This is the last episode that Mary Kay Bergman voiced Timmy that aired while she was still alive, the next episode was aired a month and twenty days after her suicidal death on November 11, 1999. The last four episodes were aired posthumously.
This is the third episode with an animated title card.
The first name the elf call Timmy is "Jimmy", which is ironic, considering that in the first Jimmy Timmy Power Hour, everyone (besides Cindy and Libby) in Retroville thought that Timmy was Jimmy.
Jeff the Elf also calls Timmy "Butchy", probably as in Butch Hartman, the creator of the series.
The background music cue that played when Jeff gave Timmy a shovel and pail when he wished to go to the beach would be a common background music cue used in various episodes of ChalkZone, first appearing in "Rudy's Story". Both shows are produced by Frederator Studios, began as shorts on Oh Yeah! Cartoons, and have Guy Moon as composers.
It's unknown why Timmy just didn't wish for a bigger water gun to put out the fire with.