to boiling, stirring occasionally; reduce heat. Stir in meatballs; cover and simmer about 15 minutes or until sauce is hot. Sprinkle with chives. Serve in chafing dish or slow cooker on low heat setting.