Well, I'd swap the R2LC with a working one to see for sure if that's the issue. If the smoke unit PCB isn't really burned, you can probably re-use it, just replace the resistor. In any case, new wick will be called for.
Send me an email, I have all the parts for the smoke unit and new R2LC boards. If possible we can replace the triac on your R2LC for less than buying a new one from Lionel. If not, then we can replace it.