Multiple allegations of inappropriate sexual contact between staff and teens at Nebraska’s state-run Youth Rehabilitation and Treatment Center (YRTC) in Kearney have prompted investigations, resignations, and judicial scrutiny. At least two staff members have resigned, one is on leave, and another faces a criminal charge following reports of misconduct involving teenagers in state custody, Sara Gentzler of the Nebraska Examiner reported yesterday.
The Nebraska Department of Health and Human Services (DHHS), which oversees the facility, confirmed it has a “zero-tolerance policy” for sexual abuse and harassment. Still, recent court filings suggest that YRTC leadership failed to promptly disclose misconduct to law enforcement, probation officers, and attorneys representing youth.
Douglas County Public Defender Tom Riley said his office is now reviewing the cases of roughly 20 juveniles housed at Kearney to determine whether alternative placements are needed. “Given the very disturbing information that’s come out over the last week and a half or so, it appears that there could be a systemic problem at Kearney,” Riley said.
Court Records Reveal Months of Delayed Reporting
Douglas County Juvenile Court Judge Amy Schuchman learned in September that a 17-year-old housed at YRTC had been “in a relationship” with a 23-year-old staff member. Weeks later, she was informed of another case in which an 18-year-old alleged sexual assault by a different employee.
Records show that YRTC officials had substantiated both incidents months earlier but did not inform probation officers or the court until much later. In one case, investigators recovered a cellphone containing nude photos and videos of youth at the facility and explicit content from a female staff member. Text messages suggested the employee had inappropriate communications with at least one teen, calling him her “future hubby.”
Judge Schuchman condemned the lack of transparency, writing that she was “disgusted and disturbed” by the state’s failure to disclose the allegations and ordered both teens relocated to other facilities. She also mandated that any youth appearing before her be brought to court in person with sufficient time to speak privately with their attorneys.
Department Testimony Reveals Policy Gaps
During an October hearing, DHHS compliance administrator Shaylee Fortner acknowledged her team did not immediately notify outside agencies about one of the incidents. An internal review concluded that the staff member had allowed inappropriate contact to continue before reporting it. Fortner also testified that while video footage showed the teen touching the employee inappropriately, she did not recognize that such behavior met the legal definition of sexual contact under Nebraska law.
Judge Schuchman reminded her that state statute defines sexual contact to include a victim touching an employee’s intimate parts through clothing.
More Allegations Surface
Additional cases have since emerged. DHHS officials confirmed that another staffer is on paid suspension following new allegations involving the same 17-year-old. Former YRTC employee Martha Ruiz Palacios, 28, has also been charged with second-degree sexual abuse of a protected individual after allegedly engaging in sexual contact with a 16-year-old between July 31 and August 2.
Riley and other defense attorneys argue that YRTC’s handling of the cases reflects deeper institutional failings. “It seems the center doesn’t practice what it preaches,” said one defense attorney, criticizing the agency for disciplining teens while allowing accused staff to resign quietly.
A System Under Scrutiny
Kearney is one of three YRTCs in Nebraska serving youth offenders aged 14 to 18. Under state law, any sexual contact between a staff member and a person in DHHS custody is a felony, and consent is not a defense.
The allegations have drawn attention to training, reporting, and oversight practices at the state’s youth facilities. Schuchman’s orders and the ongoing investigations could lead to broader reforms and heightened scrutiny of how Nebraska protects minors in state care.
If you or someone you know experienced sexual abuse while in youth detention or state custody, you are not alone. Survivors still have legal rights, even if the abuse happened years ago.
Visit our Institutional Sexual Abuse Resource Page to learn more about your options.