While patrolling the park at night in an effort to catch a mugger, Jim is mistaken for a murderous vigilante who has begun targeting the robbers; Stephanie makes a discovery that could explain how she and her family got their powers; Daphne uses her telepathic abilities to get into an exclusive party reserved for only the cool high school kids; and JJ tries out for the football team - with a lot of help from his power.

After Jim saves Dave Cotten's (Ricky Schroder) life, he and Stephanie become fast friends with Dave, his wife, Michelle (Annie Wersching, "24") and their kids. But Jim begins to suspect that the Cottens may be leading their own secret lives. Meanwhile, Daphne throws her hat into the high school ring for student council president, and Katie reveals a secret to Stephanie about her relationship with Joshua - aka The Watcher

While Internal Affairs officer Rachel Jacobs investigates reports of a rogue cop, Jim risks revealing himself as the prime suspect when the police station is overrun by a group of thugs, and he is the only hope of survival. Meanwhile, while trying to nurse an ailing Joshua back to health at the lab, Katie and Stephanie run into Human Resources VP Victoria Morrow and begin to suspect that she isn't who she says she is.

After a friend is attacked, Stephanie tells Jim that she wants to join forces with him to help catch the perp. But when Jim informs Stephanie that he's built for crime fighting - and she's not - the competition is on to see which one of them can solve the case first. Meanwhile, Daphne feels like Jim is invoking a double standard when he allows JJ to date a senior but won't let her do the same, and Katie learns some disturbing news about Joshua - aka The Watcher.