Storybrooke: Emma enters Mr. Gold's shop and calls out, asking if he's in there. In the back room, Gold mutters under his breath. "Well, it is my shop." Emma finds him in the back where he is coating fabric with lanolin. She is taken aback by the smell and asks Gold if there was a reason he called the sheriff's office. He wants to express his condolences over Graham's death and notes that Emma is still wearing the deputy badge. Since she's been acting sheriff for two weeks, the job is now hers. Gold follows Emma out of the back room and before she can leave the shop, he offers her a box full of Graham's things. It seems Graham rented a room in one of Gold's properties. Emma declines and continues toward the door, while Gold is all, "As you wish." He mentions that perhaps he'll give Graham's belongings to Mayor Mills. Oh he's crafty. Emma returns to the counter. Gold shows her what's in the box.
Emma refuses the leather jacket, so Gold holds up two police radios. "The boy might like these, don't you think? You could play together. [...] Please. They grow up so fast. [...] You enjoy these with your boy. Your time together is precious, you know? That's the thing about children, before you know it, you lose them." Raise your hand if you're wondering if it's important (in a magical sense) for people to take or at least connect with the items in Mr. Gold's shop? Now, clearly these radios aren't from the Enchanted Forest, but I almost feel like he needs Emma to take something from him, for some hidden purpose. I suppose it could be as simple as spying on her and Henry, should they use the radios, but it feels more significant than that to me.
Emma finds Henry at the waterside park on the little castle structure. He could not care less about the radios or using them for Operation Cobra. In fact, he thinks they should can Operation Cobra for a while. "You don't play with a curse. Look what happened to Graham." No Kitsis, huh? He yeses Emma to death, when she reminds him the autopsy showed totally natural causes were responsible for Graham's death. Henry is really off his Prozac here and says he's even glad Emma doesn't believe, because that will keep her safe. When he goes on about how good always loses to evil, Emma looks bereft.
Sheriff's Office: Emma's about to put on the Sheriff's badge, when Regina walks in and says she's appointing Sidney Glass (the Magic Mirror) as the new sheriff. Emma knows Sidney will do whatever Regina wants and says, "You cannot stand the fact that things are getting better around here, can you?" Regina, in high dudgeon, twists her words to make it sound like Emma is saying it's good that Graham is dead. She fires Emma, grabs the sheriff's badge and swans (sorry) out of the office.