I need help with my barking dog...

My only advice would require extra time, sorry.  I have worked with my dogs - and it does take time - of when it is and is not proper to bark. If someone is in my driveway, then they bark and get praise and rewards.  Otherwise, I am teaching them to be quite with people who wal byk.  I do this by calling their name and the very second they look at me, I say "quite", and cup my hand over my mouth and give a reward.  At first I had to do that over and over with someone walking by.  Now, I might only have to say it once.  I cup my hands over my mouth so that I can tap on the window, get their attention, and do the hand signal of "quite".  It does take time for this training.

Maybe you could talk to your new neighbor, and tell her you are starting to train Daisy, but it will take time if she will be patient?  The thing is, since you received a letter, I'm afraid she is not going to be very cooperative.  You, and your dog, were in that house first!  If it was a problem, then she shouldn't have moved in.  I would first check to see what your city/county laws are.  IMO, you have rights since you were already living there.  Some areas do have nuisance noise laws, and some don't.  The thing is, you don't want her getting really mad at you, if you can help it.  You don't want to be afraid of what she might do when you aren't home.  But, you,and your animals, have rights too, so it's a bit of a fine walk.  I'm sorry, I do not know of any other good advice.   I do know a friend who used a bark collar - against my strong wishes - and it did help Sometimes the dog would wear it and it was turned on, but sometimes it would be turned off---------BUT,  never, NEVER use this when you are not around, if you decide to do it.  I once had a dog who was wearing an electric collar, and it was being "set" off by other signals w/o me knowing it. Really awful on the dog.  So, that would be my very, very last option, and I would Never, ever even put it on the dog unless I was home.  Which is still going to take time to train.  

edited to add:  I just re-read your post, and I would NOT even consider a no-bark collar on a puppy, or a small dog.  NO WAY.  Sorry, I forgot about that when first reading.  My friend has a 50 lb. adult dog and had the temperament to handle it.  He is a very friendly, large dog, who just needed a little help with barking. I didn't like it going on him, but I can't even imagine one on a puppy or small dog.  I really think they are easily abused, and must only be used under proper conditions (which, truthfully,  I can't really help you with since I really don't have much experience with them -  others on here might, but I don't.)

Has she just moved in?  Could you try the approach of welcoming her to the neighborhood, introducing yourself properly, and if she brings up the barking - very calmly explain your situation.  I guess what I'm saying is that I would try the "honey draws more bees" approach first.  That's because once the bridges are burned, they don't get re-built.  So, I don't think you lose anything in trying to befriend her first.  Maybe she's lonely and just gotten cranky.  Maybe she really needs a friend, and has forgotten how to get along with others.  I would NOT give in to her request, but I would try my best to become her friend.  I've lived next door to someone I had to go to court against and it is very hard living next to someone you can no longer be friends with.  But, they left me with no option (They did have a vicious dog that attatcked me and they would not keep the dog out of my yard and a bunch of neighbors were just tired of the whole dog issue and the neighborhood took them to court in order to keep this particular dog confined).  I really hated not being able to wave hello to my neighbors after that.  I didn't have a choice, but I hated the aftermath of it all.  I missed not being able to talk to them at all.  So, I would try this approach first: forgive, befriend, forgive, befriend. With the holidays, maybe you could take a homecooked gift over and start from there.  IF that doesn't work, then, I would consider the next options.(but the last one will burn all bridges).

edited to add this part:  But, then just wait.  Maybe she won't do anything else.  Maybe she will let it drop. Thing is, you never really know how people are going to respond.  Sometimes it might pay off to take a wait and see approach.  It depends on her following actions.  If she starts harrasing you, then you could consider the following:

Sometimes bullies (and I think she might be a "bully" since she wrote a letter, and didn't talk to you first) will back down when they are confronted.  They act all puffy and big like they own the whole neighborhood and want things to run exactly their way without regard to other people's wishes.  They think they deserve to have it all their way.  But, I've seen where, when confronted, in the language they speak, they will, many times, back down.  Since the letter is the language she speaks, I would get all the legal info I could about what rights you have, and send a letter back her way.  It will cost a little money, but it would probably be really worth the money if it was sent on the letter head of a lawyer.  Really.  She is going to pay way more attention to a lawyer writing her that you have rights than you just stating it. Especially if you really tried befriending her first.  But, at the very least, write her back stating  your facts and your side of the story.  Writing is good in that it leaves you time to be calmer, and speak more clearly.

