True, but this was for tobacco, and the ban was mainly to protect non-smoking workers (and more recently the patrons) in restaurants and bars who started suffering with long term health complications usually attributed to smokers. The lawsuits would have crippled the industry, so the change was largely financial in nature, such is the basis of most public health legislation.
For controls on residential buildings, we would need better standards in shared housing construction and perhaps also we could take a look at better airflow and particulate filtration methods. I expect it will be some time (and perhaps another airborne pandemic?) for that to be addressed seriously.