$220M DEAL TO FIGHT DRUGS

DRUG education programs for schoolchildren and parents are among
initiatives which will share $220 million extra funding in Tuesday's
Federal Budget.

But higher education will suffer again, with a special scholarship program
aimed at encouraging poor students into university set to be axed.

In an escalation of the Howard Government's three-pronged drug strategy,
The Advertiser has learnt that law enforcement, education, and treatment
programs for addicts will each receive significantly more money.

The extra funds for the "Tough on Drugs" strategy will take to $510 million
the amount being spent nationally to combat illicit drug use.

The new funding will be divided between the three priority areas of law
enforcement, drug education and treatment and rehabilitation.

It will include a special $20 million package for education programs aimed
at increasing drug awareness among students, parents and the wider
community. And about $50 million will be set aside to boost law enforcement
and rehabilitation and treatment programs.

The Prime Minister, Mr Howard, has already committed the Government to one
new program under the $220 million increase for the "Tough on Drugs" strategy.

At last month's premiers' conference in Canberra, he announced a special
"diversionary program" which places addicts convicted of minor drug
offences into treatment instead of jail.

The Government's fourth Budget is expected to deliver an underlying surplus
of about $4 billion and at least $1 billion in new spending measures
announced in last year's election.

These include:

HEALTH, with $300 million to be spent on improved rural services, medical
research and asthma treatment.

EARLY education, with $110 million for literacy and numeracy and $75
million for improved teacher skills.

PRIVATE schools, with an extra $150 million to offset the impact of funding
changes on Catholic and small religious schools.

AGED care, including an extra $80 million for home care for people with
dementia.

REGIONAL employment, with $91 million set aside for apprenticeships and
small business assistance outside the major cities.

But the Government faces a fresh battle with students and academics, with a
$40 million scheme aimed at boosting university participation by poor
people to be scrapped.

The Education Minister, Dr Kemp, has argued that the Higher Education Merit
Scholarship Scheme should be abolished because it has not proved effective.

Some senior Government figures have resisted the change, saying the cost of
the scholarship program is worth less than the political fallout its axing
would generate.

They fear that, if it is included in the Budget, the Government's opponents
will contrast the increased private school funding with the cut in
scholarship assistance for disadvantaged students.

The scheme was introduced by the Howard Government in its first budget, in
1996, to offset the impact of its higher education cuts.

"The Government believes that if a person achieves the required entry
standard for higher education, a disadvantaged background should not hinder
their access," the 1996 budget papers stated.

The scheme created 3000 scholarship places this year, 223 of them in this
State with 55 students entering Flinders University, 59 at the University
of Adelaide and 109 at the University of SA.

The Opposition education spokesman, Mr Michael Lee, said the Government
stood condemned for moving to scrap the scheme.