MIL reeking of cigarettes then coming over and playing with my babies

I have a 2 year old and a 2 month old. MIL has been a closeted smoker on and off for years and has apparently picked up the habit again. I worry about third hand smoke exposure to my children. She also has really bad hygiene habits in general. Like she’s always touching her mouth, at my baby shower years ago she licked her fingers in between grabbing pastries off a party platter. We have to remind her to wash her hands when she comes over and often she’ll just quickly rinse them under water and she has to be corrected again to lather and use soap, like wtf. She kisses my toddler which I hate, and when he was younger using a pacifier she would stick her fingers in his mouth and I had to awkwardly call her out and ask her not to do that.

She watched our toddler while I was in the hospital giving birth to our infant (2 months ago) and I pointed out to my husband that she smelled badly of cigarettes. He doesn’t have a great sense of smell and said he didn’t notice but that he would ask her. She confessed to it and he told her from now on when she comes to visit she has to have a clean shirt and wash her hands before interacting with the kids. She seemed to (at the time listen) and the next few visits there were no issues. But I guess a few days ago she got lazy? Bc she came over and the stench was so bad I had to leave the room (I have asthma and this triggered a flare up for me where I needed my inhaler). I wore my baby in a carrier until she left so she couldn’t hold him, but I feel horrible as a parent exposing my toddler to her icky cigarette stench. I express all this to my husband and he agrees with me but also wants to keep giving his mom more and more chances to see if “next time” she will follow our rules. But for me, she already disrespected our rules by allowing it to happen again. No baby deserves to be around smoke and I want to dig my heels in and say she needs to quit or either get on gum/lozenges/patches for the day that she plans to visit since she couldn’t follow our rules, but husband thinks I am being dramatic. Am I? I’m also aware there is an increased risk of SIDS with third hand smoke. She tries to visit all the time but it’s usually bi weekly that she ends up visiting (bc we can’t keep her away any longer)

I don’t like the disrespect of rules we set in place and I feel like it was her chance the FIRST time we said something. Now that she did it again, I’m done with her for a while and def don’t want her over (I can’t even be in the room with her and shouldn’t have to step out bc I’m wheezing) but husband is not done with her.