good luck with it KHB - justin's given you some great tips there - if you do go for the temp controller at some stage though... I would be putting it in your HLT (the stirring of which would be a great thing..)
Not saying that Justin is wrong with his placement of the temp probe at the point of wort return to the mash tun... in fact thats exactly how I think it should be done and how my rims is set-up.... but, I think that with your coil in the HLT rather than a separate HERMS vessel, that opens you up to a bit of overshoot. Once the controller has heated your whole HLT up to the temp where the wort starts coming out at your target temp... there is now enough heat in the vessel to push the output temp even higher. This would be much less sever or possibly not a problem with a stirred HLT, but would give you curry with a non stirred vessel. Whereas, with the probe in the HLT... if its fixed, you can still do a calculation to work out the differential between the probe reading temp and the wort exit temp... one that should stay fairly consistent with a "standard" amount of water in the HLT and a constant flow rate.
There are unfortunately stacks of different ways to make it work... each one with its good and bad points. How to set up a HERMS/RIMS is one of those questions that will get you 15 different answers from only 10 different brewers. On the bright side... there are stacks of ways to make it work, so you are sure to find one that fits the bill for your situation.
You will make it work for you, you just need to play with it till you get it going the way you want.
Cheers
TB