Shonda, something you might want to look at in the time being is this...
I have noticed that when a header is clicked, The e.Item.Expanded value is set to true for normal RadPanelItems that contain an Items collection, but for those that have a ContentTemplate, this value is false.
If I alter the ItemClicked event to change the e.Item.Expanded value to true for RadPanelItems that have a ContentTemplate, then things behave as expected.