I had only been watching Spin City a very short time when I saw this, but this immediately became my favorite episode, and still remains one of my favorites.
First of all, this is a fine example of Spin City greatness. The plot of this episode is so well-written and very fun to watch. The staff tries to arrange a funeral for the police dog that just died. However, while transporting the dog, the bickering Carter and Paul lose the dog. Of course the most fun comes out of watching the cast trying to fix the situation, which makes for some great scenes. The outcome is predictable, but this is so well done that it doesn't matter--you're rolling on the floor laughing anyway.