A far as the old lady who throws stuff at your dog:  Humfff, I want to say to throw things back at her, but you could end up in court over that.  So, in realizing that it is your job to protect Daisy, then I would clearly, and plainly, and calmly tell that lady that if she ever, ever throws anything into your yard again, that you will report her for animal abuse and for whatever other court reasons you can come up with. She is vandalizing your property as well. I am not one to advocate going to court, but sometimes the threat of taking someone is enough to do the trick.  I have no tolerance whatsoever with anyone who throws things.  And, this can make your dog more "barky" and defensive. I first would film her in secret and make sure you have the proof.  Then I would let her know you have the proof, and she will end up in court if she ever does it again.   You absolutely cannot allow her to continue throwing things at your animals.  Period.  She is wrong on every possible account.  There is nothing about her approach that is right.  So, stand up for Daisy.  Get the evidence. Then let her know you have it.

I realize you are super busy, and all this just adds more time, energy, and hardship on you.  It really is a bad situation, but the longer it all goes on, the harder it all will be to fix.  Daisy has the right to be in your fenced in yard.

The dog is probably bored too death.

 Dogs who are alone a lot, with nothing to do, can sometimes develope bark issues. In some odd way, it can be entertaining for them.

How about a dog walker?  If you are gone 12 hours a day, have the walker to come in at about hour six.

You take her on a short walk before and after work.

I think that would keep her little brain more occupied.

My dogs are crated during the day (and it's usually a 10 - 12 hour day by the time I get thru traffic) but NOT at night.  When they are small puppies or 'new to us' fosters or new adoptees then they have to be crated AT FIRST, but that's soon replaced by them being in the room with us.  We do baby gate off the hall so they don't have free run of the house.  They can be in our room, or as far as the bathroom (where the water bowl is) but that's sufficient.
 
Dogs left alone long periods of time outside will bark - they are also prey for human and animal predators (like the idiot who decides he hates your barking dog so he tosses poisoned meat over the fence -- yes it happens).
 
And no I don't allow my dogs to bark.  Even inside.  Yeah, dogs bark, but they don't HAVE to bark all the time -- that's boredom.  My dogs bark to communicate with me and tell me when something outside needs my attention.  It's so seldom THEY KNOW I will pay instant attention to them because it's not 'all the time'. 
 
Crating the dog during the day will solve the outdoor barking problem, and hiring a dog walker can be a great solution.  Often a senior citizen may welcome the chance to get a bit of extra money and it's great for you.  A professional may be more money ... depends on what you can arrange.
 
When we took on the dog we made a commitment to them and sometimes you have to figure out a way of doing things differently.  You will have to do a little training to allow the dog not to be crated at night -- a baby gate at the doorway so the dog has to stay IN your room can be a great option. 
 
I'm honestly surprised no one has complained before -- and in all candor, it could well be why the lady with the Scottie dislikes your dog so much. 

Callie's always got great advice, and JM had a good point about being bored.  I forgot about puppies being bored.  It doesn't make it ok, tho to throw things at a dog.  But, I agree at how very annoying it is.  I have to walk by houses that have dogs barking at me, and used to be even going to the mailbox I was barked at.  I never threw anything at a dog for barking at me, but it truly is annoying and irritating.  It kinda robs the peacefullness you get when you are outside. So, even tho I am a dog owner, I do resent other dogs barking at me just because I am walking by.  That's why we are still in training with my dogs - it is better, but not perfect yet.
 
I admit, I just got so irritated that I wanted to "react" to your post after reading about eople who write letters w/o talking to you first and throwing things.  That irritated me and made me focus on that instead of more helpful solutions.
 
Their suggestions were very good: the dog walker/ responsible teenage kid or senior person/.  Also, daycare one or two days a week would be excellent  for socialization skills and helping with the excess energy.   I know young kids who are responsible enough to have a "job" of playing with the dog.  Maybe your neighborhood has someone you could trust with this.
 
They definately gave the best advice: finding someone to spend time with her daily.  And, teaching to not bark. 
 
