Appropriation Bill (No. 3) 2022-2023

Current status

This bill became law on Jun 19th, 2023.

Policy area

Budget, tax & economy

What does this bill do?

This law approves about $5.5 billion in extra 2022-23 spending so the Australian Government can fund updated costs in existing programs and new decisions made after the October 2022 budget.

Why was it introduced?

Government decisions made after the October 2022-23 Budget created a funding gap in the existing 2022-23 appropriations for ordinary government services. This bill provides extra money from the Consolidated Revenue FundThe main government account that appropriation bills let money be drawn from for approved spending. so departments and agencies can keep delivering those services.

Broader context

After the October 2022 budget set the original 2022-23 funding, rising costs in existing demand-driven programs and new government decisions during the year left departments and agencies short of money for ordinary services, including areas such as Defence, disability supports, health, aged care, apprenticeship subsidies and passports after borders reopened. The bill responded by seeking about $5.5 billion in extra appropriationParliament's legal permission for the government to spend a set amount of money for a stated purpose. in May 2023, and its passage in June 2023 let the Commonwealth keep meeting those obligations for the rest of the financial year.

Key criticism

The main criticism was that this extra spending formed part of a budget critics said was too large and poorly targeted, risking more inflation, higher interest rates and little real cost-of-living relief for households. That case was pushed mainly by Coalition and some crossbench senators who opposed the bill, while other critics such as the Greens backed the bill but argued its spending priorities still left poorer Australians behind.

Who supported it?

Stephen Jones MP introduced this bill. It passed on the voices.

Introduced in House 09 May 2023
Passed House 25 May 2023
Passed Senate 16 June 2023
Became law 19 June 2023

Did it become law?

Yes

Became law 19 June 2023

Final passage

Passed without a counted vote

1 recorded amendment or procedural vote was found, but no counted vote on the bill itself was recorded.

Passage speed

41 days

From introduction to the latest recorded parliamentary step

Official record

View on APH

Parliament of Australia bill page

What does this bill do?

  1. This law approves about $5.5 billion in extra 2022-23 spending so the Australian Government can fund updated costs in existing programs and new decisions made after the October 2022 budget.

  2. The money in this law mainly goes to Australian Government departments and agencies so they can keep delivering ordinary government services.

  3. The funding includes major top-ups for Defence, disability supports, apprenticeship wage subsidies, health and aged care costs, and passport demand after borders reopened.

  4. Some of the money can be shifted into special accounts when those accounts cover the same purpose, which helps departments direct funds to the right program.

  5. This law does not give the Finance Minister a separate emergency-style advance, so spending is limited to the amounts Parliament approves in the bill.

Show source excerpts
  1. Appropriation Bill (No. 3) seeks approval for appropriations from the Consolidated Revenue Fund of $5.5 billion. This would ensure that there is sufficient appropriation to cover estimate variations related to existing programs—for instance, changes to costs for demand driven programs. These bills also pave for the first-year costs for measures announced since the October 2022 budget.
    Minister's second reading speech
  2. The Bill provides for the appropriation of specified amounts for expenditure by Australian Government entities, primarily being non-corporate Commonwealth entities (non-corporate entities) under the Public Governance, Performance and Accountability Act 2013 (PGPA Act).
    Appropriation Bill (No. 3) 2022-2023 explanatory memorandum
  3. The bill provides funding to support the following significant items. The Department of Defence will receive $1.8 billion. This primarily reflects the reclassification of $1.3 billion from capital to operating funding, reflecting updated expenditure requirements and supplementation of $172.3 million for foreign exchange losses incurred during 2021-22. The Social Services portfolio will receive over $1 billion, with the majority of funding provided for the National Disability Insurance Agency to provide reasonable and necessary supports for National Disability Insurance Scheme participants. The Department of Employment and Workplace Relations will receive just under $1 billion, primarily to support apprentices and employers through the boosting apprenticeship commencements wage subsidy. The Department of Health and Aged Care will receive close to $900 million, including $207 million for vaccines and logistics, $182 million to reimburse aged-care providers, a direct cost relating to managing the COVID-19 outbreaks, and $166 million for administration of the COVID-19 vaccine. The Department of Foreign Affairs and Trade will receive over $235 million to meet the surge in demand for passports following the reopening of international borders and for the design and construction of the Australian pavilion at the Osaka World Expo.
    Minister's second reading speech
  4. If any of the purposes of a special account is a purpose that is covered by an item (whether or not the item expressly refers to the special account), then amounts may be debited against the appropriation for that item and credited to that special account.
    Appropriation Bill (No. 3) 2022-2023 introduced bill text
  5. The Bill does not contain an Advance to the Finance Minister provision.
    Appropriation Bill (No. 3) 2022-2023 explanatory memorandum

