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Trouble with OSAL timers and interrupts

My project is proceeding nicely.  The system goes into PM2 and power draw is acceptable.  Our interrupt driven keypad scan works fine.  On the correct sequence of key presses, the BLE comes up and begins advertising.  After connecting to an iPhone app and doing our thing, we disconnect and go back to PM2.  The problem is this, when a key is pressed the ISR scans the matrix and determines the key. It then turns on an LED on P1.0 and fires a 20mS osal_start_timerEx.  The timer event turns off the LED.  I found out that if there is a periodic event set (needed to keep the Clock updated), the LED gets turned off almost immediately.  Normal LED timing occurs if I comment out the initial kick of the periodic timer in SimpleBLEPeripheral_ProcessEvent -- SBP_START_DEVICE_EVT.

Any help you can offer is greatly appreciated.