If he's the business owner he can set the rules of the establishment including smoking. He obviously chose to permit smoking for a reason.
Don't get me wrong here, I am all for patronizing a non smoking establishment, I just think the decision to be a smoking or a non smoking business should be a decision for the proprietor, not the gov't. The business owner should have the right to cater to whatever clientelle htey choose, the consumer has the right to take his business elsewhere of he so chooses