60-H6901-26-CP252_061826 Cerner Corp SS.pdf.PDF

UNM Proposed Sole Source Form – Rev 04/07/2021

Proposed Sole Source Purchase Form Pursuant to New Mexico Procurement law, the UNM Purchasing Department will post your completed form on the UNM Sunshine

Portal and the State of New Mexico Procurement website for 30 days prior to purchase of the goods/services.

I. GENERAL INFORMATION. PLEASE PROVIDE THE FOLLOWING:

Date of Request: June 18, 2026 Requisition Number (If Applicable): n/a Request Submitted by: Tristan D. Fin Title: Executive Director Clinical Informatics Department: Clinical IT Systems Email: tfin@salud.unm.edu Phone 505-272-2603 Proposed Vendor: Cerner Corporation Amount: $478,800 (first year) Vendor Address: 2800 Rockcreek Pkwy

Kansa City, MO 64117

Term of

Purchase:

Initial Term of One (1) year term, with the option to renew subject to NMSA 1978, Section 13-1-150

Buyer Team - See Commodity list at http://purchase.unm.edu/department-information/comm-code-listing.pdf Provide a basic description of goods/services to be provided:

The University of New Mexico Hospital (“UNMH”) is looking to procure the Oracle Health AI Agent Cloud Service, Enterprise Suite - 10,000 AI Units, from Cerner Corporation (“Cerner”).

The Oracle Health AI Agent Cloud Service is a cloud-based artificial intelligence platform designed to operate within the Oracle Health ecosystem and support healthcare workflows through AI-enabled automation, data analysis, clinical workflow assistance, and enterprise-level integration capabilities. The solution is designed to leverage data and workflows contained within the Oracle Health environment to improve operational efficiency, streamline user interactions, and support healthcare personnel in performing administrative and clinical functions.

The procurement includes a one-year cloud services subscription hosted within Oracle's North American data center environment and includes access to Oracle Health AI Agent capabilities, software maintenance, platform support, cloud hosting, upgrades, updates, security management, and ongoing service availability.

Due to UNMH’s anticipated market changes, this Sole Source may support multiple purchase orders and multiple contracts/contract addenda for implementation of additional functionality, additional license(s) and support fees, and to extend the Term of an Agreement pursuant to NMSA 1978, Section 13-1-150 (“Multi-Term Contract”).

Why is this purchase needed?

UNMH utilizes Oracle Health (formerly Cerner Millennium) as its enterprise electronic health record platform across its inpatient, ambulatory, and ancillary care environments. As Oracle continues to expand AI-enabled functionality within its healthcare ecosystem, UNMH requires access to Oracle Health AI Agent services to support operational efficiency, workflow automation, user productivity, and future Oracle Health initiatives.

The Oracle Health AI Agent Cloud Service is specifically designed to operate within the Oracle Health environment and leverage Oracle-controlled healthcare data structures, workflows, user roles, security architecture, and platform functionality. Because the service is integrated into Oracle Health's existing ecosystem, it allows UNMH to take advantage of AI capabilities without requiring separate third-party integrations, external data repositories, or duplicative workflow platforms.

The requested service supports UNMH's strategic objective of leveraging technology to improve efficiency, reduce administrative burden, and maximize the value of its existing Oracle Health investment.

mailto:tfin@salud.unm.edu http://purchase.unm.edu/department-information/comm-code-listing.pdf

Absent this procurement, UNMH would be unable to utilize Oracle Health's native AI capabilities and would need to pursue alternative solutions requiring significant integration effort, additional cybersecurity reviews, implementation costs, and workflow redesign.

II. BASIS FOR SOLE SOURCE PROCUREMENT. CHOOSE APPLICABLE BOX(ES) AND

PROVIDE ADDITIONAL INFORMATION, AS REQUESTED:

☒ Proprietary item, technology or service only available from the proposed vendor. (Check box and describe proprietary component)

The Oracle Health AI Agent Cloud Service is a proprietary Oracle Health cloud service owned, developed, hosted, and maintained exclusively by Oracle America, Inc.

Oracle Health maintains exclusive ownership of the software architecture, AI functionality, source code, cloud infrastructure, security controls, data models, integration framework, and service delivery mechanisms associated with the Oracle Health AI Agent platform.

No third-party vendor has access to Oracle Health's proprietary source code, cloud architecture, AI service framework, or Oracle Health-specific integration components necessary to provide or support the Oracle Health

AI Agent Cloud Service.

Because the requested cloud service is proprietary intellectual property owned exclusively by Oracle America, Inc., the software, cloud hosting, maintenance, support, updates, and service functionality can only be provided by Oracle.

☒ Compatibility requirement with existing item, technology or service. (Check box and describe compatibility requirement)

UNMH operates Oracle Health as its enterprise electronic health record platform and relies on Oracle-managed clinical, operational, and administrative workflows throughout the organization.

The Oracle Health AI Agent Cloud Service is specifically designed to function within the Oracle Health ecosystem and utilize Oracle-controlled data structures, workflow engines, security controls, user permissions, and application architecture.

Compatibility with the existing Oracle Health environment is mandatory because the AI Agent service is intended to leverage and interact with data and workflows already contained within the Oracle Health platform.

Implementation of an alternative AI solution would require extensive interface development, data mapping, cybersecurity review, workflow redesign, additional governance controls, and ongoing maintenance to replicate functionality already available through Oracle's native AI platform.

