The play begins on the set of a television talk show in Neverland. The stage crew is busy preparing for a live broadcast. The studio audience is briefed on responding to prompt cards. As the talk show begins, the host, Hanina Shnook, explains that today's topic is Neverland's big Monster Truck Rally, scheduled for tomorrow. Her guests are Enryco Suavey, who will be announcing the big event and defending Champion and brother of Tinkerbell, Tacobell. In the course of the interview it is revealed that Peter Pan has gone on a charity mission to bring children fromt eh real world to Neverland to witness the spectacle of the Monster Truck Rally.

The next scene is set in the home of a family on present day Earth. We learn that the parents of this family, so obsessed with the original Peter Pan stories, decided even before they were married to have three children and to name them Wendy, John and Michael and to get a dog and name it Nana. That the second child was born a girl did not keep them from fulfilling their fantasy. We see that Wendy and Michael, like their parents are fascinated by Peter Pan stories and have an active imagination. John, however is bitter about having a boy's anme and blames her parents' imagingation for her situation. She has decided that she has no use for imagination. Wendy and Michael's conclusion that John's imagination was stolen by Captain Hookis dismissed by John as ridiculous. John shows that underneath her anger is a feeling of isolation as she sings, "In My World."

It is at this point that Peter Pan and Tinkerbell arrive. Wendy and Michael are very excited at the prospect of a trip to Neverland. John, having no imagination, annot see or hear Peter and Tinkerbell; she thinks her siblings are either playing or crazy. Nevertheless, after some Pixie Dust, they all go out of the window dragging an unbelieving John along.

We now see Wendy, John, Michael, Nana, Peter Pan and Tinkerbell flying on their way to Neverland. Peter describes some of the the things they will find and some hanges fromt eh days of the original stories. John still cannot see or hear Peter and Tinkerbell and does not believe they are flying. As they begin to approach Neverland, Peter tells them that if they look closely they might be able to see the Natives performing a ceremony.

On Neverland a procession is taking place as the Natives carry their Chief and chant a tribute to him in the song "Ug!" The tribe considers the request of a two-headed tourist wishing to join them in the song "Rubber Chicken Hat." Following the induction ceremony, Chief Ug!, who is very particular about his name, looks for unsuspecting others to join his tribe. Unusual torture is in store for those who displease hime. The scene closes as the Natives realize it is time to get ready for the Monster Truck Rally.

The two camera operators from the talk show appear and reveal that they are actually the villainous sisters of Captain Hook. They are plotting to sabotage the Monster Truck Rally. They sing, "Our Looks are Deceiving" and leave.

From an underground home, through a tree stump, a group of children appear in time for Peter Pan's return. Following a difficult landing, Peter introduces the children to his guests. John, who complained of not seeing the Natives, can see not only these children, but also Peter and Tinkerbell. This leads Wendy and Michael to believe that John's imagination must be with them in Neverland, probably in the possession of Captain Hook, as they suspected. To test John's imagination the Lost Children tell a story that they hope she will be able to visualize.

The story i s about fairies who sing about themselvs and their part of Neverland in the song "The Fairires of Goodlight." The are distrubed by nasty trolls. the trolls sing the song, "We Don't Believe in You!" leaving the fairies dying. A traveling group of magical cratures happens by and tries to save the fairies by having everyone who believes in magic clap their hands. The fairies rise and thank the travelers as they leave. When the trolls return the fairies hide behind rocks and escape the trolls' notice. The fairies are grateful to the rocks and reward them by magically bringign them to life. The rocks begin to move and sing about how they used to be dull rocks and now they are "Super-special rocks."

John has indeed been able to see all of this. The time has now come for all to go to the Monster Truck Rally.

As Hook's sisters set up their cameras they confirm that the plot to sabotage the Rally is still on. the Spectators have begun to arrive and Enryco Suavey announces that the even will begin shortly.

As the crowd settles in, Enryco Suavey begins the event. He introduces some important people in attendance. All rise for the singing of the National anthem, "Neverland." Cheerleaders root for the Champion in the song "Tacobell." Hanina Shnook appears and interviews various people about their thoughts on the upcoming Rally.

Now it is revealed that Hanina Shnook is actually none other than Captain Shanina Hook, granddaughter of the infamous Captain James Hook, and that she is the one who mysteriously challenged Tacobell. Hook's sisters grab Tacobell and disable him. The Rally goes on as scheduled with the less effective Tacobell racing against Hook. The race culminates in a crash which we review in instant replay. Hook and her sisters, upset at not having won, take Peter Pan, Wendy and Michael hostage. John confronts Captain Hook, demanding the return of her imagination. When Hook refuses to surrender it, Peter points out that the only way John can get her imagination back is to use it. John uses her imagination, which is still in Hook's possession to make Hook see Nana as various frightening creatures. Hook is not afraid of John's attempts. John realizes she is rusty at using her imagination and seeks help from the audience. Finally John imagines Nana to be a crocodile, which succeeds in frightening Hook into releasing the hsotages and returning John's imagination. John understands that what is inside her determines who she really is. The "Neverland" anthem is sung in reprise.