Here an excerpt from what I recomended to Timbre, which would apply in your case also.

Basic Equipment

Coupler repeater;
[Link: homeautomationnet.com] needed for
reliable X10 operation, get one very soon as they are almost gone and when
they are gone you will be paying 2 to 4 times this to do the same thing.

IR to X10; [Link: homeautomationnet.com]
Needed as interface between Remote and X10

Controller; [Link: homeautomationnet.com]
Needed to program switches and scenes (light levels)

For lighting I would use (2) switchlics
[Link: homeautomationnet.com]

Timbre wrote back and asked if cost was less of a consideration. I told him I would chose a ACT CR234 Coupler repeater and go with PCS switches. You will still need a controller to program the switchs but you could use a PHC02 insted of the 4071 which is only really needed with the linc products.

Hope this helps.

Bill
www.homeautomationnet.com