Gus Huffle, the owner of the Pixley Bijou movie theater, has decided to close due to lack of business. Sam says that a big part of the problem is that Richard Arlen and Charles 'Buddy' Rogers, who were supposed to come to the Bijou for the world premiere of their Academy Award-winning Wings (1927 film), decided instead to attend a premiere at the Roxy in New York City. Joe decides to write a nasty letter to Arlen and Rogers. After receiving the letter, Arlen and Rogers think that attending a world premiere of the movie at the Pixley Bijou - despite being forty years late - would be good publicity. When they arrive in Hooterville, the community pulls out all the stops, including a parade and musical performances.

It's the first day of school and Kate is having trouble getting a couple of her daughters motivated to go. Betty Jo has a new friend, a little dog that follows her back from school. Kate refuses to let Betty Jo keep the dog, despite it being cute and well trained. Kate believes that he must belong to someone. Betty Jo brings him back to school, but he stills follows her home. Kate decides to let the dog stay until the owner claims him or until the dog starts to cause problems for the family. The dog does end up causing some problems, but Kate has a change of heart and let's him stay.

The Governor announces that he will make a grassroots tour of the state. Uncle Joe is excited by the news, but no one else seems to care. The Governor has not announced his itinerary, but he is welcoming invitations from interested communities. Joe hopes to be able to advertise that the Governor slept at the Shady Rest. Joe says he sent an invitation and believes that the Governor is coming to Hooterville. Joe has a hard time organizing a welcoming as everyone is still not that excited. When the Cannonball arrives, there is no Governor. Turns out Joe forgot to mail the invite

In this second half of a two-part story, Homer Bedloe has controlling interest in the Pixley Bank and has fired its President, Mr. Guerney. He has decided not only to foreclose on Kate's mortgage, but foreclose on all the bad mortgages in the valley. That will make the Cannonball's services useless. The Shady Rest is going to host a Monte Carlo night as a modest fundraiser. Whoever wins the most fake money by the end of the evening wins the secret grand prize. Betty Jo's friend Willie gets vibrations off of the roulette wheel and can guess the number every spin. Uncle Joe wants send Willie to Vegas to win enough money to solve all their problems. With Willie's help, Kate comes up with a plan to save the valley and get rid of Bedloe.

Norman Curtis, who has fallen in love with life at the Shady Rest, is still staying there for free without Kate yet knowing his true identity. He accidentally breaks the throttle handle of the Hooterville Cannonball and folks can't get to Kate's annual Shady Rest Jamboree. Norman decides to come clean about his identity. The problem is no one believes him. In fact, they all believe he's crazy. But the executive tries to make amends with a determined effort to obtain the nearly-nonexistent replacement part. Norman brings three of his friends in to help, who everyone also think are hobos. Thanks to Norman, the Jamboree is a success.

Uncle Joe sees some surveyors down by the railroad tracks next to the hotel. He mistakenly believes that a new road is going to be built there. Kate learns from surveyor Ralph Craig that the last survey done twenty-five years ago was incorrect. The new survey shows that the border between Hooterville County and Pixley County runs right through the Shady Rest. Joe and Kate find out there's money to be made from curiosity seekers. Mr. Travis, from the Pixley License Division, tells Kate there's a lot of red tape in operating a business in two counties. Licenses and fees required could cost her in the thousands. Mr. Lindley, from the Health Dept., also finds costly problems. Mr. Dixon, from the Pixley Building Dept., finds more issues. Kate comes up with a permanent solution with the help of the Cannonball.

Kate's spring cleaning coincides with the US Air Force doing maneuvers over the valley. Part of those maneuvers includes testing out a new high powered camera. It looks like an ordinary black box with wires coming out of it and is set to explode twelve hours after any unauthorized removal from the plane. Colonel Millbank, who is flying the aircraft, accidentally loses the camera. It winds up landing on the Shady Rest property. Joe finds it and thinking it might be valuable, brings to the hotel. But as often as Kate and the girls try to get rid of it, Dog keeps bringing it back. General Elmer Loomis and Millbank make it to Hooterville. With little time to spare, they get to the hotel and start searching for the box. Dog brings them the box with no time left. However, the box winds up being a dud and doesn't explode

Homer Bedloe, trouble-shooter for the C&F W Railroad, is sent by railroad president Norman P. Curtis to the little community of Hooterville to find out why a branch line doesn't connect with the main line. The branch line carries the "Cannonball" train, and is vital to the Shady Rest Hotel, run by Kate Bradley, her three grown daughters and "Uncle Joe" Carson. If Bedloe succeeds in shutting down the Cannonball, Kate faces ruin. John Ashley appears as passenger Fred.

C&F W Railroad President Norman P. Curtis is incensed that ace troubleshooter Homer Bedloe utterly failed to scrap the Hooterville Cannonball. Taking matters into his own hands, he decides to do it himself, incognito. Although Curtis doesn't intend on appearing as such, he comes across to Kate and others in the valley as a hobo after he takes a tumble in a field, ripping and dirtying his suit and losing his wallet in the process. But, he has a change of heart when he experiences Kate's hospitality and kindness.

