Can this be done?
I have a button control defined as so
<asp:Button class='k-button k-button-icontext' type='button' id='btnSaveRpt' OnClick='Save()'>Save</asp:Button>
within an external template.
I am not sure what is the implementation of the external template you refer to. At any case, if you want to use client-side event handling, you (most likely) don't need a server-side button.