Do a analog capture of the DVD from a DVD Player as long as there isn't Macrovision on it. Otherwise you have to go through many diffrent steps and it can get kind of time consuming.
First Rip the DVD to your hard drive using DVD Decrypter (30-45min)
Then you will have to re-render the VOB file to a AVI file you'll lose some quality here, should take between 2-6 hours depending on how long the video is. I can't remember the name of the programs to do this, it might be TMPGEnc.
Then youn need to get the AC-3 Audio off the DVD and convert it using DVDtoAVI, another 10-30 Minutes.
Then import it into vegas, edit it, render it out to another format and lose some more quality.
No, you can't capture it from a DVD-ROM drive, you either need to do a analog capture from a DVD Player, or the lengthy time consuming way I just described.
You SHOULD be able to take the VOB file from the DVD, copy it to your HD, rename it .mpg and drop that straight in Vegas. That'll only work if there's no CSS and only PCM audio,
Just my 2.5 cents....I had to do the same thing for a client that you described. If you follow Jsnkc's advice, it's pretty painless. I just hooked me DVD player up to my Canopus ADVC100 and brought the video in to Vegas using the capture utility. However, like Jsnkc said, if the DVD is encoded with Macrovision, this will be a problem. But you mentioned that the DVD you need to use is non-commercial, so I doubt it will be a problem for you. Good Luck
Before you recapture, do as farss recommends. Copy the DVD to your hard drive and rename the VOB files as .mpg. If you get video and no audio, use VirtualDub to convert the audio stream from AC3 to PCM or WAV. Then remux the video and audio. You should then have a MPG file you can edit in Vegas.
This has been covered many times. Search for "VOB" and you'll get lots more details than I'll provide here.
I'm assuming this is not copy protected video. If it is, the following won't work.
1. Copy the VOB files to your hard disk.
2. Put the VOB file(s) on the Vegas timline. You'll get video, but no audio.
3. Use DVD2AVI to convert the AC3 audio to a WAV file. To do this, open the VOB file(s). Then, click on the Audio -> Output Method -> Decode to WAV option. Finally save the project (File -> Save Project). This will give you your audio in a WAV file.
4. Put the resulting WAV on the timeline directly below the video. The two should end up being exactly the same length.
This shouldn't take more than a few minutes, depending on the size of your VOB files.
That's all there is to it. It is much quicker than playing the video and capturing it via an analog capture setup, and you don't lose quality (other than what was lost encoding to MPEG2 in the first place).
One last thing: If you are going to do LOTS of editing on the VOB file, you will notice that Vegas isn't very responsive (takes a long time to display the video when you click on a certain portion of the timeline). To get around this, you can render the timeline to a DV AVI file, and then do your editing on this. It takes some extra time, but if you do lots of edits, you'll be time ahead by the end of the project.