"we should see healthier inmates long-term - and that should translate into some health care savings"
Uh, so if we make inmates stop smoking, fewer of them will get cancer and that will help the corrections health care budget? What about the ones who get knifed during fights for contraband cigarettes? Or the guards who try to stop a violent inmate from having a smoke in the yard? And one can only imagine the black market that will develop and the temptation for low-paid guards to cash in.
If we are so concerned about inmates health, maybe we could invest in drug treatment facilities, or post-release training so they could get jobs? Or maybe we shouldn't lock so many people up for non-violent crimes?