It looks like you have some work ahead. I would recommend that you apply a grub killer with the ingredients of imidacloprid in it. There are others so this is just a suggestion. It needs to be watered in. Then a fertilizer to be applied in September and October. There are many options to choose from. The mushrooms could be from the decaying roots of your neighbors silver maple. This is just a beginning. Also, it looks like your grass is being cut to low. Plan on it being cut at 3 to 3 1/2 inches. A soil sample would also help. I think you will see an improvement when you do this. Also the fertilizer should not be applied until late August and then as advised. I noticed your grass seems to be dying. Not sure if its from lack of water, insects or both. If the grass is dead you can plant a grass seed this fall. Its the best time. Check back with us after you do the above. Luck. 

Thank you so much for the info!

I have applied milky spore last year for grubs.  I believe I had web worm as I continue to see little tan colored moths flying around but not as much since applying triaziside.  I see them.coming from my neighbors yard now. 

I will have my soil tested as this is an on-going problem last few years. I also washed my mower deck incase it's a fungus.  You are correct in that I did mow too short so once it begins growing again (midsummer and heat), I will be better.

In certain areas I'm seeing morning webs so I am not sure if those are insects or dollar spot. 

I would still apply the insecticide as it will take care of other problems. The key is to fertilize come late August, early September. Coring might be helpful and that is done in the fall. Seeding, if need be, and hopefully your getting rain. We are over 10 inches to the plus side. Its like spring.

Thanks for the info. I'll do that.  I think.im going to use milogranite it's been so ridiculously hot here.  It won't burn.  Temps are going to be.lower this next week.  Rain has been under for us...near drought.  I've been watering alot. 

Now that its winter i have a few comments. Milky spore sometimes dies out in extremely cold weather and we just had that. Not sure where you are at in regards to planting grass seed. Also, did you have crabgrass last year? If you still have concerns please let us know.