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Hello Clemmons,
When you interview contractors, ask them how they go about building their retaining walls. I don't think you have freeze-thaw to worry about in north Dallas, but you still need solid construction to have a stable wall for years.
So ask them how they would build the wall, then listen to the asnwers. Jot some notes after the meeting. Compare that to what you've seen online re: methodology.
I don't think I'd be in favor of 12-18" thick mulch - in a couple years you'll have a moldy, mushy mess. Search Google for Rubberific mulch - they have a depth calculator based on height of fall. That might help. Plantings can also be an excellent deterrent.
Good luck!
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