N.J., Colorado Mull Casino Smoking Bans

ATLANTIC CITY, N.J. – A smoking ban? In casinos?

No-smoking legislation that would apply to casinos is advancing in New Jersey and Colorado, threatening to force gamblers to take their coin cups outside when they want to light up, the Associate Press reported.

Like Las Vegas casinos, Atlantic City's gambling halls allow smoking in most areas, setting aside some places for nonsmokers. The only smoke-free casino in the nation is the Taos Mountain Casino in Taos, N.M., according to the American Gaming Association.

Casinos are fighting the New Jersey initiative, which would ban smoking in indoor public places, saying it would drive away gamblers used to enjoying a cigarette while they play.

But alienating gamblers could spell trouble for Atlantic City's $4 billion-a-year casino industry, which estimates a smoking ban could cut casino revenues by up to 15 percent and cost up to 5,000 jobs.

"They'd curtail their play because they'd have to run out for a cigarette every 20 minutes and they might start thinking, 'Oh, maybe I'm losing too much' or 'Maybe I should quit playing,'" said casino expert William Thompson, a professor at the University of Nevada-Las Vegas.

In Nevada, casinos have tried smoking bans before – with no success. Two smoking ban bills under consideration there would limit smoking in public places, but neither would apply to casinos.

In Colorado, a proposed smoking ban covering public meetings, elevators, mass transit, grocery stores, bars and casinos has won the backing of health care professionals and business leaders, although some say the issue should be decided at the local level.

If experience is any indication, Atlantic City would lose some business from a smoking ban, at least initially.

In 2002, Delaware enacted an indoor smoking ban that included the state's three racinos – racetracks that have slot machines. In the ensuing year, revenues that had been growing by about 9 percent annually fell by 11 percent.

"We believe a smoking ban could have a detrimental impact on Atlantic City casinos, since an estimated one-third of casino clients are smokers," Deutsche Bank securities casino analyst Marc Falcone told investors in a research note Monday.

Supporters say the bans, which would apply to restaurants, bars and casinos, are needed to clear the air of secondhand smoke that plagues workers and customers alike.
New Jersey's bill is backed by acting Gov. Richard J. Codey. The measure, which passed in committee, still must be voted on by the full Senate and House, which won't return to session until May.