Caroline,

I apologize. I believe you are correct; multilevel numbering depends on the level one being there. Here's a potential work-around; you may have to test it out for a bit to see if it holds.

With the template open (not a doc based on it, but the template), select an empty paragraph (the paragraph mark), and change the font to 1 point, white. With this selected, click on create a new style, choose character style, and name it whatever you like.

Place your cursor in front of the first letter of a Level one heading adn press the back arrow to select the number. Apply the character style you just created, and then right click the style name in the styles pane and select "Update style to match selection."

This keeps the numbering but the heading virtually flush left.

See if this does the trick for you.

Best,
ULodesk