By golly, I think she's back. Poking around the Internet, I found the
following, from the Bristol (TN/VA) Herald Courier, August 3, 2002
(http://www.bristolnews.com/features/country/MGBIGPQWE4D.html)

In an article about the 28th Carter Family Festival....

Carlene Carter said she was making made her first visit to the Carter
Fold in nearly 17 years and gave her first performance there.

"It always feels good to come home to see family, but I haven't been
here in a while," she said after her performance. "I wanted to be
part of this celebration."

She said that in her opinion, the family's music has attracted a good
deal of attention lately for one simple reason.

"It's music that you feel from the heart," she said. "At least that's
my theory."

Carter said she and her mother have been working together on a new
album project in Nashville. The record is to include a combination of
songs written by her mother and some Carter Family songs.