From the screenshot you've posted it look like there are no DNS records at all for the domain. By default there are always DNS records for a domain if a DNS server (bind) is installed. So somehow those DNS records are deleted. And thats why neither of the two options to apply the DNS template will work. The conditions are simply not met.
What happens when you click the "Reset to Default" button? If I am not mistaken it should recreate the DNS zone from the DNS template.