Angel Grove High is sponsoring a book fair. Books of interest for everyone.
One such book, a fairytale called "Grumble The Magic Elf", gains the attention of Kimberly, who remembers it from her childhood. Lord Zedd & Rita Repulsa use their magics to zap Kim, Tommy & Rocky INTO the storybook.
Inside, they meet the title character, a Mr. Tinklesneezer looklike in a Santa Suit. He had a spell cast on him to make him grumpy, and has to deliever a cart of toys to some children to have the spell removed.
Zedd & Rita also zap in some Putties, who steal the toys, making sure the story never ends, and ensures the three Ranger Teens remain trapped there forever. If that wasn't bad enough, they run into an evil snowman, who buries them in an avalanche.