I too have the impression that the red-light trade's influence and economic impact on the quaint town of Sodom might be a bit over stated at present. It does however remain a very visible aspect of nightly life here. As in an animal park, when too many aggressive baboons are peeling the trim off visitor's cars as they drive by, the park needs to remove some of the baboons to make the overall experience safer and more enjoyable for visitors. It's not usually necessary to remove all the baboons, just thin the troop to achieve the desired result and get rid of those that cause the most problems.
The difficulty with a shared dream is getting everyone to envision the same thing and marching to the same drummer. I don't think Sosua has any detailed idea of what the town is to become someday and as a result have no means to figure out in what direction to march, what route to take or how long it will take to get there.
Remaking a town is a long drawn out process. You can't set up a blank canvas and then expect Picasso to just show up and paint a masterpiece. All you'll get is graffiti. Particularly in the DR but not only in the DR, politicians generally can't see past the next election. Between now and then, most can only see the things they could do to win reelection. None think they can initiate sweeping reforms the benefits of which will be realized in 10 years and then and only then will they be able to stand up and take credit for the idea.
If you can't put in check the police corruption, keep the electricity on and the water flowing, if you can't envision digging up the streets and putting in drainage systems, sewer pipes, buried electricity cabling, sidewalks without trees growing out of them and a sewage treatment plant, then there is little point in dreaming of a modern tourist paradise as the foundation to support such a vision won't exist.
The predominant tourist business model employed in this country is build it, plunder for as long as you can without any additional significant investment, shut down and relocate elsewhere and repeat. It's the same for bars, restaurants, hotels. The formula is to take in more than you initially spend and everything else is gravy. When it costs too much to maintain, bail. If Sosua could be closed lock stock and barrel and startup again next to Aman hotel, that's what they would probably choose to do.
If a town doesn't have the resources or the will to remake itself over the time frame required, then it should be full steam head. Become the best mongering town in the country. Travel to Amsterdam, Berlin and other such destinations where sex is a legitimate part of the economy and figure out what can be duplicated here within the constraints of time, money, expertise and political will. If you don't want 250 spandex clad putas de la noche lollygagging in the centre of town, provide them and investors a chunk of land in a more desirable area and "sex town" will spring up overnight complete with a dedicated service industry to ensure that everyone there is well fed, has access to transportation to and from, it's very own police station to deal with the problems specific to that sector and a medical office to see all the ladies once every two weeks for a blood test or two.
Not a lot of public money would be needed. All the infrastructure for such a venture would flow from private investment very quickly. Buildings would be built or renovated, restaurants and bars would be fighting for real estate, the medical testing lab across from Playero would open another satellite office overnight. Local Govt would just have to regulate permits, set the rules of the game and ensure that sex town doesn't grow outside of the designated perimeter. Families could come if they wanted to and not have to elbow their way down the main street. Those not interested in what is on offer at the far end of town need not pass through the gates of Sodom II. Those who only want what is there could spend their entire stay there and never have to listen to a screaming child demanding an ice cream cone.
Alas, the unrealistic idea that families will flock to Sosua will prevail as much because of ignorance as incompetence. It's not fair to state that everyone in a position of authority is stupid and lacks a basic understanding of what is needed in this town and how to achieve such, but that's the side of the coin toss I'd put my money on every time. At least until I can open Gringo's - an all you can eat smorgasbord of debauchery under one roof in the newest and most modern part of an old failing town free from institutional harassment as long as I follow the rules and pay my taxes.