I would try a manual install of SpRecovery. Before I did that however, I would put a good rom on the sdcard and rename it update.zip (make sure it is not in a folder and is not named by windows update.zip.zip). I would do this so that if things go very wrong, you will have a rom on the sdcard to load. Here are the instructions:
[FONT="]Upgrade Recovery Image[/FONT]
[FONT="] [/FONT]
[FONT="]To upgrade to 0.99.3b:
1. Download the recovery-0.99.3b.img file from the provided link.
2. Connect your DROID to your computer.
3. Transfer over this .img to the
root of your SDcard.
4. Disconnect your DROID from your computer.
5. Open up "Terminal Emulator (by Jack Palevich)"
6. Type in the commands provided below.[/FONT]
[FONT="] [/FONT][FONT="] [/FONT]
[FONT="] [/FONT]
[FONT="]Code:[/FONT][FONT="][/FONT]
[FONT="]DO NOT TYPE THE QUOTATION MARKS AND MAKE SURE YOU INCLUDE THE SPACES
"su" press enter
"flash_image recovery /sdcard/recovery-0.99.3b.img" press enter
"reboot recovery" press enter [/FONT]
[FONT="] [/FONT][FONT="] [/FONT]
[FONT="]
7. You will reboot into recovery and see that you have updated to version 0.99.3b.
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http://downloads.droidmod.org/flash_image
Do a nandroid backup immediately.