I've met with Jim and discussed methods for entering STOP mode on the S08PT32. We clarified that the Real Time Counter (RTC) is used to wake up the S08PT32 from STOP Mode, rather than any other timers. Jim has successfully modified his code to achieve this. RTC is successfully bringing PT32 out of STOP.
Here is his additional email response. I will next look at the TSS Library and try to determine if there is a reason the TSS stops working after 100ms. I've added this additional comments to this thread, in the event another community user has also found a limitation or a workaround.
------From Jim McLean--------
The plan is to be in stop mode, and every half to 1 second wake and check for touch inputs.
What is consistent with the TSS is that it works okay when it is in a loop and called regularly. When I use a periodic timer to schedule a scan, rather than continually looping, the TSS quits working when the scan interval is greater than 100msec. Shorter interrupt times (<30msec) work okay, but as I increase the interval, the TSS starts missing touches. I've tried using the TSS save and restore functions prior to sleep and wake, no difference.
Yesterday I was going to try using the low power modes built into the TSS library through PE, but the options were not available. Perhaps the PT family came up short on the TSS implementation.