Just to add to this thread: I'm doing the same for Hand Maid May, with some additions - full retiming (R1 timing is often horrible), limited editing to correct obvious mistakes, fully styled subs (with retention of the original SRT), and, most importantly, real typesetting of the signs.
The starting point is the Blitz version, which is about the best I could find (most others are not even 640x480). The project has the sanction of the group leader but won't be an official release.
Personally, while the mistakes from the OCR process used to convert vobsubs to SRT are annoying (i's coming out as l's, etc), it's the awful timing and the mangling of the signs in most R1s that I find most annoying.
Based on feedback in this thread, maybe I'll do two styled sub tracks - one with honorifics restored, and one as is. 
archivisth
I find R1 sign subs passable a fair amount of the time, it's just that the conversion to .srt (or .ass with no additional typesetting) causes them to become mangled. Hand Maid May's were decent, but you're right, they could be a lot better with real typesetting. As I asked when you mentioned this Hand Maid May project before, would you be willing to do a Songs/Signs Only track to go with the English dub? Copying the song and sign lines, pasting them to a new .ass file, and including that new .ass in the final mux would be enough. And my offer from before still stands -- if you send me the .ass files after you finish retiming/editing/TS, I'd be happy to copy out the song and sign lines to create the new tracks. This would be an improvement over the DVDs themselves, as they lack a secondary track.
Hmm, maybe even modify the stylized honorific subs by cross-referencing the fansubbed versions.
The better question is, does anybody
have the original fansub versions? I'd love to see them, as they're from the early days of digital fansubs (Summer 2000). As far as I can tell, the best mix would be Anime-Fansubs for 1-3, HighQualityAnime for 4-5, FiveStar for 6-10, and AnimeCoalition for the specials. All we have on BBT, aside from the a4e release, is an
oooold R1-rip, which ironically is still the best-formatted version out there, assuming it took the DVD subs and hard-subbed them "as-is."