 

The woman who wrote the letter is may have done you a huge favor.  Why?
 
Because ... when you write a letter, you can spell it all out.  You can say what you really want to say (and you oughta say it nice even so!!).  BUT the advantage to you -- and this is a big huge MEGA advantage -- you didn't have to react to her face.  You didn't have to get angry AT her, you didn't have to smile sweetly and say "oh yes, Mrs. __ I understand and don'tcha know I wouldn't say sh*t if I had a mouthful!!"
 
No, you could read the letter IN PRIVACY, and you could get as mad as you wanted to.  You didn't have to show it and you didn't have to take back angry words.  It gave you time to then figure out what you wanted to do.
 
Now honestly -- if I were you I'd write her back.  And I'd say "You know Mrs _____ I was honestly pretty hurt and offended that you didn't come and talk to me UNTIL a friend pointed out that at least you didn't pin me against the door and make me angry so I could think about what I am gonna do."
 
Then just be honest -- tell her to YOU, barking has always been something dogs do -- and you were trying to be good to the *dog* by letting it have access to the outside ... but that you'll obviously want to re-think that because it was *not* your intention to annoy anyone -- least of all neighbors. 
 
Tell her what you're looking into -- and the changes you're trying to make. 
 
But before the end of your note, invite her over for a cup of coffee and a cookie, to 'meete' your dog AND your family and hopefully to make friends with her enough so next time she feels like she can call you and say "can we talk?" next time. 
 
She wrote you a letter -- she didn't report you to the police or animal control. (yes, they CAN and depending on your city's ordinances you CAN get fined and even if complaints don't 'stick' they DO create a problem for you AND a 'record' with people you'd rather not have record with!). 
 
The lady may have been rude and/or heavy-handed but she truly didn't do a bad thing.  And I'd be willing to bet she'd thot months about it and HOW to do it.  She probably ddin't dare approach you personally because she didn't know how you'd react and that may frighten her. 
 
You CAN turn this to your advantage -- but it's tough not to get 'hot' over something like this.  She probably has very little in the way of 'life' -- you may wind up teaching HER a thing or three about how to be a 'friend'.

I agree w/ the other posters and it is really annoying and I love dogs, I had a neighbor who left his dog out on a chain all day and night and it barked all day and night, the poor dog was bored, lonely, scared and frustrated. But the knot in my  stomach was horrible, I spoke to the owner over and over again, I slept w/ a fan on. Why would you put that puppy through this. I think between the kids and your job you really don't have time for this puppy, it's just not the right time in your life, and that's not fair to the pup or you or the kids, maybe you should find him a new home.

Thank you all so much for your advice.  I do apprecitate it.  Hopefully my husband will be home soon and I can start spending more time with Daisy again.  I agree that she is bored... I have gotten her toys galore and she eats right thru them... I got her a kong and the only way she will touch it is with peanut butter in it!  I will definately look into a dog walker, that is a wonderful idea that I did not think of.  We have actually tried baby gating her at night instead of crating her and she will jump it..  She is still a puppy for her breed, she is a lab/heeler/chow mix and she is a year and half old.  And to the last poster who suggested I find her a new home... that is not an option in my book.  I may not have made it sound like I was willing to work with her but I am.  I will just have to find the time.  Daisy is a part of my family, I love her and will do what is necessary.. Now that I have cooled off I do understand why my neighbor wrote a letter instead of stating it in person, although if she would have taken 5 minutes to talk to me in general she would have known that she could come to me.  And to state that it bothered all of my neighbors like she was speaking for everyone made me even angrier as I have had this conversation with a few of them.  Again.. I will definately take what ya'll said to heart and try to keep you updated on our progress.  Thanks again!
 
edited to ask...  as far as her boredom do you think a playmate would help with that or cause more problems?

The only solution in my opinion is keeping her inside combined with dog daycare or a dog sitter. I can't think of any dogs that are left outdoors alone for long periods of time that don't bark. They are bored, perhaps confused, and there is no one there to re-direct their behaviour so it won't stop. I'm sure Daisy needs an outlet for her energy before her barking will change at all.
 
