Entering information from Schedule K-1- block 16 is checked. I have the K-3 information BUT turbo tax gives an error that it hasn't been updated. Anyone resolved this?

Yes, Smart Check will not let you proceed because Schedule K-3 has been delayed in its release. Once the form is ready, you will be able to proceed past this point and e-file your return.

Note that most forms K-2 and K-3 forms do not need to be filed for the 2021 tax year. The IRS announced on Tuesday February 15, 2022, that most K2/K3 reporting for 2021 can be delayed until the 2022 tax return filing. (Here's a link to the IRS announcement.)

As a work-around if you are required to file Schedule K-3, you have the option to e-file your 1040 return now and amend later in the year when the form is available.

To allow your 2021 personal tax return to be e-filed without Schedule K-3, return to the Schedule K-1 entry for this investment. Uncheck the box for Box 16 and continue. This change should clear the Federal Review process and allow you to e-file.

Once you receive your refund, or are certain that your return has been accepted and processed by the IRS, you can check for TurboTax updates until Schedule K-3 has been released. At that point, you may amend your return.

More info: How do I amend my 2021 return?