For the first time, the Caesarea Forum held a special winter session, in addition to the traditional summer session. The session was held on February 13th, at the Dan Caesarea Hotel. Participants included: The Minister of Finance, Abraham Hirchson, who also chaired the conference, and other ministry officials, the Minister of Defense, the Governor of the Bank of Israel and the bank's management, members of the Knesset’s economics committee, foreign affairs, and defense committees, and other key figures in the field of economy. The forum addressed the need for a multi-annual defense budget and the need to establish a systematic mode of operation in which the Ministry of Finance, the Ministry of Defense, and the Prime Minister can construct the defense budget. According to Dr. Arye Z. Carmon, President of the IDI, "The Second Lebanon War demonstrated the need to improve the budgeting process of the defense system because it is important to us all. We chose to convene a special session of the forum, particularly now, so that on one hand it will be close enough to the end of the war and on the other hand it will allow a wide enough perspective to produce recommendations and conclusions."
The Academic Director of the forum, Mr. David Brodet, who also heads the Brodet Committee to Assess the Defense Budget, a committee appointed by the Prime Minister, stated that "After the war in Lebanon, two issues regarding the defense budget which have long been hovering have resurfaced. The first is that the budget is not large enough and the second is that it is large and not utilized efficiently. The forum will attempt to clarify these issues and will offer solutions to decision-makers." Heading the research team which prepared recommendations for budget reforms in the defense system is the former Director General of the Ministry of Defense, Ilan Biran; team members include former high officials in the defense system, representatives of the ministry of finance, MKs, and more. The research team discussed methods of re-thinking and planning the defense budget and presented its recommendations prior to the forum.
Biran says: "The Second Lebanon War pinpointed the need for a multi-annual budgeted plan in order to strengthen the IDF and be prepared for action, if and when necessary. The process of decision making today, in regards to the defense budget, is carried out between three authorities: the Ministry of Finance, the Ministry of Defense, and the prime minister. This process is not adequately structured and does not express the long-term strategy of the government including being prepared against threats on the Middle East and geo-political turnabouts, which characterize Israeli reality."
Biran concludes: "A structured work process must be established, one which would express the prime minister’s and the defense cabinet's strategy, so that decision makers would receive a number of well-based, rationalized alternatives from the defense system."