Freshly-chipped wood mulch can be a great resource when used on the surface of soil, but it should not be incorporated into the soil itself (the way you'd mix-in, say, topsoil or compost). The reason is two-fold: you don't want to interfere with drainage by adding a courser material below a finer material when tilling- or digging-in the chips/mulch, but you also run the risk of robbing the soil of some nitrogen as the wood decays. Microbes turning the chips/mulch into compost will take some needed nitrogen out of the soil surrounding the wood, and while this happens when mulch is used atop the soil surface, the amount of soil the wood is in contact with (and thus the amount of nitrogen "robbing" that's happening, taking some away from plant roots) is minimal, which is not the case when mulch is buried and therefore surrounded by soil. While this would not be a significant long-term problem, since eventually nitrogen depletion would abate, it's best avoided, particularly if you were going to be planting seed that benefits from readily-accessible nitrogen. (This is one reason we fertilize newly-seeded turfgrass.)

Amending the soil to regain some lost soil volume using good-quality topsoil and possible some compost as well should be sufficient. To be more assured of quality, since topsoil is not regulated in Maryland, you can look at the supply in person before purchasing and see if the company provides soil test results for their offerings.

The soil testing lab will recommend a lime application rate if the measured pH is lower than turfgrass prefers. Turf is fairly adaptable as far as pH range goes, but lime may be beneficial if the pH measures below 5.5 or 6.0 in that area.

A straw topdressing might help to shield seeds from hungry birds before it germinates, or slow drying of the soil surface a bit, but otherwise it's not going to decompose into all that much organic matter.

When clover is deliberately grown in lawns, it should be the microclover variety, which is less aggressive (and therefore less likely to overwhelm patches of turf) than "regular" white clover. The problem with having too much clover growing in a  lawn is that it can out-compete the turf and, when it goes dormant in the winter and has no foliage, the bare ground is exposes could be colonized by weed seeds or suffer from some erosion. Hopefully the seed mix you're interested in using has that dwarf type of clover in the mix. The inclusion of Yarrow is surprising, since that grows tall enough when in bloom to have the flower heads cut by a mower, somewhat negating its pollinator benefit, though it may depend on what turfgrass type the mix uses. Ideally, locally-tested recommended cultivars of turf are best to use, since they have proven themselves as tolerant of our challenging growing conditions and resistant to typical turf diseases. If you avoid mowing for a time to allow the Yarrow to flower, be aware that this can stress the turf and make it less likely to recover well after mowing resumes later. Some types of turf, though, are mown far less often, so they might cohabitate better; fine fescue is one example.

Miri

Thank you so much!   This is extremely helpful!  I greatly appreciate the thorough answer and will adapt my plans accordingly.   

You're welcome!