When two young dragons set their sights on winning Pixy Dragon Town's fire-spewing contest, they accidentally put their peaceful town in danger by incurring the wrath of a ferocious fire-breathing dragon known as Lacerta.

Fun-loving Groundhog Dave has come out of his shack to predict the weather...only to discover his beloved town of Bucketville has changed! The aroma of blooming flowers has been replaced by the smell of sawdust, and the sky is cloudy with smog! Dave and his friends uncover dire news: Mr. Whatnot the anteater has just bought the town and plans to transform it into a big shopping center!