Five years ago, Tony and Ana Williams entered Pacifica's cannabis business permit lottery.

They were one of the lucky six who won. But after two years in business, the city revoked their permit over the size of their storefront window and related unpaid fees.

Can a mom-and-pop cannabis business survive (let alone thrive) in Pacifica, a quiet coastal city that is drowning in debt?

Stuck Between Four Feet and a Gold Mine

By Özge Terzioğlu and Alex Dakers

November 28, 2022

PACIFICA — In 2017, Ana and Tony Williams entered the city’s “lottery process,” hoping to be one of the six businesses in the city of around 37,000 awarded a Cannabis Activity Permit (CAP).

They succeeded with the last pick of the draw, opening the door to an industry many considered would be a goldmine statewide following the cannabis' legalization and as a potential saving grace for a small city operating at a growing $2 million deficit.

They were granted a conditional permit in 2019, and opened for business as Seaweed Holistics in September 2020.

Only two years later, the Pacifica Planning Commission voted 3-2 in favor of revoking Seaweed Holistics' Cannabis Activity Permit at an Oct. 3 hearing.

The commission reasoned that the business was not in compliance with aspects of a conditional permit the Williams had asked for to help get their store to comply with aspects of their agreement— including their storefront window size, and repayment of over $20,000 in unpaid fees (largely from 'staff time' charges related to their permit's processing and amendments).

During a Nov. 14. meeting, the City Council found no basis for the business's appeal, but gave owners a temporary reprieve.

The Williamses have until Dec. 15 to pay the original $4,080.56 fine and are expected to pay the balance owed in monthly installments of $1,822.69. If they fail to meet a payment deadline city officials say the permit will be revoked for good.

The city requires a cannabis business' storefront window to be unobstructed glass, covering 45% of the entire storefront and 60% of its horizontal length.

By the city's calculations, measuring the building's storefront width as 24-feet, Seaweed Holistics' window takes up 37% of the storefront space - under the threshold.

However, the issues arise over the definition of "storefront." Pacifica's city ordinance defines it as the "front facade of the cannabis operation."

The Williamses don't count the extra four feet from the right of the front door to the wall as storefront space because it contains stairs that lead to an upstairs "non-cannabis retail space"—in other words, not part of the  retail operation of their business.

Therefore, they believe their storefront width should be measured as 20-feet—which, when recalculated, would mean they are indeed in compliance with the ordinance.

"Even though it was their mistake, we hadn't discovered it in time," Tony Williams said. “We are compliant, and always have been."

Ronald Grindrod, a retired building inspector for San Mateo County and the builder of the complex where Seaweed Holistics resides, told the Pacifica Planning Commission that modifying the window to comply with the city’s demands would require substantial reengineering of the 30-year-old building and elicit a price tag that the Williamses can’t afford.

Seaweed Holistics is not the only cannabis business in Pacifica that has endured significant financial burdens to comply with the city’s regulations.  

“The costs were exuberant, but we knew we needed to meet [the City of Pacifica’s] specs,” said Thomas Rodriguez, CEO of Rockaway Enterprises and owner of Coastside Cannabis.

Rodriguez and his partners have invested nearly $400,000 into complying with Pacifica’s ordinances. Supply chain delays from the pandemic halted the opening of their store for a year, to July 2021, and cost Coastside Cannabis considerable revenue. They are only just beginning to achieve profitability.

Other security requirements in Pacifica's security requirements for cannabis businesses include:

  • Police access to 24/7 video surveillence cameras
  • Burglar alarms
  • Monitor and reduce of loitering

"They have full access. Shouldn't that suffice?" Tony Williams asked.

The Phog Center's Storefront Window

Coastside Cannabis's Storefront Window

Bloom Room's Storefront Window

Seaweed Holistics' Storefront Window

Lytt's Storefront Window

Thomas Rodriguez of Coastside Cannabis inferred the intentions behind Pacifica's cannabis business storefront window regulation:

Pacifica is the only city in San Mateo County that requires cannabis businesses' storefront windows be a certain size.

