One of the major surprises in Season One was the replacement of beloved city fixture Bill by an upstart named Sheila. Rumored to have been married to Bill and to have gained ownership of his shop when he mysteriously passed away during the world reset that started Season One1), Sheila continues the Shack's tradition of selling fine weapons, armor, and accessories, but has chosen to stock a more varied range of items, including the popular pink panties armor and chainsaw weaponry.

Recent rumors that Bill had a sex change operation and became Sheila have yet to be proven. 2)

1)
This is the subject of much speculation. Sheila maintains that Bill is dead and the will leaving her everything is genuine - but no body has ever been located, and the will is written on perfumed pink parchment strongly resembling Sheila's personal stationary. Sheila refuses to discuss the matter.
2)
Has anyone noticed that Sheila, as described, looks a lot like Pat Benatar?