For this first episode of the second season, the production shifted from New York to Hollywood Center Studios in California and a new, expanded set was built which led to this "redecorating" theme. Almost certainly the change in production location was the cause of many non-puppet cast changes as many were likely unwilling to relocate.
Gilbert Lewis was replaced by
William Marshall as King of Cartoons and the role of Dixie (portrayed by
Johann Carlo) was discontinued. The character Captain Carl was also discontinued;
Phil Hartman had been hired by
Saturday Night Live (1975) about the same time as he started with the production of this series.
Shirley Stoler's role as Mrs. Steve was replaced by
Suzanne Kent's Mrs. Rene and
Roland Rodriguez's role as Tito was replaced by
Vic Trevino's Ricardo (introduced as "the greatest athlete who ever lived"), who often speaks his lines in Spanish and English to help Pee-wee learn Spanish. The 'Playhouse Gang' (usually three children known as Opal, Elvis and Cher) no longer appear, and new friends of the playhouse include Clockey, Floory, and Pee-wee's ventriloquist dummy Billy Baloney.