Revenue

9 Months Ended

Sep. 30, 2020

Revenue from Contract with Customer [Abstract]

Revenue

Revenue

Disaggregation of Revenue

The Company disaggregates its revenue from contracts with customers by payor source. The Company believes it best depicts how the nature, amount, timing, and uncertainty of its revenue and cash flows are affected by economic factors. See details on a reportable segment basis in the tables below.

	Three Months Ended September 30, 2020
(in thousands)	Independent Living		Assisted Living and Memory Care		CCRCs		Health Care Services		Total
Private pay	$	125,156	$	391,292	$	57,129	$	221	$	573,798
Government reimbursement	606		17,403		13,440		71,095		102,544
Other third-party payor programs	—		—		5,842		18,587		24,429
Total resident fee revenue	$	125,762	$	408,695	$	76,411	$	89,903	$	700,771
	Three Months Ended September 30, 2019
(in thousands)	Independent Living		Assisted Living and Memory Care		CCRCs		Health Care Services		Total
Private pay	$	136,274	$	435,367	$	70,353	$	171	$	642,165
Government reimbursement	600		17,107		19,931		89,157		126,795
Other third-party payor programs	—		—		9,820		22,457		32,277
Total resident fee revenue	$	136,874	$	452,474	$	100,104	$	111,785	$	801,237
	Nine Months Ended September 30, 2020
(in thousands)	Independent Living		Assisted Living and Memory Care		CCRCs		Health Care Services		Total
Private pay	$	390,124	$	1,246,181	$	181,812	$	649	$	1,818,766
Government reimbursement	1,778		52,149		46,589		215,350		315,866
Other third-party payor programs	—		—		21,582		58,893		80,475
Total resident fee revenue	$	391,902	$	1,298,330	$	249,983	$	274,892	$	2,215,107
	Nine Months Ended September 30, 2019
(in thousands)	Independent Living		Assisted Living and Memory Care		CCRCs		Health Care Services		Total
Private pay	$	406,667	$	1,310,867	$	212,978	$	554	$	1,931,066
Government reimbursement	1,852		50,358		61,614		269,428		383,252
Other third-party payor programs	—		—		30,492		67,769		98,261
Total resident fee revenue	$	408,519	$	1,361,225	$	305,084	$	337,751	$	2,412,579

Contract Balances

The payment terms and conditions within the Company's revenue-generating contracts vary by contract type and payor source, although terms generally include payment to be made within 30 days.

Resident fee revenue for recurring and routine monthly services is generally billed monthly in advance under the Company's independent living, assisted living, and memory care residency agreements. Resident fee revenue for standalone or certain healthcare services is generally billed monthly in arrears. A portion of the Company's reimbursement from Medicare for certain healthcare services is billed near the start of each period of care, and cash is generally received before all services are rendered. The amount of revenue recognized for periods of care which are incomplete at period end is based on the Company's historical average percentage of days complete on each period of care and any unearned amounts are deferred and recognized when the service is performed. Additionally, non-refundable community fees are generally billed and collected in advance or upon move-in of a resident under the Company's independent living, assisted living, and memory care residency agreements. Amounts of revenue that are collected from residents in advance are recognized as deferred revenue until the performance obligations are satisfied. The Company had total deferred revenue (included within refundable fees and deferred revenue and other liabilities within the condensed consolidated balance sheets) of $139.5 million and $72.5 million, including $24.2 million and $38.9 million of monthly resident fees billed and received in advance, as of September 30, 2020 and December 31, 2019, respectively. Such amount of total deferred revenue as of September 30, 2020 also included $87.5 million received in the nine months ended September 30, 2020 under a temporary expansion of the Accelerated and Advance Payment Program administered by CMS. Such amount of advance receipts is anticipated to either be recognized as revenue and retained by the Company during the recoupment period from 2021 to 2022 as services are provided or refunded by the Company at the conclusion of such period. Refer to Note 3 for additional information on such program. For the nine months ended September 30, 2020 and 2019, the Company recognized $59.3 million and $83.7 million, respectively, of revenue that was included in the deferred revenue balance as of January 1, 2020 and 2019. The Company applies the practical expedient in ASC 606-10-50-14 and does not disclose amounts for remaining performance obligations that have original expected durations of one year or less.

For the three months ended September 30, 2020 and 2019, the Company recognized $4.8 million and $3.8 million, respectively, and for the nine months ended September 30, 2020 and 2019, the Company recognized $12.4 million and $10.8 million, respectively, of charges within facility operating expense within the condensed consolidated statements of operations for additions to the allowance for credit losses.