Since this is my first time i've setup a phone system I am unsure if the startup time for the ip phones on our network is normal. For example our Cisco SPA525G takes around 2 minutes to startup or restart. Most of the time is spent loading the XML files. I am just concerned that this is not normal and there may be something wrong with the network or setup.
These debugs are not the same as the TFTP debugs, although they are related. You need to telnet to the UC500 and enable the "debug tftp events", then type "terminal monitor" and reset a phone (power cycle). Then disable debugs by doing "undebug all".
This is not normal. Can you please collect the following debug "debug tftp events". This will tell us which files the phone is looking for, and presumably not getting, from the UC500.