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

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.

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.

Uncle Joe answers the ad of Dr. Mathew Bailey. Dr. Bailey is looking for office space in return for free medical service. Kate doesn't think it's a good idea, especially with everyone in Hooterville going to see Doc Stuart. But once the girls get a look at the young and handsome Dr. Bailey, there is no way they're going to let Kate let him get away. So they open up an office for Dr. Bailey adjacent to the hotel lobby. But Kate is right, there is no business for Dr. Bailey as many locals see him as too young and inexperienced. The girls and Uncle Joe go on a marketing spree to round up patients, to no avail. Doc Stuart unwittingly gives Kate an idea to boost Doc Bailey's clientèle. Kate's plan takes an unexpected turn. Elsie Baker appears as a townswoman.

Bille Jo returns from Chicago with a visionary zeal for the women's liberation movement, and enlists her sisters in ""the cause.""