Social Chair Marissa tries to plan this year’s carnival but is having much difficulty due to a little pest named Taylor. Sandy is surprised to find Kirsten has been released from rehab but instead of informing him, she has been living with another woman named Charlotte who she met in rehab. Julie and Sandy meet with the Dean and Dr. Kim to discuss Ryan and Marissa’s future at Harbor High. Later Ryan and Marissa partake in a similar meeting. Elsewhere Jimmy meets a man and feels more than open to discuss his money problems with him.

Jimmy must make once more the difficult decision to leave or stay with his family; Kirsten returns to the Cohen household while Charlotte has to leave her house; Marissa and Ryan face a possible separation; Taylor lords over the school musical and makes Summer and Seth her stooges.

Marissa struggles with attending a public high school, and her new friends make Ryan jealous; Charlotte's ruse is up when she learns that Kirsten did not inherit any money from Caleb; Julie's mansion is repossessed, leaving her with nothing; Taylor's power play dethrones Summer as commitee chairman, who then learns an interesting secret about her and Dean Hess.

Marissa discovers something in Johnny that Ryan lacks and Charlotte convinces Julie and Kirsten to throw a charity event. After discovering fake IDs in Charlotte's purse, Julie confronts her.

Ryan, Seth and Summer launch a campaign to get Marissa back into Harbour. With the help of Dr. Kim they get the board of trustees to hear the case will Marissa be permitted to return for her final semester?

When college acceptance and rejection letters are received the kids must consider what path they are going to follow. Ryan and Sadie are trying to decide what they will do after high school. Taylor holds a college party and Summer and Marissa fix their friendship problems.

Ryan decides to go and invite his mother to his graduation party. Taylor and Summer work together to try and find out what Seth is hiding, but Summer ends up getting hurt. Marissa realises she is in bad company after she finds out how low Volchok's friends can go. Sandy is able to fix his work problems with Matt but while doing so he hurts Kirsten.