[SOLVED] template pages - unexpected behavior

WP 3.3.2, ATA 3.7.7

Here's an odd problem I've encountered on two different sites in development;

http://chigallery.com/gallery/

Sites needed a front page a bit more complex than the rest of the site; so I used a template page...

The template (in this case "Home") shows up in the page editor, and works as expected.

However, when I set the site's front page to be the templated page... and set the "posts" page to be a news page or blog page (IE, posts are not on the front page)... BOTH pages use the template.

I've tried duplicating Index.php and giving it it's own template name (like "Blog.php") but the POSTS page still uses whatever template is assigned to the front page.

On the site above, you'll see both the home page and the "events" page are the same.

Any ideas?