Well, color my face red... I changed AutoOffMinutes=60 to 0 and thought it made no difference. After paying more attention, my Touch now sleeps without automatically powering down.
I also added:
at the same time just to see what happened, which didn't work, and thought all three were being ignored because after checking the sleep settings screen it still indicated 60 minutes for AutoOffMinutes... Apparently the conf file overrides, but it's setting, or at least 0, does not appear on the sleep settings screen? I wonder if it's because the firmware displays "none" or "off" or something similar in the dropdown list for those who get a zero choice in the firmware? Maybe I need a negative one(-1) or it just does not allow the zero or off setting to display for some other reason either buggy or intentional? Odd.
Anyhow, it works and I have a full on extended sleep mode. My thanks!