In medium bowl, combine all meatball ingredients; mix well. Shape into 24 (1 1/2-inch) balls.
Spray large skillet with nonstick cooking spray. Heat over medium heat until hot. Add meatballs; cook 8 to 10 minutes or until browned on all sides and no longer pink in center.
In Dutch oven or large saucepan, combine all chili ingredients; mix well. Bring to a boil. Reduce heat; add meatballs. Simmer 10 to 15 minutes or until thoroughly heated.