The Bradleys, Sam Drucker, Herby, Charlie and Floyd are decorating the Cannonball for its annual Christmas Eve trip of caroling, gift-giving and merriment around the valley. But, Homer Bedloe is determined to be a Scrooge and take possession of the train on Christmas Eve. Railroad President Norman Curtis finds out what Bedloe is up to and goes to Hooterville to stop him.

Kate receives a telegram from Railroad President Norman Curtis that he is sending Homer Bedloe with someone named Fred. Fred is actually Mr. Curtis' housekeeper's aged basset hound. Curtis believes Fred needs some good country air and space to re-energize himself. Curtis also hopes that Bedloe will soften his ways in the process. Bedloe comes up with the plan to "ruin" Fred and have him return to Curtis in worse shape than he arrived. That will hopefully sour Curtis' view of the Shady Rest and what it stands for. Kate figures out a way to bring back spirit to Fred and a way to break Bedloe's spirit.

Crabwell Corners is suing the Town of Hooterville for possession of a Spanish-American War cannon. Crabwell Corners feels it is rightly theirs. Meanwhile, Tad Winslow of Crabwell Corners challenges his lazy dog, a blood hound named Speedy, against Betty Jo's dog in an obedience contest. If Tad wins, Betty Jo has to get Billie Jo to go with him to the upcoming Pioneer Dance. Betty Jo finds out that Billie Jo already has a date with her steady, Henry Brewster. Kate and Uncle Joe want to speak to the Winslows to call off the bet. But things intensify, with now the winner getting either the Crabwell Corners' fire engine or the Spanish-American War cannon. To make matters worse, Kate and Joe find out that Speedy isn't Tad's dog after all. Tad has a well trained German Shepherd. The day of the contest arrives. The score is close, but Dog pulls a trick of his own and wins.

Kate has a lot of outstanding debts, plus she hasn't made a mortgage payment in six months. Mr. Guerney, the President of the Pixley Bank, informs her that there is a new majority shareholder of the bank. Because of this, she has two weeks to pay $138 on her mortgage or the bank will have to foreclose. Mr. Guerney didn't tell Kate that the majority shareholder is Homer Bedloe, who hopes to ruin Kate. The girls say they will get part time jobs to help raise the money. Kate gets a job as a short order cook, but she doesn't last long at it. Kate and the girls do come up with the amount needed, but some of it's in I.O.U.s. Bedloe says that isn't good enough and still wants to foreclose. Mr. Guerney comes up with a way to give Kate a little more time.

Kate uses a combination of charm, subterfuge, and wiles to prevent Homer Bedloe from catching the Hooterville Cannonball and getting to Pixley in order to initiate proceedings that would permanently terminate the train's operation. She has to keep him at the Shady Rest long enough to convince him that the Cannonball is an integral part of the valley's life. When all else fails, Kate gets Sam, the Hooterville Jack of all professions, to scare Bedloe into changing his mind.

Norman Curtis, President of the C&FW Railroad, is currently on vacation in Europe. He left instructions not to do anything to the Cannonball while he's gone. However, Homer Bedloe has a scheme to shut down the Cannonball for good. He hopes to do it without disobeying Curtis' orders. The plan entails Bedloe being appointed Superintendent of the Cannonball. He would then enforce an efficiency program with an impossible to meet new schedule. He expects Charley and Floyd will eventually just give up. Kate and the gang go to the stockholders meeting where she believes they've got a secret weapon to ruin Bedloe's plans.

Billie Jo is upset that the Cannonball is late and she believes it has outlived its usefulness. Meanwhile, Homer Bedloe, the Hooterville Cannonball's arch-enemy, has been having terrible nightmares about the train. To get rid of them, his psychiatrist Dr. Leonard suggests that he "learn to love" the Cannonball. The Cannonball has been encountering some broken tracks. Kate decides to let the C&FW Railroad know. Bedloe writes back that he will fix the tracks. When Bedloe visits the Shadyrest Hotel, he is surprised how friendly everyone is being to him. Everyone except Uncle Joe. But Kate was just gas-lighting Bedloe and didn't really believe the change in him when he said he loved the train. She finds out Bedloe is planning to remove the old damaged tracks instead of replacing them to shut down the Cannonball. Kate comes up with a plan to stop him.

The Cannonball and its primary passenger, Uncle Joe, are pelted with eggs after the Hooterville Hornets, coached by Uncle Joe, are drubbed in what may be their worst game ever. Another unexpected passenger on that run is Homer Bedloe, who is surprisingly cordial and pleasant. Uncle Joe doesn't see anything wrong with Bedloe being cordial and taking it like a man in defeat in his efforts to scrap the Cannonball. Kate on the other hand believes Bedloe is up to no good. News gets to Sam that John Fisher and Max Thornton, two bigwigs from the railroad, are coming for a surprise inspection the following day. When Kate learns this news, they have to go clean-up the Cannonball. Plus, they have to keep Bedloe preoccupied so that he won't know what they're up to. And third, they have to railroad the visiting bigwigs about how deluxe the service on the Cannonball is. Fisher and Thornton are very impressed with the service.

