Leases

9 Months Ended

Sep. 30, 2022

The Company leases certain office space, construction and office equipment, vehicles and temporary housing generally under non-cancelable operating leases. Leases with an initial term of one year or less are not recorded on the balance sheet, and the Company generally recognizes lease expense for these leases on a straight-line basis over the lease term. As of September 30, 2022, the Company’s operating leases have remaining lease terms ranging from less than one year to 16 years, some of which include options to renew the leases. The exercise of lease renewal options is generally at the Company’s sole discretion. The Company’s leases do not contain any material residual value guarantees or material restrictive covenants.

The following table presents components of lease expense for the three and nine months ended September 30, 2022 and 2021:


	Three Months Ended September 30,				Nine Months Ended September 30,
(in thousands)	2022		2021		2022		2021
Operating lease expense	$	3,685	$	3,660	$	11,754	$	11,085
Short-term lease expense(a)	15,393		17,951		42,828		57,377
	19,078		21,611		54,582		68,462
Less: Sublease income	193		176		573		522
Total lease expense	$	18,885	$	21,435	$	54,009	$	67,940

____________________________________________________________________________________________________

(a)Short-term lease expense includes all leases with lease terms of up to one year. Short-term leases include, among other things, construction equipment rented on an as-needed basis as well as temporary housing.

The following table presents supplemental balance sheet information related to operating leases:


(dollars in thousands)	Balance Sheet Line Item	As of September 30, 2022			As of December 31, 2021
Assets
Right-of-use assets	Other assets	$	61,693		$	53,462
Total lease assets		$	61,693		$	53,462
Liabilities
Current lease liabilities	Accrued expenses and other current liabilities	$	7,147		$	7,481
Long-term lease liabilities	Other long-term liabilities	59,352			50,057
Total lease liabilities		$	66,499		$	57,538
Weighted-average remaining lease term		11.6 years			12.0 years
Weighted-average discount rate		9.42		%	9.44		%

The following table presents supplemental cash flow information and non-cash activity related to operating leases:


	Nine Months Ended September 30,
(in thousands)	2022		2021
Operating cash flow information:
Cash paid for amounts included in the measurement of lease liabilities	$	(11,007)	$	(10,344)
Non-cash activity:
Right-of-use assets obtained in exchange for lease liabilities	$	16,305	$	6,686

The following table presents maturities of operating lease liabilities on an undiscounted basis as of September 30, 2022:


Year (in thousands)	Operating Leases
2022 (excluding the nine months ended September 30, 2022)	$	3,252
2023	12,344
2024	9,925
2025	9,023
2026	7,688
Thereafter	73,375
Total lease payments	115,607
Less: Imputed interest	49,108
Total	$	66,499