While it may not be a complete deal breaker the permissions and modification required to implement this method on Alteryx Server can be a headache (See Issues at bottom of post)
I couldn't find my old post. So I'll outline the solution here.
Basically, you'll use a BAT file to copy 1 file path (YOUR TEMPLATE FILE) to another file Path (YOUR OUTPUT PATH).
The Run Command Tool will Create the BAT File using the code in the formula tool, and execute the BAT file.
After the Bat File runs, you will then be able to write to you output path using a specific range. (Note the Parallel Block Until Done Macro)
For your use case, you'll want to use conditional formatting as part of you template file.
Issue/Modification for Alteryx Server:
If this is to be implemented on Alteryx Server, You'll need permission to run BAT file on the Server. Your Server will need access to a Shared DRIVE (WHERE the template and output will be located) You'll also need to use UNC paths.