You need to add one more state= action to the last line so you have something like:
:state=8,timergreater=8000:hudfadeout=lightsoff,state=9
Without the laste "state=9" the last line is repeated over and over again and since the script action "hudfadeout=" starts by displaying the hud, your hud ends up being constantly displayed.
I would also move your hud creation line "state=11:..." to the front of your script on an additional "state=0:..." line. This would make your script much more efficient (if you decide to loop you script). HUDs only needs to be created once and then can be shown and unshown as many times as you want.
I would also change the way you use 'state='. Your current method is very confusing and (when your scripts get bigger) wll end up being very difficult to debug if you continue in this way.
My advice would be to go up in 10s or 100s. The state of an fpi can be a massive number so do not worry about running out of numbers - you wont. Incrementing state in 10, however, makes it much easier to debug your scripts in future.
So using this method, your script could look something like this:
:state=0:hudreset,hudx=50,hudy=90,hudimagefine=myhuds\lightsoff.png,hudname=lightsoff,hudhide=1,hudmake=display
:state=0:timerstart,state=10
:state=10,timergreater=5000:sound=audiobank\user\ringing.wav,state=20
:state=20:ambience=20,ambiencegreen=10,ambiencered=25,ambienceblue=10,state=30
:state=30:hudshow=lightsoff,timerstart,state=40
:state=40,timergreater=8000:hudfadeout=lightsoff,state=50
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