New Hampshire is predominately republican and has the same problem. You could argue that they are all "New England republicans", or find an alternative theory. Such as the winters in New England.
New Hampshire used to be predominantly republican. So many Massachusetts escapees have infiltrated, especially southern New Hampshire, that it's changed radically. I think it's been the pattern for years that liberals can't stand the sinkholes they've created, so they move somewhere less corrupt and immediately start voting in the things that caused what they couldn't stand.
I'm not sure what NH you're talking about. The state I live in has two lefty representatives, a lefty governor, a lefty state legislator and went for Kerry in the last election and barely went for Bush in 2000. Kiss the NH advantage goodbye in a few years because the education system is in trouble too and they'll need to fund it somehow.
NE is hopelessly leftist and will move further left as the population shift continues.
According to the following chart, the total state and local tax burden in New Hampshire, based upon per capita income, is the second lowest of all states. Massachusetts is slightly below North Carolina and slightly above Colorado. On the other hand, Maine, Vermont, Rhode Island, and Connecticut are in the top 12.
http://money.cnn.com/pf/features/lists/taxesbystate2005/index.html