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At the Bikini Bottom Dock & Shipyard, SpongeBob gets ready for Summer Camp at Sun-N-Fun Island. Patrick suddenly comes in running at SpongeBob and mentions that he never told him that he was leaving. They duo then cry and hug each other, which causes SpongeBob to miss that the boat to Sun-N Fun Island already left, and the boat to Inferno Island appears, SpongeBob tells Patrick to come with him to summer camp, with the duo not realizing that the boat they're going is is actually gonna take them to prison camp instead.
The Warden welcomes the prisoners to Inferno Island, but is assaulted through the sounds of SpongeBob and Patrick's cheering. He gets so annoying that he says that he feels like "chewing somebody's head off". Patrick states that he's kind hungry after the Warden mentions this, and the Warden has Barney feed SpongeBob and Patrick tires. The Warden and the others are impressed with them eating the tires. The Warden then has SpongeBob and Patrick eat tires in a large and narrow hole with chum on top of them.
The Warden lets SpongeBob and Patrick out of the hole three days later, however, they don't feel like they've been punished because they thought it was an enjoyable soak. The Warden is so ashamed with this that he makes the activities boring and difficult, although SpongeBob and Patrick actually think that the "Coal Breaking" activity is fun.
SpongeBob comes to the conclusion that the other prisoners aren't having as much fun as him and Patrick. Patrick suggest that they should do a fun activity together, then they would be having as much fun. SpongeBob gets an idea to have a play, and he works on it all night. The Warden finds the script for the play and yells at his prisoners to find out which one was responsible for writing it. SpongeBob speaks up and states that it's a play for "amusement and inspiration". The Warden agrees to watch the play and states that it's because it will be the last act that they'll perform in their miserable lives.
SpongeBob creates a boat for the play, and one of the prisoners realizes that he and the other prisoners could use the boat to escape. SpongeBob, Patrick and the other prisoners perform the play, and the Warden, Barney and Bernie enjoy it, however, the prisoners then try to use the boat to escape, only for them to sink and swim back to the island because it's made of cardboard and isn't a real boat. Then suddenly, the Counselor from SpongeBob's summer camp arrives to retrieve SpongeBob. The prisoners, who are desperate to leave the island, all say that they're SpongeBob, but they are then silenced by the Warden. The Warden asks the Counselor what activities they have at Sun-N-Fun Island. The Counselor states that they make macaroni Art, sing campfire songs, and help and support each other, All these activities disgust the Warden, but they also give him the idea to have his prisoners sent to Sun-N-Fun Island as a way to punish them.
At the end of the episode, SpongeBob, Patrick and the prisoners are seen making macaroni art. SpongeBob and Patrick admit they like the other island better, and the duo start crying.
In "Giant Squidward", Barney tells the other citizens that they should skin Squidward and make bacon.
In "SpongeBob's Last Stand", Barney and Bernie are shown standing besides each other in court and Bernie gets his head pounded by Mr. Mayor's gravel.
In "Pet the Rock", Barney guards the entrance to the Pet Park and makes sure that everyone has a pet before they enter it. He allows SpongeBob to come in when he sees Gary, but he's hesitant to let Patrick in because his pet is a rock that's on a leash. Patrick shows that his rock is a pet by having it hit Barney. Barney allows Patrick to enter the park, and Patrick drags the rock over Barney while entering it.