first of all, since its a home game, you can simple adjust the blinds you play with so you have deeper stacks. since you're playing with 25-30bbs you are basically commited on any flop you bet.

if the passive player calls with draws and folds on the river as long as you bet large enough to deny him odds you'll make money in the long run.

best way to combat aggression is with aggression. the guy always betting cant have good hands every time so when you pick up a premium hand punish him with a reraise.

you might want to read harrington on holdem 1 and 2, they're the best books about tournament poker and give you good suggestions on how to play when the blinds become large compared to your stack.