Are the seedlings planted through the card into the
native soil, or on top? If the latter, they dry out really quickly.
One way or another, I find transplanted seedlings need regular watering (like every couple of days), until they're settled in.
I'd only water the actual plants: the sheetmulch
should do a good job of maintaining moisture in the soil, and in my
experience, it will only really start to break down when the autumn rains come.