Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Feb. 14, 2019 | Jun. 29, 2018 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | MAGELLAN MIDSTREAM PARTNERS LP | ||
Entity Central Index Key | 1,126,975 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 228,403,428 | ||
Entity Public Float | $ 15,722,880,037 | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Entity Shell Company | false |
Consolidated Statements Of Inco
Consolidated Statements Of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Revenues | $ 2,826,573 | $ 2,507,661 | $ 2,205,410 |
Costs and expenses: | |||
Operating | 649,436 | 577,978 | 528,672 |
Cost of product sales | 704,313 | 635,617 | 493,338 |
Depreciation and amortization | 265,077 | 196,630 | 178,142 |
General and administrative | 194,283 | 165,717 | 147,165 |
Total costs and expenses | 1,813,109 | 1,575,942 | 1,347,317 |
Earnings of non-controlled entities | 181,117 | 120,994 | 78,696 |
Operating profit | 1,194,581 | 1,052,713 | 936,789 |
Interest expense | 220,979 | 210,698 | 194,187 |
Interest capitalized | (17,455) | (15,565) | (27,375) |
Interest income | (3,010) | (1,415) | (1,402) |
Gain on disposition of assets | (353,797) | (18,505) | (28,144) |
Other (income) expense | 13,868 | 4,139 | (6,466) |
Income before provision for income taxes | 1,333,996 | 873,361 | 805,989 |
Provision for income taxes | 71 | 3,830 | 3,218 |
Net income | $ 1,333,925 | $ 869,531 | $ 802,771 |
Basic net income per limited partner unit (in dollars per share) | $ 5.84 | $ 3.81 | $ 3.52 |
Diluted net income per limited partner unit (in dollars per share) | $ 5.84 | $ 3.81 | $ 3.52 |
Weighted average number of limited partner units outstanding used for basic net income per unit calculation (in shares) | 228,377 | 228,176 | 227,926 |
Weighted average number of limited partner units outstanding used for diluted net income per unit calculation (in shares) | 228,573 | 228,338 | 228,057 |
Service [Member] | |||
Revenues | $ 1,878,988 | $ 1,731,775 | $ 1,591,119 |
Product [Member] | |||
Revenues | 927,220 | 758,206 | 599,602 |
Product and Service, Other [Member] | |||
Revenues | $ 20,365 | $ 17,680 | $ 14,689 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 1,333,925 | $ 869,531 | $ 802,771 |
Other comprehensive income: | |||
Net gain (loss) on cash flow hedges | 4,317 | (1,937) | (6,699) |
Reclassification of net loss on cash flow hedges to income | 2,958 | 2,958 | 2,049 |
Net actuarial loss | (2,323) | (46,008) | (2,452) |
Amortization of prior service credit | (181) | (181) | (3,516) |
Amortization of actuarial loss | 10,352 | 6,371 | 5,525 |
Settlement cost | 1,964 | 2,460 | 202 |
Total other comprehensive income (loss) | 17,087 | (36,337) | (4,891) |
Comprehensive income | $ 1,351,012 | $ 833,194 | $ 797,880 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 218,283 | $ 160,840 |
Trade accounts receivable | 104,164 | 138,779 |
Other accounts receivable | 25,007 | 14,561 |
Inventory | 185,735 | 182,345 |
Energy commodity derivatives contracts, net | 55,011 | 0 |
Energy commodity derivatives deposits | 0 | 36,690 |
Other current assets | 58,143 | 63,396 |
Total current assets | 646,343 | 596,611 |
Property, plant and equipment | 7,628,592 | 7,235,468 |
Less: accumulated depreciation | 1,830,411 | 1,682,633 |
Net property, plant and equipment | 5,798,181 | 5,552,835 |
Investments in non-controlled entities | 1,076,306 | 1,082,511 |
Long-term receivables | 20,844 | 27,676 |
Goodwill | 53,260 | 53,260 |
Other intangibles (less accumulated amortization of $1,389 and $2,979 at December 31, 2017 and 2018, respectively) | 51,174 | 52,764 |
Restricted cash | 90,978 | 15,228 |
Other noncurrent assets | 10,451 | 13,490 |
Total assets | 7,747,537 | 7,394,375 |
Current liabilities: | ||
Accounts payable | 138,735 | 104,852 |
Accrued payroll and benefits | 70,276 | 56,261 |
Accrued interest payable | 63,258 | 70,657 |
Accrued taxes other than income | 53,093 | 51,343 |
Environmental liabilities | 9,153 | 6,235 |
Deferred revenue | 121,085 | 117,795 |
Accrued product purchases | 75,482 | 96,159 |
Energy commodity derivatives contracts, net | 0 | 25,694 |
Energy commodity derivatives deposits | 37,328 | 0 |
Current portion of long-term debt, net | 59,489 | 250,974 |
Other current liabilities | 48,657 | 56,540 |
Total current liabilities | 676,556 | 836,510 |
Long-term debt | 4,211,380 | 4,273,518 |
Long-term pension and benefits | 122,580 | 111,305 |
Other noncurrent liabilities | 82,240 | 30,350 |
Environmental liabilities | 11,347 | 13,039 |
Commitments and contingencies | ||
Partners' capital: | ||
Limited partner unitholders (228,025 units and 228,195 units outstanding at December 31, 2017 and 2018, respectively) | 2,763,925 | 2,267,231 |
Accumulated other comprehensive loss | (120,491) | (137,578) |
Total partners’ capital | 2,643,434 | 2,129,653 |
Total liabilities and partners' capital | $ 7,747,537 | $ 7,394,375 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Other intangibles, accumulated amortization | $ 2,979 | $ 1,389 |
Limited partner unitholders, units outstanding (in shares) | 228,195,160 | 228,024,556 |
Consolidated Statments of Cash
Consolidated Statments of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Operating Activities: | ||||
Net income | $ 1,333,925 | $ 869,531 | $ 802,771 | |
Adjustments to reconcile net income to net cash provided by operating activities: | ||||
Depreciation and amortization expense | 265,077 | 196,630 | 178,142 | |
Gain on sale and retirement of assets | (328,055) | (5,135) | (16,954) | |
Earnings of non-controlled entities | (181,117) | (120,994) | (78,696) | |
Distributions from operations of non-controlled entities | 196,686 | 146,211 | 87,987 | |
Equity-based incentive compensation expense | 32,053 | 20,641 | 19,358 | |
Settlement cost, amortization of prior service credit and actuarial loss | 12,135 | 8,650 | 2,211 | |
Changes in components of operating assets and liabilities (Note 4) | 22,246 | 15,695 | (21,515) | |
Net cash provided by operating activities | 1,352,950 | 1,131,229 | 973,304 | |
Investing Activities: | ||||
Additions to property, plant and equipment | [1] | (552,257) | (558,669) | (674,159) |
Proceeds from sale and disposition of assets | 576,568 | 44,392 | 7,552 | |
Investments in non-controlled entities | (216,424) | (134,828) | (200,023) | |
Distributions from returns of investments in non-controlled entities | 1,786 | 55,931 | 0 | |
Deposits received from undivided joint interest third party | 71,071 | 0 | 0 | |
Net cash used by investing activities | (119,256) | (593,174) | (866,630) | |
Financing Activities: | ||||
Distributions paid | (865,431) | (803,216) | (739,157) | |
Net commercial paper repayments | 0 | (49,986) | (229,975) | |
Borrowings under long-term notes | 0 | 496,705 | 1,142,997 | |
Payments on notes | (250,000) | 0 | (250,000) | |
Debt placement costs | (404) | (6,316) | (10,906) | |
Net receipt (payment) on financial derivatives | 24,619 | 0 | (19,287) | |
Payments associated with settlement of equity-based incentive compensation | (9,285) | (13,875) | (14,376) | |
Net cash used by financing activities | (1,100,501) | (376,688) | (120,704) | |
Change in cash, cash equivalents and restricted cash | 133,193 | 161,367 | (14,030) | |
Cash, cash equivalents and restricted cash at beginning of period | 176,068 | 14,701 | 28,731 | |
Cash, cash equivalents and restricted cash at end of period | 309,261 | 176,068 | 14,701 | |
Noncash Investing and Financing Items [Abstract] | ||||
Contribution of property, plant and equipment to a non-controlled entity | 0 | 97,638 | 0 | |
Issuance of limited partner units in settlement of equity-based incentive plan awards | 120 | 1,669 | 7,289 | |
Additions to property, plant and equipment | (562,296) | (572,744) | (653,528) | |
Changes in accounts payable and other current liabilities related to capital expenditures | 10,039 | 14,075 | (20,631) | |
Additions to property, plant and equipment, net | [1] | $ (552,257) | $ (558,669) | $ (674,159) |
[1] | (1) Additions to property, plant and equipment$(653,528)$(572,744)$(562,296)Changes in accounts payable and other current liabilities related to capital expenditures (20,631)14,07510,039Additions to property, plant and equipment, net $(674,159)$(558,669)$(552,257) |
Consolidated Statement Of Partn
Consolidated Statement Of Partners' Capital - USD ($) $ in Thousands | Total | Limited Partner [Member] | Accumulated Other Comprehensive Loss [Member] |
Net income | $ 802,771 | $ 802,771 | |
Balance at Dec. 31, 2015 | 2,021,736 | 2,118,086 | $ (96,350) |
Comprehensive income: | |||
Total other comprehensive income | (4,891) | (4,891) | |
Total comprehensive income (loss) | 797,880 | 802,771 | (4,891) |
Distributions | (739,157) | (739,157) | |
Equity-based incentive compensation expense | 19,358 | 19,358 | |
Issuance of limited partner units in settlement of equity-based incentive plan awards | 7,289 | 7,289 | |
Payments associated with settlement of equity-based incentive compensation | (14,376) | (14,376) | |
Other | (625) | (625) | |
Balance at Dec. 31, 2016 | 2,092,105 | 2,193,346 | (101,241) |
Net income | 869,531 | 869,531 | |
Comprehensive income: | |||
Total other comprehensive income | (36,337) | (36,337) | |
Total comprehensive income (loss) | 833,194 | 869,531 | (36,337) |
Distributions | (803,216) | (803,216) | |
Equity-based incentive compensation expense | 20,641 | 20,641 | |
Issuance of limited partner units in settlement of equity-based incentive plan awards | 1,669 | 1,669 | |
Payments associated with settlement of equity-based incentive compensation | (13,875) | (13,875) | |
Other | (865) | (865) | |
Balance at Dec. 31, 2017 | 2,129,653 | 2,267,231 | (137,578) |
Net income | 1,333,925 | 1,333,925 | |
Comprehensive income: | |||
Total other comprehensive income | 17,087 | 17,087 | |
Total comprehensive income (loss) | 1,351,012 | 1,333,925 | 17,087 |
Distributions | (865,431) | (865,431) | |
Equity-based incentive compensation expense | 32,053 | 32,053 | |
Issuance of limited partner units in settlement of equity-based incentive plan awards | 120 | 120 | |
Payments associated with settlement of equity-based incentive compensation | (9,285) | (9,285) | |
ASC 606 cumulative effect | 5,975 | 5,975 | |
Other | (663) | (663) | |
Balance at Dec. 31, 2018 | $ 2,643,434 | $ 2,763,925 | $ (120,491) |
Organization and Description of
Organization and Description of Business | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Description of Business | Organization and Description of Business Organization Unless indicated otherwise, the terms “our,” “we,” “us” and similar language refer to Magellan Midstream Partners, L.P. together with its subsidiaries. Magellan Midstream Partners, L.P. is a Delaware limited partnership and its limited partner units trade on the New York Stock Exchange under the ticker symbol “MMP.” Magellan GP, LLC, a wholly owned Delaware limited liability company, serves as its general partner. Description of Business We are principally engaged in the transportation, storage and distribution of refined petroleum products and crude oil. As of December 31, 2018, our asset portfolio consisted of: • our refined products segment, comprised of our approximately 9,700 -mile refined products pipeline system with 53 terminals as well as 25 independent terminals not connected to our pipeline system and our 1,100 -mile ammonia pipeline system; • our crude oil segment, comprised of approximately 2,200 miles of crude oil pipelines, our condensate splitter and 33 million barrels of aggregate storage capacity, of which 21 million barrels are used for contract storage. Approximately 1,000 miles of these pipelines and 28 million barrels of this storage capacity (including 19 million barrels used for contract storage) are wholly-owned, and the remainder is owned through joint ventures; and • our marine storage segment, consisting of six marine terminals located along coastal waterways with an aggregate storage capacity of approximately 27 million barrels. Five of these terminals and approximately 25 million barrels of this storage capacity are wholly-owned, and the remainder is owned through joint ventures. Description of Products Terminology common in our industry includes the following terms, which describe products that we transport, store and distribute through our petroleum pipelines and terminals: • refined products are the output from refineries and are primarily used as fuels by consumers. Refined products include gasoline, diesel fuel, aviation fuel, kerosene and heating oil. Collectively, diesel fuel, kerosene and heating oil are referred to as distillate; • liquefied petroleum gases, or LPGs, are produced as by-products of the crude oil refining process and in connection with natural gas production. LPGs include butane and propane; • blendstocks are blended with refined products to change or enhance their characteristics such as increasing a gasoline’s octane or oxygen content. Blendstocks include alkylates, oxygenates and natural gasoline; • heavy oils and feedstocks are used as burner fuels or feedstocks for further processing by refineries and petrochemical facilities. Heavy oils and feedstocks include No. 6 fuel oil and vacuum gas oil; • crude oil, which includes condensate, is used as feedstock by refineries, splitters and petrochemical facilities; and • biofuels , such as ethanol and biodiesel, are typically blended with other refined products as required by government mandates. We use the term petroleum products to describe any, or a combination, of the above-noted products. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Significant Accounting Policies Basis of Presentation. Our consolidated financial statements include our refined products, crude oil and marine storage operating segments. We consolidate all entities in which we have a controlling ownership interest. We apply the equity method of accounting to investments in entities over which we exercise significant influence but do not control. We eliminate all intercompany transactions. Reclassifications. Prior year amounts related to restricted cash have been reclassified to conform with the current period’s presentation. Use of Estimates. The preparation of our consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities that exist at the date of our consolidated financial statements, as well as their impact on the reported amounts of revenue and expense during the reporting periods. Actual results could differ from those estimates. Cash Equivalents. Cash and cash equivalents include demand and time deposits and funds that own highly marketable securities with original maturities of three months or less when acquired. We periodically assess the financial condition of the institutions where we hold these funds, and, at December 31, 2017 and 2018 , we believed our credit risk relative to these funds was minimal. Restricted Cash. Restricted cash includes cash held by us, which is contractually required to be used for the construction of fixed assets and is unavailable for general use. It is classified as noncurrent due to its designation to be used for the construction of noncurrent assets. Accounts Receivable and Allowance for Doubtful Accounts. Accounts receivable represent valid claims against customers. We recognize accounts receivable when we sell products or render services and collection of the receivable is probable. We extend credit terms to certain customers based on historical dealings and to other customers after a review of various credit indicators. We establish an allowance for doubtful accounts for all or any portion of an account where we consider collections to be at risk and evaluate reserves no less than quarterly to determine their adequacy. Judgments relative to at-risk accounts include the customers’ current financial condition, the customers’ historical relationship with us and current and projected economic conditions. We write off accounts receivable when we deem an account uncollectible. Product Overages and Shortages. Each period end we measure the volume of each type of product in our pipeline systems and terminals, which is compared to the volumes of our customers’ inventories (as adjusted for tender deductions). To the extent the product volumes in our pipeline systems and terminals exceed the volumes of our customers’ book inventories, we recognize a gain from the product overage and increase our product inventories. To the extent the product in our pipeline systems and terminals is less than our customers’ book inventories, we recognize a loss from the product shortage and we record a liability for product owed to our customers. The product overages we recognize are recorded based on market prices, and the resulting inventory is carried at weighted average cost. The product shortages we recognize are recorded based on our weighted average cost. Additionally, when product shortages result in a net short inventory position, the related liability is recorded based on period-end market prices. Product overages and shortages as well as adjustments to the value of net short inventory positions are recorded in operating expenses on our consolidated statements of income. Income Taxes. We are a partnership for income tax purposes and, therefore, are not subject to federal or state income taxes for most of the states in which we operate. The tax on our net income is borne by our limited partners through allocation to them of their share of taxable income. Net income for financial statement purposes may differ significantly from taxable income of unitholders because of differences between the tax basis and financial reporting basis of assets and liabilities and the taxable income allocation requirements under our partnership agreement. The aggregate difference in the basis of our net assets for financial and tax reporting purposes cannot be readily determined because information regarding each partner’s tax attributes is not available to us. The amounts recognized as provision for income taxes in our consolidated statements of income are primarily comprised of partnership-level taxes levied by the state of Texas. This tax is based on revenues less direct costs of sale for our assets apportioned to the state of Texas. Net Income Per Unit. We calculate basic net income per limited partner unit for each period by dividing net income by the weighted-average number of limited partner units outstanding. The difference between our actual limited partner units outstanding and our weighted-average number of limited partner units outstanding used to calculate net income per limited partner unit is due to the impact of: (i) the phantom units issued to independent directors, which are included in the calculation of basic and diluted weighted average units outstanding and (ii) the weighted-average effect of units actually issued during a period. The difference between the weighted-average number of limited partner units outstanding used for basic and diluted net income per unit calculations on our consolidated statements of income is primarily the dilutive effect of phantom unit grants associated with our long-term incentive plan, which have not yet vested in periods where contingent performance metrics have been met. Correction of Actuarial Valuation Error. In 2018, an error was discovered in our third-party actuary’s valuation of our pension liabilities and net periodic pension expenses dating back to 2010. The impacts of the error were not material to any of our prior