I think you're over-reacting in the absence of information. We don't know how the DARE officer spoke to the kids, and it could be that it WAS inappropriate. Add to that the fact that she arm-locked a kid who went to give her a hug...sounds like someone needs a vacation.
Disclaimer: I am inherently biased against DARE as a huge waste of money. It's been proven largely ineffective, anecdotal stories such as yours notwithstanding.
<a href="http://www.drugpolicy.org/news/01_16_03gao.cfm">
http://www.drugpolicy.org/news/01_16_03gao.cfm</a>