GOVERNMENT will seek to partner with the private sector in its latest attempt to upgrade the Milk River Hotel and Spa in Clarendon and Bath Fountain Hotel & Spa in St Thomas.

The authorities want to attract tourists to the therapeutic qualities of the thermal and mineral water in an attempt to tap into spa tourism set to globally contribute US$1.3 trillion in economic value by 2017.

What’s new is the plan to operate the attraction as a public-private partnership (PPP) in a drive that’s supported in part by the World Bank.

“The introduction of private sector capital and management expertise to upgrade the Milk River Hotel and Spa and the Bath Fountain Hotel & Spa to world-class standards could accrue significant additional benefits,” according to the strategic advice on PPP for bath and hotel issued from the Foundations For Competitiveness and Growth Project (FCGP) and posted on the Development Bank of Jamaica’s (DBJ) website. “It is envisaged that the development of the facilities will be undertaken within the context of the Government of Jamaica’s PPP policy.”

FCGP is a US$50 million World Bank project which began in 2014 and aims to strengthen the private sector through various initiatives.

The next step in the Milk River upgrade involves evaluating consulting firms which recently bid to conduct research on the project. The stakeholders want the consultants to identify the unforeseen economic, technical, financial and legal issues prior to engaging with the private sector. A final report is expected 11 weeks after the commencement of the research.

Since 1987 the Government made unsuccessful attempts to get private sector involvement in the government-owned entity. Concerns included aspects of the Bath Act which governs the Milk River Hotel and Spa, increasing competition from hustlers and illicit operators, and the risk of flooding.

Both facilities currently fall under the portfolio of the Ministry of Tourism and Entertainment. Additionally, in 1990 the Jamaica National Heritage Trust (JNHT) declared the facilities as Heritage Monuments due to their “historic, aesthetic, architectural and traditional importance”.

In March 2015, cabinet reaffirmed its commitment to set up an enterprise team to oversee the implementation of the redevelopment supported by the Ministry of Tourism and Entertainment and the DBJ.

The Government in its ‘Health and Wellness Tourism Strategy for Jamaica’ published in 2012 recommended the development of ‘Boutique Wellness Spa Tourism’ as a competitive niche market for Jamaica.

“The positioning of government-owned thermal and mineral baths and spas as boutique wellness and spa entities was recommended,” stated the document.