Broader context for this bill

After the October 2022 budget set the original 2022-23 funding, rising costs in existing demand-driven programs and new government decisions during the year left departments and agencies short of money for ordinary services, including areas such as Defence, disability supports, health, aged care, apprenticeship subsidies and passports after borders reopened. The bill responded by seeking about $5.5 billion in extra appropriationParliament's legal permission for the government to spend a set amount of money for a stated purpose. in May 2023, and its passage in June 2023 let the Commonwealth keep meeting those obligations for the rest of the financial year.

  1. October 2022

    October 2022 budget sets the original 2022-23 funding

    The government’s October 2022 budget established the base appropriations that later had to be topped up for the remainder of 2022-23.

    Hansard ↗
  2. 09 May 2023

    Higher program costs and new decisions create a funding gap

    When introducing the bill, the government said updated costs in demand-driven programs and measures decided since the October 2022 budget meant extra money was needed, including for items such as passport demand after borders reopened.

    Hansard ↗
  3. 09 May 2023

    Government introduces a $5.5 billion additional appropriationParliament's legal permission for the government to spend a set amount of money for a stated purpose. bill

    The bill was introduced to draw about $5.5 billion from the Consolidated Revenue FundThe main government account that appropriation bills let money be drawn from for approved spending. so departments and agencies could cover revised costs and start first-year costs of post-budget measures in 2022-23.

    Hansard ↗
  4. 16 June 2023

    Parliament passes the bill

    Both houses passed the bill in the same form, clearing the way for the extra funding to support Commonwealth programs and obligations for the rest of the financial year.

    Parliamentary timeline ↗
  5. 19 June 2023

    Royal Assent turns the bill into law

    Royal Assent made the measure an Act, allowing the approved additional spending to be legally issued for 2022-23 government services.

    Parliamentary timeline ↗

How did it move through Parliament?

House Senate
Introduced 09 May 2023

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 09 May 2023

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Second reading debate 23 May 2023

The bill reached this recorded parliamentary step.

Sent to Federation Chamber for debate 23 May 2023

The bill reached this recorded parliamentary step.

Referred to Federation Chamber

House second reading agreed 24 May 2023

The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.

Second reading agreed to

Returned from Federation Chamber 25 May 2023

The bill reached this recorded parliamentary step.

Reported from Federation Chamber

House third reading agreed 25 May 2023

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Introduced 13 June 2023

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 13 June 2023

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Second reading debate 14 June 2023

The bill reached this recorded parliamentary step.

Senate second reading agreed 16 June 2023

The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.

Second reading agreed to

Senate third reading agreed 16 June 2023

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Passed both houses 16 June 2023

Both houses passed the bill in the same form, completing parliamentary passage.

Finally passed both Houses

Assent 19 June 2023

The Governor-General gave Royal Assent, turning the bill into an Act.

The main case against this bill

The main criticism was that this extra spending formed part of a budget critics said was too large and poorly targeted, risking more inflation, higher interest rates and little real cost-of-living relief for households. That case was pushed mainly by Coalition and some crossbench senators who opposed the bill, while other critics such as the Greens backed the bill but argued its spending priorities still left poorer Australians behind.

Criticism was real but divided, with some opponents attacking overall economic settings and others attacking spending priorities from the left.

Inflation and household pressure

Critics argued the extra appropriations were part of an overly expansionary budget that would add to inflation, increase pressure for further interest rate rises and leave families worse off instead of easing living costs.

