At 24:12 Elena teases Bonnie by calling her "Broom Hilda". Brunhilde is a powerful witch in German and Nordic folklore. Broom Hilda is an American comic witch who rides a broom.
The title of this episode is a nod to the 1960 movie "Village of the Damned" and its 1964 sequel "Children of the Damned" because Mystic Falls is overrun with supernatural beings, and some would say the town is damned. As well as, the "children" being gifted with knowledge passed down to them from their ancestors to fight the supernatural.