I have done as much reading as I can find in different forums on how to solve the problem I am having with Google Voice Search properly carrying out actions. If I want to search the web, it works great. However, having it carry out any phone specific commands is not working. I am running Android 2.2.1 and version 2.1.1 of Voice Search. Here is what I have done to try and fix the problem:
1) Clear out my contacts storage and reload it
2) Reinstall Voice Search
3) Even set my contacts as the only searchable items in the settings portion of google voice search
Specifically when I say "Call [say my contacts name] at mobile" it always try to call a number it finds online for nothing near my contact name rather than calling someone from within my contacts. The same problem occurs when I say "Send text [say my contacts name]" it brings up the text message screen, leaves the recipient blank, and and enters their name or the best attempt at spelling it as the body of the text.
As mentioned earlier, all other web specific search functions are working fine.