ST. PAUL, Minn. - The Minnesota House delved into a health care proposal that would reward medical providers for keeping their patients out of the hospital and expand public health programs to tens of thousands of uninsured residents.

A vote was expected later Thursday.

But the proposal still faces long odds before becoming law. It differs somewhat from a Senate version approved last month, and draws its money from a dedicated fund Gov. Tim Pawlenty wants to tap to address the state's $935 million budget deficit.

Even Rep. Tom Huntley, the bill's author, acknowledged the difficulties as he presented his legislation on the House floor.

"This bill is very controversial," said Huntley, DFL-Duluth. "The whole health care industry is nervous about it."

Under the proposed changes, the typical consumer would notice a new emphasis on preventing disease through lifestyle changes like quitting smoking and losing weight. If they had chronic conditions, they would be urged to use a "medical home" accessible around the clock to help them manage their care.

Those who couldn't afford insurance offered at work could get financial aid up to certain income limits, and subsidized programs would also become accessible to some whose incomes are now too high to qualify.

DFL House Speaker Margaret Anderson Kelliher predicted that the bill - combined with last year's health budget - would lead to coverage for 130,000 previously uninsured Minnesotans.

The bill's architects are promising savings but they can't say how soon they would materialize.

In the meantime, they plan to spend $269 million from the Health Care Access Fund, a dedicated account funded by taxes on medical providers and MinnesotaCare premiums. That fund is currently running a surplus.

At the outset there is no mandate that people seek out health coverage, as is the law in Massachusetts. But Rep. Paul Thissen, DFL-Minneapolis, said such a requirement would be triggered if Minnesota fails to show 96 percent of people have health insurance by 2011; that's up from 93 percent now.

Republicans outlined some of their objections - primarily, that the proposal would move Minnesota toward a government-controlled health care system - before the debate. They had dozens of amendments ready for a debate that promised to last hours.

Rep. Matt Dean objected to the use of the health fund to assist with the conversion. He said the account would run dry within five years. That could force people off the publicly subsidized programs, he said.