period financial statements and the cumulative impact was corrected in 2018. As a result, net periodic pension expenses were increased by $19.4 million ( $7.8 million operating expense, $4.7 million general and administrative (“G&A”) costs and $6.9 million other (income) expense below operating profit on our consolidated statements of income). In addition, long-term pension and benefits was increased $22.2 million and accumulated other comprehensive loss was increased by $2.8 million on our consolidated balance sheets. Index of Additional Significant Accounting Policies Revenue from Contracts with Customers Note 3 – Revenue Investments in Non-Controlled Entities Note 5 – Investments in Non-Controlled Entities Inventory Note 6 – Inventory Property, Plant and Equipment Note 7 – Property, Plant and Equipment Impairment of Long-Lived Assets Note 7 – Property, Plant and Equipment Goodwill and Other Intangible Assets Note 7 – Property, Plant and Equipment Pension and Postretirement Medical and Life Benefit Obligations Note 9 – Employee Benefit Plans Derivative Financial Instruments Note 12 – Derivative Financial Instruments Equity-Based Incentive Compensation Note 14 – Long-Term Incentive Plan Contingencies and Environmental Note 16 – Commitments and Contingencies New Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842). This ASU requires lessees to recognize a right of use asset and lease liability on the balance sheet for all leases, with the exception of short-term leases. The new accounting model for lessors remains largely the same, although some changes have been made to align it with the new lessee model and the new revenue recognition guidance. This update also requires companies to include additional disclosures regarding their lessee and lessor agreements. For public companies, this ASU is effective for fiscal years that start after December 15, 2018, and early adoption is permitted. This standard will not have a material impact on our consolidated statements of income or our leverage ratio as defined in our credit agreement. Based on our current population of leases, we expect the impact of this ASU to increase our assets and liabilities by approximately $180.0 million due to the recognition of right of use assets and lease liabilities. New Accounting Pronouncements - Adopted by us on January 1, 2018 In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities . This update changes GAAP’s hedge accounting requirements to simplify some of the specialized treatment’s most complex areas. These simplifications are intended to expand opportunities to use hedge accounting and better align the accounting treatment with existing risk management activities. The ASU is effective for public companies starting after December 15, 2018, and we early-adopted the new standard on January 1, 2018. The adoption of this ASU did not have a material impact on our consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments: A Consensus of the FASB Emerging Issues Task Force . This ASU includes a requirement to make an accounting policy election to classify distributions received from equity method investees under either (1) the cumulative earnings approach, where distributions in excess of equity earnings are considered a return of capital and classified as cash inflows from investing activities, or (2) the nature of the distribution approach, where each distribution is evaluated on the basis of the source of the payment and classified as either operating or investing cash inflows. We adopted this standard on January 1, 2018 using the retrospective transition method and made an accounting policy election to use the nature of the distribution approach, which resulted in the following adjustments to our December 31, 2016 and 2017 comparative statements of cash flows (in thousands): Year Ended December 31, 2016 Year Ended December 31, 2017 As Reported ASU 2016-15 Adjustment As Adjusted As Reported ASU 2016-15 Adjustment As Adjusted Operating activities: Distributions from operations of non-controlled entities $ 78,723 $ 9,264 $ 87,987 $ 123,660 $ 22,551 $ 146,211 Net cash provided by operating activities $ 964,040 $ 9,264 $ 973,304 $ 1,108,678 $ 22,551 $ 1,131,229 Investing activities: Distributions from returns of investments in non-controlled entities $ 9,264 $ (9,264 ) $ — $ 78,482 $ (22,551 ) $ 55,931 Net cash used by investing activities $ (857,366 ) $ (9,264 ) $ (866,630 ) $ (570,623 ) $ (22,551 ) $ (593,174 ) In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). This ASU amends the existing accounting standards for revenue recognition and is based on the principle that revenue should be recognized to depict the transfer of goods or services to a customer at an amount that reflects the consideration a company expects to receive in exchange for those goods or services. On January 1, 2018, we adopted the new Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers and all related amendments using the modified retrospective method. We recognized the cumulative effect of initially applying the new revenue standard as an adjustment to the opening balance of partners’ capital. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The cumulative effect of the changes made to our consolidated January 1, 2018 balance sheet resulting from the adoption of the new revenue standard was as follows (in thousands): Balance at December 31, 2017 Adjustments Due to ASU 2014-09 Balance at January 1, 2018 Assets: Property, plant and equipment $ 7,235,468 $ 8,516 $ 7,243,984 Accumulated depreciation (1,682,633 ) (325 ) (1,682,958 ) Net property, plant and equipment $ 5,552,835 $ 8,191 $ 5,561,026 Investments in non-controlled entities $ 1,082,511 $ 502 $ 1,083,013 Liabilities: Deferred revenue $ 117,795 $ (1,901 ) $ 115,894 Other noncurrent liabilities $ 30,350 $ 4,619 $ 34,969 Partners’ capital: Limited partner unitholders $ 2,267,231 $ 5,975 $ 2,273,206 The primary changes impacting our financial statements under the new revenue standard include the requirement for us to estimate deficiencies in our customers’ use of our services contracted as minimum commitments and adjust the amount of revenue recognized in proportion to our customers’ pattern of exercised rights. This change results in accelerating the timing of revenue recognized for specific contracts for which we estimate our customers will not ship their minimum commitments. In addition, we periodically receive payments from customers seeking to expand their access to our pipeline systems and terminals. Prior to the adoption of the new revenue standard, these payments were recorded as reductions to our property, plant and equipment (“PP&E”) expenditures. Under the new revenue standard, these payments are recorded to deferred revenue and other noncurrent liabilities and are recognized as revenue in proportion to the related services provided. The impact of this change increases our revenues, contract liabilities, PP&E and depreciation expense. We expect the impact of the adoption of the new revenue standard, including these changes, to be immaterial to our net income on an ongoing basis. |
Revenue from Contract with Cust
Revenue from Contract with Customer (Notes) | 12 Months Ended |
Dec. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | Revenue Adoption of ASC 606, Revenue from Contracts with Customers The table below provides the amount by which financial statement line items are affected in the current reporting period by the application of the new revenue standard, as compared with the guidance that was in effect before the change (in thousands): As Reported Amounts without adoption of ASC 606 Effect of Change Higher/(Lower) Statements of Income: Year Ended December 31, 2018 Transportation and terminals revenue $ 1,878,988 $ 1,871,471 $ 7,517 Depreciation, amortization and impairment $ 265,077 $ 264,733 $ 344 Balance Sheet: As of December 31, 2018 Assets: Property, plant and equipment $ 7,628,592 $ 7,610,591 $ 18,001 Accumulated depreciation 1,830,411 1,829,742 669 Net property, plant and equipment $ 5,798,181 $ 5,780,849 $ 17,332 Investments in non-controlled entities $ 1,076,306 $ 1,075,805 $ 501 Liabilities: Deferred revenue $ 121,085 $ 125,717 $ (4,632 ) Other noncurrent liabilities $ 82,240 $ 72,922 $ 9,318 Partners’ capital: Limited partner unitholders $ 2,763,925 $ 2,750,778 $ 13,147 Revenue recognition policies Revenue is recognized upon the satisfaction of each performance obligation required by our customer contracts. Transportation and terminals revenue is recognized over time as our customers receive the benefits of our service as it is performed on their behalf using an output method based on actual deliveries. Revenue for our storage services is recognized over time using an output method based on the capacity of storage under contract with our customers. Product sales revenue is recognized at a point in time when our customers take control of the commodities purchased. We record back-to-back purchases and sales of petroleum products where we are acting as an agent on a net basis. We recognize pipeline transportation revenue for crude oil and ammonia shipments when our customers’ product arrives at the customer-designated destination. For shipments of refined products under published tariffs that combine transportation and terminalling services, we recognize revenue when our customers take delivery of their product from our system. For shipments where terminalling services are not included in the tariff, we recognize revenue when our customers’ product arrives at the customer-designated destination. We have certain contracts that require counterparties to ship a minimum volume over an agreed-upon time period, which are contracted as minimum dollar or volume commitments. Revenue pursuant to these take-or-pay contracts is recognized when the customers utilize their committed volumes. Additionally, when we estimate that the customers will not utilize all or a portion of their committed volumes, we recognize revenue in proportion to the pattern of exercised rights for the respective commitment period. Our interstate common carrier petroleum products pipeline operations are subject to rate regulation by the Federal Energy Regulatory Commission (“FERC”) under the Interstate Commerce Act, the Energy Policy Act of 1992 and rules and orders promulgated pursuant thereto. FERC regulation requires that interstate pipeline rates be filed with the FERC, be posted publicly and be nondiscriminatory and “just and reasonable.” The rates on approximately 40% of the shipments on our refined products pipeline system are regulated by the FERC primarily through an index methodology. As an alternative to cost-of-service or index-based rates, interstate pipeline companies may establish rates by obtaining authority to charge market-based rates in competitive markets or by negotiation with unaffiliated shippers. Approximately 60% of our refined products pipeline system’s markets are either subject to regulations by the states in which we operate or are approved for market-based rates by the FERC, and in both cases these rates can generally be adjusted at our discretion based on market factors. Most of the tariffs on our crude oil pipelines are established by negotiated rates that generally provide for annual adjustments in line with changes in the FERC index, subject to certain modifications. For both our index-based rates and our market-based rates, our published tariffs serve as contracts, and shippers nominate the volume to be shipped up to a month in advance. These tariffs include provisions which allow us to deduct from our customer’s inventory a small percentage of the products our customers transport on our pipeline systems. We refer to this non-monetary consideration as tender deduction revenue. We receive tender deductions from our customers as consideration for product losses during the transportation of petroleum products within our pipeline systems. Tender deduction revenue is generally recognized as transportation revenue when the customer's transported commodities reach their destination and is recorded at the fair value of the product received on the date received or the contract date, as applicable. Product sales revenue pricing is contractually specified, and we have determined that each barrel sold represents a separate performance obligation. Transaction prices for our other services including terminalling, storage and ancillary services are typically contracted as a single performance obligation with our customers. In circumstances where multiple performance obligations are contractually required, we allocate the transaction price to the various performance obligations based on their relative standalone selling price. Statement of Income Disclosures The following tables provide details of our revenues disaggregated by key activities that comprise our performance obligations by operating segment (in thousands): Year Ended December 31, 2018 Refined Products Crude Oil Marine Storage Intersegment Eliminations Total Transportation $ 749,266 $ 337,690 $ — $ — $ 1,086,956 Terminalling 179,999 6,365 2,649 — 189,013 Storage 100,564 119,606 135,963 (3,691 ) 352,442 Ancillary services 111,009 25,590 25,674 — 162,273 Lease revenue 11,142 60,598 16,564 — 88,304 Transportation and terminals revenue 1,151,980 549,849 180,850 (3,691 ) 1,878,988 Product sales revenue 872,144 46,767 8,309 — 927,220 Affiliate management fee revenue 1,512 14,832 4,021 — 20,365 Total revenue 2,025,636 611,448 193,180 (3,691 ) 2,826,573 Revenue not under the guidance of ASC 606: Lease revenue (1) (11,142 ) (60,598 ) (16,564 ) — (88,304 ) (Gains) losses from futures contracts included in product sales revenue (2) (85,643 ) 632 — — (85,011 ) Affiliate management fee revenue (1,512 ) (14,832 ) (4,021 ) — (20,365 ) Total revenue from contracts with customers under ASC 606 $ 1,927,339 $ 536,650 $ 172,595 $ (3,691 ) $ 2,632,893 (1) Lease revenue is accounted for under ASC 840, Leases . (2) The impact on product sales revenue from futures contracts falls under the guidance of ASC 815, Derivatives and Hedging . Balance Sheet Disclosures We invoice customers on our refined products pipelines for transportation services when their product enters our system. At each period end, we record all invoiced amounts associated with products that have not yet been delivered (in-transit products) as a contract liability. This liability is presented as deferred revenue on our consolidated balance sheets. Deferred revenue is also recorded for pre-payments received in conjunction with take-or-pay contracts, storage contracts and other service offerings in which the service to our customers remains unfulfilled. Additionally, at each period end, we defer the direct costs we have incurred associated with our customers’ in-transit products as contract assets. Contract assets are presented on our consolidated balance sheets as other current assets. These direct costs are estimated based on our per-barrel direct delivery cost for the current period multiplied by the total in-transit barrels in our system at the end of the period multiplied by 50% to reflect the average transportation costs incurred for all products across all of our pipeline systems. We use 50% of the in-transit barrels because that best represents the average delivery point of all barrels in our pipeline system. These contract assets and contract liabilities are determined using judgments and assumptions that management considers reasonable. The following table summarizes our accounts receivable, contract assets and contract liabilities resulting from contracts with customers (in thousands): January 1, 2018 December 31, 2018 Accounts receivable from contracts with customers $ 133,084 $ 102,684 Contract assets $ 8,615 $ 8,487 Contract liabilities $ 106,933 $ 122,129 For the year ended December 31, 2018 , we recognized $79.3 million of transportation and terminals revenue that was recorded in deferred revenue as of January 1, 2018. Unfulfilled Performance Obligations We have certain contracts with customers that represent customer commitments to purchase a minimum amount of our services over specified time periods. These contracts require us to provide services to our customers in the future and result in our having unfulfilled performance obligations (“UPOs”) to our customers related to the periods remaining under each contract. We have UPOs in many of our core business services, including transportation, terminalling and storage services. The UPOs will be recognized as revenue in the future as our customers utilize our services or when we estimate that our customers are not likely to use all or a portion of their commitments. The following table provides the aggregate amount of the transaction price allocated to our UPOs as of December 31, 2018 by operating segment, including the range of years remaining on our contracts with customers and an estimate of revenues expected to be recognized over the next 12 months (dollars in thousands): Refined Products Crude Oil Marine Storage Total Balances at December 31, 2018 $ 2,116,460 $ 1,310,734 $ 323,627 $ 3,750,821 Remaining terms 1 - 20 years 1 - 10 years 1 - 6 years Estimated revenues from UPOs to be recognized in the next 12 months $ 286,224 $ 318,919 $ 150,171 $ 755,314 In computing the value of these future revenues, we have used the current rates in effect as of December 31, 2018 and have not included any estimates for future rate changes due to changes in the FERC index or other contractually negotiated rate escalations. Our UPO balances include the full amount of our customer commitments as of December 31, 2018 through the expiration of the related contracts. The UPO balances disclosed exclude all performance obligations for which the original expected term is one year or less, the consideration is variable or the future use of our services is fully at the discretion of our customers. |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - Supplemental Disclosures | 12 Months Ended |
Dec. 31, 2018 | |
Supplemental Cash Flow Information [Abstract] | |
Consolidated Statements of Cash Flows - Supplemental Disclosures | Consolidated Statements of Cash Flows Changes in the components of operating assets and liabilities are as follows (in thousands): Year Ended December 31, 2016 2017 2018 Trade accounts receivable and other accounts receivable $ (31,107 ) $ (25,639 ) $ 24,169 Inventory (3,510 ) (47,967 ) (3,390 ) Energy commodity derivatives contracts, net of derivatives deposits (692 ) 8,556 (7,078 ) Accounts payable (4,423 ) 8,954 21,146 Accrued payroll and benefits (6,074 ) 10,596 14,015 Accrued interest payable 14,347 5,014 (7,399 ) Accrued taxes other than income (1,421 ) 1,177 1,750 Deferred revenue 20,264 15,904 5,191 Accrued product liabilities 20,261 44,559 (20,677 ) Current and noncurrent environmental liabilities (7,398 ) (4,766 ) 1,226 Other current and noncurrent assets and liabilities (21,762 ) (693 ) (6,707 ) Total $ (21,515 ) $ 15,695 $ 22,246 Other current and noncurrent assets and liabilities above exclude certain non-cash items that were reflected in the consolidated balance sheets but were not reflected in the statements of cash flows. At December 31, 2016 , 2017 and 2018 , the long-term pension and benefits liability was increased by $2.5 million , $46.0 million and $2.3 million , respectively, resulting in a corresponding increase in accumulated other comprehensive loss (“AOCL”). |
Investments in Non-Controlled E
