$200 is a very low price threshold. However, because it's a group purchase you can probably get a decent discount.
At the price, I can think of three decent choices -- none of them all that good.
Mercer: Mercers are probably the cheapest knives which will take and (sort of) hold a reasonable edge. In shape, weight and balance, Mercer "Genesis" is pretty much a Chinese (Taiwan) clone of Wusthof Classic. You said you went with Mercers before. Since you're searching for something else, you're probably aware of the drawbacks.
Dexter Russel i-cut: Modern shape similar to Wusthof Ikon. Same "German" steel as in most German upmarket German knives. Like the Mercer, forged and not stamped -- although that doesn't mean anything anymore. I'm not sure where they're made -- not the US or Europe -- Asia or South America, probably. Decent student knives.
Forschner Fibrox (or Rosewood): Except for the handles they're the same, stamped steel knives. A real favorite in Cook's Illustrated knife reviews. They're a big step up in fit and finish compared to Mercer. They're easy to sharpen and take a good edge as European knives go, but don't hold it very well. I find the Rosewood handles very comfortable -- much better than the Fibrox. Although, at your budget you may not be able to afford the Rosewood. In addition to their better edge characteristics they're more comfortable than
Dexter Russell Tradition: Plain, ol' fashioned Dexters. They come in carbon and stainless. The carbon have much better edge characteristics than the stainless, but require more care than we dare ask of a modern culinary student. In either steel, the fit and finish can't compare to Forschner's. But F&F aside, they're pretty much the same thing.
Chicago Cutlery and Don Edward: I don't know enough about Don Edward tocomment. Chicago Cutlery hasn't manufactured their own knives in quite some time. They go through periods of designing knives and having them made for them (usually in China), and periods of just buying what's available (also usually from China) and having them branded. Sometimes a great deal, sometimes a scalping. Highly unreliable.
Small tools: You can't beat Dexter for price, selection or quality. The dernier cri of reasonably priced small tools.
Sharpening: A sin in my book. Speaking of sharpening, your proposed knife set didn't include any provisions for it. You can use traditional oilstones with any of the knife sets in your price range. Your best bet is a Norton combination India stone (coarse and fine). The standard for many years has been the Norton IB-8; but I think they're flogging a slightly thinner "culinary" stone labled as IC-8. They go for around $20. The best low priced rod hone ("steel") -- bar none -- is the 10" Idahone. Under $20.
Unless you want to go with a lot of mix and match, including some non-stainless, you can't afford Japanese made knives; which, at every other price range but the very lowest, are very much better than knives made anywhere else. The difference in quality is real and huge.
Now that I've got all this off my chest -- you're wasting your time asking on this forum. Call someone like Cutlery and More, and tell them what you're trying to do. They'll work with you. Also, call MAC Kinves in Sacramento and see what they can do for you -- the sort of set you're thinking about will go for considerably more than $200 (even discounted), but they're much better knives than anything already mentioned.
Good luck with this, let me know if there's anything I can do besides generic advice.
BDL