>>2293218His idea to save the hot springs is to have people widen the source of it, it's been covered up by mudslides and needs a lot of work to uncover. Most people consider this too much effort, so they've simply lived with the reduced water flow. He wants to prove how wonderful the healing properties can be, and the best way to get them to see is by having you volunteer.
He'll have you cover one side of your body in the mud, then have you walk around naked and let people 'feel' the difference. (If your modesty/respect is high enough, you'll talk him down to just your breasts and if it's really high, convince him to try it on your hands instead.)
Once enough people have felt you up, they all universally agree that the water has some kind of healing property and the springs must be preserved. Everybody gathers their shovels and together, they save the hot springs, netting you a ton of respect in the process.
After this, the hot springs will be open 24/7 and the player can visit them during evenings to raise her respect level a bit as well as removing any 'dirty' status effects.
There are other bits of information I haven't mentioned or could be evolved upon. For example, when you're renting swimsuits you have 3 choices. 50 gold for a white one-piece (that turns transparent when it's wet too long), 60 gold for a black two-piece with side-ties (watch out for loose nails), or a flimsy microbikini. He admits the micro swimsuit has never been rented before and that he's looking to get rid of it. If you give him 100 gold, it's yours forever. The best value for players who plan on visiting the springs multiple times but don't want to be outright nude (just very very close).
Most events should react to the player's 'Modesty' and 'Respect' levels, opening new paths based off of your stats. They all lead to more or less identical scenes, but have similar conclusions.