If you can crate her, and have someone let her out twice a day for a walk, then she wouldn't be outside barking and bothering your neighbor. Or, if you can drop her off at daycare, the problem will be fixed completely and she'll get the exercise and attention she needs.
 
Good luck!

I work full time and the only time my dogs go out to the yard is a quick potty trip or if I'm out there with them because we live in a city with neighbors close on all sides and dogs bark when they are left outside. There is not a single dog on my street (and there's at least one dog in every house) who doesn't bark when outside. There's a pair of shelties across the street that have pretty much eliminated my need for an alarm clock because they get let out to pee at 6 AM and bark nonstop from the second the exit the house to the second they are coralled back in again.

I can only imagine the neighborhood revolt that would take place if I left my guys outside all day. People would be showing up with pitchforks and torches, I think.

Because I'm only gone 8-9 hours, I don't have a dogwalker, but do walk them in the AM before going to work and again as soon as I get home in the PM. If I was gone for longer, I'd definately hire a dog walker. But keeping them outside is just not an option. It is a nuisance for neighbors, it is extremely dangerous for them, and it would cause me to worry about 5 years off my life thinking about what could happen to them out there. People are messed up. Someone who gets a bug up their butt about your dog may write a note, or they may soak a steak in some antifreeze and throw it over your fence. After we got our note (this may be a rite of passage for city dog owners), I gave myself a head of grey hair worrying that even though my dogs don't spend much time in the yard at all, someone might throw poison back there and I wouldn't notice until it was too late. Not long after the note appeared, I came home one afternoon and found my gate open and I just about had a heart attack. I'm sure it was just the meter-reader, but wow.

So, keep the dog inside, crated or in a dog-proofed room that's baby-gated off from the rest of the house, or in an exercise pen. Hire a dog walker for a mid-day walk and play time. Get some more interactive toys. Kongs are supposed to only be interesting for dogs when you put stuff in them. That's kind of their whole point. Mix up your dog's breakfast kibble with some peanut butter and water, stuff it in a kong and freeze it over night. That will provide at least a couple hours of entertainment for your pup.

You can't train her not to bark if you are too busy.  One thing you can try is a Gentle Spray Citronella Collar. www.premierpet.com.  I've seen a similar collar for less money on Ebay, called the Aboistop.  There is no electric shock - it works by squirting a bit of citronella when the dog barks.
Grab a copy of Terry Ryan's "The Bark Stops Here".  That may give you some more long range help.

BTW, she is NOT still a "puppy for her breed".  She is an adult dog, pretty much, and clearly one that has not been trained or had her environment enriched enough, because of your lifestyle.  Why not ask hubby for a "girl's night out" with your dog and take her to class - follow up by taking agility class, or some other fun sport.  She will probably be much less of a problem if she has a "job" that you can practice with her for a short time each day, too.

Ok, I have a dumb question.  What is an agility class?  I know I have not been the best dog owner in the world, but I am far from the worst.  I would really like to do something good for her. 

Oh and I was told by my vet that she is still considered a puppy until about 2 because of her size/breed or something or other.  She is a large dog....

Well, labs have a long puppyhood, as do some other breeds. It just means they maintain that puppy energy and attitude until they mellow out around 2-3 years old. But it doesn't mean they can't have splendid training and behavior.

Agility is a dog sport that is basically where your dog runs an obstacle course. It is physically challenging to the dog because of obvious reasons, but also mentally challenging because this is done off-leash with the handler giving the dog directions about what obstacle to take next and where to go.

There's lots of other dog sports that your dog may have an apptitude for that will give her a job to do and an outlet for her needs. I'm starting tracking with my dogs in January, which is exactly what it sounds like--tracking human scent over various kinds of terrain (all dogs have the ability do it, not just hounds). There's obedience and rally obedience, there's canine freestyle (dog dancing--which I used to laugh at before I really understood the type of training those dogs go through), if she favors her lab side there's field trialling (tests of the skills that hunting dogs need such as retreiving and flushing).

Try to find an obedience school near you that offers basic obedience as well as agility classes so you can start out with the basic household obedience stuff and then move on to agility once Daisy is ready, or another dog sport that strikes your fancy. Once you start, you'll find it really quite addictive. The bond that you can create when you work together with your dog towards a mutual goal is really amazing.