I have read about 10 questions like this, but there seems to be no answer to this simple question.
What could cause .htm files to be downloading instead of executed
Use AddHandler also, change htm to .htm and add .html
AddHandler
htm
.htm
.html
AddHandler application/x-httpd-php .htm .html AddType application/x-httpd-php .htm .html
http://www.suffix.be/blog/addhandler-addtype-directives