Investments in Non-Controlled Entities | 12 Months Ended |
Dec. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investments in Non-Controlled Entities | Investments in Non-Controlled Entities We account for interests in affiliates that we do not control using the equity method of accounting. Under this method, an investment is recorded at our acquisition cost or capital contributions, as adjusted by contractual terms, plus equity in earnings or losses since acquisition or formation, plus interest capitalized, less distributions received and amortization of interest capitalized and excess net investment. Excess net investment is the amount by which our investment in a non-controlled entity exceeded our proportionate share of the book value of the net assets of that investment. We amortize excess net investment over the weighted-average depreciable asset lives of the equity investee. Our unamortized excess net investment was $59.7 million and $34.8 million at December 31, 2017 and 2018 , respectively. The amount of unamortized excess investment is primarily related to our investment in BridgeTex. We evaluate equity method investments for impairment whenever events or circumstances indicate that there is an other-than-temporary loss in value of the investment. In the event that we determine that the loss in value of an investment is other-than-temporary, we would record a charge to earnings to adjust the carrying value to fair value. We recognized no equity investment impairments during 2016 , 2017 and 2018 . Our investments in non-controlled entities at December 31, 2018 were comprised of: Entity Ownership Interest BridgeTex Pipeline Company, LLC (“BridgeTex”) 30% Double Eagle Pipeline LLC (“Double Eagle”) 50% HoustonLink Pipeline Company, LLC (“HoustonLink”) 50% MVP Terminalling, LLC (“MVP”) 50% Powder Springs Logistics, LLC (“Powder Springs”) 50% Saddlehorn Pipeline Company, LLC (“Saddlehorn”) 40% Seabrook Logistics, LLC (“Seabrook”) 50% Texas Frontera, LLC (“Texas Frontera”) 50% In September 2018, we sold a 20% interest in BridgeTex to an affiliate of OMERS Infrastructure Management Inc. (“OMERS”), which reduced our ongoing ownership in BridgeTex to a 30% interest. We received $575.6 million in net proceeds from the sale, and we recorded a gain of $353.8 million on our consolidated statements of income. See Note 16 – Commitments and Contingencies for details regarding our indemnity to OMERS that was recorded in relation to the sale. We own a 50% equity interest in MVP, with an affiliate of Valero Energy Corporation (“Valero”) owning the other 50% interest. Upon formation of MVP in September 2017, we contributed $97.6 million of PP&E to this entity. Concurrently, Valero contributed cash of $48.8 million , which was distributed to us as reimbursement for Valero’s portion of the PP&E we contributed. The $48.8 million is reflected as distributions from returns of investments in non-controlled entities on our consolidated statements of cash flows. We serve as operator of BridgeTex, HoustonLink, MVP, Powder Springs, Saddlehorn, Texas Frontera and the pipeline activities of Seabrook. We receive fees for management services as well as reimbursement or payment to us for certain direct operational payroll and other overhead costs. The management fees we have received are reported as affiliate management fee revenue on our consolidated statements of income. Cost reimbursements we receive from these entities in connection with our operating services are included as reductions to costs and expenses on our consolidated statements of income and totaled $4.2 million , $3.6 million and $3.9 million , respectively, for the years ended December 31, 2016 , 2017 and 2018 . We recorded the following revenue and expense transactions from certain of these non-controlled entities in our consolidated statements of income (in millions): Year Ended December 31, 2016 2017 2018 Transportation and terminals revenue: BridgeTex, capacity lease $ 35.5 $ 36.1 $ 39.6 Double Eagle, throughput revenue $ 3.3 $ 4.7 $ 5.2 Saddlehorn, storage revenue $ 0.7 $ 2.1 $ 2.2 Operating costs: Seabrook, storage and ancillary services $ — $ — $ 10.6 MVP, sale of air emission reduction credits (reduction of operating costs) $ — $ — $ (2.2 ) Product sales revenue: Powder Springs, butane sales $ — $ — $ 4.9 Cost of product sales: BridgeTex, transportation charges $ — $ 14.5 $ — Powder Springs, butane purchases $ — $ — $ 0.4 Our consolidated balance sheets reflected the following balances related to our investments in non-controlled entities (in millions): December 31, 2017 December 31, 2018 Trade Accounts Receivable Other Accounts Receivable Other Accounts Payable Trade Accounts Receivable Other Accounts Receivable Other Accounts Payable Long-Term Receivables BridgeTex $ — $ — $ — $ 0.3 $ 1.5 $ — $ — Double Eagle $ 0.5 $ — $ — $ 0.5 $ — $ — $ — HoustonLink $ — $ — $ 0.1 $ — $ — $ — $ — MVP $ — $ 0.4 $ — $ — $ 0.4 $ — $ — Powder Springs $ — $ 0.9 $ — $ — $ — $ — $ 2.2 Saddlehorn $ — $ 0.1 $ — $ — $ 0.2 $ — $ — Seabrook $ — $ 0.2 $ — $ — $ — $ 1.1 $ — We have entered into a long-term lease for 1.7 million barrels of storage from Seabrook (see Note 13 – Leases for future minimum annual rentals under this lease) which is connected to our Houston distribution system. This agreement also provides us with designated access to Seabrook’s docks for crude oil import and export opportunities. We in turn generate revenue by providing this storage capacity and dock access to our third-party customers. We incurred charges for transportation of crude oil at published spot tariff rates on the BridgeTex pipeline of $14.5 million for the year ended December 31, 2018, which were recorded as cost of product sales in our consolidated statements of income. We purchased inventory from BridgeTex valued at $6.7 million during 2017. The financial results from MVP and Texas Frontera are included in our marine storage segment, the financial results from BridgeTex, Double Eagle, HoustonLink, Saddlehorn and Seabrook are included in our crude oil segment and the financial results from Powder Springs are included in our refined products segment, each as earnings of non-controlled entities. A summary of our investments in non-controlled entities (representing only our proportionate interests) follows (in thousands): Investments at December 31, 2017 $ 1,082,511 Additional investment 216,424 Sale of ownership interest in BridgeTex (205,776 ) Other adjustments 502 Earnings of non-controlled entities: Proportionate share of earnings 183,317 Amortization of excess investment and capitalized interest (2,200 ) Earnings of non-controlled entities 181,117 Less: Distributions from operations of non-controlled entities 196,686 Distributions from returns of investments in non-controlled entities 1,786 Investments at December 31, 2018 $ 1,076,306 Summarized financial information of our non-controlled entities (representing 100% of the interests in these entities) follows (in thousands): December 31, 2017 2018 Current assets $ 229,342 $ 258,698 Noncurrent assets 2,057,892 2,461,456 Total assets $ 2,287,234 $ 2,720,154 Current liabilities $ 122,198 $ 170,558 Noncurrent liabilities 74,533 73,700 Total liabilities $ 196,731 $ 244,258 Equity $ 2,090,503 $ 2,475,896 Year Ended December 31, 2016 2017 2018 Revenue $ 279,180 $ 419,214 $ 631,420 Net income $ 164,684 $ 256,423 $ 416,128 |
Inventory
Inventory | 12 Months Ended |
Dec. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Inventory | Inventory Inventory is comprised primarily of refined products, liquefied petroleum gases, transmix, crude oil and additives, which are stated and relieved at the lower of average cost or net realizable value. Inventory at December 31, 2017 and 2018 was as follows (in thousands): December 31, 2017 2018 Refined products $ 73,845 $ 92,751 Liquefied petroleum gases 45,553 46,612 Transmix 33,319 28,497 Crude oil 23,763 11,220 Additives 5,865 6,655 Total inventory $ 182,345 $ 185,735 During 2018, we recorded lower of average cost or net realizable value adjustments of $18.5 million related to our refined products, transmix and crude oil inventories. |
Property, Plant and Equipment a
Property, Plant and Equipment and Other Intangibles | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment and Other Intangibles | Property, Plant and Equipment, Goodwill and Other Intangibles Property, Plant and Equipment Property, plant and equipment consist primarily of pipeline, pipeline-related equipment, storage tanks and processing equipment. We state property, plant and equipment at cost except for certain acquired assets recorded at fair value on their respective acquisition dates and impaired assets. We record impaired assets at fair value on the last impairment evaluation date for which an adjustment was required. We assign asset lives based on reasonable estimates when we place an asset into service. Subsequent events could cause us to change our estimates, which would affect the future calculation of depreciation expense. When we sell or retire property, plant and equipment, we remove its carrying value and the related accumulated depreciation from our accounts and record any associated gains or losses on our consolidated statements of income in the period of sale or disposition. We capitalize expenditures to replace existing assets and retire the replaced assets. We capitalize expenditures when they extend the useful life, increase the productivity or capacity or improve the safety or efficiency of the asset. We capitalize direct project costs such as labor and materials as incurred. Indirect project costs, such as overhead, are capitalized based on a percentage of direct labor charged to the respective capital project. We charge expenditures for maintenance, repairs and minor replacements to operating expense in the period incurred. During construction, we capitalize interest on all construction projects requiring a completion period of three months or longer and total project costs exceeding $0.5 million . The interest we capitalize is based on the weighted-average interest rate of our debt. The weighted average rates used to capitalize interest on borrowed funds were 4.9% , 4.8% and 4.8% for the years ended December 31, 2016 , 2017 and 2018 , respectively. Property, plant and equipment consisted of the following (in thousands): Estimated Depreciable Lives December 31, 2017 2018 Construction work-in-progress $ 389,414 $ 395,184 Land and rights-of-way 303,797 303,485 Buildings 114,899 119,720 10 to 53 years Storage tanks 1,897,046 2,059,244 10 to 40 years Pipeline and station equipment 2,581,950 2,614,855 10 to 59 years Processing equipment 1,703,478 1,875,029 3 to 56 years Other 244,884 261,075 3 to 53 years Property, Plant and Equipment, Gross $ 7,235,468 $ 7,628,592 Other includes total interest capitalized on construction in progress as of December 31, 2017 and 2018 of $57.3 million and $67.6 million , respectively. Depreciation expense for the years ended December 31, 2016 , 2017 and 2018 was $176.7 million , $196.3 million and $214.4 million , respectively. Goodwill We record the excess of purchase price over the fair value of the tangible and identifiable intangible assets acquired and liabilities assumed as goodwill. The goodwill relating to each of our reporting units is tested for impairment annually as well as when an event, or change in circumstances, indicates an impairment may have occurred. For purposes of performing the impairment test for goodwill, our reporting units are refined products, crude oil and marine storage. In 2016, we elected to perform the qualitative assessment for purposes of our annual goodwill impairment test. Based on this assessment, we concluded that it was more likely than not that the fair value of each of our reporting units was greater than its carrying amount. In 2017 and 2018, we elected to complete the quantitative goodwill impairment test and began with step one of the test as required by ASC 350-20-35-4. Based on this assessment, we concluded that our goodwill was not impaired. Long-Lived Assets and Other Intangibles Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. In reviewing for impairment, the carrying value of such assets is compared to the estimated undiscounted future cash flows expected from the use of the assets and their eventual disposition. If such cash flows are not sufficient to support the asset’s recorded value, an impairment charge is recognized to reduce the carrying value of the long-lived asset to its estimated fair value. The determination of future cash flows as well as the estimated fair value of long-lived assets involves significant estimates on the part of management. During 2018, we made the decision to discontinue commercial operations of our ammonia pipeline beginning in late 2019 due to the system’s low profitability and the expected decline in anhydrous ammonia production. As a result, operations will end in conjunction with the expiry of our existing customer commitments, primarily by late 2019. We have estimated the fair value of the ammonia pipeline assets based on expected future cash flows and recognized a $49.1 million impairment charge in depreciation, amortization and impairment expense on our consolidated statements of income. Other intangible assets with finite lives are amortized over their estimated useful lives of seven years up to 30 years. The weighted-average asset life of our other intangible assets at December 31, 2018 was approximately 20 years. We adjust the useful lives of our other intangible assets if events or circumstances indicate there has been a change in the remaining useful lives. We eliminate from our balance sheets the gross carrying amount and the related accumulated amortization for any fully amortized intangibles in the year they are fully amortized. During the years ended December 31, 2016 , 2017 and 2018 , amortization of other intangible assets was $1.4 million , $0.4 million and $1.6 million , respectively. |
Major Customers and Concentrati
Major Customers and Concentration Of Risks | 12 Months Ended |
Dec. 31, 2018 | |
Major Customers and Concentration Of Risks [Abstract] | |
Major Customers and Concentration Of Risks | Major Customers and Concentration of Risks Major Customers. No customer accounted for more than 10% of our consolidated revenues during 2016 , 2017 or 2018 . Concentration of Risks. We transport, store and distribute petroleum products for refiners, producers, marketers, traders and end users of those products. Our revenue producing activities are concentrated in the central U.S. Concentrations of customers may affect our overall credit risk as our customers may be similarly affected by changes in economic, regulatory or other factors. We generally secure transportation and storage revenue with warehouseman’s liens. We periodically evaluate the financial condition and creditworthiness of our customers and require additional security as we deem necessary. As of December 31, 2018 , we had 1,868 employees, 948 of which were assigned to our refined products segment and concentrated in the central U.S. Approximately 24% of the 948 employees are represented by the United Steel Workers (“USW”) and were covered by a collective bargaining agreement that expired in January 2019 (see Note 19– Subsequent Events for additional information regarding the renegotiation of this agreement). At December 31, 2018 , 160 of our employees were assigned to our crude oil segment and were concentrated in the central U.S., and none of these employees were covered by a collective bargaining agreement. There were 201 employees assigned to our marine storage segment at December 31, 2018 , primarily in the Gulf and East Coast regions of the U.S., with approximately 14% of these employees represented by the International Union of Operating Engineers (“IUOE”) and covered by a collective bargaining agreement that expires in October 2020. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans Our pension and postretirement benefit liabilities represent the funded status of the present value of benefit obligations of our employee benefit plans. We develop pension, postretirement medical and life benefit costs from actuarial valuations. We establish actuarial assumptions to anticipate future events and use those assumptions when calculating the expense and liabilities related to these plans. These factors include assumptions management makes concerning expected investment return on plan assets, discount rates, health care costs trend rates, turnover rates and rates of future compensation increases, among others. In addition, we use subjective factors such as withdrawal and mortality rates to develop actuarial valuations. Management reviews and updates these assumptions on an annual basis. The actuarial assumptions that we use may differ from actual results due to changing market rates or other factors. These differences could affect the amount of pension and postretirement medical and life benefit expense we will recognize in future periods. Defined Contribution Plan. We sponsor a defined contribution plan in which we match our employees’ qualifying contributions, resulting in additional expense to us. Expenses related to the defined contribution plan were $9.6 million , $9.9 million and $11.0 million in 2016 , 2017 and 2018 , respectively. Defined Benefit Plans. We sponsor two union pension plans that cover certain union employees (“USW plan” and “IUOE plan,” collectively, the “Union plans”), a pension plan for all non-union employees (“Salaried plan”) and a postretirement benefit plan for certain employees. The annual measurement date of these plans is December 31. The following table presents the changes in benefit obligations and plan assets for pension benefits and other postretirement benefits, as well as the end-of-period accumulated benefit obligation for the years ended December 31, 2017 and 2018 (in thousands): Pension Benefits Other Postretirement Benefits 2017 2018 2017 2018 Change in benefit obligations: Benefit obligations at beginning of year $ 225,970 $ 297,856 $ 13,011 $ 12,760 Service cost 20,497 38,167 243 243 Interest cost 9,865 14,907 475 416 Plan participants’ contributions — — 280 357 Actuarial loss (gain) 59,686 (21,375 ) (535 ) (599 ) Benefits paid (11,484 ) (14,356 ) (714 ) (1,097 ) Settlement payments (6,678 ) (6,250 ) — — Benefit obligations at end of year 297,856 308,949 12,760 12,080 Change in plan assets: Fair value of plan assets at beginning of year 166,906 198,686 — — Employer contributions 26,533 31,717 434 740 Plan participants’ contributions — — 280 357 Actual return (loss) on plan assets 23,409 (12,207 ) — — Benefits paid (11,484 ) (14,356 ) (714 ) (1,097 ) Settlement payments (6,678 ) (6,250 ) — — Fair value of plan assets at end of year 198,686 197,590 — — Funded status at end of year $ (99,170 ) $ (111,359 ) $ (12,760 ) $ (12,080 ) Accumulated benefit obligations $ 206,480 $ 208,840 The pension benefits in the previous table combine the Union plans with the Salaried plan. At December 31, 2017, the Salaried and IUOE plans had combined accumulated benefit obligations of $154.4 million , which exceeded the combined fair value of plan assets of $145.9 million . At December 31, 2018, the accumulated benefit obligations of each of our plans exceeded the fair value of the related plans’ assets. The pension benefit obligations experienced an actuarial loss of $59.7 million in 2017 primarily due to the impact of decreases in the discount rates used to