Summary:
This Mod will completely change the way Weapons, Armour, Spells and Racial Skill Bonuses work.
All Weapons, Armours, Races and Racial abilities have carefully been tweaked manually by hand.


Races:



All Races will now start with one Skill Bonus, but at 65. This will raise the Max Level cap to 77, and lower the Minimum Max Level cap to 65.
You are therefore no longer forced to play with the very exact skills the game tells you to anymore.
All Races have had their Abilities/Powers realtimed. This means that Khajiit can always see in the dark, or Argonians can always breathe underwater.
All Races will also get a Bonus Power. Races who don't get a Bonus Power will instead get an extra Skill Bonus of 5.

Weapons:
Instead of some weapons simply being "better" than others, this Mod lets all Weapons have a use in the game. All weapons have unique Pros and Cons depending on their material.
These Pros and Cons are sorted as following:
1. Commodity
2. Enchant Value
3. Durability
4. Appearance
5. Cost

For example, Iron, Steel, Dwarven and Adamantium weapons will have the best general durability, accessibility, and amongst the lowest cost: However, they cannot damage Magical beings such as Scamps, Atronachs or Daedra, and they also lack Enchantment Capacity.
Weapons that are made from Ebony, Sthalrim, Glass, Silver, Chitin, or Wood (Such as the Spiked Club, "Iron" Club, or "Iron" Warhammer) can damage Magical Beings, however, they either have extremely low durability, or cost more, or a combination of both. Weapons such as these, which aren't made from mundane metals, such as Iron or Steel, will have a high Enchant Capacity.
Note: Ebony and Daedric will still be the 'endgame' Weapons/Armours, as they have the best mix between the Enchant Value of the aforementioned.

"Spear" has been renamed Polearm, and been rebalanced entirely, so that Spears are a viable option, as well as Halberds.
A Wizard who uses a Staff shouldn't be able to use Heavy Warrior weapons such as Maces, Clubs, Warhammers or Hammers. Staves are therefore a part of the "Polearm" skill.

Skills:
Too many Weapon Skills use "Strength" as their governing attribute. (5 out of 27)
Long Blade is now governed by Speed.
Too many Skills use Speed as their governing attribute. (Now 5 out of 27)
Athletics is now governed by Endurance.
Armourer and Axe now level faster than other Skills, as they were almost obsolete in Vanilla Morrowind.
Axes were outperformed by all other weapons in either DPS, Damage, Durability, Cost, etc. (Or all of the above, example picture below):



Armour:
All Armours will now have a use in the game. Previously, Medium Armour was the worst Armour at everything. It weighed more than light, had lower durability, and even a lower Armour Rating!
This mod will make all Light Armours offer 50 AR, all Medium Armours offer 65AR and all Heavy Armours offer 80AR.
Armour will, however, similar to weapons, degrade faster, depending on what material it's made of.
Bonemold, Silver and Chitin Armour will give a good defence, but they have amongst the lowest durability.
Daedric, Steel, Adamantium and Ebony will last for an eternity, but are harder/more expensive to obtain, and weigh much more.



Material will now Generally determine durability for Armours and Weapons as following:
Wood: 300
Chitin: 300
Silver: 500
Gold: 500 (e.g. Indoril)
Bone: 750
Glass: 1000
Iron: 3000
Dwarven: 3000
Steel: 4500
Daedric: 4500
Uniques: 6750
Ebony: 9000
Adamantium: 9000

Material will now Generally determine Enchant Value for Armours and Weapons as following:
Wood: 10
Chitin: 10
Silver: 50
Gold: 50 (e.g. Indoril)
Bone: 10
Glass: 50
Iron: 0
Steel: 0
Dwarven: 0
Adamantium: 0
Daedric: 50
Ebony: 25

Keep in mind, that Daedric will always weigh twice as much as Ebony.

Spells and Effects:
Many enchantments have been changed so that they Cast when Strike on occasion, rather than run out instantly in the first battle. You now no longer have to rest for pre-enchanted weapons such as the Fang of Haynekhtnamet, or Goldbrand. (Eltonbrand has been given an Enchant Value of 225, as Goldbrand and Eltonbrand ended up having the same enchantment with this Mod. You can now put whatever you want on Eltonbrand.)

Weapons that have a Magical Enchantment will count as "Magic" and ignore normal weapon resistance, which can now hurt Magical beings.

Additionally, all Common Clothes now have an Enchant Value of 50, including gloves and shoes.
All Uncommon Clothes now have an Enchant Value of 60, including gloves and shoes.

Common Shirt/Pants 3b aren't actually common at all, and now have 60 Enchant Value.
Common Shirt/Pants 3c are the only other Common Clothes with 60 Enchant Value.


Other:
Since there is no Master Medium Armour trainer in Morrowind, you can now find Jiub offering Training in Medium Armour, and various Spells for sale.
Fargoth's Ring will recover Damaged Attributes.
A new type of shield; "Deflector" has been added. The in-game book has information as to where you can find them.
You can now find Muck Shovels in Gnisis. They are a Polearm(Spear) type weapon.
The name change for "Spear" to Polearm won't affect other Mods, or even Console Commands, e.g. "Fargoth00000000->GetSpear"
Greater Bonewalkers can no longer spam "Damage Strength", example:

Enjoy!
(Example of an Ebony Deflector below)