Well turns out that washer with the broken teeth on it is called a Tang washer.. Never heard of them until just now. Anyways, I picked a replacement up and put everything back together.
Last thing I wanted to ask was when you grab the left and right or top and bottom sides of the tire, is it alright is they move a little? Not overly sloppy by any means. Just enough to hear it move a tad when you try and move it?