Hey Hal,
You should be able to do a really nice design with either a glass or stone mosaic tile to create your back-splash on a budget. I would suggest taking a few samples pieces home since you can buy them individually, and make sure they go with the top first (or check them out together in-store)
You can put it right above the existing backsplash and have it go as far/high as you want. Just make sure you seal it properly before you finish though
Hope that helps you out~