calculate the benefit obligations and changes to mortality assumptions, as well as losses due to annual remeasurement of the plans. Amounts recognized in the consolidated balance sheets included in these financial statements were as follows (in thousands): Pension Benefits Other Postretirement Benefits 2017 2018 2017 2018 Amounts recognized in consolidated balance sheets: Current accrued benefit cost $ — $ — $ 625 $ 859 Long-term pension and benefits 99,170 111,359 12,135 11,221 99,170 111,359 12,760 12,080 Accumulated other comprehensive loss: Net actuarial loss (100,474 ) (91,669 ) (6,597 ) (5,409 ) Prior service credit 3,248 3,067 — — (97,226 ) (88,602 ) (6,597 ) (5,409 ) Net amount of liabilities and accumulated other comprehensive loss recognized in consolidated balance sheets $ 1,944 $ 22,757 $ 6,163 $ 6,671 Net periodic benefit expense for the years ended December 31, 2016 , 2017 and 2018 was as follows (in thousands): Pension Benefits Other Postretirement Benefits 2016 2017 2018 2016 2017 2018 Components of net periodic pension and postretirement benefit expense: Service cost $ 18,179 $ 20,497 $ 38,167 $ 235 $ 243 $ 243 Interest cost 7,950 9,865 14,907 489 475 416 Expected return on plan assets (8,913 ) (10,266 ) (12,090 ) — — — Amortization of prior service credit (181 ) (181 ) (181 ) (3,335 ) — — Amortization of actuarial loss 4,645 5,622 9,763 880 749 589 Settlement cost 202 2,460 1,964 — — — Net periodic expense (credit) $ 21,882 $ 27,997 $ 52,530 $ (1,731 ) $ 1,467 $ 1,248 The service component of our net periodic benefit expense (credit) is presented in operating expense and G&A expense, and the non-service components are presented in other (income) expense in our consolidated statements of income. Changes in plan assets and benefit obligations recognized in other comprehensive income (loss) during 2016 , 2017 and 2018 were as follows (in thousands): Pension Benefits Other Postretirement Benefits 2016 2017 2018 2016 2017 2018 Beginning balance $ (62,279 ) $ (58,584 ) $ (97,226 ) $ (3,945 ) $ (7,881 ) $ (6,597 ) Net actuarial gain (loss) (971 ) (46,543 ) (2,922 ) (1,481 ) 535 599 Amortization of prior service credit (181 ) (181 ) (181 ) (3,335 ) — — Amortization of actuarial loss 4,645 5,622 9,763 880 749 589 Settlement cost 202 2,460 1,964 — — — Amount recognized in other comprehensive loss 3,695 (38,642 ) 8,624 (3,936 ) 1,284 1,188 Ending balance $ (58,584 ) $ (97,226 ) $ (88,602 ) $ (7,881 ) $ (6,597 ) $ (5,409 ) The net periodic benefit costs and AOCL presented in the tables above for the year ended December 31, 2018 include corrections resulting from an error in our third-party actuary’s valuation of our pension liabilities and net periodic pension expenses. See Note 2 – Summary of Significant Accounting Policies for more details regarding this error correction. Actuarial gains and losses are amortized over the average future service period of current active plan participants expected to receive benefits. The corridor approach is used to determine when actuarial gains and losses are to be amortized and is equal to 10% of the greater of the projected benefit obligation or the market related value of plan assets. The amount of gain or loss in excess of the calculated corridor is subject to amortization. The estimated net actuarial loss and prior service credit for the defined benefit pension plans that will be amortized from AOCL into net periodic benefit cost in 2019 are $5.1 million and $0.2 million , respectively. The estimated net actuarial loss for the other defined benefit postretirement plan that will be amortized from AOCL into net periodic benefit cost in 2019 is $0.2 million . The weighted-average rate assumptions used to determine benefit obligations were as follows: December 31, 2017 2018 Discount rate—Salaried plan 3.70% 3.99% Discount rate—USW plan 3.54% 3.94% Discount rate—IUOE plan 3.79% 4.12% Discount rate—Other Postretirement Benefits 3.43% 4.08% Rate of compensation increase—Salaried plan (1) 4% - 11% 4% - 11% Rate of compensation increase—USW plan 3.50% 3.50% Rate of compensation increase—IUOE plan 5.00% 5.00% (1) The rate of compensation increase assumption for the Salaried plan in 2017 and 2018 is calculated by 10-year age groupings beginning with ages 20-29 at 11% dropping to 4% by ages 70 and above. The weighted-average rate assumptions used to determine net pension and other postretirement benefit expense were as follows: For the Year Ended December 31, 2016 2017 2018 Discount rate—Salaried plan 3.95% 4.21% 3.70% Discount rate—USW plan 3.82% 4.04% 3.63% Discount rate—IUOE plan 3.78% 4.41% 3.79% Discount rate—Other Postretirement Benefits 4% 3.85% 3.43% Rate of compensation increase—Salaried plan (1) 4% - 11% 4% - 11% 4% - 11% Rate of compensation increase—USW plan 3.50% 3.50% 3.50% Rate of compensation increase—IUOE plan 5.00% 5.00% 5.00% Expected rate of return on plan assets—Salaried plan 6.00% 6.00% 6.00% Expected rate of return on plan assets—USW plan 6.00% 6.00% 6.00% Expected rate of return on plan assets—IUOE plan 6.00% 6.00% 6.00% (1) The rate of compensation increase assumption for the Salaried plan is calculated by 10-year age groupings beginning with ages 20-29 at 11% dropping to 4% by ages 70 and above. The non-pension postretirement benefit plans provide for retiree contributions and contain other cost-sharing features such as deductibles and coinsurance. The accounting for these plans anticipates future cost sharing that is consistent with management’s expressed intent to increase the retiree contribution rate generally in line with health care cost increases. The annual assumed rate of increase in the health care cost trend rate for 2019 is 5.8% decreasing systematically to 4.9% by 2066 for pre-65 year-old participants. As of December 31, 2018 , a 1.0% change in assumed health care cost trend rates would have been immaterial to us. The fair values of the pension plan assets at December 31, 2017 were as follows (in thousands): Asset Category Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Domestic Equity Securities (a) : Small-cap fund $ 5,122 $ 5,122 $ — $ — Mid-cap fund 5,132 5,132 — — Large-cap fund 38,678 38,678 — — International equity fund 24,284 24,284 — — Fixed Income Securities (a) : Short-term bond funds 5,110 5,110 — — Intermediate-term bond funds 25,875 25,875 — — Long-term investment grade bond funds 88,563 88,563 — — Other: Short-term investment funds 5,722 5,722 — — Group annuity contract 200 — — 200 Fair value of plan assets $ 198,686 $ 198,486 $ — $ 200 (a) We hold equity and fixed income securities through investments in mutual funds, which are dedicated to each category as indicated. The fair values of the pension plan assets at December 31, 2018 were as follows (in thousands): Asset Category Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Domestic Equity Securities (a) : Small-cap fund $ 3,816 $ 3,816 $ — $ — Mid-cap fund 3,811 3,811 — — Large-cap funds 30,595 30,595 — — International equity fund 19,471 19,471 — — Fixed Income Securities (a) : Short-term bond funds 9,242 9,242 — — Intermediate-term bond funds 23,036 23,036 — — Long-term investment grade bond funds 99,118 99,118 — — Other: Short-term investment fund 8,312 8,312 — — Group annuity contract 189 — — 189 Fair value of plan assets $ 197,590 $ 197,401 $ — $ 189 (a) We hold equity and fixed income securities through investments in mutual funds, which are dedicated to each category as indicated. As reflected in the tables above, Level 3 activity was not material. The investment strategies for the various funds held as pension plan assets by asset category are as follows: Asset Category Fund’s Investment Strategy Domestic Equity Securities: Small-cap fund Seeks to track performance of the Center for Research in Security Prices (“CRSP”) US Small Cap Index Mid-cap fund Seeks to track performance of the CRSP US Mid Cap Index Large-cap funds Seek to track performance of the Standard & Poor’s 500 Index International equity fund Seeks long-term growth of capital by investing 65% or more of assets in international equities Fixed Income Securities: Short-term bond funds Seek current income with limited price volatility through investment in primarily high quality bonds Intermediate-term bond funds Seek moderate and sustainable level of current income by investing primarily in high quality fixed income securities with maturities from five to ten years Long-term investment grade bond funds Seek high and sustainable current income through investment primarily in long-term high grade bonds Other: Short-term investment fund Invests in high quality short-term money market instruments issued by the U.S. Treasury Group annuity contract Earns interest quarterly equal to the effective yield of the 91-day U.S. Treasury bill The expected long-term rate of return on plan assets was determined by combining a review of projected returns, historical returns of portfolios with assets similar to the current portfolios of the union and non-union pension plans and target weightings of each asset classification. Our investment objective for the assets within the pension plans is to earn a return that meets or exceeds the growth of obligations that result from interest and changes in the discount rate, while avoiding excessive risk. Defined diversification goals are set in order to reduce the risk of wide swings in the market value from year to year, or of incurring large losses that may result from concentrated positions. As a result, our plan assets have no significant concentrations of credit risk. Additionally, liquidity risks are minimized because all of the funds that the plans have invested in are publicly traded. We evaluate risks based on the potential impact to the predictability of contribution requirements, probability of under-funding, expected risk-adjusted returns and investment return volatility. Funds are invested with multiple investment managers. Our liabilities are calculated using rates defined by the Pension Protection Act of 2006. Approximately 70% of the plan’s investments are allocated to fixed-income securities and invested to match the durations of the plan’s short, intermediate and long-term pension liabilities, with the amount invested in each duration reflecting that duration’s proportion of the plan’s liabilities. The remaining approximately 30% of the plan’s investments are allocated to equity securities. The target allocation and actual weighted-average asset allocation percentages at December 31, 2017 and 2018 were as follows: 2017 2018 Actual Target Actual Target Equity securities 37% 30% 29% 30% Fixed income securities 60% 67% 67% 67% Other 3% 3% 4% 3% As of December 31, 2018 , the benefit amounts expected to be paid from plan assets through December 31, 2028 were as follows (in thousands): Pension Benefits Other Postretirement Benefits 2019 $ 14,734 $ 859 2020 $ 17,278 $ 901 2021 $ 19,576 $ 915 2022 $ 22,606 $ 913 2023 $ 24,381 $ 878 2024 through 2028 $ 147,022 $ 3,787 Contributions estimated to be paid by us into the plans in 2019 are $32.1 million and $0.9 million for the pension and other postretirement benefit plans, respectively. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Barry R. Pearl is an independent member of our general partner’s board of directors and was also a director of Targa Resources Partners, L.P. (“Targa”) through February 29, 2016. In the normal course of business, we purchase butane from subsidiaries of Targa. During Mr. Pearl’s tenure as a director of the general partner of Targa, we made purchases of butane from subsidiaries of Targa of $4.7 million for the year ended December 31, 2016. Stacy P. Methvin is an independent member of our general partner’s board of directors and is also a director of one of our customers. We received tariff, terminalling and other ancillary revenue from this customer of $16.2 million , $16.6 million and $21.7 million for the periods ending December 31, 2016, 2017 and 2018 , respectively. We recorded a receivable of $1.6 million and $1.9 million from this customer at December 31, 2017 and 2018 , respectively. The tariff revenue we recognized from this customer was in the normal course of business, with rates determined in accordance with published tariffs. See Note 5 – Investments in Non-Controlled Entities for a discussion of transactions with our joint venture affiliates. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt | Debt Long-term debt at December 31, 2017 and 2018 was as follows (in thousands): December 31, 2017 2018 6.40% Notes due 2018 $ 250,000 $ — 6.55% Notes due 2019 (1) 550,000 550,000 4.25% Notes due 2021 550,000 550,000 3.20% Notes due 2025 250,000 250,000 5.00% Notes due 2026 650,000 650,000 6.40% Notes due 2037 250,000 250,000 4.20% Notes due 2042 250,000 250,000 5.15% Notes due 2043 550,000 550,000 4.20% Notes due 2045 250,000 250,000 4.25% Notes due 2046 500,000 500,000 4.20% Notes due 2047 500,000 500,000 Face value of long-term debt 4,550,000 4,300,000 Unamortized debt issuance costs (2) (29,472 ) (27,070 ) Net unamortized debt premium (discount) (2) 215 (2,927 ) Net unamortized amount of gains from historical fair value hedges (2) 3,749 866 Long-term debt, net, including current portion 4,524,492 4,270,869 Less: current portion of long-term debt, net (1) 250,974 59,489 Long-term debt, net $ 4,273,518 $ 4,211,380 (1) At December 31, 2018, we had the ability and the intent to refinance approximately $490.0 million of our long-term notes maturing in 2019. As a result, only the portion of our debt that will be repaid with cash available as of December 31, 2018 is classified as current in our consolidated balance sheets. See Note 19 – Subsequent Events for details regarding proceeds received from our debt issuance in January 2019. (2) Debt issuance costs, note discounts and premiums and realized gains and losses of historical fair value hedges are being amortized or accreted to the applicable notes over the respective lives of those notes. All of the instruments detailed in the table above are senior indebtedness. At December 31, 2018 , maturities of our debt were as follows: $550.0 million in July 2019; $0 in 2020; $550 in 2021; $0 in 2022; $0 in 2023; and $3.2 billion thereafter. See Note 19 – Subsequent Events for details regarding early redemption of the notes due in July 2019. Other Debt Revolving Credit Facility. At December 31, 2018 , the total borrowing capacity under our revolving credit facility maturing October 26, 2022 was $1.0 billion . Any borrowings outstanding under this facility are classified as long-term debt on our consolidated balance sheets. Borrowings under the facility are unsecured and bear interest at LIBOR plus a spread ranging from 1.000% to 1.625% based on our credit ratings. Additionally, an unused commitment fee is assessed at a rate from 0.100% to 0.275% depending on our credit ratings. The unused commitment fee was 0.125% at December 31, 2018 . Borrowings under this facility may be used for general purposes, including capital expenditures. As of December 31, 2017 and 2018 , respectively, there were obligations for letters of credit of $6.3 million and $6.8 million , respectively. Amounts obligated for letters of credit are not reflected as debt on our consolidated balance sheets, but decrease our borrowing capacity under the facility. There were no borrowings outstanding under this facility at December 31, 2017 and 2018. Our revolving credit facility requires us to maintain a specified ratio of consolidated debt to EBITDA (as defined in the credit agreement) of no greater than 5.0 to 1.0. In addition, the revolving credit facility and the indentures under which our senior notes were issued contain covenants that limit our ability to, among other things, incur indebtedness secured by certain liens or encumber our assets, engage in certain sale-leaseback transactions and consolidate, merge or dispose of all or substantially all of our assets. We were in compliance with these covenants as of and during the year ended December 31, 2018 . Commercial Paper Program. We have a commercial paper program under which we may issue commercial paper notes in an amount up to the available capacity under our $1.0 billion revolving credit facility. The maturities of the commercial paper notes vary, but may not exceed 397 days from the date of issuance. Because the commercial paper we can issue is limited to amounts available under our revolving credit facility, amounts outstanding under the program are classified as long-term debt. The commercial paper notes are sold under customary terms in the commercial paper market and are issued at a discount from par, or alternatively, are sold at par and bear varying interest rates on a fixed or floating basis. The weighted-average interest rate for commercial paper borrowings based on the number of days outstanding was 1.3% and 2.3% , respectively, for the year ended December 31, 2017 and 2018 . During the years ending December 31, 2016 , 2017 and 2018 , total cash payments for interest on all indebtedness, excluding the impact of related interest rate swap agreements, were $181.7 million , $206.2 million and $227.8 million , respectively. |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments We use derivative instruments to manage market price risks associated with inventories, interest rates, tank bottoms and certain forecasted transactions. For those instruments that qualify for hedge accounting, the accounting treatment depends on their intended use and their designation. We divide derivative financial instruments qualifying for hedge accounting treatment into two categories: (1) cash flow hedges and (2) fair value hedges. We execute cash flow hedges to hedge against the variability in cash flows related to a forecasted transaction and execute fair value hedges to hedge against the changes in the value of a recognized asset or liability. At the inception of a hedged transaction, we document the relationship between the hedging instrument and the hedged item, the risk management objectives and the methods used for assessing and testing hedge effectiveness. We also assess, both at the inception of the hedge and on an on-going basis, whether the derivatives that are used in our hedging transactions are highly effective in offsetting changes in cash flows or fair value of the hedged item. If we determine that a derivative originally designated as a cash flow or fair value hedge is no longer highly effective, we discontinue hedge accounting prospectively and record the change in the fair value of the derivative in current earnings. The changes in fair value of derivative financial instruments that are not designated as hedges for accounting purposes, which we refer to as economic hedges, are included in current earnings. As part of our risk management process, we assess the creditworthiness of the financial and other institutions with which we execute financial derivatives. Such financial instruments involve the risk of non-performance by the counterparty, which could result in material losses to us. Our policies prohibit us from engaging in speculative trading activities. Interest Rate Derivatives We periodically enter into interest rate derivatives to hedge the fair value of debt or hedge against variability in interest rates. For interest rate cash flow hedges, we record the noncurrent portion of unrealized gains or losses as an adjustment to other comprehensive income with the current portion recorded as an adjustment to interest expense. For fair value