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Office of Procurement, Acquisition and Logistics (OPAL)


Prime Vendor Division - Pharmaceutical Prime Vendor (PPV) Program

PharmaceuticalsIn 1991, the Veterans Health Administration (VHA) transitioned from its historic depot and medical center warehouse system for the acquisition and storage of pharmaceuticals to a prime vendor model. In July 1993, the prime vendor model became the standard for the VA as the Secretary closed existing Depots. The National Contract Service’s Pharmaceutical Prime Vendor utilizes just-in-time acquisition/inventory processes, a proprietary web-ordering system, and provides a myriad of contract reports.

Program Specs

The Pharmaceutical Prime Vendor is an innovative contract method used to provide drugs and other pharmaceuticals to our nations and Veterans and other federal Government agencies. The PPV:

  • …is a concept of support whereby a primary commercial distributor serves as the provider of a broad range of drugs and pharmaceuticals to the VA and other Government agencies.
  • …is mandatory use by all VA ordering activities.
  • …is the largest contract within the National Acquisition Center (averaging $74 billion in annual sales).
  • …services over 750 customers in the United States, the Philippines, Puerto Rico, Saipan, & the Virgin Islands.
PPV Pricing

Pricing for the majority of the products distributed through the PPV are established and managed by the 65 I B Schedule program under the Federal Supply Schedule Service.  This pricing is subject to the stipulations outlined in Section 603, P.L. 102-585.

Eligibility of Use

In addition to VA, other Federal Government customers eligible to use VA’s prime vendor contracts are U.S. Public Health Service (Indian Health Service), Bureau of Prisons and the Immigration and Naturalization Service, Health and Human Services and Howard University. Authorized State Veterans Homes that have sharing agreements with VA facilities also are eligible to use the contract.

Pharmaceutical Prime Vendor Program Points of Contact
Useful Resources

Prime Vendor

McKesson Corporation
6555 North State Highway 61
Irving, TX 75039-2402

Contract:  36W79720D0001
Performance Period:
08/10/2020 — 08/09/2022
Coverage:  All Regions

Participating Facilities

US Map Showing VA Veterans Integrated Service Networks

  • Alaska
  • Appalachians Region (VISNs 6 & 7)
  • Bluegrass Region (VISNs 9 & 10)
  • CMOPs & HHS Perry Point
  • Everglades Region (VISN 8)
  • Great Lakes Region (VISNs 11 & 12)
  • Hawaii
  • Heartland Region (VISNs 15 & 16)
  • North Region (VISNs 1-3)
  • Northeast Region (VISNs 4 & 5)
  • Northwest Region (VISNs 19 & 20)
  • Puerto Rico
  • Southwest Region (VISNs 17 & 18)
  • Upper Midwest Region (VISNs 13 & 14)
  • West Coast Region (VISNs 21 & 22)
  • VA Medical Center Directory

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