Local's drugs haul found in street, dropped by smoker (5)
I believe the answer is:
stash
'local's drugs haul found' is the definition.
I can't tell whether this definition defines the answer.
'street dropped by smoker' is the wordplay.
'street' becomes 'st' (abbreviation).
'dropped by smoker' becomes 'ash' (I can't justify this - if you can you should believe this answer much more).
'st'+'ash'='STASH'
'in' acts as a link.
Can you help me to learn more?
(Other definitions for stash that I've seen before include "(Hidden store of) drugs" , "Hide (something) away" , "drug store" , "Secret(ly) store" , "Squirrel away" .)