There are starter and VATS schematics on my Tech Page to assist you in troubleshooting.

 

Have you ever seen a problem that is vats related where the security light only comes on while the key is turned to start? It will not come on with the key to the run position, and will only stay on for 5 seconds or so with the key turned to run. If you disconnect the vats harness under the column, the light will still only come on with the key turned forward but will flash instead of stay solid.

I am wondering if this is a bad key cylinder because it does nothing when you turn the key to the accessory mode (put key in and turn backwards).

 

OK well I stand corrected, the car DOES have accessory mode now.

 

I obviously have not seen or read about every problem there is with VATS and can't be expected to have an answer for everyone, but if you don't logically troubleshoot it, you will never find the problem.
It is also hard to follow when you say: One statement seems to contradict the other.

 

Yeah that was my mistake, it shouldn't say run there. I will go back and edit that.

We are slowly making our way through the troubleshooting but I was just hoping you or someone else had encountered something like that before and could steer us in a direction that would bypass things that aren't related.