That's the switch. Dousing it w/ WD-40 will make the outside look all purdy on the OUTSIDE. I don't recall the switch being 'wet' (in oil), but there' no mention of any sealing agent when replacing it.
You might also check to ensure the wire cap is making good contact w/ the switch before removing the switch for further analysis. I remember it (the wire connector) as a psudo bullet connector. Pinch it every so gently if it's making a poor connection.
Rick