M-8. Required Vendor Checks

HHSC requires all drug manufacturers to update with the Texas Secretary of State before submitting a supplemental rebate agreement (SRA) contract requesting placement on the preferred drug list (PDL) or submitting a value-based agreement (VBA), Manufacturer representatives must review the status of their company within 5 (five) business days before submitting offers to ensure your company complies with state policy.

Vendor Checks

The Texas Business Organizations Code requires all manufacturers to register with the Texas Secretary of State to execute a Supplemental Rebate Agreement or Value-Based Agreement with HHSC. Refer to the Texas Secretary of State Foreign or Out-of-State Entities page (sos.state.tx.us/corp/foreign_outofstate.shtml) to register.Refer to the Texas Secretary of State OnLine Access (SOSDirect) (sos.state.tx.us/corp/sosda/) to verify your registration.

You must also verify the accounts outlined below for your manufacturer on twebsite outlined below . HHSC will not execute a contract without your completion of these items.

Texas Secretary of State (SOS)

Ensure the manufacturer is registered on the TX SOS website at https://direct.sos.state.tx.us/acct/acct-login.asp. If an account does not exist, please create an SOSDirect Account and use it to register the manufacturer with the TX SOS. This can take from a few weeks to a month for processing, and should begin as soon as possible to ensure there are no delays in the state’s processing of the SRA. Any questions can be directed to corpinfo@sos.texas.gov or by phone at 512-463-5555.

Franchise Tax (Taxable Entity Search)

All manufacturers must confirm an ACTIVE status listed on the Taxable Entity Search. HHSC will not sign contracts if there is not an ACTIVE status. To ensure the status of your company, follow this link: https://mycpa.cpa.state.tx.us/coa/, and search by either the TX ID number or the Entity Name of your company.

  • If an accurate record for your entity is returned, select the details button and confirm the “Right to Transact Business in Texas” field is showing a status of ACTIVE. If so, please also confirm that the “Effective SOS Registration Date” contains a valid date and the “Texas SOS File Number” section lists the SOS number. If all of these are updated, this process is verified and complete. When returning the signed SRAs, please include that this has been checked and confirmed.
  • If an accurate record for your entity is returned but does NOT show ACTIVE in the “Right to Transact Business in Texas” field, or is missing the “Effective SOS Registration Date” or “Texas SOS File Number”, contact the Texas Comptroller’s office at tax.help@cpa.texas.gov, or by phone at 1-800-252-1386, to resolve any outstanding discrepancies. Please resolve the issue as quickly as possible and notify Change HealthCare (TX_RXOffers@optum.com) when the status has returned to a status of ACTIVE. Correcting a record on the Comptroller site can take a significant amount of time for processing, and manufacturers should begin action immediately to ensure that there are no delays in signing the contract.
  • If no record for your entity is returned, or the “Effective SOS Registration Date” and “Texas SOS File Number” sections are not correct, your company may not be registered with the TX Secretary of State. Contact the TX Secretary of State using the email or phone number mentioned above. Please notify Change HealthCare (TX_RXOffers@optum.com) when the account and status has been created. 

System for Award Management (SAM)

Verify the manufacturer is registered on the federal SAM website (https://www.sam.gov/SAM/pages/public/index.jsf) by using the Search Records function listed. We are aware that many manufacturers do not have their account publicly searchable. If this is the case, please take a screenshot of the account status reflecting the Active listing and include it when you return the SRA and additional documents. If there is not currently a SAM account for your company, please first Create a User Account and then select to Register Entity. Once your portion is complete it can take up to 10 days or more to register the account, please complete it as soon as possible.

Additionally, if you identify your pharmaceutical company has any outstanding issues with the following entities listed below, notify us and address these issues in their entirety immediately.