JuliaHi Rob,
Being the mom of a fairly newly diagnosed daughter with LOCAH (Late onset CAH), I did not go through the gender issue at birth, but I can relate to the feeling of finding out your child has CAH. First and foremost, CONGRATULATIONS on the birth of a precious child! Secondly, there is lots and lots of help here for you to understand CAH and all that goes along with it. Another site for you to visit would be www.magicfoundation.org It has lots of info on the subject as well.
The baby will be put on meds, probably cortef and flourinef, and will have to take them for the rest of her life. She may or may not need surgery for female functionality and appearance depending on the severity of her condition. Some things like illnesses are a bit trickier than "normal" kids, but over all she will be a happy, healthy child with the right help from her endo. My best tip I can give you right off the bat and one I am still working on is to find a pediatrician that knows about CAH! That is easier said than done, but very important.
I wish your sister and the baby the best and what a great brother and uncle they have!!!!!