X-Ray approaches Stanley and suggests that if he finds anything else while he's digging, he should give it to X-Ray to turn in. Since he's been at the camp a lot longer than Stanley, X-Ray thinks he deserves a day off more.
Questionable logic, but Stanley more or less agrees to the plan.
After he goes back to digging, Stanley starts to think about the hierarchy at Camp Green Lake. X-Ray is obviously the leader of D Tent, even though he's one of the smallest boys. Not a bad set-up.
Then the fantasizing begins: he imagines all these boys coming with him to his school and beating up the bully Derrick Dunne when he tries to pick on Stanley. Ah, comeuppance.