Assemblyman Luis Alejo (D-Salinas) has requested a special audit of Salinas Valley Memorial Healthcare System, following a disclosure that revealed former CEO Sam Downing received a $3.9 million retirement package, according to a Californian report.
Assemblyman Alejo suggested the health system's board of directors acted unethically in granting Mr. Downing such a high level of compensation. He said that in his opinion, the board "prioritized executive benefits over patient care."
SVMHS spokeswoman Adrienne Laurent defended the health system in a three-page response that refuted the assemblyman's allegations of wrongdoing. She said the health system has suffered from recent misstatements and allegations from the National Union of Health Workers and that SVMHS has behaved "appropriately, legally and ethically."
Assemblyman Alejo asked the California State Auditor to investigate several issues, including whether the business relationship between the health system and Rabobank represents a conflict of interest; whether SVMHS has followed the correct protocol in establishing the relationship with Rabobank; whether patient care has suffered from financial mismanagement; and whether SVMHS' donations to organizations with ties to board members are appropriate.
Read the Californian report on SVMHS.
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Assemblyman Alejo suggested the health system's board of directors acted unethically in granting Mr. Downing such a high level of compensation. He said that in his opinion, the board "prioritized executive benefits over patient care."
SVMHS spokeswoman Adrienne Laurent defended the health system in a three-page response that refuted the assemblyman's allegations of wrongdoing. She said the health system has suffered from recent misstatements and allegations from the National Union of Health Workers and that SVMHS has behaved "appropriately, legally and ethically."
Assemblyman Alejo asked the California State Auditor to investigate several issues, including whether the business relationship between the health system and Rabobank represents a conflict of interest; whether SVMHS has followed the correct protocol in establishing the relationship with Rabobank; whether patient care has suffered from financial mismanagement; and whether SVMHS' donations to organizations with ties to board members are appropriate.
Read the Californian report on SVMHS.
Related Articles on Compensation:
Study Identifies Compensation, Time With Patients as Major Drivers of Surgeon Satisfaction
Salinas Valley Memorial Healthcare Officials Defend CEO's $4M Retirement Package
Hospital CEO's Supplementary Retirement Pay Under Fire in California