So it seems like the MST utility couldn’t solve all the standby and resume issues on its own.
I found this post http://windowsitpro.com/article/articleid/93335/your-windows-xp-workstation-will-only-use-the-s1-sleep-state.html and it seems like it solved some of the problems.
I set both the minsleep and maxsleep to S3 under the admin option so it only uses S3 now. I had a problem where it didn’t want to resume from standby and I suspect it is because it used S1 on minsleep and S4 on maxsleep.
The commands I used was:
dummpo admin minsleep=S3
dumppo admin maxsleep=S3
