Issue setting up policy nat for VPN Cisco ASA 5550

I have a Cisco ASA 5550 running ASA software version 8.2

Trying to setup a policy NAT for a VPN to a remote office that has a conflict with the local subnet being uses on our side.  It appears like the Static NAT is not happening and I haven't been able to see why.

local subnet: 192.168.60.0/23
remote subnet: 192.168.10.0/24

translated subnet: 192.168.160.0/23

Here are some of the relevant configuration lines from the ASA:

ACL to identify traffic for policy nat:
access-list inside_nat_static extended permit ip 192.168.60.0 255.255.254.0 192.168.10.0 255.255.255.0

Static NAT statement for policy NAT:
static (inside,outside) 192.168.160.0  access-list inside_nat_static

NAT exempt statements:
global (outside) 10 interface

nat (inside) 0 access-list inside_nat0_outbound
nat (inside) 10 192.168.60.0 255.255.254.0

The inside_nat0_outbound ACL has the following entry in it:
access-list inside_nat0_outbound extended permit ip 192.168.60.0 255.255.254.0 192.168.10.0 255.255.255.0

When I do a "show NAT inside outside" command I see the following results:

match ip inside 192.168.60.0 255.255.254.0 outside 192.168.10.0 255.255.255.0
    NAT exempt
    translate_hits = 16309, untranslate_hits = 0

  match ip inside 192.168.60.0 255.255.254.0 outside 192.168.10.0 255.255.255.0 static translation to A-192.168.160.0
    translate_hits = 0, untranslate_hits = 0

If I do a "show access-list inside_nat_static" the hit counter shows 0 as if it isn't even trying do the static translation.

Any thoughts or suggestions would be helpful.