A brochure made by Uncle Joe describing the incomparable Shady Rest Hotel of the future is accidentally mailed to The Centerville Sun Express travel columnist Gladys Stroud. In the brochure was the vision of what he hoped the hotel would one day be, including indoor ice rink, bowling alley, and swimming pool. Gladys decides to come and review the Shady Rest. Now the family has to scramble to keep her from finding out the truth and closing them down for lying. Despite their best efforts, Gladys finds out. Uncle Joe manages to sweet talk Gladys into not closing them down.

Beatlemania has hit Hooterville by storm. Uncle Joe recruits Billy, Bobbie, and Betty Joe along with their friend Sally Ragsdale to form their own band called the Ladybugs. Colonel Partridge, a booking agent, comes to the Shady Rest to see the girls in action. Partridge likes what he hears and wants to book the girls. Sally's father, Sheriff Ragsdale, comes by and says he wants his daughter to finish school and not tour the country. Uncle Joe thinks he has a way to save the group and dresses up as a Ladybug.

Mr. Richardson is a guest at the hotel. Uncle Joe tells him about the curse of Chester W. Farnsworth, a guest at the hotel fifty years ago. He was a traveling drummer and notorious hotel towel thief. Since then, Chester has been haunting all the hotels that he stole towels from. He has to return them all before he can end up in his final resting place. Joe figures it won't be long before Chester visits the Shady Rest. After Joe tells the story, strange events start to occur. Kate finds out that a bunch of salesmen who were supposed to be guests won't be returning until the curse has been lifted. When more strange things occur, Kate decides to talk to Doc Stuart. He recommends speaking with Dr. Melman, a psychiatrist and an expert is paranormal events. Something happens to make everyone believe that Chester arrived and the curse has been lifted. But did he actually show up?

The Cannonball has temporarily ceased operations. The reason is a bird has built a nest on top of the smokestack and has laid five eggs. Charley and Floyd refuse to move the train until the eggs have hatched. They figure it will be two weeks before they hatch. When Homer Bedloe hears of this news, he is all in support of what Charley and Floyd are doing, he even puts an article in the paper about it. But he has a reason why he wants to help the birds: If the train doesn't run for two weeks, he can shut it down permanently. Homer shows up at the hotel and Kate is suspicious of his motives. Billie Jo and Betty Jo overhear Homer's plan and tell Kate. Kate comes up with a plan to save both the Cannonball and the birds.

O'Donnel's, a new supermarket, has just opened in Pixley. Sam hasn't had a customer since it opened. Even Uncle Joe goes to O'Donnel's to check it out. While there, Joe manages to annoy Mr. O'Donnel. Kate and the girls are still loyal customers of Sam's. Sam starts to have anxiety attacks and doesn't recognize Kate and Betty Joe. Kate and Doc Stuart convince Sam to take a two week vacation. Kate and the girls agree to look after the store for him. They decide to reorganize the store. Kate briefly leaves Joe in charge of the store and he puts in an overly large grocery order. This could cause irreparable damage to both the store's financial health and Sam and Kate's sanity.

Fed up with chopping wood for Kate's old wood-burner, Uncle Joe tries to convince Kate to buy a new electric stove. Joe tells Kate that people have stopped coming to the hotel because the old stove is ruining her cooking. Joe writes to New York food critic Lucius J. Penrose and asks him to come to the hotel to taste Kate's cooking. With a new oven and Penrose's stamp of approval, the hotel could be famous. Joe sabotages the old stove and then tells Kate he has already ordered the new one. The new stove shows up, but it has to be put together. Penrose arrives and is not impressed with the new oven. He says that the only reason he agreed to come was to get a meal cooked on an old fashioned wood burning stove. Kate winds up cooking the meal in the Cannonball's wood burner.

Business is bad at the Shady Rest and Kate needs to make a $200 bank loan payment. Uncle Joe meets Henrietta Boswell and Gertrude Hawley, who are lost and looking for Madame Bovary's Hideaway Reducing Farm. He convinces them that the Shady Rest is the most exclusive reducing farm and charges them $200 for a week. The catch is that Uncle Joe provides them with a money back guarantee. Uncle Joe tries to hide from Kate why the women are staying at the hotel. With a rigged scale, Joe has to convince the two that the secret to weight loss is to eat whatever they want as long as it is combined with turnip greens. He also has them do what would normally be considered all his chores. Ultimately, the two women do whatever they can to find what they believe is Kate's miracle weight loss and youth secret.

Henry Barton is dropping off his pregnant wife Elsie at the Shady Rest. While the baby isn't due for two weeks, Henry still wants someone to watch Elsie as he will be gone for three days. The women aren't at all worried, but Uncle Joe is quite concerned. Joe gets even more panicked when Kate tells him most babies arrive in the middle of the night. He comes up with an elaborate plan involving some of the men of the valley to get Doc Stuart to the Shady Rest if Elsie has the baby in the middle of the night. Without telling anyone, Joe has a trial run of his plan at 3am just to make sure it all goes smoothly. Everyone is quite mad at Uncle Joe. To make matters worse, Joe does it a second time. When Elsie does actually go into labor, it looks as though someone else will have to help with the delivery