Where Debbie is acting super fucking sketch. So she tells this drawn-out story about the birthday party Frank was going to invite himself to, for three-year-old Katie Crasden, and how she saw Papa Crasden laughing and playing with his kids and all of a sudden she just could not handle life so she tempted Katie's baby brother out onto the sidewalk with a Snickers, popped him in the stroller, jammed it back to the HQ and then... Dressed him up like a little girl, because that's what she was looking to kidnap.
Of course this all comes clear in a complicated fashion, because you've got a scene where Debbie's telling the story in a sort of elliptical way, and Fiona and Steve immediately assume that she was molested and wait with bated breath to hear the horrible truth, except that's not actually how the scene works out at all, because the dialogue is wonky and she's not actually at any point even possibly indicating that she was molested. There's no way to interpret her words as meaning that.
So it's a failure, and not really for any good reason, but the idea is there -- and probably by the time the audience figures out why Fiona and Steve are gawping at her the whole thing is done and, like Frank Gallagher's speeches, funnier in hindsight once it's over: Oh, now I see that they thought she was molested the whole time she was talking. That is so droll. So shameless!
Over at the Casdens' they're getting their shit organized to find the little kid, and Dreamboat Tony is there with his partner, that little gay Cardassian you see everywhere, I can't think of his name right now but he always plays the neurotic mole-man half of every gay couple on sitcoms, he's adorable and old now. Frank shows up for some speechifying about nothing really, watch the show if you're into things like that, white men saying dumb racist shit that's only a little funny, but then they start talking about how Casey Casden was wearing a Superman suit when he disappeared. I love Superman more than anything in this entire world excepting unicorns, but boy did I start to hate the sound of that word by the middle of this episode.
Finally Debbie explains the basic obvious psychology behind the abduction: "I miss Ginger. You gave her to me and you took her away, so now I need a transvestite baby. This isn't even that complicated." (Well I mean, the complicated part is that Frank head-butted Ian and Fiona chased him out of the house, but let's just say "Ginger.") Steve is hilariously confused by the fact that previous to this kidnapping they "borrowed" an old lady from Veronica's job, but Fiona as usual doesn't have the time or inclination, because Debbie has washed and then dryer-shrunk -- "That's what you do after you wash something!" -- the little boy's clothes. Steve assumes they can just use some of Liam's stuff, but Fiona points out the very yucky but I guess true fact that that would make them look like molesters.