Cosmo and Wanda must go to the Fairy Academy to have their Godparenting License renewed, and their drill instructor is the toughest fairy in the universe, Jorgen Von Strangle. While they are absent, Timmy gets a substitute godparent, Jeff, who can only make toys; it turns out that Jeff is a runaway elf from the North Pole.

Cosmo and Wanda try to help Timmy capture Bigfoot to earn his Squirrel Scout badge in capturing a mythical creature.

According to "Da Rules" once every few thousand years a fairy must act bad for a day and it's Cosmo's turn.