Having been in this situation in the past, I have my own solution which works quite well.
I start off by telling clients not to make any edit notes on the DVD version, for the very reason you're now facing. Instead, I get the DVD, create a Window Dub and have the client make edit notes using that. This way the client sees the exact same timecode I see.
You might enjoy telling your client his previous edit notes won't work, but it'll sure make your life easier if you do and have the client make new ones watching the Window Dub.
Thanks Jim, I now know how to do it next time. But as this a good friend I will have to muddle my way through this maze this time. But at least I now know the answer to another thing that had me wondering. Since this is a new forum I was wondering how you would find out when a question is answered and now I see the mechanism.
After your file is captured and in the Project window, go to File > Timecode. From there, you'll be able to change the timecode of the clip to whatever you want. Simple as that...
I'm on CS3, but I don't think it matters for this purpose.
I was going to respond to the "VOB to Premiere" part, and missed the importance of Colin's response at first. So, Bill, even though you get it, I'll add this. Having placed the first VOB clip on the timeline (see below - it won't be a vob clip), find the first time code the client has indicated (go back to the DVD to recognize it). Now use Colin's File->Timecode, and set the timecode to the CTI to the DVD time.
If there are multiple tracks, etc., you may have to reset.
I try to avoid editing mpeg files in Premiere. If the output is to DVD, I use VideoRedo and make my cuts there and output mpg (or elementary files) to put on DVD.
But you can use that or other tools to demux and convert as needed. CS4 is supposed to be more robust with AC3, but there are mixed results, so I suspect I would still convert the sound to a wav file. Also, by using a tool and converting the vobs, you may find the timecodes work.