"Everyone thinks everyone in the cannabis business is making money all the time. It's not like that. At all," Tony Williams said.

Ana Leaño-Williams, CEO of Seaweed Holistics, said that half of their monthly revenue goes to keeping the lights on. It took them two years in business just to break even.

Tony Rodruguez of Coastside Cannabis is among those who felt that Pacifica was reluctant to open its doors to the cannabis industry:

Pacifica is operating with a $2 million deficit that continues to grow year by year. The city looked to the cannabis industry as a potential savior for its financial woes. This year, Pacifica expects to receive $825,000 in revenue from cannabis taxes, a goal that they are on track to meet.

Three out of the five cannabis businesses in Pacifica have yet to turn a profit since opening due to excessive taxes and the city's stringent regulations.

This marijuana meltdown is not exclusive to Pacifica. Statewide, cannabis businesses are struggling to thrive against waves of taxes, security regulations, competition with the cheaper illegal market, and strict local ordinances.

“That is a requirement I have not seen. That’s a new one, at least in my experience,” Amy Jenkins, president of Sacramento-based lobbyist firm Precision Advocacy, said in reference to Pacifica’s storefront window ordinance.

Jenkins, who has lobbied extensively for legal cannabis policy and legislation in California, explained that many local municipalities drafted their ordinances for cannabis businesses through the lens of “a public safety issue that could potentially generate additional crime, and not as any other business enterprise that's being conducted in their community.”

She views these ordinances containing stringent security requirements as a barrier for communities’ economic and social potential.


After their permit was revoked, Tony and Ana Williams of Seaweed Holistics filed an appeal to the city council. Councilman Mike O'Neill also filed an appeal on their behalf. The appeal was heard on Nov. 14.

If they don't pay the city $4,080.56 by December 15 and don't keep up with $1,822.69 monthly installments to the city, what's next for this wellness-focused cannabis business?

"[The Williams'] only other option is to go to court, and if they can prove they were discriminated against, they can sue the city," O'Neill suggested.

"Is it fair to close down someone's business when they met the intent of the ordinance and have had no problems?" O'Neill asked.  

A plaque outside of Seaweed Holistics dedicated to Ana Leaño-Williams' late parents, who funded their cannabis business with their retirement funds. (Özge Terzioğlu/Peninsula Press)

Since the revocation of their permit, Seaweed Holistics has been getting calls from customers who are worried that they are no longer open for business while their appeal is ongoing.  

They are.

Despite their struggles with the city over their unique storefront window requirement, the Williamses still enjoy providing the community with their knowledge on the medicinal benefits of cannabis.

The couple and their staff pride themselves on the attention and personalized care they provide to their "patients"—which is how they view their customers. Instead of "budtenders," they have "cannabis consultants."

Their clientele ranges from cancer patients and people dealing with Parkinson’s disease and dementia, to sleep issues and chronic pain.

The Williamses say they are filling a niche in the market by providing older people over 50 with information about the health benefits of cannabis. The topic is personal to them.

A decade ago, Tony had his first seizure.

No addictions, no trauma, no family history—no warning. Within a few weeks, he was experiencing multiple seizures a day.

After lengthy treatment at UCSF and an amalgam of medications, the small business owner’s seizures were considered under management—but it wasn’t until a friend recommended he try Rick Simpson Oil (RSO) that Tony's seizures really became more tolerable, he said.

“Cannabis has genuinely saved my life,” Tony Williams said. It's a belief that impassioned the Williams' journey into this industry—and why they don't want to be forced out of it.

"What does the city gain by closing us?" he wondered.

About the images

Images taken by Özge Terzioğlu / Peninsula Press. Screencapture of the revocation hearing on Zoom from Pacifica Coast TV on Youtube. Image of Seaweed Holistic's storefront courtesy of Google Streetview. Image of building plans courtesy of Tony Williams from Seaweed Holistics.