In an interview with the Los Angeles Times, he said he thought he had earned the retirement package.

"I've stayed here out of my commitment to try to build a great hospital," he said. "I worked for this institution and gave them my heart and soul."

Alejo wrote a letter dated April 25 to the Joint Legislative Audit Committee requesting the audit.

He wants the committee to investigate executive benefits at the hospital system as well as whether there are any conflicts of interest between the hospital and its elected board members.

The Los Angeles Times first reported the district board approved a series of supplemental retirement payments to Downing totaling $3.9 million.

The hospital, meanwhile, has reduced staff by about 600 people since January 2010 due to declining revenue, according to hospital officials.

The Times reported Monday that the Assembly committee will consider next week whether to launch the probe.

Harry Wardwell, director of the hospital district, said Downing deserved the money for turning what was a small rural hospital into one of the state's top health care systems.

Downing's retirement plan was vetted by an independent firm, Wardwell said.

"Sam was a legacy for Salinas Valley Memorial," Wardwell said. "We were lucky to have had him for that long."

Adrienne Laurent, a spokeswoman for the hospital district, rejected Alejo's criticism, saying he was relying on allegations made by labor unions. Those unions have been critical of Downing and other hospital executives.

"If Assemblymember Alejo had contacted us directly, we would have been happy to clarify the facts for him," Laurent said in a statement. "We know that (the hospital district) has behaved appropriately, legally and ethically."