I found this link to help late-bind the clipboard object
Office VBA Tips: Late Binding MSForms.DataObject to access the ClipBoard from VBA.
Adapting your code to incorporate this as a function results in the following. I'm not sure what you think your replace code is meant to do but it doesn't actually replace anything.
Code:
Sub FindReplaceClip()
Dim sFind As String
sFind = funClipText
With Selection.Find
.ClearFormatting
.Text = sFind
.Replacement.Text = "RECORD BEGINS"
.Forward = True
.Wrap = wdFindContinue
.Format = True
.MatchCase = False
.MatchWholeWord = False
.MatchWildcards = False
.MatchSoundsLike = False
.MatchAllWordForms = False
.Execute
End With
Selection.HomeKey Unit:=wdLine
Selection.MoveUp Unit:=wdScreen, Count:=1
End Sub
Function funClipText() As String
Dim MyClip As Object, sFind As String
Set MyClip = CreateObject("new:{1C3B4210-F441-11CE-B9EA-00AA006B1A69}")
MyClip.GetFromClipboard
funClipText = MyClip.GetText(1)
End Function