Sounds like an interesting concept for a story. :)
If you do continue the story, the main point of the story could be what changes they manage to accomplish (the smut would be bonus to the story).
You might also want to consider bringing wizards into Harry's circle, just so he doesn't appear chauvinistic or anything like that.
Author's response
I thought about it, but I think it would quickly degenerate, due to the way I set this up.
If I did it, it would end up too similar to Rorschach's Blot's Thief's Dark Lord Jeremy character, and he pulled it off better than I could. I mean lines like "The wizengamot meeting was held up for hours to allow sixty three of its members to regain control of their senses and change out their knickers after repealing the last of the werewolf regulations" would quickly get boring.
BTW, I originally wrote and posted this in Apr '07, before I even read that particular story. Maybe even before it was written, but I don't know about that.