you could get it machined $$ or you could replace the shaft I spose you could get a whole new engine but does it have anything else like a splined end or anything?
Yeah I really needs to be keyed. A member on here, russ2251 posted some pics of a keyway he supposedly cut with a dremel and some other basic tools. Looked perfect.
Maybe worth a try?
I've done several by hand and you need to be careful. You can certainly do it. Measure and use masking tape to mark each side of the keyway. When you cut, take your time.