hedges on long-term debt, we record the noncurrent portion of gains or losses as an adjustment to long-term debt with the current portion recorded as an adjustment to interest expense. Adjustments resulting from discontinued hedges continue to be recognized in accordance with their historic hedging relationships. During 2018, we entered into $250.0 million of treasury lock agreements to protect against the risk of variability of future interest payments on a portion of debt we anticipate issuing in 2019. The fair values of these contracts at December 31, 2018 were recorded on our balance sheet as other current liabilities of $8.4 million and other current assets of $0.3 million , with the net offset recorded to other comprehensive income. We account for these agreements as cash flow hedges. During 2018, we terminated and settled $200.0 million of interest rate derivative agreements with cumulative gains of $24.6 million . These agreements were previously entered into to protect against the risk of variability of future interest payments on debt we anticipated issuing in 2018 or early 2019 and were accounted for as cash flow hedges. The gains were recorded to other comprehensive income and will be recognized into earnings as an adjustment to our periodic interest expense upon issuance of the associated notes. These gains were also reported as a net receipt on financial derivatives in the financing activities of our consolidated statements of cash flows in 2018. During 2015 and 2016, we entered into $250.0 million of forward-starting interest rate swap agreements to protect against the risk of variability of future interest payments on a portion of debt we anticipated issuing in 2016. We accounted for these agreements as cash flow hedges. When we issued $500.0 million of 4.25% notes due 2046 in third quarter 2016, we settled the associated interest rate swap agreements for a cumulative loss of $19.3 million . The loss was recorded to other comprehensive income and will be recognized into earnings as an adjustment to our periodic interest expense accruals over the first ten years of the associated notes. This loss was also reported as a net payment on financial derivatives in the financing activities of our consolidated statements of cash flows in 2016. Commodity Derivatives Our butane blending activities produce gasoline, and we can reasonably estimate the timing and quantities of sales of these products. We use a combination of exchange-based commodities futures contracts and forward purchase and sale contracts to help manage commodity price changes and mitigate the risk of decline in the product margin realized from our butane blending activities. Further, certain of our other commercial operations generate petroleum products, and we also use futures contracts to hedge against price changes for some of these commodities. Forward physical purchase and sale contracts that qualify for and are elected as normal purchases and sales are accounted for using traditional accrual accounting, whereby changes in the mark-to-market values of such contracts are not recognized in income, rather the revenues and expenses associated with such transactions are recognized during the period when commodities are physically delivered or received. Physical forward commodity contracts subject to this exception are evaluated for the probability of future delivery and are periodically tested once the forecasted period has passed to determine whether similar forward contracts are probable of physical delivery in the future. We record the effective portion of the gains or losses for commodity-based contracts designated as fair value hedges as adjustments to the assets being hedged and the ineffective portions as well as amounts excluded from the assessment of hedge effectiveness as adjustments to other income or expense. We recognize the change in fair value of economic hedges that hedge against changes in the price of petroleum products that we expect to sell or purchase in the future currently in earnings as adjustments to product sales revenue, cost of product sales, or operating expenses, as applicable. Our open futures contracts at December 31, 2018 were as follows: Type of Contract/Accounting Methodology Product Represented by the Contract and Associated Barrels Maturity Dates Futures - Economic Hedges 4.1 million barrels of refined products and crude oil Between January and June 2019 Futures - Economic Hedges 0.9 million barrels of butane Between January and April 2019 Energy Commodity Derivatives Contracts and Deposits Offsets At December 31, 2018 , we held margin deposits of $37.3 million for our futures contracts with our counterparties, which were recorded as a current liability under energy commodity derivatives deposits on our consolidated balance sheets. At December 31, 2017 , we had made margin deposits of $36.7 million for our futures contracts with our counterparties, which were recorded as a current asset under energy commodity derivatives deposits on our consolidated balance sheets.We have the right to offset the combined fair values of our open futures contracts against our margin deposits under a master netting arrangement for each counterparty; however, we have elected to present the combined fair values of our open futures contracts separately from the related margin deposits on our consolidated balance sheets. Additionally, we have the right to offset the fair values of our futures contracts together for each counterparty, which we have elected to do, and we report the combined net balances on our consolidated balance sheets. A schedule of the derivative amounts we have offset and the deposit amounts we could offset under a master netting arrangement are provided below as of December 31, 2017 and 2018 (in thousands): Gross Amounts of Recognized Assets (Liabilities) Gross Amounts of Assets (Liabilities) Offset in the Consolidated Balance Sheets Net Amounts of Assets (Liabilities) Presented in the Consolidated Balance Sheets (1) Margin Deposit Amounts Not Offset in the Consolidated Balance Sheets Net Asset Amount (2) As of December 31, 2017 $ (38,936 ) $ 12,851 $ (26,085 ) $ 36,690 $ 10,605 As of December 31, 2018 $ 62,166 $ (7,155 ) $ 55,011 $ (37,328 ) $ 17,683 (1) Net amount includes energy commodity derivative contracts classified as current liabilities of $25,694 and noncurrent liabilities of $391 at December 31, 2017. (2) Amount represents the maximum loss we would incur if all of our counterparties failed to perform on their derivative contracts. Impact of Derivatives on Our Financial Statements Comprehensive Income The changes in derivative activity included in AOCL for the years ended December 31, 2016 , 2017 and 2018 were as follows (in thousands): Year Ended December 31, Derivative Gains (Losses) Included in AOCL 2016 2017 2018 Beginning balance $ (30,126 ) $ (34,776 ) $ (33,755 ) Net gain (loss) on interest rate contract cash flow hedges (6,699 ) (1,937 ) 4,317 Reclassification of net loss on cash flow hedges to income 2,049 2,958 2,958 Ending balance $ (34,776 ) $ (33,755 ) $ (26,480 ) The following is a summary of the effect on our consolidated statements of income for the years ended December 31, 2016 , 2017 and 2018 of derivatives that were designated as cash flow hedges (in thousands): Interest Rate Contracts Amount of Gain (Loss) Recognized in AOCL on Derivatives Location of Loss Reclassified from AOCL into Income Amount of Loss Reclassified from AOCL into Income Year Ended December 31, 2016 $ (6,699 ) Interest expense $ (2,049 ) Year Ended December 31, 2017 $ (1,937 ) Interest expense $ (2,958 ) Year Ended December 31, 2018 $ 4,317 Interest expense $ (2,958 ) As of December 31, 2018 , the net loss estimated to be classified to interest expense over the next twelve months from AOCL is approximately $2.2 million . This amount relates to the amortization of losses on interest rate swap contracts over the life of the related debt instruments. We used futures contracts designated as fair value hedges to hedge against changes in the fair value of crude oil that was contractually reserved as tank bottoms and included with other noncurrent assets on our consolidated balance sheets. During September 2017, as a result of contract renegotiations, we sold a portion of the tank bottoms, settled the related hedges and transferred the permanent portion of the tank bottoms from noncurrent assets to PP&E. The effective portions of the fair value gains or losses on these futures contracts were offset by fair value gains or losses on the crude oil, and there was no ineffectiveness recognized. The cash flows from settled contracts were recorded in operating activities in our consolidated statements of cash flows. The gains (losses) on these futures contracts and the underlying crude oil were as follows (in thousands): Year Ended December 31, 2016 2017 2018 Gain (loss) recognized in other income/expense on derivative (futures contracts) $ (8,988 ) $ 4,806 $ 543 Gain (loss) recognized in other income/expense on hedged item (tank bottoms) $ 8,988 $ (4,806 ) $ (543 ) The differential between the current spot price and forward price was excluded from the assessment of hedge effectiveness for these fair value hedges. During 2016 and 2017 , we recognized a gain of $5.2 million and $2.4 million , respectively, for the amounts we excluded from the assessment of effectiveness of these fair value hedges, which we reported as other (income) expense on our consolidated statements of income. The following table provides a summary of the effect on our consolidated statements of income for the years ended December 31, 2016 , 2017 and 2018 of derivatives accounted for as economic hedges (in thousands): Amount of Gain (Loss) Year Ended December 31, Derivative Instrument Location of Gain (Loss) Recognized on Derivatives 2016 2017 2018 Futures contracts Product sales revenue $ (38,584 ) $ (56,338 ) $ 85,012 Futures contracts Cost of product sales 10,998 25,566 (15,947 ) Futures contracts Operating expenses (5,000 ) 3,002 — Total $ (32,586 ) $ (27,770 ) $ 69,065 The impact of the derivatives in the above table was reflected as cash from operations on our consolidated statements of cash flows. Balance Sheets The following tables provide a summary of the fair value of derivatives, which are presented on a net basis in our consolidated balance sheets, that were designated as hedging instruments as of December 31, 2017 and 2018 (in thousands): December 31, 2017 Asset Derivatives Liability Derivatives Derivative Instrument Balance Sheet Location Fair Value Balance Sheet Location Fair Value Futures contracts Energy commodity derivatives contracts, net $ — Energy commodity derivatives contracts, net $ 173 Interest rate contracts Other noncurrent assets 12,177 Other noncurrent liabilities — Total $ 12,177 Total $ 173 December 31, 2018 Asset Derivatives Liability Derivatives Derivative Instrument Balance Sheet Location Fair Value Balance Sheet Location Fair Value Futures contracts Energy commodity derivatives contracts, net $ 462 Energy commodity derivatives contracts, net $ — Interest rate contracts Other current assets 312 Other current liabilities 8,438 Total $ 774 Total $ 8,438 The following tables provide a summary of the fair value of derivatives, which are presented on a net basis in our consolidated balance sheets, that were not designated as hedging instruments as of December 31, 2017 and 2018 (in thousands): December 31, 2017 Asset Derivatives Liability Derivatives Derivative Instrument Balance Sheet Location Fair Value Balance Sheet Location Fair Value Futures contracts Energy commodity derivatives contracts, net $ 12,605 Energy commodity derivatives contracts, net $ 38,126 Futures contracts Other noncurrent assets 246 Other noncurrent liabilities 637 Total $ 12,851 Total $ 38,763 December 31, 2018 Asset Derivatives Liability Derivatives Derivative Instrument Balance Sheet Location Fair Value Balance Sheet Location Fair Value Futures contracts Energy commodity derivatives contracts, net $ 61,704 Energy commodity derivatives contracts, net $ 7,155 See Note 17 – Fair Value Disclosure s for additional details regarding our derivative contracts. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2018 | |
Leases [Abstract] | |
Leases | Leases Lessee We lease office buildings, equipment and pipeline capacity (primarily to facilitate movements on our Longhorn pipeline and Little Rock pipeline extension) and have entered into storage contracts to conduct our business operations. We have also entered into land leases and easement and right-of-way contracts, several of which have cancellation penalties. Several of our agreements provide for negotiated renewal options, and management expects that we will generally renew our expiring leases. Leases are evaluated at inception or at any subsequent material modification and, depending on the lease terms, are classified as either capital or operating leases, as appropriate under ASC 840, Leases . We recognize rent expense on a straight-line basis over the life of the lease. Total rent expense was $30.2 million , $34.8 million and $42.1 million for the years ended December 31, 2016 , 2017 and 2018 , respectively. Future minimum annual rentals under non-cancellable operating leases and storage contracts with initial or remaining terms greater than one year as of December 31, 2018 , were as follows (in millions): 2019 $ 33.8 2020 32.3 2021 30.2 2022 27.4 2023 26.7 Thereafter 132.2 Total $ 282.6 The table above includes future minimum annual rentals under our lease with Seabrook for storage capacity at its terminal in Seabrook, Texas. Future minimum payments under this lease are: $11.0 million in 2019; $11.0 million in 2020; $9.4 million in 2021; $6.6 million in 2022; $6.6 million in 2023; and $37.5 million thereafter. Storage and ancillary fees from Seabrook, which was included with rent expense, was $10.6 million . See Note 5 – Investments in Non-Controlled Entities for further details about this lease. Lessor We have entered into capacity leases and storage contracts with our customers with remaining terms from one to approximately 10 years that are accounted for as operating-type leases. All of the agreements provide for negotiated extensions. Future minimum payments receivable under these arrangements that fall under the guidance of ASC 606, Revenues from Contracts with Customers are included in our Unfulfilled Performance Obligations in Note 3 - Revenue . Future minimum payments receivable under these arrangements that fall under the guidance of ASC 840 as of December 31, 2018 are as follows (in millions): 2019 $ 39.2 2020 32.8 2021 31.7 2022 22.9 2023 7.2 Thereafter 15.0 Total $ 148.8 During 2017 and 2018, we recognized contingent rental income from our condensate splitter at our Corpus Christi, Texas terminal in the amount of $24.9 million and $51.8 million , respectively. Direct Financing Lease We entered into a long-term throughput and deficiency agreement with a customer on a 40 -mile pipeline we constructed in Texas and New Mexico, which contains minimum volume/payment commitments. This agreement is being accounted for as a direct financing lease. The net investment under direct financing leasing arrangements as of December 31, 2017 and 2018 was as follows (in millions): December 31, 2017 December 31, 2018 Total minimum lease payments receivable $ 19.2 $ 17.5 Less: Unearned income 4.1 3.5 Recorded net investment in direct financing lease $ 15.1 $ 14.0 The net investment in direct financing leases was classified in the consolidated balance sheets as follows (in millions): December 31, 2017 December 31, 2018 Other accounts receivable $ 1.1 $ 1.1 Long-term receivables 14.0 12.9 Total $ 15.1 $ 14.0 Future minimum payments receivable under this direct financing lease for the next five years are $1.7 million each year. |
Long-Term Incentive Plan
Long-Term Incentive Plan | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Long-Term Incentive Plan | Long-Term Incentive Plan The compensation committee of our general partner’s board of directors administers our long-term incentive plan (“LTIP”) covering certain of our employees and the independent directors of our general partner. The LTIP primarily consists of phantom units and permits the grant of awards covering an aggregate of 11.9 million of our limited partner units. The estimated units remaining available under the LTIP at December 31, 2018 totaled approximately 2.2 million . The awards include: (i) performance-based awards issued to certain officers and other key employees (“performance-based awards”), (ii) time-based awards issued to certain officers and other key employees (“time-based awards,” and together with performance-based awards, “employee awards”), and (iii) awards issued to independent members of our general partner’s board of directors (“director awards”) that may be deferred and if deferred may be paid in cash. All of the awards include distribution equivalent rights, except non-deferred director awards. The LTIP requires employee awards to be settled in our limited partner units, except the settlement of distribution equivalents, which we pay in cash. As a result, we classify employee awards as equity. Fair value for these awards is determined on the grant date, and we recognize this value as compensation expense ratably over the requisite service period, which is the vesting period of each award. The vesting period for employee awards is generally three years; however, certain awards have been issued with shorter vesting periods while others have vesting periods of up to four years. Because employee awards contain distribution equivalent rights, the fair value of our employee awards is based on the closing price of our units on the grant date. Payouts for performance-based awards are subject to the attainment of a financial metric and to an adjustment for our total unitholder return (the “TUR adjustment”), and the fair value of these awards is adjusted for the fair value of the TUR adjustment. The financial metric for the performance-based awards is our distributable cash flow per unit excluding commodity-related activities for the last year of the three -year vesting period as compared to established threshold, target and stretch levels. The payouts for the performance-related component of the awards can range from 0% for results below threshold, up to 200% for actual results at stretch or above. The TUR adjustment is based on our total unitholder return at the end of the three-year vesting period of the awards in relation to the total unitholder returns of certain peer entities and can increase or decrease the payout of the award by as much as 50% . Payouts related to time-based awards are based solely on the completion of the requisite service period by the employee and contain no provisions that provide for a payout other than the original number of units awarded and the associated distribution equivalents. Performance-based awards are subject to forfeiture if a participant’s employment is terminated for any reason other than for termination within two years of a change-in-control that occurs on an involuntary basis without cause or on a voluntary basis for good cause, or due to retirement, disability or death prior to the vesting date. These awards can vest early under certain circumstances following a change in control. Time-based awards are subject to forfeiture if a participant’s employment is terminated for any reason other than retirement, death or