Notice to Proceed Template

What a notice to proceed does

A signed contract says what will be built and for how much. It rarely says when the clock starts, because at signing nobody knows exactly when the site, the permit and the insurance certificates will all be in hand. The notice to proceed closes that gap: it is the written instruction to start, it names the commencement date, and from that date the contract time runs. On a subcontract the general contractor issues it to each trade; on a direct job the owner issues it to the contractor. Public owners almost always require one; private owners should, because without it the start date lives in a phone call. On a private job in Florida, the owner also records a notice of commencement before work starts — a separate, recorded document that governs lien notices, not the contract clock.

Why the commencement date matters more than the signing date

Three things are measured from it. The contract time — 170 calendar days in the completed example — runs from the commencement date, so the substantial completion date is a calculation, not a negotiation. Liquidated damages, where a contract has them, are assessed against that completion date. And every time extension you request for weather, owner changes or late work by others is added to a baseline that starts here. The template puts the commencement date, the contract time and the completion date on one line so all three are visible together, and asks the recipient to acknowledge the notice so the start date is agreed rather than asserted. Enter the same date as the first bar in your construction schedule.

Conditions precedent: what should be in hand before you issue it

Most agreements list things the contractor must deliver before starting — and the notice to proceed is where the issuer records that they arrived. The checklist covers the usual set: the signed agreement, certificates of insurance with additional-insured endorsements, payment and performance bonds where required, the approved schedule of values, the baseline schedule, a site-specific safety plan, the permits for the work, and preliminary submittals. Anything not yet received goes in the outstanding-items box with a deadline. That box is also the right place to release long-lead equipment early: "release of rooftop units authorized on receipt of this notice" lets procurement start without pretending the whole job has. The subcontractor agreement and construction contract templates define these conditions in their insurance and schedule sections; the notice is where you tick them off.

A worked example

The completed example is NTP-001 from Brightline Builders to Summit Mechanical Contractors under subcontract SC-2026-118 for the Harbor Point Medical Office, Building B — the $486,200 mechanical subcontract used across these templates. Issued May 28, 2026; commencement June 1; contract time 170 calendar days; substantial completion November 18, 2026; final completion December 4. Seven of eight conditions are ticked. Bonds are unticked because the agreement does not require them, and preliminary submittals are unticked because they are due June 8 — both explained in the outstanding-items box, which also releases the rooftop units. The preconstruction meeting is May 29 at the site trailer, the superintendent is named with his phone number, hours are 7:00 to 3:30, access is Gate B. The instructions say when the slab pour is, how much notice below-slab inspections need, and that the first application for payment is due June 25. Marcus Reed signs for Brightline on May 28; Dana Whitfield acknowledges for Summit on May 29.

Notice to proceed vs. contract vs. mobilization

• Contract date — when the agreement was signed. It fixes the terms, not the start. Any early work before it runs on a letter of intent.
• Notice to proceed — when the work is authorized and the contract time begins. Issued after the conditions precedent are met.
• Mobilization — when crews and equipment physically arrive. It follows the commencement date, and the example instructs the sub not to mobilize before it.
• Certificate of substantial completion — the other end of the contract time. The certificate template closes what this notice opens.

Common mistakes

• Starting on a verbal go-ahead, then arguing later about when the clock began.
• Issuing the notice before insurance certificates are in hand, so the first week is uncovered.
• Stating a completion date that does not equal commencement plus contract time.
• Counting working days when the contract says calendar days, or the reverse.
• Not getting the acknowledgment signed and returned.
• Filing the notice with the correspondence instead of with the contract and the schedule. Record the first day on site in the daily report too.