Illinois and Colorado have had statewide smoking bans for more than a year, and many South Dakotans are looking to them for a vision of what a smoke-free future could hold.

Casinos are hurting there, industry and government officials agree, but it's almost impossible to determine what is caused by the smoking ban and what is caused by the economy.

Illinois

The Illinois gaming industry saw revenue drop almost 21 percent in the year since the smoking ban went into effect in January 2008.

The Smoke-free Illinois Act excludes only tobacco shops and designated hotel and nursing home rooms.

Casinos reported losses of $414 million between 2007 and 2008, according to the Illinois Gaming Board, the agency that oversees the state's nine riverboat casinos.

Gene O'Shea, spokesman for the state agency, said both the economy and the smoking ban are to blame.

"The smoking ban does play a part in it, but to what effect, we've never been able to quantify," O'Shea said.

But Tom Swoik, executive director of the Illinois Casino Gaming Association, estimated at least 50 percent of the losses are the smoking ban's fault.

"Everyone's saying that's all the economy, but looking at the bordering states, they're not having the same kinds of reductions are we are," Swoik said. "The only difference is the smoking ban."

For example, he said, casino revenues in Missouri dropped 9.9 percent if you factor out a new casino. That's half of what Illinois endured.

"There's something about going to casino, having a drink and smoking," Swoik said.

If patrons have to take a smoke break or two, that time adds up, he said.

"Time away from the tables is money," Swoik said. "They're spending maybe as much time there but less time gambling."

Colorado

Casinos in Colorado also saw revenue fall in 2008, the first year the statewide smoking ban included all commercial casinos. The expanded ban went into effect Jan. 1, 2008.

Black Hawk, Cripple Creek and Central City casinos reported a 12 percent drop in adjusted gross proceeds in 2008, according to the state Division of Gaming.

That comes out to more than $100 million in lost revenue for casinos.

As in Illinois, the smoking ban went into effect around the same time the economy began to sputter, said Lois Rice, executive director of the Colorado Gaming Association.

"It's hard for us to pull out what's attributable to the smoking ban and what's to the economy in general," Rice said.

Before the ban went into effect, operators estimated between 40 percent and 60 percent of casino guests were smokers, Rice said.

Last year, casinos provided $108 million in gaming tax revenue to the state. This year, that amount will be closer to $80 to $85 million due to the revenue losses, Rice said.

"Quite frankly, we didn't think it would have the significant financial impact that it did," Rice said.

Colorado has both commercial and tribal casinos, but Rice said their locations have not made competition an issue. Tribal casinos are not governed by state law and, therefore, can allow smoking.

"We've never really competed with the two Indian casinos, because they're located down in the very southwest portion of the state," Rice said. "That's a full day's driving time from the metropolitan markets."

Black Hawk and Central City are about 35 miles west of metropolitan Denver. Cripple Creek is about 40 miles west of Colorado Springs.

Contact Emilie Rusch at 394-8453 or emilie.rusch@rapidcityjournal.com.