Raised by Coalition senators including Slade Brockman, Paul Scarr and Matt O'Sullivan, with similar debt and inflation concerns from Pauline Hanson Source ↗

Wrong priorities in the spending package

Other critics said the bill funded the wrong priorities, favouring fossil fuel interests, tax settings they saw as benefiting wealthier Australians, and a tighter fiscal approach over stronger help for renters, people in poverty and First Nations communities.

Raised by The Greens, especially Nick McKim and Dorinda Cox Source ↗

Recorded votes

How the bill itself passed

The bill passed both chambers on the voices. The counted divisions below were about amendments or procedure, not final passage.

Passed

House passed the bill

House agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.

25 May 2023

Passed on the voices

In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.

Passed

Senate passed the bill

Senate agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.

16 June 2023

Passed on the voices

In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.

Amendments at a glance

Recorded amendment and procedural votes grouped by chamber. Expand a vote to see the party breakdown.

Senate

Defeated

Criticise budget tax and housing priorities

Aye 11 No 24

Defeated 11 to 24. Support came from Greens. Opposition came from Liberal Party, Labor, and Jacqui Lambie Network.

16 June 2023

The Senate rejected the Greens’ statement amendment, so the bill proceeded without the proposed criticism attached and the original second-reading motion was agreed.

Party Recorded votes Aye / No
Greens 11 / 0
Liberal Party 0 / 5
Labor 0 / 18
Jacqui Lambie Network 0 / 1

These are amendment votes, not the final passage vote on the bill itself. The bill passed both chambers on the voices.

Who spoke, and what they said

Start here — lead voices

Sponsor speech Supports

Stephen Jones

Australian Labor Party • MP 09 May 2023

Stephen Jones supports the appropriationParliament's legal permission for the government to spend a set amount of money for a stated purpose. bill and says it is needed to cover additional 2022-23 spending for existing programs and new measures announced since the October 2022 budget.

Read in Hansard ↗
Lead opposing voice Opposes

Slade Brockman

Liberal Party • Senator 14 June 2023

Brockman opposes the bill, saying it is part of a failed budget that worsens inflation, weakens investment, and attacks key industries like gas and live sheep exports.

Read in Hansard ↗
Lead supporting voice Supports

Jane Hume

Liberal Party • Senator 14 June 2023

Hume says the opposition will support the bill, but argues that backing the appropriationParliament's legal permission for the government to spend a set amount of money for a stated purpose. is not an endorsement of Labor's wider budget or its cost-of-living and tax decisions.

Read in Hansard ↗
Lead voice Unclear

Pauline Hanson

Pauline Hanson's One Nation Party • Senator 14 June 2023

Pauline Hanson says One Nation will not oppose most of the budget relief measures in this bill, but she attacks the package as debt-fuelled, inflationary, and too generous to measures she thinks will not help ordinary Australians.

Read in Hansard ↗

All speeches by bloc

Labor

3 speakers · 3 support

  1. Malarndirri McCarthy McCarthy supports the bill and says it seeks $5.5 billion from the Consolidated Revenue FundThe main government account that appropriation bills let money be drawn from for approved spending. for 2022-23 to cover estimate variations in existing programs, new government decisions and some reclassified expenses.
    “Appropriation Bill 3 seeks approval for appropriations from the Consolidated Revenue Fund of $5.5 billion.”

    Australian Labor Party • Senator • 13 June 2023

    Read the full speech in Hansard ↗
  2. Jenny McAllister McAllister supports the bill and says it is needed to authorise additional spending, keep government programs running, and fund new activities and obligations through the rest of 2022-23.
    “I would like to thank all members who have contributed to the debate on the additional estimates Appropriation Bill (No. 3) 2022-2023, Appropriation Bill (No. 4) 2022-2023 and Appropriation (Parliamentary Departments) Bill (No. 2) 2022-2023. These bills seek authority from the parliament for additional expenditure of money from the Consolidated Revenue Fund for the remainder of 2022-23. Passage of the bills will ensure continuity of the government's programs, provide for commencement of new activities agreed to by the government since the October 2022 budget and ensure the Commonwealth's ability to meet its obligations for the remainder of 2022-23 as they fall due. In introducing the bills, the government has already highlighted some of the more significant items provided for in these bills. The total of the appropriations sought through these three bills is approximately $5.7 billion. Once again, I thank all members for their contributions and commend these bills to the house.”