disability prior to the vesting date, or as the result of certain other employment restrictions. If an employee award recipient retires, dies or becomes disabled prior to the end of the vesting period, the award is prorated based upon months of employment completed during the vesting period, and the award is settled shortly after the end of the vesting period. Compensation expense for our equity awards is calculated as the number of unit awards less forfeitures, multiplied by the grant date fair value of those awards, multiplied by the percentage of the requisite service period completed at each period end, multiplied by the expected payout percentage, less previously-recognized compensation expense. Non-deferred director awards are paid in units valued on the grant date, with compensation expense calculated as the number of units awarded multiplied by the fair value of those units at that date. We classify deferred director awards as liability awards because they may be settled in cash. Because deferred director awards have distribution equivalent rights, the fair value of these awards equals the closing price of our units at the measurement date. Compensation expense for deferred director awards is calculated as the number of units awarded, multiplied by the fair value of those awards on the measurement date, less previously-recognized compensation expense. Director awards deferred prior to 2015 are paid in January of the year following the director’s resignation from the board of directors of our general partner or death. Director awards deferred after January 1, 2015 are paid 60 days following the director’s death or resignation from the board of directors of our general partner. Non-Vested Unit Awards The following table includes the changes during the current fiscal year in the number of non-vested units that have been granted by the compensation committee. The amounts below do not include adjustments for above-target or below-target performance. Performance-Based Awards Time-Based Awards Total Awards Number of Unit Awards Weighted-Average Fair Value Number of Unit Awards Weighted-Average Fair Value Number of Unit Awards Weighted-Average Fair Value Non-vested units - 1/1/2018 356,068 $ 76.40 61,104 $ 71.36 417,172 $ 75.66 Units granted during 2018 218,923 $ 73.80 83,564 $ 71.03 302,487 $ 73.03 Units vested during 2018 (173,718 ) $ 70.30 (31,028 ) $ 64.25 (204,746 ) $ 69.39 Units forfeited during 2018 (11,258 ) $ 76.21 (2,252 ) $ 71.56 (13,510 ) $ 75.44 Non-vested units - 12/31/18 390,015 $ 77.66 111,388 $ 73.09 501,403 $ 76.65 The table below summarizes the total non-vested unit awards outstanding adjusted for estimated amounts of above-target financial performance to determine the total number of unit awards included in our total equity-based liability accrual. Grant Date Non-Vested Unit Awards Adjustment to Unit Awards in Anticipation of Achieving Above- Target Financial Results Total Unit Award Accrual Vesting Date Unrecognized Compensation Expense (a) (in millions) Performance-Based Awards: 2017 Awards 176,924 159,232 336,156 12/31/2019 $ 9.0 2018 Awards 213,091 — 213,091 12/31/2020 10.5 Time-Based Awards: 2019 Vesting Date 31,835 — 31,835 12/31/2019 0.9 2020 Vesting Date 79,553 — 79,553 12/31/2020 3.9 Total 501,403 159,232 660,635 $ 24.3 (a) Unrecognized compensation expense will be recognized over the remaining vesting period of the awards. Weighted-Average Fair Value The weighted-average fair value of awards granted during 2016 , 2017 and 2018 was as follows: Performance-Based Awards Time-Based Awards Number of Unit Awards Weighted-Average Fair Value Number of Unit Awards Weighted-Average Fair Value Units granted during 2016 193,344 $ 70.29 39,301 $ 64.76 Units granted during 2017 189,544 $ 82.34 30,604 $ 79.10 Units granted during 2018 218,923 $ 73.80 83,564 $ 71.03 Vested Unit Awards The table below sets forth the numbers and values of units that vested in each of the three years ended December 31, 2018 . The vested limited partner units include adjustments for above-target financial and market performance. Vesting Date Vested Limited Partner Units Fair Value of Unit Awards on Vesting Date (in millions) Intrinsic Value of Unit Awards on Vesting Date (in millions) 12/31/2016 361,711 $22.6 $27.4 12/31/2017 266,028 $19.9 $18.9 12/31/2018 317,037 $22.1 $18.1 Cash Flow Effects of LTIP Settlements The difference between the limited partner units issued to the participants and the total number of unit awards vested primarily represents the tax withholdings associated with the award settlement, which we pay in cash. Settlement Date Number of Limited Partner Units Issued, Net of Tax Withholdings Tax Withholdings and Other Cash Payments (in millions) Employer Taxes (in millions) Total Cash Payments (in millions) February 2016 350,552 $14.4 $1.4 $15.8 January 2017 216,679 $13.9 $1.2 $15.1 January 2018 168,913 $9.3 $1.1 $10.4 Compensation Expense Summary Equity-based incentive compensation expense for 2016 , 2017 and 2018 was as follows (in thousands): Year Ended December 31, 2016 2017 2018 Performance awards $ 17,106 $ 17,823 $ 28,728 Time-based awards 2,252 2,818 3,325 Total $ 19,358 $ 20,641 $ 32,053 Allocation of LTIP expense on our consolidated statements of income: G&A expense $ 19,204 $ 20,463 $ 31,788 Operating expense 154 178 265 Total $ 19,358 $ 20,641 $ 32,053 |
Segment Disclosures
Segment Disclosures | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Disclosures | Segment Disclosures Our reportable segments are strategic business units that offer different products and services. Our segments are managed separately because each segment requires different marketing strategies and business knowledge. Management evaluates performance based on segment operating margin, which includes revenue from affiliates and external customers, operating expenses, cost of product sales and earnings of non-controlled entities. We believe that investors benefit from having access to the same financial measures used by management. Operating margin, which is presented in the following tables, is an important measure used by management to evaluate the economic performance of our core operations. Operating margin is not a GAAP measure, but the components of operating margin are computed using amounts that are determined in accordance with GAAP. A reconciliation of operating margin to operating profit, which is its nearest comparable GAAP financial measure, is included in the tables below. Operating profit includes depreciation, amortization and impairment expense and G&A expense that management does not consider when evaluating the core profitability of our separate operating segments. During 2018, we adopted ASC 606, Revenue from Contracts with Customers. Prior year amounts reflected in the following tables have not been adjusted and continue to be reflected in accordance with our historical accounting. Refer to Note 2 – Summary of Significant Accounting Policies for further details. Year Ended December 31, 2016 (in thousands) Refined Products Crude Oil Marine Storage Intersegment Eliminations Total Transportation and terminals revenue $ 1,002,368 $ 407,837 $ 181,721 $ (807 ) $ 1,591,119 Product sales revenue 561,759 31,170 6,673 — 599,602 Affiliate management fee revenue 765 12,533 1,391 — 14,689 Total revenue 1,564,892 451,540 189,785 (807 ) 2,205,410 Operating expenses 380,347 88,528 65,559 (5,762 ) 528,672 Cost of product sales 459,989 31,657 1,692 — 493,338 (Earnings) losses of non-controlled entities 968 (76,972 ) (2,692 ) — (78,696 ) Operating margin 723,588 408,327 125,226 4,955 1,262,096 Depreciation, amortization and impairment expense 103,388 38,081 31,718 4,955 178,142 G&A expenses 91,372 36,165 19,628 — 147,165 Operating profit $ 528,828 $ 334,081 $ 73,880 $ — $ 936,789 Additions to long-lived assets $ 291,202 $ 250,433 $ 104,728 $ 646,363 As of December 31, 2016 Segment assets $ 3,289,600 $ 2,631,407 $ 791,132 $ 6,712,139 Corporate assets 59,934 Total assets $ 6,772,073 Goodwill $ 38,369 $ 12,082 $ 2,809 $ 53,260 Investments in non-controlled entities $ 31,029 $ 886,920 $ 13,306 $ 931,255 Year Ended December 31, 2017 (in thousands) Refined Products Crude Oil Marine Storage Intersegment Eliminations Total Transportation and terminals revenue $ 1,096,040 $ 458,455 $ 180,683 $ (3,403 ) $ 1,731,775 Product sales revenue 717,140 35,053 6,013 — 758,206 Affiliate management fee revenue 1,388 13,950 2,342 — 17,680 Total revenue 1,814,568 507,458 189,038 (3,403 ) 2,507,661 Operating expenses 400,439 120,920 65,296 (8,677 ) 577,978 Cost of product sales 586,751 41,325 7,541 — 635,617 (Earnings) losses of non-controlled entities 1,632 (120,173 ) (2,453 ) — (120,994 ) Operating margin 825,746 465,386 118,654 5,274 1,415,060 Depreciation, amortization and impairment expense 109,434 48,796 33,126 5,274 196,630 G&A expenses 103,225 41,490 21,002 — 165,717 Operating profit $ 613,087 $ 375,100 $ 64,526 $ — $ 1,052,713 Additions to long-lived assets $ 269,369 $ 168,306 $ 127,012 $ 564,687 As of December 31, 2017 Segment assets $ 3,499,492 $ 2,817,186 $ 871,557 $ 7,188,235 Corporate assets 206,140 Total assets $ 7,394,375 Goodwill $ 38,369 $ 12,082 $ 2,809 $ 53,260 Investments in non-controlled entities $ 29,578 $ 961,032 $ 91,901 $ 1,082,511 Year Ended December 31, 2018 (in thousands) Refined Products Crude Oil Marine Storage Intersegment Eliminations Total Transportation and terminals revenue $ 1,151,980 $ 549,849 $ 180,850 $ (3,691 ) $ 1,878,988 Product sales revenue 872,144 46,767 8,309 — 927,220 Affiliate management fee revenue 1,512 14,832 4,021 — 20,365 Total revenue 2,025,636 611,448 193,180 (3,691 ) 2,826,573 Operating expenses 424,851 166,213 68,010 (9,638 ) 649,436 Cost of product sales 650,071 44,128 10,114 — 704,313 Earnings of non-controlled entities (16,039 ) (162,233 ) (2,845 ) — (181,117 ) Operating margin 966,753 563,340 117,901 5,947 1,653,941 Depreciation, amortization and impairment expense 168,954 54,318 35,858 5,947 265,077 G&A expenses 118,491 51,523 24,269 $ — 194,283 Operating profit $ 679,308 $ 457,499 $ 57,774 $ — $ 1,194,581 Additions to long-lived assets $ 298,502 $ 142,108 $ 65,744 $ 506,354 As of December 31, 2018 Segment assets $ 3,715,653 $ 2,710,068 $ 1,065,525 $ 7,491,246 Corporate assets 256,291 Total assets $ 7,747,537 Goodwill $ 38,369 $ 12,082 $ 2,809 $ 53,260 Investments in non-controlled entities $ 37,574 $ 783,486 $ 255,246 $ 1,076,306 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Certain conditions may exist as of the date our consolidated financial statements are issued that could result in a loss to us, but which will only be resolved when one or more future events occur or fail to occur. Our management assesses such contingent liabilities, which inherently involves significant judgment. In assessing loss contingencies related to legal proceedings that are pending against us or for unasserted claims that may result in proceedings, our management, with input from legal counsel, evaluates the perceived merits of any legal proceedings or unasserted claims as well as the perceived merits of the amount of relief sought or expected to be sought therein. Environmental expenditures are charged to operating expense or capitalized based on the nature of the expenditures. Environmental expenditures that meet the capitalization criteria for property, plant and equipment, as well as costs that mitigate or prevent environmental contamination that has yet to occur, are capitalized. We expense expenditures that relate to an existing condition caused by past operations. We initially record environmental liabilities assumed in a business combination at fair value; otherwise, we record environmental liabilities on an undiscounted basis. We recognize liabilities for other commitments and contingencies when, after analyzing the available information, we determine it is probable that an asset has been impaired, or that a liability has been incurred and the amount of impairment or loss can be reasonably estimated. When we can estimate a range of probable loss, we accrue the most likely amount within that range, or if no amount is more likely than another, we accrue the minimum of the range of probable loss. We expense legal costs associated with loss contingencies as incurred. We record environmental liabilities independently of any potential claim for recovery. Accruals related to environmental matters are generally determined based on site-specific plans for remediation, taking into account currently available facts, existing technologies and presently enacted laws and regulations. Accruals for environmental matters reflect our prior remediation experience and include an estimate for costs such as fees paid to contractors, outside engineering and consulting firms. Accruals for estimated losses from environmental remediation obligations generally are recognized no later than completion of the remediation feasibility study. Such accruals are adjusted as further information develops or circumstances change. We maintain specific insurance coverage, which may cover all or portions of certain environmental expenditures less a deductible. We recognize receivables in cases where we consider the realization of reimbursements of remediation costs as probable. We would sustain losses to the extent of amounts we have recognized as environmental receivables if the counterparties to those transactions were unable to perform their obligations to us. The determination of the accrual amounts recorded for environmental liabilities includes significant judgments and assumptions made by management. The use of alternate judgments and assumptions could result in the recognition of different levels of environmental remediation costs. Butane Blending Patent Infringement Proceeding On October 4, 2017, Sunoco Partners Marketing & Terminals L.P. (“Sunoco”) brought an action for patent infringement in the U.S. District Court for the District of Delaware alleging Magellan Midstream Partners, L.P. (“Magellan”) and Powder Springs Logistics, LLC (“Powder Springs”) have infringed patents relating to butane blending at the Powder Springs facility located in Powder Springs, Georgia. Sunoco has since submitted pleadings alleging that Magellan has also infringed various patents relating to butane blending at nine Magellan facilities, in addition to Powder Springs. Sunoco is seeking an undetermined amount of damages, attorneys’ fees and a permanent injunction enjoining Magellan and Powder Springs from infringing on the subject patents. We deny and are vigorously defending against all claims asserted by Sunoco. Although it is not possible to predict the ultimate outcome, we believe, based on our current understanding of the applicable facts and law, that the ultimate resolution of this matter will not have a material adverse impact on our results of operations, financial position or cash flows. Environmental Liabilities Liabilities recognized for estimated environmental costs were $19.3 million and $20.5 million at December 31, 2017 and December 31, 2018 , respectively. We have classified environmental liabilities as current or noncurrent based on management’s estimates regarding the timing of actual payments. Environmental expenses recognized as a result of changes in our environmental liabilities are included in operating expenses on our consolidated statements of income. Environmental expenses were $5.9 million , $9.0 million and $15.0 million for the years ended December 31, 2016 , 2017 and 2018 , respectively. Environmental Receivables Receivables from insurance carriers and other third parties related to environmental matters at December 31, 2017 were $7.2 million , of which $0.5 million and $6.7 million were recorded to other accounts receivable and long-term receivables, respectively, on our consolidated balance sheets. Receivables from insurance carriers related to environmental matters at December 31, 2018 were $4.1 million , of which $2.4 million and $1.7 million were recorded to other accounts receivable and long-term receivables, respectively, on our consolidated balance sheets. Amounts received from insurance carriers and other third parties related to environmental matters during 2016 , 2017 and 2018 were $0.9 million , $0.7 million and $3.1 million , respectively. Other In connection with the sale of part of our interest in BridgeTex (see Note 5 – Investments in Non-Controlled Entities ), we agreed to indemnify an affiliate of OMERS for certain claims involving BridgeTex. The maximum obligation is limited to the net proceeds we received. We probability-weighted potential outcome scenarios to estimate the value of such indemnification obligations. As a result, we reduced the gain recognized on the transaction by $16.0 million and recorded the same estimate in other noncurrent liabilities on our consolidated balance sheets this period as a Level 3 measurement. We have entered into an agreement to guarantee our 50% pro rata share, up to $25.0 million , of obligations under Powder Springs’ credit facility. As of December 31, 2018 , our consolidated balance sheets reflected a $0.4 million other current liability and a corresponding increase in our investment in non-controlled entities to reflect the fair value of this guarantee. We are a party to various other claims, legal actions and complaints arising in the ordinary course of business, including without limitation those disclosed in Item 3. Legal Proceedings of Part I of this annual report on Form 10-K. While the results cannot be predicted with certainty, management believes the ultimate resolution of these claims, legal actions and complaints after consideration of amounts accrued, insurance coverage or other indemnification arrangements will not have a material adverse effect on our results of operations, financial position or cash flows. |
Fair Value Disclosures
Fair Value Disclosures | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | Fair Value Disclosures Fair Value Methods and Assumptions - Financial Assets and Liabilities The following methods and assumptions were used in estimating fair value for our financial assets and liabilities: • Energy commodity derivatives contracts . These include exchange-traded futures contracts related to petroleum products. These contracts are carried at fair value on our consolidated balance sheets and are valued based on quoted prices in active markets. See Note 12 – Derivative Financial Instruments for further disclosures regarding these contracts. • Interest rate contracts. These include forward-starting interest rate swap agreements to hedge against the risk of variability of interest payments on future debt. These contracts are carried at fair value on our consolidated balance sheets and are valued based on an assumed exchange, at the end of each period, in an orderly transaction with a market participant in the market in which the financial instrument is traded. The exchange value was calculated using present value techniques on estimated future cash flows based on forward interest rate curves. See Note 12 – Derivative Financial Instruments for further disclosures regarding these contracts. • Long-term receivables. These primarily include payments receivable under a direct-financing leasing arrangement and cost reimbursement payments receivable. These receivables were recorded at fair value on our consolidated balance sheets, using then-current market rates to estimate the present value of future cash flows. • Guarantees. These primarily include an indemnity agreement we entered into with OMERS in connection with the partial sale of our interest in BridgeTex. These guarantees were recorded at fair value on our consolidated balance sheets upon initial recognition, using probability-weighted potential outcome scenarios to estimate the value of such guarantees. • Debt. The fair value of our publicly traded notes was based on the prices of those notes at December 31, 2017 and 2018 ; however, where recent observable market trades were not available, prices were determined using adjustments to the last traded value for that debt issuance or by adjustments to the prices of similar debt instruments of peer entities that are actively traded. The carrying amount of borrowings, if any, under our revolving credit facility and our commercial paper program approximates fair value due to the frequent repricing of these obligations. Fair Value Measurements - Financial Assets and Liabilities The following tables summarize the carrying amounts, fair values and fair value measurements recorded or disclosed as of December 31, 2017 and 2018 , based on the three levels established by ASC 820; Fair Value Measurements and Disclosures (in thousands): Fair Value Measurements as of December 31, 2017 using: Assets (Liabilities) Carrying Amount Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Energy commodity derivatives contracts $ (26,085 ) $ (26,085 ) $ (26,085 ) $ — $ — Interest rate contracts $ 12,177 $ 12,177 $ — $ 12,177 $ — Long-term receivables $ 27,676 $ 27,676 $ — $ — $ 27,676 Debt $ (4,524,492 ) $ (4,826,480 ) $ — $ (4,826,480 ) $ — Fair Value Measurements as of December 31, 2018 using: Assets (Liabilities) Carrying Amount Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Energy commodity derivatives contracts $ 55,011 $ 55,011 $ 55,011 $ — $ — Interest rate contracts $ (8,126 ) $ (8,126 ) $ — $ (8,126 ) $ — Long-term receivables $ 20,844 $ 20,844 $ — $ — $ 20,844 Guarantees $ (16,409 ) $ (16,409 ) $ — $ — $ (16,409 ) Debt $ (4,270,869 ) $ (4,224,373 ) $ — $ (4,224,373 ) $ — |
Partners' Capital and Distribut
Partners' Capital and Distributions | 12 Months Ended |
Dec. 31, 2018 | |
Partners' Capital Notes [Abstract] | |
Partners' Capital and Distributions | Partners’ Capital and Distributions Partners’ Capital In May 2017, we filed a prospectus supplement to the shelf registration statement for our continuous equity offering program (which we refer to as an at-the-market program, or “ATM”) pursuant to which we may issue up to $750.0 million of common units in amounts, at prices and on terms to be determined by market conditions at the time. The net proceeds from any sales under the ATM, after deducting the sales agents’ commissions and our offering expenses, will be used for general partnership purposes, including repayment of indebtedness or capital expenditures. No units were issued pursuant to this program during 2017 or 2018. The following table details the changes in the number of our limited partner units outstanding from January 1, 2016 through December 31, 2018 : Limited partner units outstanding on January 1, 2016 227,427,247 February 2016—Settlement of employee LTIP awards 350,552 During 2016—Other (a) 6,117 Limited partner units outstanding on December 31, 2016 227,783,916 January 2017—Settlement of employee LTIP awards 216,679 During 2017—Other (a) 23,961 Limited partner units outstanding on December 31, 2017 228,024,556 January 2018—Settlement of employee LTIP awards 168,913 During 2018—Other (a) 1,691 Limited partner units outstanding on December 31, 2018 228,195,160 (a) Limited partner units issued to settle the equity-based retainer paid to independent directors of our general partner. Our partnership agreement allows us to issue additional partnership securities for any partnership purpose at any time and from time to time for consideration and on terms and conditions as our general partner determines, all without approval by the limited partners. Limited partners holding our limited partner units have the following rights, among others: • right to receive distributions of our available cash within 45 days after the end of each quarter; • right to elect the board members of our general partner; • right to remove Magellan GP, LLC as our general partner upon a 100% vote of outstanding unitholders; • right to transfer limited partner unit ownership to substitute limited partners; • right to receive an annual report, containing audited financial statements and a report on those financial statements by our independent public accountants, within 120 days after the close of the fiscal year end; • right to receive information reasonably required for tax reporting purposes within 90 days after the close of the calendar year; • right to vote according to the limited partners’ percentage interest in us at any meeting that may be called by our general partner; and • right to inspect our books and records at the unitholders’ own expense. In the event of liquidation, we would distribute all property and cash in excess of that required to discharge all liabilities to the partners in proportion to the positive balances in their respective capital accounts. The limited partners’ liability is generally limited to their investment. Distributions Distributions we paid during 2016 , 2017 and 2018 were as follows (in thousands, except per unit amount): Payment Date Per Unit Cash Distribution Amount Total Cash Distribution 2/12/2016 $ 0.7850 $ 178,808 5/13/2016 0.8025 182,797 8/12/2016 0.8200 186,783 11/14/2016 0.8375 190,769 Total $ 3.2450 $ 739,157 2/14/2017 $ 0.8550 $ 194,961 5/15/2017 0.8725 198,951 8/14/2017 0.8900 202,942 11/14/2017 0.9050 206,362 Total $ 3.5225 $ 803,216 2/14/2018 $ 0.9200 $ 209,940 5/15/2018 0.9375 213,933 8/14/2018 0.9575 218,497 11/14/2018 0.9775 223,061 Total $ 3.7925 $ 865,431 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Recognizable events No recognizable events have occurred subsequent to December 31, 2018 . Non-recognizable events On January 18, 2019, we issued $500.0 million of 4.85% senior notes due 2049 in an underwritten public offering. The notes were issued at 99.371% of par. Net proceeds from this offering were approximately $492.5 million after underwriting discounts. The net proceeds from this offering along with cash on hand were used to redeem our 6.55% senior notes due 2019, which were paid on February 11, 2019. On February 1, 2019, we issued 208,268 limited partner units, of which 199,792 were issued to settle unit awards to certain employees that vested on December 31, 2018 and 8,476 were issued to settle the equity-based retainers paid to four independent directors of our general partner. On February 1, 2019, 347,473 unit awards were granted pursuant to our LTIP. These awards included both performance-based and time-based awards and have a three -year vesting period that will end on December 31, 2021. On February 14, 2019, we paid cash distributions of $0.9975 per unit on our outstanding limited partner units to unitholders of record at the close of business on February 7, 2019. The total distributions paid were $227.8 million . Our collective bargaining agreement with approximately 24% of the employees assigned to our refined products segment that are represented by the USW expired in January 2019. We are operating under a 24-hour rolling extension of this agreement while negotiations for a new agreement continue. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation. Our consolidated financial statements include our refined products, crude oil and marine storage operating segments. We consolidate all entities in which we have a controlling ownership interest. We apply the equity method of accounting to investments in entities over which we exercise significant influence but do not control. We eliminate all intercompany transactions. |
Reclassifications | Reclassifications. Prior year amounts related to restricted cash have been reclassified to conform with the current period’s presentation. |
Use Of Estimates | Use of Estimates. The preparation of our consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities that exist at the date of our consolidated financial statements, as well as their impact on the reported amounts of revenue and expense during the reporting periods. Actual results could differ from those estimates. |
Cash Equivalents | Cash Equivalents. Cash and cash equivalents include demand and time deposits and funds that own highly marketable securities with original maturities of three months or less when acquired. We periodically assess the financial condition of the institutions where we hold these funds, and, at December 31, 2017 and 2018 , we believed our credit risk relative to these funds was minimal. |
Restricted Cash | Restricted Cash. Restricted cash includes cash held by us, which is contractually required to be used for the construction of fixed assets and is unavailable for general use. It is classified as noncurrent due to its designation to be used for the construction of noncurrent assets. |
Accounts Receivable And Allowance For Doubtful Accounts | Accounts Receivable and Allowance for Doubtful Accounts. Accounts receivable represent valid claims against customers. We recognize accounts receivable when we sell products or render services and collection of the receivable is probable. We extend credit terms to certain customers based on historical dealings and to other customers after a review of various credit indicators. We establish an allowance for doubtful accounts for all or any portion of an account where we consider collections to be at risk and evaluate reserves no less than quarterly to determine their adequacy. Judgments relative to at-risk accounts include the customers’ current financial condition, the customers’ historical relationship with us and current and projected economic conditions. We write off accounts receivable when we deem an account uncollectible. |
Pipeline Over/Short Product | Product Overages and Shortages. Each period end we measure the volume of each type of product in our pipeline systems and terminals, which is compared to the volumes of our customers’ inventories (as adjusted for tender deductions). To the extent the product volumes in our pipeline systems and terminals exceed the volumes of our customers’ book inventories, we recognize a gain from the product overage and increase our product inventories. To the extent the product in our pipeline systems and terminals is less than our customers’ book inventories, we recognize a loss from the product shortage and we record a liability for product owed to our customers. The product overages we recognize are recorded based on market prices, and the resulting inventory is carried at weighted average cost. The product shortages we recognize are recorded based on our weighted average cost. Additionally, when product shortages result in a net short inventory position, the related liability is recorded based on period-end market prices. Product overages and shortages as well as adjustments to the value of net short inventory positions are recorded in operating expenses on our consolidated statements of income. |
Income Taxes | Income Taxes. We are a partnership for income tax purposes and, therefore, are not subject to federal or state income taxes for most of the states in which we operate. The tax on our net income is borne by our limited partners through allocation to them of their share of taxable income. Net income for financial statement purposes may differ significantly from taxable income of unitholders because of differences between the tax basis and financial reporting basis of assets and liabilities and the taxable income allocation requirements under our partnership agreement. The aggregate difference in the basis of our net assets for financial and tax reporting purposes cannot be readily determined because information regarding each partner’s tax attributes is not available to us. The amounts recognized as provision for income taxes in our consolidated statements of income are primarily comprised of partnership-level taxes levied by the state of Texas. This tax is based on revenues less direct costs of sale for our assets apportioned to the state of Texas. |
Net Income Per Unit | Net Income Per Unit. We calculate basic net income per limited partner unit for each period by dividing net income by the weighted-average number of limited partner units outstanding. The difference between our actual limited partner units outstanding and our weighted-average number of limited partner units outstanding used to calculate net income per limited partner unit is due to the impact of: (i) the phantom units issued to independent directors, which are included in the calculation of basic and diluted weighted average units outstanding and (ii) the weighted-average effect of units actually issued during a period. The difference between the weighted-average number of limited partner units outstanding used for basic and diluted net income per unit calculations on our consolidated statements of income is primarily the dilutive effect of phantom unit grants associated with our long-term incentive plan, which have not yet vested in periods where contingent performance metrics have been met. |
New Accounting Pronouncements | New Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842). This ASU requires lessees to recognize a right of use asset and lease liability on the balance sheet for all leases, with the exception of short-term leases. The new accounting model for lessors remains largely the same, although some changes have been made to align it with the new lessee model and the new revenue recognition guidance. This update also requires companies to include additional disclosures regarding their lessee and lessor agreements. For public companies, this ASU is effective for fiscal years that start after December 15, 2018, and early adoption is permitted. This standard will not have a material impact on our consolidated statements of income or our leverage ratio as defined in our credit agreement. Based on our current population of leases, we expect the impact of this ASU to increase our assets and liabilities by approximately $180.0 million due to the recognition of right of use assets and lease liabilities. New Accounting Pronouncements - Adopted by us on January 1, 2018 In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities . This update changes GAAP’s hedge accounting requirements to simplify some of the specialized treatment’s most complex areas. These simplifications are intended to expand opportunities to use hedge accounting and better align the accounting treatment with existing risk management activities. The ASU is effective for public companies starting after December 15, 2018, and we early-adopted the new standard on January 1, 2018. The adoption of this ASU did not have a material impact on our consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments: A Consensus of the FASB Emerging Issues Task Force . This ASU includes a requirement to make an accounting policy election to classify distributions received from equity method investees under either (1) the cumulative earnings approach, where distributions in excess of equity earnings are considered a return of capital and classified as cash inflows from investing activities, or (2) the nature of the distribution approach, where each distribution is evaluated on the basis of the source of the payment and classified as either operating or investing cash inflows. We adopted this standard on January 1, 2018 using the retrospective transition method and made an accounting policy election to use the nature of the distribution approach, which resulted in the following adjustments to our December 31, 2016 and 2017 comparative statements of cash flows (in thousands): Year Ended December 31, 2016 Year Ended December 31, 2017 As Reported ASU 2016-15 Adjustment As Adjusted As Reported ASU 2016-15 Adjustment As Adjusted Operating activities: Distributions from operations of non-controlled entities $ 78,723 $ 9,264 $ 87,987 $ 123,660 $ 22,551 $ 146,211 Net cash provided by operating activities $ 964,040 $ 9,264 $ 973,304 $ 1,108,678 $ 22,551 $ 1,131,229 Investing activities: Distributions from returns of investments in non-controlled entities $ 9,264 $ (9,264 ) $ — $ 78,482 $ (22,551 ) $ 55,931 Net cash used by investing activities $ (857,366 ) $ (9,264 ) $ (866,630 ) $ (570,623 ) $ (22,551 ) $ (593,174 ) In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). This ASU amends the existing accounting standards for revenue recognition and is based on the principle that revenue should be recognized to depict the transfer of goods or services to a customer at an amount that reflects the consideration a company expects to receive in exchange for those goods or services. On January 1, 2018, we adopted the new Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers and all related amendments using the modified retrospective method. We recognized the cumulative effect of initially applying the new revenue standard as an adjustment to the opening balance of partners’ capital. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The cumulative effect of the changes made to our consolidated January 1, 2018 balance sheet resulting from the adoption of the new revenue standard was as follows (in thousands): Balance at December 31, 2017 Adjustments Due to ASU 2014-09 Balance at January 1, 2018 Assets: Property, plant and equipment $ 7,235,468 $ 8,516 $ 7,243,984 Accumulated depreciation (1,682,633 ) (325 ) (1,682,958 ) Net property, plant and equipment $ 5,552,835 $ 8,191 $ 5,561,026 Investments in non-controlled entities $ 1,082,511 $ 502 $ 1,083,013 Liabilities: Deferred revenue $ 117,795 $ (1,901 ) $ 115,894 Other noncurrent liabilities $ 30,350 $ 4,619 $ 34,969 Partners’ capital: Limited partner unitholders $ 2,267,231 $ 5,975 $ 2,273,206 The primary changes impacting our financial statements under the new revenue standard include the requirement for us to estimate deficiencies in our customers’ use of our services contracted as minimum commitments and adjust the amount of revenue recognized in proportion to our customers’ pattern of exercised rights. This change results in accelerating the timing of revenue recognized for specific contracts for which we estimate our customers will not ship their minimum commitments. In addition, we periodically receive payments from customers seeking to expand their access to our pipeline systems and terminals. Prior to the adoption of the new revenue standard, these payments were recorded as reductions to our property, plant and equipment (“PP&E”) expenditures. Under the new revenue standard, these payments are recorded to deferred revenue and other noncurrent liabilities and are recognized as revenue in proportion to the related services provided. The impact of this change increases our revenues, contract liabilities, PP&E and depreciation expense. We expect the impact of the adoption of the new revenue standard, including these changes, to be immaterial to our net income on an ongoing basis. |
