I don't know anythign about replacing the wood (hopefully someone more knowledgeable will chime in), but I have heard a thign or two about jacking a house.
You need to go slow. Three inches at a time is much too fast. Jack it maybe a half inch and wait a bit for everything to settle. By a bit, I mean at least a few days. Jacking up a house is a very slow process. I may be erring on the side of caution with too many days, but take your time.
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