Orthopedic industry reports today say Senate Republicans may be making progress with President Barack Obama in modifying the 2.3 percent medical device tax.

The tax, which is expected to raise nearly $30 billion over the next 10 years to support Obama’s healthcare reform, has caused great concern for Indiana, and especially Warsaw where three of the world’s largest orthopedic device companies are located. Kosciusko County is also home to more than a dozen other orthopedic device companies. The industry, according to OrthoWorx, employs roughly 43 percent of Kosciusko County’s total workforce.

While it is still not good news, Republicans today say the president is “willing to consider” a modification to the tax. “He sees progress, but we’re a long way from agreement,” Senator John McCain told Bloomberg.com. “I don’t know if you would call it negotiations so much as more serious discussions.”

MassDevice.com reported President Obama ceded that the medical device excise tax on U.S. sales, is “not part of the core program” of the Affordable Care Act. Republicans say the president will consider changes to the medical device tax after federal budget negotiations have been resolved.