I can't help but to the think the switch itself is somehow important. It's built like a relay almost, with all the plasticy rubbery type of filling. It won't release the key together, apart, together and touching a ground...it's just weird. It does seem like the two blue sensors have a dedicated harness that clips in under the lower column shroud, so who knows. I'm gonna try and pull the whole thing from a junkyard Saturday and see what I see.
I agree it's just a switch. Close the circuit and it should release the key, but nope. I have to pull the ignition switch or the negative battery connection (so definitely electrical)