Temp gauges normally point at 100 with ignition on, but engine not running. Did you use the GM Temperature Sensor Chart to check the sensor for accuracy? Do a search for Chart in Tech Tips on the forum.
Remember, that the Coolant Temperature Sensor doesn't interact with the temperature gauge. It gives information to the ECM for purposes of controlling the fuel injectors.
The gauge sending unit is located on the cylinder head, near the ignition coil. Two green wires going into the harness terminal. The GM sensor chart can be used to determine accuracy of that sensor, too. Once you determine the temperature the sensor is telling you, you can compare the gauge for accuracy. This sensor doesn't interact with anything except the gauge on the dash.