Brenda returns to Beverly Hills to find her bedroom taken over by Brandon and her parents angry that she dropped out. College registration is too much for Dylan who has a kindred spirit, so he and Brenda pair for a fishing trip to talk about their future. David and Donna try to audition for the DJ's on the California University's radio show, while Andrea tries to get in with the university's newspaper, The Condor, and soon clashes with the egotistical student editor Josh Richland. But Andrea has a more friendly meeting of minds with Dan Ruben, her dorm faculty advisor. Meanwhile, Steve tries to get Brandon in on the fraternity life on the CU campus by pledging the Kappa Epsilon Gamma (K.E.G.) fraternity.

During the first week of classes as California University, Donna becomes burned out of her work which is interfering with her college courses, Donna quits the late-night radio shift leaving David solo. Brenda seeks a job for herself to pay for her college tuition and finds one with her father, but she fails to deliver some important contracts. At a pool party for the college freshmen, Steve decides, but can't bring himself, to break up with Celeste. A jealous Dylan can't deter John Sears from seeing Kelly. Also, Andrea discovers that her residential advisor and admirer, Dan Rubin, is her English professor.

Jim sets a lonely Brenda up on a blind date with Stuart Carson, the son of his business associate and both he and Brenda hit it off. Dylan decides to buy a new car, regardless of the price. Due to his late night schedule, David causes problems with Kelly and Donna over his lack of housekeeping. Kelly tells Dylan that they should start seeing others as a result of her growing relationship with John Sears. Meanwhile, Andrea finally loses her virginity when she and Dan move beyond being "just friends."

David's work and study schedule begins to take a toll on him when mid terms come around, leading him to start using crystal meth. His erratic behaviour worries Donna and Kelly. Dylan wants to help Suzanne with her financial troubles by giving her $10 000 but Jim urges Dylan to let him do a background check on her first. Steve decides to take his suspicions about John Sears to their fraternity chapter president. Brandon continues to tutor D'Shawn in sociology but still feels that Professor Randall is giving him preferential treatment. During a basketball game, D'Shawn sustains an injury that he fears will impact his future career prospects. Andrea learns from her new RA that Dan Rubin has transferred to another dormitory.

The side effects of David's burgeoning drug habit cause him to fall asleep in the park whilst babysitting Erin and she goes missing. Brenda, Donna, Brandon and Steve head out of town on a ski trip where Donna meets a handsome ski instructor. Dylan finds himself slightly out of his depth when Erica gets her first period after their swimming lesson. Jim's background check on Suzanne yields some unexpected results and Dylan confronts her upon her return to Beverly Hills. Andrea receives a surprising medical diagnosis.

With Nat still in the hospital awaiting heart surgery, Brandon temporarily takes over running the Peach Pit, while Dylan rescues the place after he buys out Joey's share, making Dylan the co-owner. Meanwhile, David's drug problem returns, resulting in Kelly and Donna moving out and David losing his radio DJ job when Howard the station manager sees that he's completely out of control and fires him. Jesse objects to Andrea's decision to get an abortion. Brandon learns of Lucinda's divorce from Professor Randall and wants a relationship with her.