HEAT oven to 350ºF.
MIX meat, onions, bread crumbs, 1/4 cup steak sauce, egg and oregano just until blended. Shape into 24 (1-inch) meatballs; place on foil-covered rimmed baking sheet sprayed with cooking spray.
BAKE 25 min. or until done.
TRANSFER meatballs to Dutch oven or large deep skillet. Add remaining steak sauce, water, tomatoes, sugar and basil; stir. Bring to boil. Stir in pasta; cover. Simmer on low heat 10 min. Add vegetable blend; stir. Simmer, covered, 10 min. or until vegetables are tender.