The Mason City Police Department said in a press release that a family contacted authorities shortly after 11:30 a.m. on Tuesday after their 2-year-old son and family dog went missing.
The toddler and his dog had wandered off from the rural home, according to police.
Responding deputies helped family members search the home and buildings on their property, with no sign of the child.
The Cerro Gordo County Sheriff's Office called for K-9 units from Mason City and Worth County, as deputies began to use a drone to help find the child.
But it was Mason City Police Officer Duane Kemna and K-9 Kilo who started a track and eventually found the 2-year-old boy along a creek through "several acres of timber" about .6 of a mile from the home.
The child was found on the northwest corner of a neighbor's home sitting on a cinder block, with his family dog by his side.
The child had removed his wet socks, shoes, and coat but was not in need of medical attention, according to police.
"It's not every day we get to share good news, but we are proud of the work done yesterday by K-9 Kilo and Officer Duane Kemna," Mason City Police tweeted. "Good dog!"