Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Significant Components of Company's Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities are as follows (in thousands):

	Year Ended December 31,
	2015			2014
Deferred tax assets:
Net operating losses (federal and state)	$	2,508		$	2,996
Accrued expenses	9,908			9,381
Accrued workers compensation costs	18,823			13,964
Stock-based compensation	4,643			2,508
Tax benefits relating to uncertain positions	29			20
Tax credits (federal and state)	6,272			9,865
Other	113			354
Total	42,296			39,088
Valuation allowance	(5,276		)	(6,945		)
Total deferred tax assets	37,020			32,143
Deferred tax liabilities:
Depreciation and amortization	(3,277		)	(10,643		)
Deferred service revenues	(85,263		)	(77,827		)
Prepaid health plan expenses	(3,121		)	(2,202		)
Total deferred tax liabilities	(91,661		)	(90,672		)
Net non-current deferred tax liabilities	$	(54,641	)	$	(58,529	)

Deferred Tax Assets and Liabilities Classified in Consolidated Balance Sheets

The deferred tax assets and liabilities presented above are classified in the accompanying consolidated balance sheets as follows (in thousands):

	Year Ended December 31,
	2015			2014
Net current deferred tax liabilities	$	—		$	—
Net non-current deferred tax liabilities	(54,641		)	(58,529		)
Net current deferred tax assets	—			—
Net non-current deferred tax assets	—			—
Net deferred tax liabilities	$	(54,641	)	$	(58,529	)

Provision for Income Taxes

The provision for income taxes consists of the following (in thousands):

	Year Ended December 31,
	2015			2014			2013
Current:
Federal	$	9,189		$	(31,111	)	$	11,319
Foreign	378			230			217
State	3,794			4,618			3,081
	13,361			(26,263		)	14,617
Deferred:
Federal	11,528			38,297			(5,659		)
Foreign	(24		)	—			—
State	320			2,951			(1,344		)
Revaluation due to state legislative changes	3,130			2,594			323
	14,954			43,842			(6,680		)
	$	28,315		$	17,579		$	7,937

U.S. Federal Statutory Income Tax Rate Reconciled to Effective Tax Rate

The U.S. federal statutory income tax rate reconciled to the Company’s effective tax rate is as follows:

	Year Ended December 31,
	2015		2014		2013
U.S. federal statutory tax rate	35.00	%	35.00	%	35.00	%
State income taxes, net of federal benefit	6.6		3.8		3.8
Tax rate change	5.2		7.8		1.5
Nondeductible transaction costs	—		0.9		—
Nondeductible meals, entertainment and penalties	3.3		4.3		4.1
Stock-based compensation	1.3		4.5		(0.1	)
Uncertain tax positions	0.2		0.8		(2.3	)
Tax credits	(2.2	)	(3.6	)	(4.3	)
Other	(2.2	)	(0.3	)	(0.1	)
	47.20	%	53.20	%	37.60	%

Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits (excluding interest and penalties) is as follows (in thousands):

	Year Ended December 31,
	2015			2014			2013
Unrecognized tax benefits at January 1	$	2,471		$	2,300		$	2,710
Additions for tax positions of prior periods	—			25			—
Additions for tax positions of current period	167			182			286
Reductions for tax positions of prior period:
Settlements with taxing authorities	—			—			(406		)
Lapse of applicable statute of limitations	—			—			(290		)
Adjustments to tax positions	(20		)	(36		)	—
Unrecognized tax benefits at December 31	$	2,618		$	2,471		$	2,300