Then these fans never wanted a faithful dub to begin with. They wanted a progressive dub and used the "faithful" card as an excuse to retcon Sailor Moon. That's precisely the opposite of following a creator's intent. At least I outright say that I don't care about how it was originally. These fans don't care, either, they just overwrite the original material with their own biases and are claiming that they are speaking on behalf of authenticity.
It's one thing to want a more accurate dub. I never wanted one, but I never pretended to want one.
But when you are praising changes to make content more LGBT friendly, that is the same "political correctness" that you fault the localizers for including, just wrapped up modern-day values. It's even worse because unlike then, where there were regulations and such that broadcasters are required to follow, this is completely voluntary. This, in my view, is actually worse than pulling a "Day of Destiny" as at least "Day of Destiny" went over most of the same plot beats, albeit modified and crunched up. Here, the actual plot is actually changed without anyone being the wiser.
If you're saying it's welcomed to make a problematic product more acceptable, then you cannot fault the DiC dub for doing that in the 1990s and you can't use today's standards to judge the prior attempt. Not unless 20 years later, you accept making more changes to the old Sailor Moon anime in a re-release to make it more fitting for its time.
Yeah... no. It's not even close to being the same. Barely any overlap if any.
"Day of Destiny" gave the original two parter season finale a major overhaul if you were to really watch the DiC dub of it after the original. Scenes weren't just cut, some were rearranged. The rewritten script watered down any amount of gravitas that was in the original to make it seem like another fun adventure. Death wasn't just removed, it was like any amount of drama didn't exist outside of it being the final battle. Hell, there's even a plothole of how the girls got amnesia that wasn't in the original.
In direct comparison, Episode 96 is a meager filler episode at best that sticks out because of certain off-color dialogue from the protagonists. It might not be "offensive" in intent but it does feel like a rather poor attempt at humor. Viz Media's redub pretty much adapted the script faithfully but employed slight tweaks to the aforementioned off-color dialogue (of which you can see in the post I linked above) which was about 5% of that episode's story. If not less. They barely even come close to "Day of Destiny" which, again, removed whole scenes and watered down the drama.
Now, I don't deny that DiC and Cloverway were largely making do with the restrictions they had to work with. I've said it before but I have grown to appreciate localized dubs and how they too make do. That said, there's a world of difference between removing LGBT+ content altogether and rewriting a few lines that might reflect poorly on said LGBT+ content while not removing said depiction. Even if we are going with the excuse of how the 90s forced their hand, the way CWi in particular went about it was just plain tactless when it came to the whole "cousins" thing.
Now when it comes to wanting a "faithful dub," what most people mean by that tends to be less so "not even the slightest script adaptation" if some people have anything to say about it and more so along the lines of "a dub that doesn't try to make Sailor Moon into something it isn't." As far as Episode 96 goes, it's selected line changes are a drop in the bucket compared to the laundry list of alterations DiC alone made to just two seasons. Once again, the blog posts above detail the exact rewrite in question that were employed for those not in the know on what exactly was tweaked.
Now, putting how much a dub should change and keep aside, I won't say that there's no merit to debating whether a product of its time should retain its more "problematic" aspects from said time or if it should get with the times with re-releases. It is honestly something I think doesn't have any real clear answer even if I agree with this instance here. Does a new adaptation of a work from days gone by alter aspects that have fallen out of favor today (to say the least)? Do they keep it to do right by the beloved source material? That's... actually what this thread was meant to be largely about.