Add the GRAVY ingredients (mushrooms, onion, tomato, water, soy sauce, black pepper) to a 6-quart slow cooker and stir until well combined.
Add the MEATBALL ingredients (ground beef, milk, breadcrumbs, egg, garlic powder, onion powder, paprika, salt, pepper) to a large mixing bowl and mix well. Using your hands form the beef mixture into balls roughly the size of a golf ball (about 1 1/2 inches in diameter) then spread them out in the slow cooker.
Place a lid on the slow cooker and cook on LOW heat for about 6 hours.
In a small bowl mix together the cornstarch and water until well combined.
Take the lid off the slow cooker and stir in the cornstarch mixture. Continue to cook with the lid off, stirring occasionally, until gravy has thickened a bit, about 15 more minutes.