Before making any final plan, find he source of water. Is it moisture from inside? from outside soil? Each has its own treatment. If it is truly from the outside, only the sheet against the block is needed. I suspect that.
Exterior ground surface can be made waterproof in this way. Assuming the surface is in its final position, then do this. Leaving walks and bushes, all the surface where fill was placed, strip the sod. Place a powdered bentonite (not the granuated kind) on that surface at a rate of about 3 pounds per sqauae foot. Powdered bentonite is available at plumbling supply houses in 50 pound bags from under various names for "driller's mud". One name is Volclay. It is a volcanic clay that has the particles made up of parallel platelets which electrically attract water. Given free acess to water it can swell 16 times is orginal volume. However, in soil it will fill voids and keep the soil moist and rather impervious. You mix that in with a rototiller about 3 inches deep. Thorough mixing is needed. If you feel ambitious, you use a concrete mixer or mix by hand in a wheel barrow. Then re-place the sod. If you use too much bentonite, it will turn the lawn to mush. It is a natural clay so grass now grows better. The required treatment distance out from the house is the whole zone of backfiliing to the basement. In may cases this is as much as 10 feet. If you do not know that fill width, at least as far out as the height of the wall. At cracks in walks next to a foundation, fill a mix of sand and bentonite.
With the wall buckled in some, that brings up a whole different picture. Sounds like frost has shoved the wall in. Very common with block walls. Insulate the wall and less heat goes out, making mister frost even more vicious.
Pushing the walls straight may be more than you want to try. There is earth out there. Some suppliers furnish a bracing system that at least keeps it in the present position. No way will ordinary wood or steel studs do that if more frost push is coming.
Here is one system:
Another:
I once saw a system that looked like a bow for bow and arrow. One even installs structural steel members.
If you really want to stop frost push, you need to do one of three things; remove cold, remove water, or change soil to non frost susceptible. Water can get there by capillary action, so draining the footings won't do it. Even the surface drainage fix won't fully do it, but helps. Insulating the outside can help, such as leaving snow there or a layer of fall leaves each season. On new jobs we even recommend burying a sheet of the pink stuff about a foot down, to 4 feet out.
Non-frost susceptible soil is sand with less than 5% passing the number 200 sieve (a size hardly visible to the eye).
Turns out to be quite a project, huh?
Reminds me of a village where they decided to avoid winter frost heaving of the new streets. They laid down a sheet of pink stuff, then the base and paving. In winter, the warmth in the ground was retained there and the pavement got colder than the roads in the country. A freezing rain came down in early winter. In the country the warmer road was just wet. In town it was glare ice. Those folks coming in from out of town sure got a surprise. Fixed one potential problem and caused another .
So you may fix one thing and cause a few problems you didn't expect. I hope our info helps. At least now it is more complicated.
