Variable Interest Entities

12 Months Ended

Dec. 31, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Variable Interest Entities:

As of December 31, 2021 and December 31, 2020, we consolidated ten and nine, respectively, limited partnership-like entities that are VIEs and of which we are the primary beneficiary. Our ownership percentages in these entities range from 50.0% to 90.0% as of December 31, 2021. Through partnership and management agreements with or governing each of these entities, we manage all of these entities and handle all day-to-day operating decisions. Accordingly, we have the decision making power over the activities that most significantly impact the economic performance of our VIEs and an obligation to absorb losses or receive benefits from the VIE that could potentially be significant to the VIE. These decisions and significant activities include, but are not limited to, marketing efforts, oversight of patient admissions, medical training, nurse and therapist scheduling, provision of healthcare services, billing, collections and creation and maintenance of medical records. The terms of the agreements governing each of our VIEs prohibit us from using the assets of each VIE to satisfy the obligations of other entities.

The carrying amounts and classifications of the consolidated VIEs’ assets and liabilities, which are included in our consolidated balance sheet, are as follows (in millions):


	December 31, 2021		December 31, 2020
Assets
Current assets:
Cash and cash equivalents	$	—	$	0.1
Accounts receivable	36.3		33.1
Other current assets	7.7		8.6
Total current assets	44.0		41.8
Property and equipment, net	116.3		121.1
Operating lease right-of-use assets	3.2		4.7
Goodwill	28.3		19.2
Intangible assets, net	3.3		3.3
Deferred income tax assets	0.6		0.5
Other long-term assets	30.5		30.6
Total assets	$	226.2	$	221.2
Liabilities
Current liabilities:
Current portion of long-term debt	$	1.0	$	0.9
Current operating lease liabilities	1.5		1.5
Accounts payable	5.9		6.1
Accrued payroll	10.2		11.3

Other current liabilities	9.2		11.7
Total current liabilities	27.8		31.5
Long-term debt, net of current portion	8.6		9.6
Long-term operating lease liabilities	1.8		3.3
Other long-term liabilities	—		2.4
Total liabilities	$	38.2	$	46.8