Leases

9 Months Ended

Sep. 30, 2019

The Company has operating and finance leases for corporate offices, doctors’ offices, and certain equipment. These leases have remaining lease terms of 1 month to 5 years, some of which may include options to extend the leases for up to 10 years, and some of which may include options to terminate the leases within one year. As of September 30, 2019 and December 31, 2018, assets recorded under finance leases were $0.5 million and $0.6 million, respectively, and accumulated depreciation associated with finance leases was $0.2 million, respectively.

Also, the Company rents or subleases certain real estate to third parties, which are accounted for as operating leases.

Leases with an initial term of 12 months or less are not recorded on the balance sheet.

The components of lease expense were as follows:



	Three Months Ended September 30, 2019			Nine Months Ended September 30, 2019

Operating lease cost	$	1,488,706		$	3,831,665

Finance lease cost
Amortization of lease expense	$	25,530		76,019
Interest on lease liabilities	4,200			13,170

Sublease income	$	(102,849	)	$	(308,929	)

Total finance lease cost, net	$	1,415,587		$	3,611,925

Other information related to leases was as follows:



	Three Months Ended September 30, 2019		Nine Months Ended September 30, 2019
Supplemental Cash Flows Information

Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	1,676,800	$	3,949,665
Operating cash flows from finance leases	4,200		13,170
Financing cash flows from finance leases	25,530		76,019

Right-of-use assets obtained in exchange for lease liabilities:
Operating leases	—		15,417,482
Finance leases	—		—

			Nine Months Ended September 30, 2019
Weighted Average Remaining Lease Term

Operating leases			6.80 years
Finance leases			4.92 years

Weighted Average Discount Rate

Operating leases			6.12		%
Finance leases			3.00		%

Future minimum lease payments under non-cancellable leases as of September 30, 2019 and December 31, 2018 were as follows:



September 30, 2019	Operating Leases		Finance Leases
2019 (excluding the nine months ended September 30, 2019)	$	956,587	$	29,730
2020	3,375,924		118,920
2021	2,281,608		118,920
2022	1,979,546		118,920
2023	1,723,977		118,920
Thereafter	6,368,798		79,278

Total future minimum lease payments	16,686,440		584,688
Less: imputed interest	3,180,066		41,706
Total lease liabilities	13,506,374		542,982
Less: current portion	2,836,010		101,741
Long-term lease liabilities	$	10,670,364	$	441,241



December 31, 2018	Operating Leases		Finance Leases
2019	$	2,848,000	$	119,000
2020	2,267,000		119,000
2021	783,000		119,000
2022	487,000		119,000
2023	489,000		119,000
Thereafter	243,000		79,000

Total future minimum lease payments	$	7,117,000	$	674,000

As of September 30, 2019, the Company does not have additional operating and finance leases that have not yet commenced.

Leases