Mirage is going to be a bigger problem than optics. Early in the morning, I can see .30 cal holes easily at 200 with my cheapo ($100) Kowa TS-501 with a 50mm objective and 20x fixed mag. Once the mirage starts to boil as it gets warmer I can't see them well anymore, especially on the black of the bullseye.
If you can find a TS-500 (501-504) series Kowa scope, the optics are nice (I can see the moons of jupiter easily with mine) and they're less expensive than the more serious Kowa scopes. If you can find one it might be a nice place to start, but they were discontinued.
The spotting scopes mentioned above are all really nice, but what they lack are long eye relief eyepieces (and so does my Kowa TS-501). If you don't have that, it's a pain to use with your shooting glasses on.
Most of the competition rifle shooters use Kowa spotting scopes for this reason. Other than the bargain 50mm series, the rest use changeable eyepieces. You can get a scope from 60mm to 80mm, and you can get a fixed 25x eyepiece with long eye relief or a standard 20-60x zoom. You can get a soft case for it that will protect it enough from anything other than a drop.
You can get the 60mm scope here (angled is easier to use for shooting) for $490.
http://www.opticsplanet.net/kowa-60mm-high-performance-spotting-scopes.html
Long eye relief eyepiece is here for $240. Zoom is $385.
http://www.opticsplanet.net/kowa-interchangeable-eyepieces-for-66mm-and-60mm-spotting-scopes.html
On a calm cool day you can probably see your 200yd groups without much trouble, probably even further depending on conditions. The other nice thing is that if you want to upgrade to a bigger scope, your eyepieces are interchangeable.
It's a bummer, but quality optics cost real money. Guns are cheap in comparison.
-J.