SOLVED!!! After a week of chasing my tail, messing with the wiring on the remote start, doing reset after reset, cutting the yellow wire while running, doing the resistor bypass, and lots of deep thought, I went back to the basics. I knew the signal was not getting to the computer. A relearn would get rid of the security light, but the keys would not let the fuel flow. It would start no problem with the remote, but as soon as I hit the brakes the engine would shut off. So, I went to the junkyard, the guy asks what I'm looking for and he told me he cant sell me the ignition from any dash mounted key setup for a gm car of that era (Malibu, grand am, grand prix, alero, etc) I told him I didn't want the cylinder, but the switch that the cylinder goes in (ignition switch). He says, ok no problem. Pulled the part in 10 minutes (I'm a master at this by now), paid the $8, drove home put the part in, bumped the starter, it fired and died. I'm excited by this because before it wouldn't even fire. Waited the 10 minutes for the relearn, and it fired right up. Made the mistake of trying the remote start (old signal) and that put it back into security mode. Retaught the remote the new signal, waited the 10 minutes again, and now it starts with the remote and keys!! The initial problem was a locked up cylinder and I guess I banged up the switch trying to get the key freed up before finally drilling it out. If anybody has any questions about the GM passlock don't hesitate to ask, I've read hundreds of posts across multiple boards and platforms, done tons of research, and now have a feeling that I have somewhat of a grasp on the whole thing. This problem is across all American cars and many imports. GM just seems to be the worst about it, has had over 100 people die from faulty ignition cylinders, and the dealerships are raping thousands of GM owners by charging anywhere from $500 to $1000 to fix this. Basically the key's or tumblers ware out, and the cylinder needs replacement. The cylinder from a dealership is $240, same one from an online parts store or amazon is about $50 (ac delco). On the alero it is a 10 minute job if you don't screw it up like I did. Pop off shifter lid, pop off bezel around radio, one screw to ignition is there, take two bolts out of the gauge surround, take 4 bolts off around gauges, pull the gauges out (no need to unplug), take 2 more bolts out on either side of cylinder, turn the whole thing over (rotate back and to the left) which exposes the pin that holds the cylinder in. Turn key to ACC, push the pin in, pull with the keys, and cylinder pops out. In my case the key was locked up in the cylinder, so I had to drill right in front of the pin to break the retaining spring which holds the pin in the switch. Reverse process, with new ignition cylinder, try to start and it will die, leave key in on position until security light goes out. Turn ignition off for 10 seconds, and then start it. Sometimes you have to do this process 3 times if the security light starts flashing again after it doesn't start. Hopefully this will help other gm owners.
