If the rod isn't moving and the key doesn't spring back the problem could be with the key lock or the rod has disconnected somehow. The spring back function is provided by the ignition switch via the rod to the key lock. So, if the rod isn't moving, the ignition switch spring isn't getting compressed so you don't get spring back on the key.
OK, now what you've got to do is take the column apart. My guess is the key lock is broken but you can't determine that until you pull off the hub, lock plate and disconnect the turn signal harness and pull the turn signal assembly out a little to gain some insight. That's probably a two to four hour job depending on what's wrong. You might want to replace the turn signal switch while you're at it. It also requires a wheel puller and a lock plate depressor. (I am correct here aren't I? The 79 and later columns had a lock plate....I've haven't taken one of those apart).
Is it a tilt column or standard?
Read the service manual. It will take you step by step through the process.
A shop would probably charge you between $200 and $400 for the job depending on what's wrong.