There isn't currently any work on SCI32 decoding or development. One reason is probably because so few games used the engine, there's less of a fan base.
As mentioned, I will be doing SCI Studio VGA when SCI Studio 2.1 is done and settled in. It will create games with the LSL1 VGA, SQ1 VGA, KQ5, etc. engine.
LSL7's engine is remarkably similar to LSL 2, 3, 5, and 6's. You'd even use the same compiler and language. Even the template is similar! I know this from LSL7's debugger. LSL2->LSL7 use a very similar class system, some parts identical. They just add some properties here and there for scaling, methods for videos, etc.
Though similar, I don't plan on doing SCI Studio past SCI1. Not because it would be too difficult, but because I feel SCI1 is the most any general fan game developer will need, and I want to persue other non-Sierra projects. I will still continue working on SCI Studio EGA when doing VGA, and still continue working on SCI Studio VGA when doing other projects, but won't start another one. I find updating such huge programs with minor enhancements to be easy and worth while, so I see no reason not to support SCI Studio forever!