Bandit was Bobby Hill's pet raccoon.
In the episode "To Kill a Ladybird," the raccoon is rummaging through the Hills' trash outside the house, and Bobby finds him. He offers him a fruit pie and "befriends" him, naming him Bandit. The raccoon makes its home in the crawlspace under Hank's house, and Hank does not want the raccoon there. He hires Dale to exterminate it, and Dale gets scratched by Bandit, making him think he has rabies and acts like a wild animal.
Bandit runs out the crawlspace and out of the neighborhood, with Lady Bird getting lost as a result of chasing after Bandit. Bandit was thought to have contracted rabies and was going to bite Lady Bird, but Bandit ran and Lady Bird chased after him. Bandit goes to a forest where Dale also goes, and Lady Bird is there as well. Later, Hank and Bobby go to the same forest to find Lady Bird. There, Hank finds his dog, but she barks at Bandit who is near him. Bobby thought Bandit was about to bite Hank, so he took the shot, killing Bandit. Hank at first thought Bobby shot at Lady Bird due to her allegedly getting rabies from Bandit, but he sees that Bobby shot Bandit instead. In the end, Bandit was given a funeral after he was discovered to not have rabies.