    Australian Labor Party • Senator • 16 June 2023

    Read the full speech in Hansard ↗

Coalition

5 speakers · 2 support · 3 oppose

  1. Paul Scarr Scarr opposes the appropriationParliament's legal permission for the government to spend a set amount of money for a stated purpose. bill because he says the government’s budget is too big, too taxing and too expansionary, and is helping drive inflation and further interest rate rises that are hurting households.
    “those on this side of the chamber raised questions and concerns about whether or not that budget was fit for purpose for this point in time. I made a contribution in this place and spoke about how it was a big-taxing, big-spending and expansionary budget which, in my view, would contribute to inflation and which heightens the risk of a further interest rate rise.”

    Liberal Party • Senator • 14 June 2023

    Read the full speech in Hansard ↗
  2. Matt O'Sullivan Matt O'Sullivan opposes the bill because he says it does nothing to ease the cost-of-living pressures hitting families.
    “Unfortunately, this appropriations bill and all the other economic measures the government are taking are doing nothing—nothing!—to address cost-of-living challenges. Inflation is driving up the cost of living, and there is nothing that this government is doing—there is not a single measure that this government is taking—that is driving down inflation. Productivity is falling against wages, and this is having a dramatic inflationary impact. Real wages are going backwards as a result of this.”

    Liberal Party • Senator • 14 June 2023

    Read the full speech in Hansard ↗
  3. Paul Fletcher Fletcher says the opposition will support the bill, but argues it sits alongside Labor's wasteful October budget and its higher spending and new taxes on regional Australia.
    “The opposition will be supporting the additional appropriation bills. However, this support should not be misconstrued as support for many of the ineffective or misguided policies of Labor's 2022-23 October budget. Labor's big-spending October budget was the canary in the coalmine for the big spending that would come in the form of Labor's May budget. In two budgets, in only a year in office, this Labor government has undertaken $185 billion of additional spending, while, at the same time, managing to cut infrastructure.”

    Liberal Party • MP • 23 May 2023

    Read the full speech in Hansard ↗

Greens

2 speakers · 1 support · 1 oppose

  1. Nick McKim McKim says the Greens will support the bill, but argues the budget is badly skewed toward fossil fuel subsidies, tax cuts for the rich and handouts to wealthy property owners while leaving renters, young people and people in poverty behind.
    “The Greens will be supporting these bills, the Appropriation Bill (No. 3) 2022-2023, the Appropriation Bill (No. 4) 2022-2023 and the Appropriation (Parliamentary Departments) Bill (No. 2) 2022-2023. This was a budget brought down in the face of massive challenges at a personal level, a local level, a community level, a state and territory level, a national level and a global level. This was a budget brought down while our climate is breaking down around us. This was a budget brought down while biodiversity is crumbling away as we speak. This was a budget brought down when Australia is facing massive wealth inequality, where the rich are getting richer and millions of Australians are being ground into poverty. This was a budget brought down when renters and mortgage holders are getting smashed, with 12 interest rate rises in 13 months—something we have never seen before in Australia's history.”

    Australian Greens • Senator • 14 June 2023

    Read the full speech in Hansard ↗
  2. Dorinda Cox Cox opposes the bill, arguing that Labor has prioritised a surplus and fossil fuel interests over people facing the cost-of-living crisis.
    “We are in a cost-of-living crisis and we are in a climate crisis, and this budget fails to address both of those. Labor have described this budget as being a result of making hard choices. I don't know how many times I heard during budget week, 'We've made the hard choices.' But a choice they made was actually to leave struggling everyday Australians behind. They left the most vulnerable in our communities behind. I know Senator Rice has risen many times in this chamber to talk about JobSeeker, raising its rate and lifting people in this country out of poverty in the current crisis we are in. Still we are not seeing action from the government. We thought we had a change of government last May, but we continue to see the same rhetoric from this government.”

    Australian Greens • Senator • 14 June 2023

    Read the full speech in Hansard ↗

One Nation

1 speaker · 1 unclear

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