Weeks after her assignment at the Miss United States beauty pageant,[a] FBI agent Gracie Hart's cover is blown when her newfound fame results in her being recognized while trying to prevent a bank heist.

With the help of her new stylist Joel Myers, Gracie begins to embrace her new position, making television appearances and publishing a book about the Miss United States operation.

Meanwhile, pageant winner Cheryl Fraser and host Stan Fields are kidnapped by brothers Lou and Karl Steele, who hold the two for ransom.

She learns that Cheryl and Stan's limo driver was paid off by a Dolly Parton impersonator to give the kidnappers an opportunity to make their move.

The incident receives considerable media attention, causing a furious Collins to order Gracie and Sam back to New York City.

With the assistance of Vegas-based agent Jeff Foreman, Gracie, Sam, and Joel return to Las Vegas.

Jeff searches an FBI database to find possible suspects, but is caught by Collins, who once again orders Gracie, Sam, and Joel back to New York.

The two, along with Joel and Jeff, again escape FBI custody and head to the Osiris Drag Club, where the only Dolly Parton impersonator in Las Vegas performs.

The Dolly Parton impersonator tells them that Karl Steele, who he worked with at Treasure Island, forced him to make the payment to Cheryl and Stan's limo driver.

Karl reveals that Cheryl and Stan are tied up inside one of the hotel's pirate ships, which they plan to sink.

Gracie rescues Stan and Cheryl, but becomes trapped underwater when her costume becomes pinned beneath a cannon; Sam arrives to save her.

[11] Roger Ebert for the Chicago Sun-Times calls the sequel "doubly unnecessary" and says "there is no good reason to go and actually see it.