Utility Telephone Blog

Fortunately for California residents and businesses, the emergency 1% sales tax increase passed by the State Legislature will expire on June 30, meaning that in July we will pay less for everything that we buy at the register. In addition, Utility Telephone will be able to be a little more competitive because Use Tax, which is assessed on millions of dollars of equipment that we buy for our network and our customers, will cost a little less. Anything California can do to increase its competitiveness is good for the residents of this state. We operate in both CA and NV and I’d like to see both states be as globally competitive as possible and keeping operating costs like sales tax under control is very important. Higher taxes on equipment purchases means plants and factories cost more. We need to keep manufacturing jobs here wherever possible. I think we have shown that purely service-sector jobs in any single industry is bad for local economies. We need a diverse economy to stay healthy and avoid a downturn in any particular industry from decimating our employment numbers.
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However, this sales tax decrease will mean less money for local budgets, and folks from every county and city will be scrambling to make up the shortages in the near term. My hope is that Utility Telephone could be part of these local governments plans to save money on their telecom costs. About six weeks ago, because our headquarters is in Stockton, I mailed letters to every City Manager of every incorporated city in the county and the County of San Joaquin urging them to allow Utility to analyze their telecom expenses or at least get to know them better for a future relationship. Two of the cities are or were current customers, but for very small pieces of their total telecom budgets. I even reminded them that the County Board of Supervisors amended their procedures to urge the “buy local” mentality in the buying habits of the county. I have not received a single response. At the State of the City address in Stockton in May, “buy local” was the almost singular message, very nearly the mantra of the Mayor in her address. The head of the Stockton Chamber of Commerce even spoke of how he “always” buys local whenever possible. We are the only locally owned telecom carrier and have had no success with any government accounts. I can’t help but feel frustrated a bit. Working with government is never easy, as any of their vendors will tell you. Even after the long sales cycles and politics and paperwork, you call them after being their vendor for 3 years and ask why they are 90 days behind, and they ask “what exactly do you sell us? We don’t know how to pay this invoice.” Still, I think that we have a valuable message: “We sell savings. We help thousand of businesses stay in business. We could help cities and counties too.” We’ll keep pushing; maybe someone will listen eventually.
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Some disappointing news, comes in the form of AB103, a bill in the state Assembly potentially destroying the Enterprise Zone tax credits that are a big part of where Utility has located its headquarters and how many of what type employees we have been able to hire. I realize the state budget is in crisis, and what is described by detractors as “corporate welfare” seems like an easy target with great political “feel good” value. However, this is a great program which helps keep California competitive. Other states have similar programs in one way or another, and California is already the most expensive state to operate in on the west coast. The employee training programs, which encourage employers to keep people on and to locate their offices and equipment in areas of the state which are “run-down” (to put it nicely) are important. While the effectiveness of “trickle-down” economic theories of tax cuts for the rich are much debated, giving incentives directly to employers for hiring new employees and buying equipment including computers is less doubtful, in my opinion at least. Do you own research and if you agree with me, send an email to your State Assemby member and State Senator in case in gets to a full vote. Your opinion matters.

There has been another dug up fiber cable that has left much of Sacramento metro areas wireless and Internet traffic isolated this afternoon. Look for it on the local news tonight in the Sacramento area. Utility Telephone has been affected, although thanks to the network that we brought on-line this year, it has only affected Sacramento. While we continue to find ways around places where fiber comes together in trenches, this is a common problem among networks constructed in the last 15 years. I do not know if there was a marking problem, as diggers are required by state law to call and have facilities marked, or if they ended up digging in another area. We are told that it will be several hours before it will be restored. We are already investigating new paths out of Sacramento that do not come together at any point, which is what we were told when we built this network in January. It is rather frustrating to have a written contract that says one thing and then find out what you bought is in fact something different. As a customer, I do not tolerate it, and as a vendor, we make sure we understand our customers needs at the time of the sale. More as we receive it. To my customers, I appreciate your patience and I apologize personally for the interruption.

Jason Mills from Washingon Reagan Airport

Octagon Barn:
I am very pleased to be part of this project. It will be a wonderful facility for everyone to enjoy. So many of these barns have been demolished. I’m still doing research on this topic, but a cursory search on the Internet shows some lists of these building and some history on them. Apparently California was an area where they caught on quite well between 1870 and 1900, but interest waned when the promise of their efficiency never quite materialized. Funding programs from the early Rural Electrification Administration urged less expensive building methods. Regardless, the one here in San Luis is here and available to the public to enjoy for generations to come thanks to those involved with it, Utility Telephone proudly included.
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West Coast Carriers Forum
After my stop in SLO for some picture taking, I spent the rest of the week in Dana Point at an industry meeting. I don’t golf, so I missed out on some of the scenery, but enjoyed the view of the beach and the very nice weather. Spring is finally here!
This was the third Forum and my first. It was nice to work with folks here in our timezone. It felt much more connected than the big national events, just a few dozen people in attendance. The proposed acquisition of Global Crossing by Warren Buffett’s Level 3 Communications was big news. If approved, it will have an impact on the wholesale market in ways we can’t entirely know now. Certainly less competition is not a good thing, but we are in one of those industry consolidation cycles where there are a lot of mergers and acquisitions. Nothing unusual, but changes we will have to adjust to. Utility is a nimble company. We adjust faster to change than our larger counterparts. Jason

I am so pleased and proud of our new website! For many months, we have been searching for just the right look for our presence on the web. I do not understand why it has been so elusive, but I think the re-vamp was well worth the wait! We are still fine-tuning, but we can be finally be proud to send customers and agents to our site for the latest info and resources. Keep an eye out for even more exciting features for everyone along with this updating tool, our blog. JRM

Sure, there are more than 5.3 billion mobile subscribers around the world today. For many applications this is great. All of Utility Telephone’s employees have mobile phones. I bet yours do too.

But would you want them to run your business from one? Do you want a customer service agent answering YOUR call from a mobile phone?

For all the features of a mobile phone there are pitfalls. Out of a coverage area? Dropped call? Did you lose your phone? Drop it and break it?

I, the classic landline, won’t do that to you. I’ve been in the communications game since 1876 (mobile phones came a century later in 1973.) I am the mobile phone’s parent! And for an old dog, I’ve learned a few tricks too.

• You can connect to me over the internet, cable, or your own PBX system.
• You can direct your calls to me- or if you are on the go- to your mobile phone- or to both.
• I have multiple lines so you can see who is calling without pulling away from a call.
• My network with Utility Telephone is fully redundant and runs on copper making me clear, dependable and quick to connect.
• And I am always right where you left me!

Call 877.377.7177 to make sure your business is operating on the most up-to-date network and using the best phones available. Trust Utility Telephone. Trust your business communications to a more traditional format. Afterall, I am a tradition for a reason.