Bar revenues rebounding despite smoking ban

It's noon on a Wednesday afternoon when the regulars begin trickling into Bill's Place.

They enjoy the tavern's $1 cheeseburgers with one of the beers on tap. Many say the tavern on South Third Avenue offers the coldest brews around.

A box of cigarettes is tucked in the shirt pocket of several customers. Some eventually decide to brave the heat and go outside for a smoke.

But it's not that bad.

The smokers sit in furniture covered with a canopy that keeps them protected from the sun. A moist cloud from a misting fan cools them down.

Though it's not on, there's a television for the smokers to watch their favorite sporting events.

It's a great alternative for smokers, who have been banished to the outdoors since the state implemented a smoking ban in 2005.

But patio or not, the smokers have other reasons they keep coming back.

"(Bill's) got a really good cook," said Carolyn Anderson, a 48-year-old smoker from Selah. "His food is cheap. There are no troublemakers."

Revenues at bars and taverns statewide have started to bounce back to pre-ban levels. Those businesses generated 20.3 percent more income in 2007 than they did during the same period a year ago. The gain was a mere 0.3 percent in 2006, according to data from the state Department of Revenue.

"You may have lost smoking customers at first, but they tend to want to go back to their old haunts, and you got new customers who like the idea of a smoke-free environment," said Mike Gowrylow, a department spokesman.

After a bill for a public smoking ban fizzled in the state Legislature early in 2005, advocates for a ban raised $150,000 to begin getting signatures for a voter-based initiative. The initiative received more funding and eventually garnered approval from more than 63 percent of voters later that year. State officials implemented the ban just a month later.

There was wide concern that businesses would take a hit with the ban in place.

And for a while, they did.

At Nob Hill Bowl and the neighboring Nob Hill Casino and Frontier Restaurant, many customers finished up their bowling leagues in April 2006 and didn't return for the new league year the following fall.

Owner Jim Kent estimated that dollar volume for the alley declined 15 percent in 2006 and another 7.5 percent in 2007.

The casino fared worse -- dollar volume declined 20 percent during the first year of the ban and remained at that level for the following year. Customers, meanwhile, left for tribal casinos, where smoking is still allowed.

To weather the decline in business, Kent cut his employees' hours and depended on money saved before the ban.

This year looks much better for the alley and casino, however. Kent expects revenue and customer traffic for the bowling alley to be at pre-ban levels, with smoking customers returning and more nonsmokers bowling.

"As people got used to it, and smokers got used to going outside, they slowly came back," Kent said. "It's just getting through that initial loss of business. If you can get through that, you do fine."

Other businesses have benefited from the smoking ban. Fred Gomez Jr., owner of Mel's Diner on North First Street, said he's gained new customers every year since the ban.

Many of those customers have said they feel comfortable dining in his restaurant because they don't have to smell cigarette smoke.

And then there's Bill's Place. Gary McClenaghan, the owner, was one of the most vocal opponents of the ban. But he complied with it.

"I still don't feel it's right to tell a business owner what to do," he said. "There were a lot of no-smoking places at the time. I think it's the businessman's prerogative if he wants smoking or not."

Grumbling aside, his No. 1 goal was accommodating his regulars, which motivated him to create the beer garden.

"You got to adjust with the times," McClenaghan said.

Phil Cooke, a 54-year-old smoker from Yakima, is grateful. He has thought about quitting while smoking outside in the dead of winter, but he never did.

Luckily for him, McClenaghan keeps the patio area warm during the winter with propane heaters and a canvas garage.

Smoking area or not, a mention of the smoking ban still stirs debate among Bill's Place regulars.

Leon Noble voted for the smoking ban and said he would again. He knows his belief is unpopular among the smokers at Bill's, but he's willing to argue.

"It's my health, not theirs," he said. "If they want to ruin their health, that's fine, but they won't ruin my health."

Jeff Roper, another Bill's regular, has mixed feelings. He once smoked a pack and a half a day, but quit before the ban. He's glad the bar is smoke-free, but feels for the ones who aren't.

"Personally, I like it because it's a lot easier to breathe in here without the smoke," he said. "But I also believe in smokers' rights. I just don't think the state has the right to ban smoking."

* Mai Hoang can be reached at 577-7685 or mhoang@yakimaherald.com.

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