Leases

12 Months Ended

Dec. 31, 2020

The Company enters into lease agreements for certain facilities and vehicles that are primarily used in the ordinary course of business. These leases are accounted for as operating leases, whereby lease expense is recognized on a straight-line basis over the term of the lease.

Most leases include an option to extend or renew the lease term. The exercise of the renewal option is at the Company's discretion. The operating lease liability includes lease payments related to options to extend or renew the lease term if the Company is reasonably certain of exercising those options. The Company, in determining the present value of lease payments, uses the Company’s incremental secured borrowing rate commensurate with the term of the underlying lease.

Lease expense is primarily included in general and administrative expenses in the condensed consolidated statements of operations. Additional information regarding the Company's operating leases is as follows:


(in thousands)	Year ended December 31, 2020		Year ended December 31, 2019
Operating Lease Cost
Operating leases	$	3,090	$	2,409
Short-term leases (1)	218		90
Total lease expense	$	3,308	$	2,499

(1) Leases with an initial term of twelve months or less are not recorded on the balance sheet.

Other information on operating leases:


	Year ended December 31, 2020		Year ended December 31, 2019
Cash payments included in operating cash flows	2,466		2,312
Right-of-use assets obtained in exchange for new lease	1,810		401
Weighted average discount rate	8.71	%	9.34	%
Weighted average remaining lease term in years	4.55 years		5.40 years

The following table presents the contractual maturities of the Company's lease liabilities as of December 31, 2020:


(in thousands)	Lease Liability
2021	$	2,219
2022	1,906
2023	1,503
2024	740
2025 and thereafter	1,745
Total undiscounted lease payments	8,113
Less: present value adjustment	1,755
Operating lease liability	$	6,358