The slime on the wood is a kind of algae, caused by excess nutrients in the wood. Once the nutrients have leached out, it'll go away. You can take the wood out and scrub it off with hot water if you want but it'll most probably come back for a few weeks. It isn't harmful to fish.
The milky water is a most likely bacterial bloom (unfortunately not the same bacteria as we want in our filters!) and will likewise clear up on it's own, or a couple of large water changes should sort it out.
Is your tank fishless or fish-in cycling?