The plot is simple enough for a 4-year-old to follow: A puppet version of Bill Compton appears at Merlotte's Bar and Grill, in desperate need of some "true mud." Unfortunately for him, the patrons only want to give him things that sound like mud – from cud, to a spud, to some guy named Bud.
The vibe is arguably sillier than the real True Blood – though some of the later seasons have been pushing it – still, the Sesame Street writers are clearly fans of the show. Bill moves with the mysterious quickness of a vampire, and if you look closely, you can even see a felt doppelgänger of Lafayette walking around.
Watch the video above, and then see the original "True Mud" below: