We suggest you obtain a Shop Service Manual for you '97XP.
Do you know there is a 15 amp fuse in the coil box ? This is the main power supply wire to the front of the boat. That power goes to the MPEM, which has it's own set of fuses on it. Did you cover the bases and check all of the fuses ? When testing fuses, just looking at them and saying " they are fine" can get you into looking in the wrong places. Be sure power is coming off each side of the plugged-in fuse. It is possible to have a bad fuse holder, especially the ones in the coil boxes. Use a pointed test light on each side of the fuse. Main power fuses are 15 amp. The 5 amp fuse protects the MPEM, and the 7.5 amp fuse protects the system from the VTS. So, to get spark, you must have a good 5 amp and two good 15 amp fuses, plus all good grounds and connectors that make good contact, a working DESS switch, and the mag connector connected.
Once you prove all of that is good, you can start looking for bad components.
When you first press the start button one time, even without the lanyard connected, the dash should come alive. If the gas guage is working, it will show bars on the guage, if not, it will show a red idiot light. The oil tank idiot light will also come on. If the VTS is good, it will go up and down when you push the VTS switches. If you have an info center guage, it will come on too. But without the lanyard attached and the code in it read by the mpem, you will not have a working starter switch that sends power to the starter relay, nor will the ignition be activated. The dash and VTS will stop getting power 33 seconds after you pressed the starter switch. If you beeper was working full time like it should be, without a lanyard working, it would blast one long beep, meaning no lanyard is being recognized by the mpem. But, if you installed a good lanyard onto a good DESS switch and you have a good mpem, you will hear two short beeps, meaning the whole system is activated, and ready to start.
This gives you a place to start checking. If then the starter switch does not start the motor using the starter motor, you jump the starter relay to see if you need a starter motor or a new relay. Only rarely do you need to replace the starter switch, and only after proving power is not coming from the relay connector that plugs into the relay.
But none of this means much if the fuses on the mpem are bad, or you have bad connections or grounds.
Do you know that if the connector in the mag housing is not connected you have no power up front as the main grounding wire comes through that plug. No ground, no power.
A VTS can short out internally so if you are having VTS problems, unplug the power wires to the VTS. At least this eliminates that as a problem spot.
A DESS switch has a 4 way connector up under the dash, if the terminals are corroded, or the switch is bad, the mpem never reads the lanyard code. This will block out the function of the starter switch to activate the solenoid in the coil box, as well as any spark from the now dead ignition.
Occasionally, a lanyard needs cleaning, or replacing if the dess switch tests out to be good.
The Service Manual tells you the values you need to test parts on an ohm meter.
That year ski the Pick-up bracket was notoious for breaking and shorting the electrical coils inside.
You will need to loosen the front motor mount, wood block up the engine and remove the Magnito cover
http://partsfinder.onlinemicrofiche.com/seadooforums/Seadoo_oem/Seadoo_PWC.asp?Type=13&A=47&B=6
New over the counter brackets are now made stronger.