Both cypress and cedar mulch tend to be termite resistant. I doubt that the termites came in the cypress mulch.
I use some plants as ground covers but mostly use mulch. I use a good three inches of the stuff all around my yard. It helps to retain water in my hotter than Hades garden and helps to keep plants cooler in summer and warmer in winter. Big plus is I only have to weed about 5--10 minutes a week (if that). I use either a cypress or cedar mulch or pathway ground cover.
If you plant strawberries as living mulch, you will inevitably have to step on them (to weed, move plants, etc.) and squish the strawberries which can attract unwanted insects and other rodents. Also, for here, in my climate, once you plant strawberries, you will never get rid of them.
This year was a big refresh of the mulch for me. The mulch breaks down and helps with my awful soil. In fact, after several years of doing this, I can now dig into my beds more than just 1/4 inch without a jackhammer! I just keep my mulch at 3 inches all year long.
As for mosquitoes, best of luck for you on that. I use lemon eucalyptus oil as a natural alternative to pesticides. The citronella thing is a myth. Here is a good video on the whole thing.
https://www.youtube.com/watch?...