Because Oracle Health AI Agent services are designed specifically for Oracle Health environments, compatibility requirements limit this procurement to Oracle America, Inc.

☐ Renewal of support/maintenance/subscription of software, technology or other intellectual property. (Check box and describe)

Not applicable. This procurement represents a new cloud services subscription.

☒ Other Basis for Sole Source: Please describe below:

The Oracle Health AI Agent Cloud Service is a strategic enhancement to UNMH's existing Oracle Health environment and is dependent upon Oracle's proprietary cloud infrastructure, AI models, workflow architecture, and healthcare data framework.

The service is designed and supported exclusively by Oracle and cannot be replicated, modified, hosted, or supported by another vendor. Oracle retains exclusive authority over system configuration, platform enhancements, service delivery, cloud infrastructure, and integration with the Oracle Health ecosystem.

Because the requested service operates within Oracle's proprietary healthcare technology environment, no other vendor can provide equivalent functionality while maintaining seamless integration with the existing Oracle

Health platform.

III. SUPPLEMENTAL DETAILS. PLEASE PROVIDE ADDITIONAL INFORMATION AS

REQUESTED BELOW:

Describe in detail the unique capabilities of the proposed vendor’s goods/service and/or personnel performing the work and why this constitutes the only source. Focus on what is unique about the goods/service and why no other vendor could meet your needs.

Oracle America, Inc. is the developer, owner, and sole provider of Oracle Health AI Agent Cloud Services.

The platform is designed specifically to operate within Oracle Health environments and leverage Oracle's proprietary healthcare technology architecture.

The Oracle Health AI Agent platform utilizes Oracle-owned cloud infrastructure, security controls, workflow engines, healthcare data structures, AI technologies, and integration frameworks. Only Oracle has access to the source code, configuration tools, cloud services architecture, and platform administration capabilities necessary to deploy, maintain, and support the service.

The service's unique value is derived from its ability to operate natively within the Oracle Health ecosystem without requiring external integrations, duplicate data repositories, or third-party workflow engines. This native integration allows UNMH to leverage AI functionality while maintaining existing governance, security, and operational controls within its Oracle Health environment.

No third-party vendor has the authority, technical access, or intellectual property rights necessary to provide the Oracle Health AI Agent Cloud Service or maintain its functionality.

Accordingly, Oracle America, Inc. is the only source capable of providing the requested cloud services.

Describe the due diligence made to locate other possible sources including communications with other universities, communications with similar providers, web searches, yellow page searches, review of advertisements and trade publications, etc.

UNMH reviewed available procurement options and evaluated whether alternative AI solutions could satisfy the operational and technical requirements associated with the Oracle Health AI Agent Cloud Service.

While other AI technologies exist in the marketplace, UNMH determined that no alternative vendor can provide a solution that operates natively within the Oracle Health ecosystem or leverages Oracle's proprietary healthcare platform architecture.

Alternative solutions would require extensive integration efforts, custom interfaces, additional cybersecurity reviews, data governance controls, workflow redesign, and ongoing maintenance activities that are unnecessary when utilizing Oracle's native AI platform.

Because Oracle owns and controls the underlying technology environment required for the service, competitive procurement is not feasible.

List the other vendors who were contacted. Please describe the specs/qualifications/criteria that the other vendors were unable to satisfy.

UNMH evaluated the feasibility of utilizing third-party AI vendors; however, no vendor could provide native integration into Oracle Health's proprietary environment or access Oracle's cloud architecture, workflow engines, security framework, and healthcare data structures.

Third-party vendors cannot configure, modify, support, or host Oracle Health AI Agent services and do not possess the intellectual property rights required to provide the requested functionality.

Because the requested service is proprietary to Oracle Health and dependent upon Oracle-controlled technology and infrastructure, no other vendor can satisfy the technical, operational, security, and compatibility requirements associated with this procurement.

Approved: _________________________________________________ Date: _________________________ Jeffrey Gilmore (Jun 18, 2026 12:44:15 MDT) 06/18/2026 https://secure.na2.echosign.com/verifier?tx=CBJCHBCAABAA-14-NcUWMOl4REzPKU0NmXBns4nKTCDQ

2026.06.17_Cerner_AI Agent Enterpriset_Sole Source Justification_draft Final Audit Report 2026-06-18

Created: 2026-06-18

By: Jennifer Sanchez (jedsanchez@salud.unm.edu)

Status: Signed

Transaction ID: CBJCHBCAABAA-14-NcUWMOl4REzPKU0NmXBns4nKTCDQ

"2026.06.17_Cerner_AI Agent Enterpriset_Sole Source Justificat ion_draft" History

Document created by Jennifer Sanchez (jedsanchez@salud.unm.edu) 2026-06-18 - 6:33:04 PM GMT- IP address: 206.192.168.19

Document emailed to Jeffrey Gilmore (jcgilmore@salud.unm.edu) for signature

2026-06-18 - 6:33:54 PM GMT

Email viewed by Jeffrey Gilmore (jcgilmore@salud.unm.edu) 2026-06-18 - 6:44:04 PM GMT- IP address: 104.47.58.254

Document e-signed by Jeffrey Gilmore (jcgilmore@salud.unm.edu) Signature Date: 2026-06-18 - 6:44:15 PM GMT - Time Source: server- IP address: 206.192.168.13 - Signature Appearance Selected: DRAW

Agreement completed.

2026-06-18 - 6:44:15 PM GMT