Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2019

Commitments and Contingencies Disclosure [Abstract]

Purchase Commitment, Excluding Long-term Commitment

The following table summarizes CEQP’s and CMLP’s self-insurance reserves at December 31, 2019 and 2018 (in millions):

	CEQP				CMLP
	December 31,				December 31,
	2019		2018		2019		2018
Self-insurance reserves(1)	$	9.7	$	11.3	$	8.3	$	9.6

(1)

At December 31, 2019, CEQP and CMLP classified approximately $6.2 million and $5.2 million, respectively of these reserves as other long-term liabilities on their consolidated balance sheets.

Assets And Liabilities, Lessee

The following table summarizes the balance sheet information related to our operating and finance leases at December 31, 2019 (in millions):

Operating Leases
Operating lease right-of-use assets, net	$	53.8
Accrued expenses and other liabilities	$	18.1
Other long-term liabilities	41.5
Total operating lease liabilities	$	59.6
Finance Leases
Property, plant and equipment	$	14.9
Less: accumulated depreciation	5.4
Property, plant and equipment, net	$	9.5
Accrued expenses and other liabilities	$	3.2
Other long-term liabilities	5.2
Total finance lease liabilities	$	8.4

Lease, Cost

The following table presents the costs and sublease income associated with our operating and finance leases for the year ended December 31, 2019 (in millions):

Operating leases:
Operating lease expense(1)(2)	$	28.3
Sublease income(3)	(1.0		)
Total operating lease expense, net	$	27.3
Finance leases:
Amortization of right-of-use assets(4)	$	3.6
Interest on lease liabilities(5)	0.7
Total finance lease expense	$	4.3

(1) Approximately $17.5 million is included in costs of product/services sold and $10.8 million is included in operations and maintenance expense on our consolidated statements of operations for the year ended December 31, 2019.

(2) Includes short-term and variable lease costs of approximately $3.7 million for the year ended December 31, 2019.

(3) Included in marketing, supply and logistics service revenues on our consolidated statements of operations.

(4) Included in depreciation, amortization and accretion expense on our consolidated statements of operations.

(5)

Included in interest and debt expense, net on our consolidated statements of operations.

The following table presents the weighted-average remaining lease term and the weighted-average discount rate associated with our operating and finance leases as of December 31, 2019:

Weighted-average remaining lease term (in years):
Operating leases(1)	4.4
Finance leases(2)	2.6
Weighted-average discount rate:
Operating leases(3)	5.9	%
Finance leases(3)	7.3	%

(1) Remaining terms vary from one year to 20 years.

(2) Remaining terms vary from one year to four years.

(3)

We utilized discount rates ranging from 3.5% to 8.3% to estimate the discounted cash flows used in estimating our right-of-use assets and lease liabilities as of December 31, 2019, which were primarily based on our credit-adjusted collateralized incremental borrowing rate.

The following table presents supplemental cash flow information for our operating and finance leases for the year ended December 31, 2019 (in millions):

Cash paid for lease liabilities:
Operating cash flows from operating leases	$	22.9
Operating cash flows from finance leases	$	0.7
Financing cash flows from finance leases	$	3.5
Right-of-use assets obtained in exchange for lease obligations:
Operating leases(1)	$	4.2
Finance leases	$	1.8

(1)

Includes approximately $2.9 million of operating leases obtained from the Jackalope Acquisition, which is further discussed in Note 3.

Lessee, Operating Lease, Liability, Maturity

The following table presents the future minimum lease liabilities under Topic 842 for our leases as of December 31, 2019 for the next five years and in total thereafter (in millions):

Year Ending December 31,	Operating Leases		Finance Leases		Total
2020	$	20.9	$	3.6	$	24.5
2021	16.3		3.6		19.9
2022	11.1		1.9		13.0
2023	6.7		0.1		6.8
2024	6.0		—		6.0
Thereafter	7.5		—		7.5
Total lease payments	68.5		9.2		77.7
Less: Interest	8.9		0.8		9.7
Present value of lease liabilities	$	59.6	$	8.4	$	68.0