Eighteen designers have made it through the application stage, but the judges need to pare down the group to fifteen contestants. Later in the workroom, they learn that a designer from a previous season will join them. For their first challenge, the designers are asked to create a Spring look from the provided fabrics that will give the judges a preview of their Fashion Week collections. They have one day to complete the challenge.

Working in teams of three, the designers must create a mini-collection of fashionable looks out of items found in a movie theater or film set. They have one day to complete the challenge.

The designers must draw from their past to inspire a look they think will be relevant 20 years into the future. They have $200 and one day to complete the challenge.

The designers are each assigned a man's vintage suit which will serve as the materials and inspiration for a high fashion look. They have $100 for supplemental fabric and one day to complete the challenge.

The designers are challenged to create an avant-garde look that must be able to withstand the water elements of Project Runway's first "rain"-way. They have $300 and two days to complete their garments.

The designers must fashion a look for Heidi Klum to wear to the Emmy Awards. They have $250 and one day to complete their garments. After a disastrous client consultation, they are given an additional $100 for another trip to Mood.

Working in pairs, the designers are tasked to create alternative wedding garments. Each team has $400 and one day to complete their looks.

For their next challenge, the designers must create an evening wear look inspired by a piece of Chopard jewelry. Further inspiration is provided by a trip to the Metropolitan Museum of Art. They have $250 and one day to complete their garments.

The designers are tasked with creating modern, age-appropriate looks for a young girl based on the BeForever line of American Girl dolls. They have $150 and one day to complete the challenge.

Each designer must find their muse in Washington Square Park and convince a stranger to undergo a complete makeover. They have $200 and two days to complete the challenge.

In teams of two, the designers must bid on five storage units which contain the materials they will use to construct two outfits. They have $500 with which to bid and two days to complete the challenge. Later, they are given $100 and a trip to Mood in order to create a third look. And in a final twist, the bottom two designers get one hour to create one more outfit in order to avoid elimination.

The designers are tasked to use New York City itself as the inspiration for a street chic look. They have $200 and two days to complete their garments. Later, they are given a second challenge of redesigning a another contestant's losing look into a new outfit with a budget of $100.

Tim Gunn and the designers travel to Rome to get inspiration for their Fashion Week collection. Back in the United States, they have five weeks and $9000 to design a 10-piece collection. In the interim, each gets a special visit in their hometown from Tim Gunn. Prior to showing at Fashion Week, the judges want to see a mini-collection of three looks from each designer for critiques and feedback.

In the conclusion of the finale, the remaining contestants ready their collections for the runway. They are given an additional $300 to spend at Mood to finish their looks. Then they present their lines to industry insiders at Fashion Week.