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Earnings per Unit (Notes)
 6 Months Ended
Jun. 30, 2016
Earnings Per Unit [Abstract]  
Earnings Per Share [Text Block]
5. Earnings Per Unit
Earnings in excess of distributions are allocated to the limited partners based on their respective ownership interests. Payments made to our unitholders are determined in relation to actual distributions declared and are not based on the net income or loss allocations used in the calculation of earnings per unit.
Diluted earnings per unit includes the effects of potentially dilutive units of our common units that consist of unvested phantom units. These units are non-participating securities due to the forfeitable nature of their associated distribution equivalent rights prior to vesting. We do not consider these units under the two-class method when calculating earnings per unit. Basic and diluted earnings per unit applicable to subordinated limited partners are the same because there are no potentially dilutive subordinated units outstanding.
In addition to the common and subordinated units, we have identified the general partner interest, incentive distribution rights and distributions associated with the TexNew Mex Units as participating securities and use the two-class method when calculating earnings per unit applicable to limited partners that is based on the weighted-average number of common units outstanding during the period. We make incentive distribution payments to our General Partner when our per unit distribution amount exceeds the target distribution. During the three and six months ended June 30, 2016, we made incentive distribution right payments of $0.9 million and $1.7 million, respectively, compared to $0.1 million and $0.2 million, respectively, for the three and six months ended June 30, 2015, to our General Partner. Refer to Note 11, Equity, for further information regarding incentive distribution rights.
To the extent there is sufficient available cash from operating surplus under the the Second Amended and Restated Partnership Agreement (the "Second A&R Partnership Agreement"), the holder of the TexNew Mex Units will be entitled to receive a distribution equal to 80% of the excess of TexNew Mex Shared Segment Distributable Cash Flow over the TexNew Mex Base Amount (as such terms are defined in the Second A&R Partnership Agreement). To the extent the holder of a TexNew Mex Unit is entitled to such a distribution, that distribution will be preferential to all other unit holder distributions. During the three and six months ended June 30, 2016 and 2015, the TexNew Mex unitholders were not entitled to any distributions. Refer to Note 11, Equity, for further information.
The calculation of net income per unit for the three and six months ended June 30, 2016 and 2015, respectively, is as follows:
 
Three Months Ended
 
Six Months Ended
 
June 30,
 
June 30,
 
2016
 
2015
 
2016
 
2015
 
(In thousands, except per unit data)
Net income
$
17,874

 
$
14,653

 
$
31,881

 
$
28,064

Net loss attributable to General Partner (1)
—

 
(1,262
)
 
—

 
(3,174
)
Net income attributable to limited partners
17,874

 
15,915

 
31,881

 
31,238

General Partner distributions
(921
)
 
(139
)
 
(1,682
)
 
(155
)
Limited partners' distributions on common units
(9,858
)
 
(8,346
)
 
(19,453
)
 
(16,320
)
Limited partners' distributions on subordinated units
(9,181
)
 
(7,927
)
 
(18,135
)
 
(15,512
)
 Distributions greater than earnings
$
(2,086
)
 
$
(497
)
 
$
(7,389
)
 
$
(749
)
 
 
 
 
 
 
 
 
General Partners' earnings:
 
 
 
 
 
 
 
Distributions
$
921

 
$
139

 
$
1,682

 
$
155

Net loss attributable to General Partner (1)
—

 
(1,262
)
 
—

 
(3,174
)
 Total General Partners' earnings (loss)
$
921

 
$
(1,123
)
 
$
1,682

 
$
(3,019
)
 
 
 
 
 
 
 
 
Limited partners' earnings on common units:
 
 
 
 
 
 
 
Distributions
$
9,858

 
$
8,346

 
$
19,453

 
$
16,320

Allocation of distributions greater than earnings
(1,119
)
 
(255
)
 
(3,895
)
 
(384
)
 Total limited partners' earnings on common units
$
8,739

 
$
8,091

 
$
15,558

 
$
15,936

 
 
 
 
 
 
 
 
Limited partners' earnings on subordinated units:
 
 
 
 
 
 
 
Distributions
$
9,181

 
$
7,927

 
$
18,135

 
$
15,512

Allocation of distributions greater than earnings
(967
)
 
(242
)
 
(3,494
)
 
(365
)
 Total limited partners' earnings on subordinated units
$
8,214

 
$
7,685

 
$
14,641

 
$
15,147

 
 
 
 
 
 
 
 
Weighted-average limited partner units outstanding:
 
 
 
 
 
 
 
 Common units - basic
26,409

 
24,017

 
25,429

 
24,001

 Common units - diluted
26,427

 
24,051

 
25,441

 
24,023

 Subordinated units - basic and diluted
22,811

 
22,811

 
22,811

 
22,811

 
 
 
 
 
 
 
 
Net income per limited partner unit:
 
 
 
 
 
 
 
 Common - basic
$
0.33

 
$
0.34

 
$
0.61

 
$
0.66

 Common - diluted
0.33

 
0.34

 
0.61

 
0.66

 Subordinated - basic and diluted
0.36

 
0.34

 
0.64

 
0.66

(1)
We apply the two-class method to calculate earnings per unit and allocate the results of operations of the TexNew Mex Pipeline System prior to the TexNew Mex Pipeline Acquisition entirely to our general partner. The limited partners had no rights to the results of operations before this acquisition.