Thanks for the update!

I've used cocoa mulch for years. My experience has been different than yours, as follows:

-- mulch is best spread as summer starts. It helps conserve moisture, so it isn't needed much during the winter rains but is a big help in our dry summers.

-- the mold in cocoa mulch has never hurt anything in my garden. It isn't harmful in itself, and mushrooms (fungi) may be poisonous to humans but they will not harm your plants. If you have spread your mulch properly, which means not allowing it to mound around any plants, and NEVER mulch plants until they established themselves, you should not have any problems.

-- cocoa mulch 'locks' together after being wetted, which is why it's very effective for holding moisture. It is unnecessary to turn it over or aerate it. If your soil doesn't drain well, you shouldn't use any mulch, but instead amend your soil to lighten it.

-- the biggest disadvantage to it is cost and pets. Dogs occasionally eat it, and some cats consider it the greatest kitty litter in the world.

Of course, YMMV, so I hope you find a mulch you are satisfied with, since there are many other choices.

I also have used it for years and am also in S.Calif.I've never had a problem with it.We started using it because someoe told us it would help keep the neighborhood cats out of our yard,and it did.We didn't have any mold problems at all,then again the garden i used it in,gets full sun.
Kathi

Wow. I never had a problem with mold in my cocoa mulch.

It ALL blew away in a couple of days.

Every bit of it.

I'll never buy it again.

I have seen two types of cocoa mulch in our area, one is just the plain cocoa mulch which can grow mold. The other is cocoa mulch mixed with rice hulls. The rice hulls are supposed to let more air through the cocoa mulch and help to eliminate the mold problem. I do love the smell and it is supposed to keep deer and slugs away.