Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2020

Goodwill And Intangible Assets Disclosure [Abstract]

8. GOODWILL AND INTANGIBLE ASSETS

Amounts related to goodwill as of December 31, are as follows:

	Assessment, Permitting and Response		Measurements and Analysis		Remediation and Reuse		Total
Balance as of December 31, 2019	$	15,173	$	68,628	$	43,257	$	127,058
Goodwill acquired during the year		146,983		426		200		147,609
Balance as of December 31, 2020	$	162,156	$	69,054	$	43,457	$	274,667

Goodwill balances as of December 31, 2019 include $0.06 million of foreign currency translation adjustment related to TES and LEHDER acquisitions (Note 7). There was no translation adjustment as of December 31, 2020.

Amounts related to finite-lived intangible assets as of December 31, are as follows:

2020	Estimated Useful Life	Gross Balance		Accumulated Amortization		Total Intangible Assets—Net
Finite lived intangible assets
Customer relationships	7–15 years	$	164,782	$	53,446	$	111,336
Covenants not to compete	4–5 years		29,942		21,469		8,473
Trade names	1–5 years		16,938		12,849		4,089
Proprietary software and other software licenses	3-5 years		21,007		6,132		14,875
Patent	16 years		17,479		1,398		16,081
Total other intangible assets—net		$	250,148	$	95,294	$	154,854

2019	Estimated Useful Life	Gross Balance		Accumulated Amortization		Total Intangible Assets—Net
Finite lived intangible assets
Customer relationships	7–15 years	$	108,782	$	36,700	$	72,082
Covenants not to compete	4–5 years		25,832		17,572		8,260
Trade names	1–5 years		12,738		10,230		2,508
Proprietary software	3 years		3,885		1,359		2,526
Patent	16 years		17,479		306		17,173
Total other intangible assets—net		$	168,716	$	66,167	$	102,549

Intangible assets with finite lives are stated at cost, less accumulated amortization and impairment losses, if any. These intangible assets are amortized using the straight-line method over the estimated useful lives of the assets.

During 2019, the Company acquired a custom software platform as part of the TES acquisition (Note 7) to service upstream and midstream oil and gas producers and assist with their LDAR requirements related to government regulations of fugitive and greenhouse gas emissions. These assets are considered proprietary software.

During 2019, as part of ECT2 acquisition (Note 7), the Company acquired a patent for the removal of contaminants in water.

The Company evaluates intangible assets subject to amortization for impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. Recoverability of intangible assets is measured by a comparison of the carrying amount of the intangible asset to the future undiscounted operating cash flows expected to be generated by the asset. As of December 31, 2020 and 2019, there was no impairment of intangible assets subject to amortization.

Amortization expense for the years ended December 31, 2020, 2019, and 2018 was $28.9 million, $20.0 million and $16.3 million, respectively.

Future amortization expense is estimated to be as follows for each of the five following years and thereafter ending December 31:

2021		28,157
2022		24,071
2023		20,089
2024		16,951
2025 and thereafter		65,586
Total	$	154,854