Smoking ban stays alive - with tough choice for bars

Smoking
Under the latest incarnation of the smoking ban in Minnesota, establishments could wait until January 2009 to prohibit smoking - but if they started early, they wouldn't have to pay liquor taxes for as long as 17 months.
Photo by Bruno Vincent/Getty Images

(AP) The statewide smoking ban survived what could have been its toughest committee hearing on Thursday with one major change - a provision that would force bars and restaurants to choose between smokers and a tax break.

Establishments could wait until January 2009 to prohibit smoking - but if they started early, they wouldn't have to pay liquor taxes for as long as 17 months.

That could potentially cost the state millions.

In another twist, even bars and restaurants where smoking is already prohibited would be eligible for the liquor tax break. Rep. Joe Atkins, DFL-Inver Grove Heights, said he pushed the amendment to help businesses that have struggled because of local smoking restrictions.

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"Many of them have had a difficult time and I wish them the best in terms of trying to survive these tough times," said Atkins, chairman of the House Commerce and Labor Committee that approved the bill. "Hopefully this will lend a hand."

Atkins said he doesn't know how many establishments would claim the tax break. The liquor tax brings in $60 million every two years, so the state's cost could approach that if every eligible business banned smoking starting in August.

The tax break may not hold, since the smoking bill still has to visit several committees before going to the House floor for a debate. In the Senate, the smoking ban has undergone cosmetic surgery a couple of times, with more committee hearings to go.

But Thursday's hearing showed just how much things have changed for the smoking ban, which even some opponents describe as inevitable. Two years ago, the House Commerce Committee killed the smoking ban. This year, the bill won approval without much of a fight from opponents.

"I'm very optimistic now that some bill will finally pass this year," said Rep. Tom Huntley, the bill's House sponsor.

With a heavy snowstorm outside, the entire hearing lasted less than two hours.