(I mangled the quote to fit and for shock value a little. Read the whole thing. Doesn't sound like his hair was on fire.)
Edit - More info below from the FY2002 budget request one week later-
http://www.fbi.gov/congress/congress01/freeh051001.htmTestimony of Louis J. Freeh, Director, FBI
Before the United States Senate, Committees on Appropriations, Armed Services, and Select Committee on Intelligence
May 10, 2001
"Threat of Terrorism to the United States"
<snip>
2002 Counterterrorism Budget Request
For FY 2001, the FBI is requesting increases totaling $32,059,000 and 42 positions (8 agents) to improve and enhance existing counterterrorism capabilities and operations.<snip>
Summary
Combating terrorism is a priority of the FBI. Through the support of the Administration and the Congress, the FBI has been able to greatly improve its crisis response capabilities to respond to such acts when and wherever they occur. The management and operational strategy that the FBI is implementing will further improve its capacity to counter terrorism. We believe this strategy will allow the FBI to continually refine, adjust, and upgrade our response capacities in the face of new threats and groups. Also, this strategy recognizes and emphasizes the importance of the capacity for gathering and sharing intelligence on a timely basis with other agencies involved in countering terrorism. The strategy places a premium on the importance of establishing and maintaining communications and liaison with our federal, State, and local partners. Finally, the strategy emphasizes the effective management and allocation of program resources provided by the Congress.
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http://www.fbi.gov/congress/congress01/freeh051701.htmTestimony of Louis J. Freeh, Director, FBI
Before the Senate Committee on Appropriations, Subcommittee for the Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies
May 17, 2001
"FY 2002 Budget Request"
Counterterrorism
The United States continues to face a serious, credible threat from terrorists both abroad and at home. The number of groups and individuals capable of carrying out a terrorist act has increased over the past several years. Of continuing concern to the FBI are groups and individuals for which political or religious beliefs constitute sufficient motivation for carrying out a devastating terrorist act.
To deal effectively with domestic and international terrorism, the FBI must concentrate on both prevention and response. The FBI's counterterrorism strategy is focused upon five inter-related elements to build and maintain an operational capacity for identifying, preventing, deterring, and investigating terrorist activities. First, the FBI must have the capacity to respond to acts of terrorism committed in the U.S. and abroad when those acts are directed against the U.S. government or its interests. Second, the FBI must have the capacity to receive, react to, and disseminate counterterrorism information. Third, the FBI must develop its internal capacities to support proactive counterterrorism programs and initiatives. Fourth, the FBI must have the capacity to establish and maintain sound and productive relationships with other domestic and foreign law enforcement and intelligence counterparts. Fifth, the FBI must have the capacity to use all of the necessary assets and capabilities of the FBI and other U.S. government agencies to support and initiate complex investigations and operations against domestic and international terrorists and terrorist organizations. For FY 2002, the FBI is requesting increases totaling $32,059,000 and 42 positions (8 agents) to improve and enhance existing counterterrorism capabilities and operations.