Big Bird is sent to live far from Sesame Street by a pesky social worker, who thinks it would be better for him to live with other birds. Unhappy, Big Bird runs away from his foster home, prompting the rest of the Sesame Street gang to go on a cross-country journey to find him.

In a special TV presentation of "Today's Special," Jodie, Muffy, and Sam prepare for a live theatre performance. However, Jeff faces a problem as his magic hat won't function outside the store, preventing him from joining them. Undeterred, he sneaks into the costume box bound for the theatre. Upon arrival, Muffy is late, prompting Jodie and Sam to begin the show without her. Meanwhile, Jeff, trapped in the box, finds himself turned into a mannequin without his magic working. With Waldo the Magnificent as their only hope, Jeff's fate hangs in the balance, hoping for a miraculous rescue.

The Fraggles are a fun-loving community of creatures who live in a subterranean fantasy land where they love to play, sing and dance their cares away, sharing their world with the tiny Doozers and the giant Gorgs. The series teaches empathy and tolerance and encourages children to understand people different from themselves.