The 1994 Ontario Tobacco Control Act empowered local municipalities to restrict smoking in workplaces and public places. Since then, 73 of 446 Ontario municipalities have implemented smoke-free bylaws in restaurants or both restaurants and bars. Beginning August 1st 2001, the City of Ottawa implemented a 100% smoke-free workplace and public places bylaw, without provision for separately ventilated designated smoking rooms (DSRs). Enforcement began in September 2001. This Update reports on findings of a study to determine the impact of this smoke-free bylaw on the taxable sales of restaurants and bars in the city of Ottawa.