headlight mystery 91 GTP - need diagram!

Every once in a while my lights will not turn on, leaving me in the dark. I am pretty sure that this is a bad ground. One time I saw a puff of smoke come from the steering column, I'm sure that this also has something to do with the lights.

also..., my breaks are spongy, I had them bled but they went back the same way in 1 week.