It initially appeared as if the result would be a hung parliament with Cunningham holding the balance of power, although later counting delivered a one-seat majority to the Goss Labor government.
The situation nevertheless gave her significant influence, as she forced the retention of incumbent Speaker Jim Fouras for the new parliament over the party's desired replacement.
Cunningham's influence in the Assembly increased dramatically in December 1995 when the Court of Disputed Returns ordered a by-election in the seat of Mundingburra, which the Labor government had held by 16 votes in the general election.
After a disastrous by-election campaign which included the disendorsement of incumbent MLA Ken Davies, Liberal candidate Frank Tanti won, costing the government its majority and leaving Cunningham in a position to effectively choose the next Premier of Queensland.
Cunningham announced that she would support the Coalition on matters of confidence and supply in the Legislative Assembly, citing their having won the popular vote in the general election.
In 1996, she was the only member of the parliament to oppose new gun control reforms in the aftermath of the Port Arthur massacre, which otherwise received bipartisan support.
The following year, Cunningham was responsible for an amendment which successfully defined the term "life" in the state's criminal code (assault provisions) as "beginning at conception".
Her third term was also marked by an attempt to ban flag-burning, which failed after the government blocked her private member's bill on the grounds that it violated free speech.
Cunningham was nominated for Speaker after the election, with the support of the opposition National–Liberal coalition, One Nation, and the state's six independents, but was soundly defeated by government nominee Ray Hollis.