ALBANY - A state worker responsible for disabled children at a group home handled thousands of personal phone calls while on duty - some in connection with an escort service, according to the state Inspector General's office.

A report issued Monday said 22-year-old Jennifer Schultz, who worked for the state Office of Mental Retardation and Developmental Disabilities for three years, was also docked three days vacation pay and ordered to retrain in sexual harassment after she photographed a co-worker's genitals and sent the image to her boyfriend.

In an interview with investigators, Schultz admitted making the calls on her cell phone, but said residents in her care were never neglected. She denied participation in any outside business.

The agency prohibits any phone calls while on duty, but Schultz made more than 14,000 calls over the course of a year, according to the report.

The calls were frequent, of short duration, and made to a number of Buffalo-area motels and individuals. Her cell phone number was posted in newspaper advertisements touting “Transsexuals available around the clock,” and “Hiring reliable girls.”

The Buffalo group home where Schultz worked housed about eight mentally retarded or developmentally disabled children between the ages of 8 and 16 years. Each home is staffed 24 hours a day by “developmental aides” and “team leaders” who supervise and care for the children.

Under her union contract, Schultz can be disciplined for only 1,148 phone calls that she made or received between mid-October and Dec. 14, 2006. The calls took up 52 hours of work time. More than 300 calls were made to numbers listed in the escort advertisements.

Schultz was placed on paid administrative leave in December 2006 after officials began investigating her personal phone calls.

In January 2007, officials learned of her involvement in the photo incident. She continued to receive pay until October 2007 when OMRDD officials placed her on disciplinary leave without pay. An agency hearing will be held Thursday to determine her future with OMRDD.

The co-worker, who was not identified, was fired in April 2007.

A phone number for Schultz could not be located Monday.

“It's unfortunate that we had somebody employed like this,” OMRDD spokeswoman Kara Smith said. “It's fortunate that when these charges came to the fore, I think that OMRDD handled the situation properly.”

Smith said families of the disabled children in Schultz' care were notified about the disciplinary action.

The Inspector General referred the case to the Erie County District Attorney for possible criminal prosecution. Officials in the district attorney's office did not immediately return calls for comment.