The Government has been granted "unprecedented" freedom by the Labor Party to address the challenge posed by coronavirus.
Access to a new $40 billion funding pool was agreed in Parliament on Monday night, in addition to $84 billion in stimulus measures, as part of a range of radical moves designed to avoid having MPs back in Canberra during the health crisis.
Labor leader Anthony Albanese said it was about "putting aside partisan differences to make things better for the people who send us to Parliament".
He said the Government initially came to him seeking $20 billion, but he wanted the pool increased to $40 billion.
Treasurer Josh Frydenberg said the Government had access to the money "to spend as required".
Additional stimulus measures and extra spending on health equipment are anticipated over the coming months.
No further legislation required
Large expenditure typically requires legislation that needs to pass both houses of Parliament, which opposition and crossbench MPs debate, amend or reject along the way.
However, traditions have been cast aside in the shadow of coronavirus.
The Government is typically given around $1 billion to meet unforeseen need under an "advance" to the Finance Minister. That has been increased to $40 billion.
Labor's finance spokesperson, senator Katy Gallagher, said provision of this amount of money was "unprecedented" but they had negotiated some safeguards around its spending.
"We have negotiated important safeguards to this legislation that will ensure that the Government is open and transparent about how it spends taxpayers' money," she said.
These safeguards include the Government reporting any spending each week and agreement from the Labor Party for any spending over $1 billion. However, these are not written into the passed legislation.
Parliament on break for months, but can be recalled
After finishing business this week, Parliament will have a break of almost five months under an amended sitting schedule.
Parliament in its entirety can still be returned early if needed, but there are more new measures in place to hold emergency sessions with reduced numbers of MP.
Social Services Minister Anne Ruston has been given the power to vary some parts of welfare legislation by regulation until the end of this year, meaning changes do not need to pass Parliament.
She has pledged to review support arrangements for people stuck in Australia on visas that do not provide access to welfare.
