Well, after all the wonderful feedback I've received, I finally got my first playtest done... and it had some positives and negatives.
First, I finally decided on a damage system. Each component of the mech has an armor value. When setting the game up, add up the total of the armor values, and that is your mech's "health". Once all the health is lost, each hit (not damage points) will destroy a component.
Second, LOTS of balancing. I just slapped together some stats for a playtest. I'm gonna need to work on the balance a bit more.
Third, it felt a little... dull? I didn't use burn cards or terrain, and I used the same basic mech, so adding those will spice it up. The other thing that will help is using around 4 mechs per player. Do you have any ideas that would make it more interesting?
Fourth, and here's the big part; I was playing with a single action per mech: Move, shoot, Unload, or Core. It felt... slow, but not to the extent that it was horrible. My REAL issue is that once both mechs get into range, they tend to just stand there and unload at each other. Besides, there's no incentive to move around, really, especially with only one action. This is my biggest problem that I need help with!
Any input?