During scene transitions, a backdrop of the White House descends in front of the stage and unseen voice actors engage in brief skits parodying the Reagan administration.

Reporter Roland Hedley travels to the fictional Walden College to profile a group of students in the graduating class of 1983, the members of "Walden Commune," an ersatz commune started by a diverse group of students in the 1970s: everyman Mike Doonesbury, jock B.D., campus radio host Mark Slackmeyer, stoner Zonker Harris, and B.D.

Having spent the duration of college living together, the group are preparing to go their separate ways for the first time in years, with varying degrees of optimism towards their futures: B.D.

has been drafted by the Dallas Cowboys professional football team; Mike is preparing to propose to his girlfriend, aspiring artist J.J., to whom he also plans to lose his virginity ("Just One Night"); Mark faces unemployment, as his job at the radio station ends with graduation; and Zonker, fearful of adult responsibility, escapes into fantasy and looks for excuses not to leave Walden ("I Came to Tan").

Meanwhile, Zonker's career criminal uncle, Duke, appears before a federal court after unknowingly selling cocaine to undercover FBI agents in a sting operation.

Back at the courthouse, Duke is found guilty and sentenced to probation, with the additional requirement that he open and manage a drug rehabilitation center for the next five years.

As the evening ends, Duke blasts down the front door with a grenade launcher, announcing that he's purchased the commune to turn into a rehab center.

Joanie intervenes, telling Duke that she'll represent the residents pro bono and will seek an injunction against him for redeveloping the house without a rezoning permit.

Roland arrives with his news crew to conduct a final interview of the graduates, and informs Mark of a job offer from a radio station on Long Island.

After twenty previews, the musical, directed by Jacques Levy and choreographed by Margo Sappington, opened on Broadway at the Biltmore Theatre on November 21, 1983, where it ran for 104 performances.

The whole project resembles a franchise arrangement, the kind that permits Bert and Ernie and Cookie Monster and Big Bird to be plastered all over lunch boxes and sweatshirts.