Shouldn't Replace Face use the same internal ID as the original face. This way you are really replacing the face not making a cut or otherwise. I tried to do a replace face on a cutout instead of messing with the dimensions of a sketch, this caused the dims in the drawing to go dangling. Damn after looking at the help I noticed that their examples show using differently shaped faces to replace. I guess that wouldn't allow you to use the same I-ID. Maybe I should put in an enhancement.
Corey