In 1930, the Kalona Independent Telephone Company came into existence. It handled the rural lines, each of which had its own officers. Annual switching dues for each of the 186 customers were $7.00. In 1946, the two companies merged to form the Kalona Cooperative Switchboard Company. Membership dues were $10 per year per main phone number. Each customer of the cooperative became a shareholder with one vote. This system is still in place today and keeps KCTC a local interest company.