What We Do

The Medicaid/CHIP Vendor Drug Program:

  • Enrolls pharmacy providers that want to provide Medicaid and CHIP services;
  • Manages the State of Texas Medicaid and CHIP formularies;
  • Processes out-patient pharmacy prescription claims for Medicaid fee-for-service, the Texas Women's Health Program, the DSHS Children with Special Health Care Needs (CSHCN) Services Program, and the DSHS Kidney Health Care (KHC) program.

Continuing Education

Watch these multi-part guides to learn about dispensing Texas Medicaid prescriptions, DME, and pharmacy prior authorization:

training videos for pharmacists

Training videos for pharmacy staff 

Chapters include Obtaining a Prior Authorization, Dispensing a 72-hour emergency supply, Confirming eligibility, and Durable medical equipment.

training videos for physicians

Training videos for physicians

Chapters include Preferred Drug List, E-Prescribing (E-Rx), and 72-hour Emergency Prescription Claims.

News Highlights

Long-Acting Reversible Contraception Products Available August 1

July 25, 2014

Beginning August 1, 2014, long-acting reversible contraception (LARC) products will be available as a pharmacy benefit of Texas Medicaid and Texas Women's Health Program.  More about LARC products.

Adjudication Changes for Dual Eligible Clients

July 18, 2014

VDP will update the fee-for-service (FFS) Medicaid pharmacy claim processing system for clients eligible for Medicare Part D.  More about the July 2014 changes for dual eligible clients.

Clinician-Administered Drugs Resources

July 1, 2014

Medicaid and the Children with Special Health Care Needs (CSHCN) Services Program may reimburse providers only for clinician-administered drugs and biologicals whose manufacturers participate in the CMS Drug Rebate Program and that show as active on the CMS list for the date of service the drug is administered.  More about Clinician-Administered Drugs resources.