Leases

12 Months Ended

Dec. 31, 2019

Leases [Abstract]

Lessee

Leases

We lease our administrative and service facilities, as well as certain office equipment, monitoring devices and information technology equipment under arrangements classified as leases under ASC 842. We adopted ASC 842 using the optional modified retrospective transition method as of January 1, 2019; therefore prior period amounts are not restated.

We have non-cancelable operating leases expiring at various dates through 2028. Certain leases are renewable at the end of the lease term at our option, none of which are certain at this time. We have also entered into and acquired finance leases with various expiration dates through 2022, which are used primarily to finance office equipment, monitoring devices and other information technology equipment.

The components of our lease expense under ASC 842 are as follows:

(in thousands)	Year Ended December 31, 2019
Operating lease cost:
Operating lease cost	$	5,828
Short-term lease cost	299
Total operating lease cost	6,127
Finance lease cost:
Amortization of right-of-use asset	2,073
Interest on lease liabilities	58
Total finance lease cost	2,131
Total lease cost	$	8,258

Rent expense under ASC 840, Leases was $6.3 million and $5.8 million for the years ended December 31, 2018 and 2017, respectively.

Supplemental balance sheet information related to leases as of December 31, 2019 is as follows:

(in thousands, except percentage and years)	Operating Leases			Finance Leases
Property and equipment, net	$	—		$	493
Other assets	16,400			—
Total right-of-use assets	16,400			493
Accrued liabilities	5,187			—
Current portion of finance lease obligations	—			394
Long-term portion of finance lease obligations	—			289
Other long-term liabilities	14,029			—
Total lease obligations	$	19,216		$	683
Weighted average remaining lease term (years)	5.0			1.9
Weighted average discount rate	4.4		%	4.5		%

Future maturities of lease liabilities as of December 31, 2019 are as follows:

(in thousands)	Operating Leases			Finance Leases
2020	$	5,926		$	412
2021	4,423			191
2022	3,058			94
2023	2,268			—
2024	1,967			—
Thereafter	3,839			—
Total minimum lease payments	21,481			697
Less imputed interest	(2,265		)	(14		)
Present value of lease liabilities	$	19,216		$	683

Supplemental cash flow information related to leases is as follows:

(in thousands)	Year Ended December 31, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	(6,026	)
Operating cash flows from finance leases	(58		)
Financing cash flows from finance leases	(1,909		)
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	21,244
Finance leases	787

See “Note 2. Summary of Significant Accounting Policies; (w) Recent Accounting Pronouncements; Accounting Pronouncements Recently Adopted” for further discussion regarding the transition from ASC 840 to ASC 842 effective January 1, 2019.