With his father unemployed, Christopher is forced to take on the role of a parent to his young siblings, which ends up effecting his performance in school. Meanwhile, when the students fall behind in their efforts in class, Mr. Morloch holds a class on a Saturday.

A former night club performer, and close friend to Leroy's uncle, Eddie Macon, is discovered by Ms. Sherwood hiding out in a closet in her classroom. Now homeless and alcohol dependent, Leroy and Mr. Reardon attempt to help him while casting him in a school production. Meanwhile, Holly helps Doris with make-up in an attempt to impress a boy she's interested in.

Lamar, Leroy's brother and Tina's father returns for Tina under the pretense of establishing a life for Tina when he discovers that she has inherited her deceased nanny's $22,000 estate. Leroy is suspicious of his brother's intentions. Dwight is directing a play about the Dewey Decimal System and builds a character around Holly which drives the cast crazy.

Caruso's landlord threatens to turn the coffee house into a parking lot unless Bruno gets his young opera singer friend accepted into the School of the Arts. Meanwhile, Mr Shorofsky has a secret meeting with Mrs Berg.

Lou's brother Duke shows up and Lou is anything but trilled. After hearing Chris sing, Duke signs him to do an album for him. Lou warns Chris about his brother's slimy ways but Chris thinks Lou is jealous. Mr. Seger is asked to supervise the newspaper committee but has to deal with Reggie and Maxie's constant arguing.

This episode features the cast of "Fame," billed as "The Kids from Fame," along with the season three regular dancers in a special concert performance taped while on tour in Tel Aviv, Israel. The concert features performances by the cast, of songs from the television series. The concert took place in an indoor stadium in Tel Aviv before a live capacity audience. Along with the concert, the cast from "Fame" are shown visiting historical landmarks within the city during the 35th birthday celebration of the nation.

This special features the cast of "Fame," billed as "The Kids from Fame," along with the season three regular dancers in their first concert in the U.S. which takes a look back at popular music in the year 1983. The concert took place on December 27, 1983 at the Santa Monica Civic Auditorium before a live capacity audience. Among other musical performances, this particular episode featured a medley of songs from motion pictures and a special tribute to Michael Jackson.

After a rehearsal for the school's production of "Sherlock Holmes," a pipe in the dressing room bursts. The school is in need of serious renovation only, the school cannot fund the repair work and plans are made to sell the property. Danny and Christopher try to prove that the janitor, Ralph, is accepting bribe money from a contracting firm seeking to use the property to build parking space.

Leroy severely injures his knee and is forced to go through an operation and rehabilitation. He recovers but when he returns to the school, he fears injuring himself again instead taking his anger out on Henry Lee, a returning applicant. Miss Grant is determined to push Leroy back into dancing before he gives it up forever. Reggie has a crush on Max.

After rekindling her relationship with her high school fling, Lydia learns that her lover makes a living as a stock swindler. Ian becomes jealous when his father starts hanging around the school, and hits it off with his friends.

This episode is comprised of excerpts from the Kids from Fame live concert at the Royal Albert Hall, London.

Holly falls for Billy Christiansen, a new piano player who plays at "Caruso's." Upon getting ready to ask him out, she learns that he is a physically handicapped, wheelchair bound, paraplegic. Mr. Morloch tries to get Miss Grant to give his friend and former baseball star, "Lefty" Rogers, in pursuit of a career in recording jingles for television commercials, singing and dancing lessons.

While showing off for a girl in class, Christopher back flips and hits his head, resulting in a loss of his hearing, and a forced transfer to a school for deaf students. Meanwhile, Miss Grant and Mr. Shorofsky try mixing singers and dancers in the same production.

After his niece, Tina, burns down his apartment, Leroy gets Tina to stay with Mrs. Berg while he stays with Miss Grant. Carl, Miss Grant's old boyfriend returns and as they get reacquainted, Tina does all she can to keep them apart in hopes that Leroy and Miss Grant will get married and adopt her.

Competition between Danny and Jesse for the lead in "Dr. Jekyll and Mr. Hyde" heats up when it is determined that who ever plays the role has to pass the biology midterm. Jesse is caught with the answers to the test after he passes and gets the lead and Danny is determined to make him suffer. The yearbook money has gone missing.

When the kids discover that Danny has leukemia, Doris makes her biggest effort to convince him to listen to his doctor and fight the disease. Meanwhile, Lydia decides to show the kids how to make a non-dancer look good in a dance number.

In an effort to establish contacts, Chris gets a job waiting for Laura, an agent, who mistakenly asks him to read for her. Impressed, she sets up an audition for him but with Chris and Laura getting close, Chris' relationship with Kate is put in jeopardy. The dancers from Miss Grant's class are upset with Leroy when he gets them a job with a summer stock company and turns down the offer when the producer revokes their pay.

Mr. William Quigley, an eccentric substitute teacher, fills in for Miss Sherwood who falls ill with a cold and leads a protest against the mandatory I.Q. tests.

Jesse gets the key to the school to catalog Shorofky's collection of sheet music over the weekend. Joe Mackey is hosting the Grand Gathering of Muskrats at his cafe and convinces Leroy to be initiated as a new member. Chris needs to learn how to cook so he can audition for the host of the cooking show "Macho Gourmet". When Miltie convinces Jesse to throw a party at school to raise money for repairs, what could possibly go wrong?

A guest speaker to the school becomes sweet upon Lydia, and gives the kids an assignment so he can come back to see her. He takes her out but she's not impressed by his flashy lifestyle, and is even less so when he criticizes the work the kids do for the assignment, and is especially tough on Leroy. He also criticizes the education they receive at the school. Shorofsky teaches Bruno how to conduct.

While working on a scene together, Holly and Christopher are prompted by their friends to try going out with each other. Danny falls for Marya, a student hoping to be admitted into the School of the Arts.

When Holly's mother moves in with her, she finds that her mom is getting in the way of things. Meanwhile, when Danny tries to hypnotize Leroy and Christopher, Mr. Morloch is inadvertently put under a post-hypnotic spell, leading Ms. Sherwood to have some fun with it.

Mr. Shorofsky is disappointed with Doris rejecting her heritage when she turns down the opportunity to perform at a Holocaust Survivors benefit. Meanwhile, Lydia is hired to teach dance to a basketball team.

Prince Freddy of Vatonia visits New York City to make a speech for a United Nations' event. When the prince's life is threatened, Christopher, the prince's perfect look-a-like, is chosen to switch places with the prince. Christopher is willing to go along with the charade until he is attacked by gunmen.

When Danny finds out that a notable agent regularly attends a local restaurant, him and the gang set out to audition for him right it the restaurant. After a spirited rendition of Prince's "Baby, I'm a Star," the agent sees Danny fit for work as an agent despite Danny's life-long aspirations to be an actor. This puts Danny's acting duties in the school's latest production on the back burner.