LEASES
Lessee
We lease from third parties certain office and operation center facilities, communication tower sites, equipment, and materials storage. Our leases have remaining terms ranging from less than 1 year to 35 years, including options to extend that are reasonably certain to be exercised. We have one immaterial finance lease for communication equipment at the WRDC mine.
Most of our leases do not contain a readily determinable discount rate. Therefore, the present value of future lease payments is generally calculated using our applicable subsidiaries’ incremental borrowing rate (weighted-average of 4.24% as of December 31, 2020).
Leases with an initial term of 12 months or less are classified as short-term leases and are not recognized on the accompanying Consolidated Balance Sheets.
Lease expense for the year ended December 31 were as follows (in thousands):
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| Income Statement Location | 2020 | 2019 |
| Operating lease cost | Operations and maintenance | $ | 978 | | $ | 1,456 | |
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Supplemental balance sheet information related to leases as of December 31 was as follows (in thousands):
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| Balance Sheet Location | 2020 | 2019 |
| Assets: | | | |
| Operating lease assets | Other assets, non-current | $ | 4,188 | | $ | 4,629 | |
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| Total lease assets | | $ | 4,188 | | $ | 4,629 | |
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| Liabilities: | | | |
| Current: | | | |
| Operating leases | Accrued liabilities | $ | 736 | | $ | 1,179 | |
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| Noncurrent: | | | |
| Operating leases | Other deferred credits and other liabilities | 3,807 | | 3,821 | |
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| Total lease liabilities | | $ | 4,543 | | $ | 5,000 | |
Supplemental cash flow information related to leases for the year ended December 31 was as follows (in thousands):
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| 2020 | 2019 |
| Cash paid included in the measurement of lease liabilities: | | |
| Operating cash flows from operating leases | $ | 1,023 | | $ | 1,263 | |
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| Right-of-use assets obtained in exchange for lease obligations: | | |
| Operating leases | $ | 161 | | $ | 2,801 | |
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Weighted average remaining terms and discount rates related to leases as of December 31 were as follows:
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| 2020 | 2019 |
| Weighted average remaining lease term: | | |
| Operating leases | 8 years | 8 years |
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| Weighted average discount rate: | | |
| Operating leases | 4.24 | % | 4.27 | % |
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As of December 31, 2020, scheduled maturities of lease liabilities for future years were as follows (in thousands):
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| Operating Leases | | |
| 2021 | $ | 907 | | | |
| 2022 | 804 | | | |
| 2023 | 779 | | | |
| 2024 | 776 | | | |
| 2025 | 529 | | | |
| Thereafter | 1,643 | | | |
| Total lease payments | $ | 5,438 | | | |
| Less imputed interest | 895 | | | |
| Present value of lease liabilities | $ | 4,543 | | | |
Lessor
We lease to third parties certain generating station ground leases, communication tower sites, and a natural gas pipeline. These leases have remaining terms ranging from less than one year to 34 years.
Lease revenue for the year ended December 31 were as follows (in thousands):
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| Income Statement Location | 2020 | 2019 |
| Operating lease income | Revenue | $ | 2,534 | | $ | 2,306 | |
As of December 31, 2020, scheduled maturities of operating lease payments to be received in future years were as follows (in thousands):
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| Operating Leases | | |
| 2021 | $ | 2,383 | | | |
| 2022 | 2,122 | | | |
| 2023 | 2,130 | | | |
| 2024 | 2,074 | | | |
| 2025 | 2,090 | | | |
| Thereafter | 58,829 | | | |
| Total lease receivables | $ | 69,628 | | | |