The "PC Network Extension" version 1.6.4 will not load under MacOS 8.5. It comes up with a message saying it "Requires OpenTransport 1.1.1 or higher. Of course you have OpenTransport 2.0.1 under 8.5, but for some reason that is not considered higher than 1.1.1.
I traced this to a bug in the OpenTransport version number check logic. It checks that you have at least version 1, and then checks that the sub-version is .1.1 or higher. Since MacOS 8.5 has OpenTransport 2.0.1 the 2 is higher than 1 and is OK but the .0.1 is lower than .1.1 and it fails.
I have made a patcher which will change the code to require OpenTransport 2.0 or higher. My experience with the patch is mixed, some networking works and some doesn't. At least the anoying alerts telling me to have OT 1.1.1 or higher are gone.
You should only use this if you have MacOS 8.5, otherwise it will disable your networking from the PC Card.