look in the Tech. section.

I have diagram to eliminate decomp relay if you are removing decomp solenoid if interested . For a 1996 not sure if wiring is the same for all years or wire colors .

Consider doing an automotive type key/start switch. This will eliminate the starter button (and wiring) on the handlebar.
A toggle switch (off/hi/lo) on the headlight bucket will eliminate the switch on the left bar. Just put a micro switch on the bar for the horn.
Lots of integrated tail/brake/TS lights out there. That makes things tidier.

I'd be hesitant about getting rid of the handle bar controls ,and of using an automotive type switch. the switch placement on the bike would be critical to avoid snapping off the key in an accident an not being able to kill the motor. For that reason the kill switch on the bars is important for safety, and for the fact that  it also kills power to the igniter and coil ,saving the igniter diodes from meltdown(replacement cost of the TDI ,nearly $500) .You can keep it simple, but be thoughtful in your approach .