Property and Equipment

3 Months Ended

Mar. 31, 2023

Property and Equipment

Property and Equipment

Note 6.    Property and Equipment

Property and equipment consisted of the following (in thousands):

	March 31,		December 31,
	2023		2022
Buildings and improvements	$	1,464,390	$	1,441,893
Land		521,520		523,631
Fixtures and equipment		42,879		42,136
Idle plant assets		30,500		30,500
Construction in process		43,395		56,047
Capitalized internal use software		33,808		33,687
Total property and equipment		2,136,492		2,127,894
Less accumulated depreciation		932,131		909,723
Total	$	1,204,361	$	1,218,171

Property and equipment includes retail gasoline station assets held for sale of $1.4 million and $5.3 million at March 31, 2023 and December 31, 2022, respectively.

At March 31, 2023, the Partnership had a $37.6 million remaining net book value of long-lived assets at its West Coast facility, including $30.5 million related to the Partnership’s ethanol plant acquired in 2013. The Partnership would need to take certain measures to prepare the facility for ethanol production in order to place the plant into service and commence depreciation. Therefore, the $30.5 million related to the ethanol plant was included in property and equipment and classified as idle plant assets at both March 31, 2023 and December 31, 2022.

If the Partnership is unable to generate cash flows to support the recoverability of the plant and facility assets, this may become an indicator of potential impairment of the West Coast facility. The Partnership believes these assets are recoverable but continues to monitor the market for ethanol, the continued business development of this facility for ethanol or other product transloading, and the related impact this may have on the facility’s operating cash flows and whether this would constitute an impairment indicator.