Lassiter's gang has been on a robbing spree. Gene chases them to Pablo's Cantina and is almost ambushed by one of the gang except Sombrero warns him. In town Lassiter is dressed so nice that Pat thinks he is Senator Murphy. Lassiter convinces the Mayor to give him $45,000 to help build a dam. Gene is suspicious and when the real Senator arrives he is postive that he is, in fact, Lassiter. Lassiter escapes by using Verna as a shield and he returns to Pablo's Cantina. Sombrero helps again by showing Gene a secret entrance.

Songs: ""Back in the Saddle, Again"" and ""Dixie Cannonball.""