7. Leases

In 2019 the Company entered into an operating lease for office space. As described within Note 2, we adopted ASU 2016-02, "Leases," on January 1, 2019 requiring, among other changes, operating and finance leases with terms exceeding twelve months to be recognized as ROU assets and lease liabilities on the balance sheet. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. The lease term is determined to be the non-cancelable period including any lessee renewal options which are considered to be reasonably certain of exercise. The interest rate implicit in lease contracts is typically not readily determinable. As such, the Company used judgment to determine an appropriate incremental borrowing rate, which is the rate incurred to borrow on a collateralized basis over a similar term in a similar economic environment.

Future minimum payments under the Company’s operating leases related to the ROU asset and lease liability as of March 31, 2019 was as follows (in thousand):


	Operating
	Leases
2019	$	238
2020		363
2021		371
2022		31
Thereafter		—
Total minimum payments	$	1,003
Less: imputed interest		103
Present value of lease liabilities	$	900

The total cash paid for amounts included in the measurement of lease liabilities for the three months ended March 31, 2019 was $30 thousand and was included in net cash used in operating activities in our condensed consolidated statements of cash flows. As of March 31, 2019, the weighted average remaining operating lease term was 2.8 years and the weighted average discount rate used to determine the operating lease liabilities was 5.5%. For the three months ended March 31, 2019, operating lease costs were $57 thousand, short-term lease costs were $49 thousand, and there were no variable lease costs.