The girls decide that they want to be away from each other, so they ask Ug to change the bunk assignments. Meanwhile, the boys find a buffalo skull in a cave near camp. After they bring it back bad things start to happen and Ug orders them to bring good luck back to camp by returning the skull. Budnick decides to start a ""caveman club"" for the boys. The girls decide to steal the skull from them and get caught in the cave during a storm.

Michael arrives at Camp Anawanna and becomes very popular with some of the other campers. Budnick then forces Michael and Sponge to join a ""secret club"" along with him and Donkeylips. As part of the club initiation, Sponge and Michael go to steal something from the girls' cabin. In a rush to avoid getting caught Michael takes, and then accidentally breaks, Telly's glasses.

After Ug breaks up with his girlfriend, he starts to crack down on the kids for every little rule violation. When a new mail carrier named Mona shows up and seems to take an interest in Ug, the kids try to get them together, thinking that he will ease up on them if he starts to go out with her.

Budnick tells the gang a ghost story about the camp's old custodian, Zeke. It is said that Zeke, who had lost his nose in an accident, was unable to smell a gas leak, which killed him. Budnick tells the group that whoever touches Zeke's plunger, will have horrible nightmares haunted by Zeke. Of course, everyone had bad nightmares that night. And so the entire group, with help from Ug, set up an elaborate plan to get revenge on Budnick.

Telly, tired of losing to another boy at tennis, thnks she needs a new metal raquet to beat him, instead of her old wooden one. Budnick gives her a metal raquet, in return for a favor, to be named in the future. But Telly begins to get nervous as Budnick acts as bookie, taking bets on her upcoming match.

Mona Tibbs, the mail lady, has joined the park service to be closer to Ug. He thinks this is good because she will go easy on the camp when she comes to inspect it. Instead, she nitpicks every little thing and reports the camp for several infractions. The campers decide to make it worse by pointing out more flaws, hoping to be put in a hotel while the camp is fixed if it is shut down. They find out, however, that they would be transferred to other camps. They quickly set out to clean up camp and help Mona and Ug patch things up.

Dina leaves a love note for Michael on a painting that she thinks is his. It turns out to be Donkeylips' painting and he is thrilled that there is a girl that likes him. He starts leaving little gifts for Dina, who thinks that the gifts are being left by Michael. Eventually, Donkeylips asks Dina to the dance, leaving her with a choise of whether she will go with him or break his heart.

Budnick finds a treasure map that supposedly leads to the buried cash of the camp's late dance instructor Sara Madre. He sells two copies of the map: one to Michael and Sponge, and another to Z.Z., Dina, and Telly. In order to find the treasure, the groups must go across the camp doing odd dance steps. As the groups try to be the first to the treasure, Donkeylips and Budnick find that watching the hunt is hillarious.

Dina promises everyone that she will get Jamie Mallet Jr., a huge rock star, to perform at the camp dance. She finds out that Jamie is staying at a nearby camp to relax and get some rest from the celebrity lifestyle. Dina tricks him into thinking the camp he is at is too dangerous and to come and relax at Camp Anawanna. When he arrives, he is overrun by fans. Dina then gets angry when Jamie spends most of his time hanging out with Pinskey instead of her, because Pinskey isn't treating him like a celebrity. As revenge, she spreads lies about Jamie through the camp.

Dina is describing to the other girls what her perfect boyfriend would be like. She then realizes that Budnick matches all of her criteria, and she falls in love with him. Budnick, after resisting for a while, decides to return the feelings and falls in love with her.

Dina decides that she doesn't love Budnick after all, but Budnick still loves her. As a way to get him to stop following her, she tries to make him change his regular habits. But he doesn't really see what's going on until she decides to cut his hair.

Donkeylips wants to play on the offensive side of the camp's Capture the Flag team, but even though he knows the strategy, he is put on defense because he is so slow. But when the offensive crew is captured by the enemy, it is up to Donkeylips to lead the defense team to save the day.

The campers start a birdhouse company for career day. Dina is appointed leader and Donkeylips is put in charge of production. After seeing how the others are being lazy, Donkeylips and his workers go on strike. Meanwhile, Ug and Sponge search for items to put in the Camp Anawanna time capsule.

The group must put on the camp's presentation of Cinderella. Dina is cast as Cinderella with Michael as the prince. Telly must play an ugly step-sister and Donkeylips is the coachman. Dina comes down with stage fright, however, and skips most rehearsals. She spends most of the time signing autographs and acting like a star around camp.

Ellen, Dr. Kahn's niece, comes to visit camp, and Ug orders the campers to treat her like royalty. She is a real brat and the gang is ready to use vigilante justice on her, but Ug, though he is also bothered by Ellen, stops them because he is trying to gat a raise. The gang decides to try the silent treatment, which sends Ellen over the edge. In the end, the gang gets the ultimate revenge, and Ug gets his raise for teaching Ellen a lesson.

In order to win a lobster dinner, Sponge and Donkeylips enter the wrestling tournament. Unfortunately Sponge is too light to wrestle and Donkeylips is too heavy. Ug gives them a few days to change their weight, and Telly agrees to train them. Meanwhile, the other campers are trying to avoid the horrible camp food by getting Sponge and Donkeylips to sneak burgers into camp while they are out training.