The 2001 Atlantic hurricane season was characterized by above normal numbers of tropical storms and hurricanes. There were 14 tropical storms including 8 hurricanes and 4 major hurricanes over the Atlantic basin. Although no hurricanes struck the United States for the second year in a row, the extremely heavy rainfall and catastrophic floods from Tropical Storm Allison made this storm the costliest U.S. tropical storm on record. Hurricane Michelle caused extensive damage in Honduras, Nicaragua, and Cuba, and then threatened South Florida before impacting the northwestern Bahamas. Forecast challenges on Allison, Michelle, and other tropical cyclones during 2001 will be discussed. Issues for the upcoming hurricane season will also be presented.