The taxidermy coming to life is a reflection of Norman's hallucinations and it's becoming apparent that he is struggling to differentiate between what is real and what he is imagining. However, the only time that Norman is calm and serene is when he is working in the basement with these dead animals, so if he's only peaceful around those that are dead, how long do we need to wait until he turns to do the same thing to Norma or hides his victims in the house? Either way, Juno the dog is still super cute, dead or alive.