Lisa on Ice - S6-E8
Other mistake: As Homer is signing Bart's academic alert form just before Marge starts talking to Lisa you can read the writing below the "Academic Alert" title, but the writing is completely incoherent including sentences such as "IMAEGTSIAD TSNHOJI NAMREB". Update; some of the "words" or parts of them are people's names, such as David, Stuart and Allison, but backwards. (00:03:50)
Answer: Willy referred to an encounter he believed he had with actual aliens, while Wiggum thought he was referring to the arcade game.