January 29, 2026, by the Seward Folly Staff
On December 2, 2025, the Seward Planning and Zoning Commission approved a Conditional Use Permit (CUP) for Tufted Puffin LLC to operate a drive-through selling retail cannabis and non-cannabis food and drinks at the intersection of Port Avenue and the Seward Highway. The property is located in an auto-commercial zone. The Commission’s responsibilities included determining whether the drive-thru use aligned with the city’s auto-commercial zone, whether it would impact neighboring property values, if it was consistent with the Seward Comprehensive Plan, if adequate facilities were in place, and whether it posed any risk to public safety.
For details on the December 2 meeting, see the Seward Folly article: Crowd Packs Seward Chambers as Tufted Puffin Drive-thru Cannabis Window Approved.
Following the decision, four parties filed appeals. In Alaska, appealing a city commission decision is a formal process that allows individuals or entities to challenge final decisions. The process ensures due process, allowing a higher authority, here the Seward City Council, to review whether the Commission made a legal error, acted arbitrarily, or based its decision on insufficient evidence. The appellants were 1) Sarah Tougas, 2) Annette Reese, 3) Nathan Smith, 4) Maya Moriarty, Mica VanBuskirk, and Katie Cornwell.
An appeal hearing was held on January 5, 2026, before a full City Chambers. Each of the appellants and appellees had ten minutes, for a total of 40 minutes, to present their arguments. The appellees were the Seward Planning and Zoning Commission, represented by the Community Development Department, and Tufted Puffin owner Randy Wells. Mr. Wells chose not to present. The Seward City Council, advised by the City lawyer, acted as the Board of Adjustment for the hearing.
Sarah Tougas, a local business owner, argued that the Port Avenue and Seward Highway intersection is already unsafe. Annette Reese raised concerns about traffic patterns at the intersection. Nathan Smith, representing his employees who use the nearby bike path, suggested that the City should have considered road hazards before approving the CUP. The final group of appellants argued that Randy Wells misrepresented key points at the December 2 meeting, limiting the Commission’s options, and that previous appellants did have standing. They also stated that AMCO, the Alcohol and Marijuana Control Office, leaves policy decisions to local governments and that such policy should have been set before considering the permit. They recommended sending the decision back to the Planning and Zoning Commission for reconsideration.
Community Development Director Danny Meuninck and City Planner Courtney Bringhurst spoke on behalf of the Planning and Zoning Commission. They explained how the application met the city’s auto-commercial zoning requirements and said the decision was consistent with City code (Title 15). Randy Wells did not present.
After the presentations, the City Council and City lawyer entered executive session. The City Council had 30 days to decide the appeals.
At the end of the council meeting, the Board of Adjustment issued its findings in a Written Decision Appeal Hearing. The Board did not find that Planning Staff had inappropriately advised the Commission. The Board determined that the AC zoning district is designed for highway-oriented commercial activities.
Decision of the Board of Adjustment
After holding a noticed public hearing on January 5, 2026, and considering all evidence and arguments, the Board affirmed the Planning and Zoning Commission’s decision in PZC Resolutions 2025-035, with three additional conditions. This is the final decision of the City of Seward. Under SCC 15.10.410 (f), the decision may be appealed to the Superior Court under Alaska Rule of Appellate Procedure 602.
Also at the January 26, 2026, City Council meeting, the Seward Planning and Zoning Commission and City Council held a joint work session to discuss future marijuana regulations.
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