Cully asks Paul for a loan so he can enter a wild burro race with the idea of taking the prize money and buying a piece of land that lies between him and a neighbor.
Timmy builds a number of birdhouses to help the declining bird population in the area. However, his good intentions lead to problems with local farmers.
The balloon, with Timmy and Lassie inside, gets caught up in some tall trees. Timmy must figure out a way to get down and find desperately needed water.