Set your oven to preheat at 375°F (190°C). Prepare a baking sheet by lining it with parchment paper.
In a large bowl, blend the softened cream cheese thoroughly with the ground sausage until the mixture is smooth and uniform.
Fold in the well-drained tomatoes and green chilies, followed by the shredded cheddar cheese, ensuring everything is evenly distributed.
Gradually incorporate the baking mix along with the optional garlic powder, onion powder, and a pinch of black pepper. Stir until the mixture forms a thick, cohesive dough.
Using a small scoop or tablespoon, portion out the mixture and roll into balls approximately 1 inch in diameter. Arrange them on the lined baking tray, spacing them at least an inch apart.
Bake in the preheated oven for 22 to 25 minutes, or until the exterior is golden and the sausage is cooked through.
Allow to cool slightly before serving. Serve warm for the best flavor and texture.