Revenue | Revenue is recognized upon the satisfaction of each performance obligation required by our customer contracts. Transportation and terminals revenue is recognized over time as our customers receive the benefits of our service as it is performed on their behalf using an output method based on actual deliveries. Revenue for our storage services is recognized over time using an output method based on the capacity of storage under contract with our customers. Product sales revenue is recognized at a point in time when our customers take control of the commodities purchased. We record back-to-back purchases and sales of petroleum products where we are acting as an agent on a net basis. We recognize pipeline transportation revenue for crude oil and ammonia shipments when our customers’ product arrives at the customer-designated destination. For shipments of refined products under published tariffs that combine transportation and terminalling services, we recognize revenue when our customers take delivery of their product from our system. For shipments where terminalling services are not included in the tariff, we recognize revenue when our customers’ product arrives at the customer-designated destination. We have certain contracts that require counterparties to ship a minimum volume over an agreed-upon time period, which are contracted as minimum dollar or volume commitments. Revenue pursuant to these take-or-pay contracts is recognized when the customers utilize their committed volumes. Additionally, when we estimate that the customers will not utilize all or a portion of their committed volumes, we recognize revenue in proportion to the pattern of exercised rights for the respective commitment period. Our interstate common carrier petroleum products pipeline operations are subject to rate regulation by the Federal Energy Regulatory Commission (“FERC”) under the Interstate Commerce Act, the Energy Policy Act of 1992 and rules and orders promulgated pursuant thereto. FERC regulation requires that interstate pipeline rates be filed with the FERC, be posted publicly and be nondiscriminatory and “just and reasonable.” The rates on approximately 40% of the shipments on our refined products pipeline system are regulated by the FERC primarily through an index methodology. As an alternative to cost-of-service or index-based rates, interstate pipeline companies may establish rates by obtaining authority to charge market-based rates in competitive markets or by negotiation with unaffiliated shippers. Approximately 60% of our refined products pipeline system’s markets are either subject to regulations by the states in which we operate or are approved for market-based rates by the FERC, and in both cases these rates can generally be adjusted at our discretion based on market factors. Most of the tariffs on our crude oil pipelines are established by negotiated rates that generally provide for annual adjustments in line with changes in the FERC index, subject to certain modifications. For both our index-based rates and our market-based rates, our published tariffs serve as contracts, and shippers nominate the volume to be shipped up to a month in advance. These tariffs include provisions which allow us to deduct from our customer’s inventory a small percentage of the products our customers transport on our pipeline systems. We refer to this non-monetary consideration as tender deduction revenue. We receive tender deductions from our customers as consideration for product losses during the transportation of petroleum products within our pipeline systems. Tender deduction revenue is generally recognized as transportation revenue when the customer's transported commodities reach their destination and is recorded at the fair value of the product received on the date received or the contract date, as applicable. Product sales revenue pricing is contractually specified, and we have determined that each barrel sold represents a separate performance obligation. Transaction prices for our other services including terminalling, storage and ancillary services are typically contracted as a single performance obligation with our customers. In circumstances where multiple performance obligations are contractually required, we allocate the transaction price to the various performance obligations based on their relative standalone selling price. |
Investments in Non-Controlled Entities | We account for interests in affiliates that we do not control using the equity method of accounting. Under this method, an investment is recorded at our acquisition cost or capital contributions, as adjusted by contractual terms, plus equity in earnings or losses since acquisition or formation, plus interest capitalized, less distributions received and amortization of interest capitalized and excess net investment. Excess net investment is the amount by which our investment in a non-controlled entity exceeded our proportionate share of the book value of the net assets of that investment. We amortize excess net investment over the weighted-average depreciable asset lives of the equity investee. Our unamortized excess net investment was $59.7 million and $34.8 million at December 31, 2017 and 2018 , respectively. The amount of unamortized excess investment is primarily related to our investment in BridgeTex. We evaluate equity method investments for impairment whenever events or circumstances indicate that there is an other-than-temporary loss in value of the investment. In the event that we determine that the loss in value of an investment is other-than-temporary, we would record a charge to earnings to adjust the carrying value to fair value. We recognized no equity investment impairments during 2016 , 2017 and 2018 . |
Inventory | Inventory is comprised primarily of refined products, liquefied petroleum gases, transmix, crude oil and additives, which are stated and relieved at the lower of average cost or net realizable value. |
Property, Plant and Equipment | Property, plant and equipment consist primarily of pipeline, pipeline-related equipment, storage tanks and processing equipment. We state property, plant and equipment at cost except for certain acquired assets recorded at fair value on their respective acquisition dates and impaired assets. We record impaired assets at fair value on the last impairment evaluation date for which an adjustment was required. We assign asset lives based on reasonable estimates when we place an asset into service. Subsequent events could cause us to change our estimates, which would affect the future calculation of depreciation expense. When we sell or retire property, plant and equipment, we remove its carrying value and the related accumulated depreciation from our accounts and record any associated gains or losses on our consolidated statements of income in the period of sale or disposition. We capitalize expenditures to replace existing assets and retire the replaced assets. We capitalize expenditures when they extend the useful life, increase the productivity or capacity or improve the safety or efficiency of the asset. We capitalize direct project costs such as labor and materials as incurred. Indirect project costs, such as overhead, are capitalized based on a percentage of direct labor charged to the respective capital project. We charge expenditures for maintenance, repairs and minor replacements to operating expense in the period incurred. During construction, we capitalize interest on all construction projects requiring a completion period of three months or longer and total project costs exceeding $0.5 million . The interest we capitalize is based on the weighted-average interest rate of our debt. |
Goodwill and Intangible Assets, Goodwill | We record the excess of purchase price over the fair value of the tangible and identifiable intangible assets acquired and liabilities assumed as goodwill. The goodwill relating to each of our reporting units is tested for impairment annually as well as when an event, or change in circumstances, indicates an impairment may have occurred. For purposes of performing the impairment test for goodwill, our reporting units are refined products, crude oil and marine storage. In 2016, we elected to perform the qualitative assessment for purposes of our annual goodwill impairment test. Based on this assessment, we concluded that it was more likely than not that the fair value of each of our reporting units was greater than its carrying amount. In 2017 and 2018, we elected to complete the quantitative goodwill impairment test and began with step one of the test as required by ASC 350-20-35-4. Based on this assessment, we concluded that our goodwill was not impaired. |
Impairment or Disposal of Long-Lived Assets | Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. In reviewing for impairment, the carrying value of such assets is compared to the estimated undiscounted future cash flows expected from the use of the assets and their eventual disposition. If such cash flows are not sufficient to support the asset’s recorded value, an impairment charge is recognized to reduce the carrying value of the long-lived asset to its estimated fair value. The determination of future cash flows as well as the estimated fair value of long-lived assets involves significant estimates on the part of management. During 2018, we made the decision to discontinue commercial operations of our ammonia pipeline beginning in late 2019 due to the system’s low profitability and the expected decline in anhydrous ammonia production. As a result, operations will end in conjunction with the expiry of our existing customer commitments, primarily by late 2019. We have estimated the fair value of the ammonia pipeline assets based on expected future cash flows and recognized a $49.1 million impairment charge in depreciation, amortization and impairment expense on our consolidated statements of income. |
Intangible Assets, Finite-Lived | Other intangible assets with finite lives are amortized over their estimated useful lives of seven years up to 30 years. The weighted-average asset life of our other intangible assets at December 31, 2018 was approximately 20 years. We adjust the useful lives of our other intangible assets if events or circumstances indicate there has been a change in the remaining useful lives. We eliminate from our balance sheets the gross carrying amount and the related accumulated amortization for any fully amortized intangibles in the year they are fully amortized. |
Pension And Postretirement Medical And Life Benefit Obligations | Our pension and postretirement benefit liabilities represent the funded status of the present value of benefit obligations of our employee benefit plans. We develop pension, postretirement medical and life benefit costs from actuarial valuations. We establish actuarial assumptions to anticipate future events and use those assumptions when calculating the expense and liabilities related to these plans. These factors include assumptions management makes concerning expected investment return on plan assets, discount rates, health care costs trend rates, turnover rates and rates of future compensation increases, among others. In addition, we use subjective factors such as withdrawal and mortality rates to develop actuarial valuations. Management reviews and updates these assumptions on an annual basis. The actuarial assumptions that we use may differ from actual results due to changing market rates or other factors. These differences could affect the amount of pension and postretirement medical and life benefit expense we will recognize in future periods. |
Derivative Financial Instruments | We use derivative instruments to manage market price risks associated with inventories, interest rates, tank bottoms and certain forecasted transactions. For those instruments that qualify for hedge accounting, the accounting treatment depends on their intended use and their designation. We divide derivative financial instruments qualifying for hedge accounting treatment into two categories: (1) cash flow hedges and (2) fair value hedges. We execute cash flow hedges to hedge against the variability in cash flows related to a forecasted transaction and execute fair value hedges to hedge against the changes in the value of a recognized asset or liability. At the inception of a hedged transaction, we document the relationship between the hedging instrument and the hedged item, the risk management objectives and the methods used for assessing and testing hedge effectiveness. We also assess, both at the inception of the hedge and on an on-going basis, whether the derivatives that are used in our hedging transactions are highly effective in offsetting changes in cash flows or fair value of the hedged item. If we determine that a derivative originally designated as a cash flow or fair value hedge is no longer highly effective, we discontinue hedge accounting prospectively and record the change in the fair value of the derivative in current earnings. The changes in fair value of derivative financial instruments that are not designated as hedges for accounting purposes, which we refer to as economic hedges, are included in current earnings. As part of our risk management process, we assess the creditworthiness of the financial and other institutions with which we execute financial derivatives. Such financial instruments involve the risk of non-performance by the counterparty, which could result in material losses to us. Our policies prohibit us from engaging in speculative trading activities. |
Equity-Based Incentive Compensation Awards | The compensation committee of our general partner’s board of directors administers our long-term incentive plan (“LTIP”) covering certain of our employees and the independent directors of our general partner. The LTIP primarily consists of phantom units and permits the grant of awards covering an aggregate of 11.9 million of our limited partner units. The estimated units remaining available under the LTIP at December 31, 2018 totaled approximately 2.2 million . The awards include: (i) performance-based awards issued to certain officers and other key employees (“performance-based awards”), (ii) time-based awards issued to certain officers and other key employees (“time-based awards,” and together with performance-based awards, “employee awards”), and (iii) awards issued to independent members of our general partner’s board of directors (“director awards”) that may be deferred and if deferred may be paid in cash. All of the awards include distribution equivalent rights, except non-deferred director awards. The LTIP requires employee awards to be settled in our limited partner units, except the settlement of distribution equivalents, which we pay in cash. As a result, we classify employee awards as equity. Fair value for these awards is determined on the grant date, and we recognize this value as compensation expense ratably over the requisite service period, which is the vesting period of each award. The vesting period for employee awards is generally three years; however, certain awards have been issued with shorter vesting periods while others have vesting periods of up to four years. Because employee awards contain distribution equivalent rights, the fair value of our employee awards is based on the closing price of our units on the grant date. Payouts for performance-based awards are subject to the attainment of a financial metric and to an adjustment for our total unitholder return (the “TUR adjustment”), and the fair value of these awards is adjusted for the fair value of the TUR adjustment. The financial metric for the performance-based awards is our distributable cash flow per unit excluding commodity-related activities for the last year of the three -year vesting period as compared to established threshold, target and stretch levels. The payouts for the performance-related component of the awards can range from 0% for results below threshold, up to 200% for actual results at stretch or above. The TUR adjustment is based on our total unitholder return at the end of the three-year vesting period of the awards in relation to the total unitholder returns of certain peer entities and can increase or decrease the payout of the award by as much as 50% . Payouts related to time-based awards are based solely on the completion of the requisite service period by the employee and contain no provisions that provide for a payout other than the original number of units awarded and the associated distribution equivalents. Performance-based awards are subject to forfeiture if a participant’s employment is terminated for any reason other than for termination within two years of a change-in-control that occurs on an involuntary basis without cause or on a voluntary basis for good cause, or due to retirement, disability or death prior to the vesting date. These awards can vest early under certain circumstances following a change in control. Time-based awards are subject to forfeiture if a participant’s employment is terminated for any reason other than retirement, death or disability prior to the vesting date, or as the result of certain other employment restrictions. If an employee award recipient retires, dies or becomes disabled prior to the end of the vesting period, the award is prorated based upon months of employment completed during the vesting period, and the award is settled shortly after the end of the vesting period. Compensation expense for our equity awards is calculated as the number of unit awards less forfeitures, multiplied by the grant date fair value of those awards, multiplied by the percentage of the requisite service period completed at each period end, multiplied by the expected payout percentage, less previously-recognized compensation expense. Non-deferred director awards are paid in units valued on the grant date, with compensation expense calculated as the number of units awarded multiplied by the fair value of those units at that date. We classify deferred director awards as liability awards because they may be settled in cash. Because deferred director awards have distribution equivalent rights, the fair value of these awards equals the closing price of our units at the measurement date. Compensation expense for deferred director awards is calculated as the number of units awarded, multiplied by the fair value of those awards on the measurement date, less previously-recognized compensation expense. Director awards deferred prior to 2015 are paid in January of the year following the director’s resignation from the board of directors of our general partner or death. Director awards deferred after January 1, 2015 are paid 60 days following the director’s death or resignation from the board of directors of our general partner. |
Contingencies And Environmental | Certain conditions may exist as of the date our consolidated financial statements are issued that could result in a loss to us, but which will only be resolved when one or more future events occur or fail to occur. Our management assesses such contingent liabilities, which inherently involves significant judgment. In assessing loss contingencies related to legal proceedings that are pending against us or for unasserted claims that may result in proceedings, our management, with input from legal counsel, evaluates the perceived merits of any legal proceedings or unasserted claims as well as the perceived merits of the amount of relief sought or expected to be sought therein. Environmental expenditures are charged to operating expense or capitalized based on the nature of the expenditures. Environmental expenditures that meet the capitalization criteria for property, plant and equipment, as well as costs that mitigate or prevent environmental contamination that has yet to occur, are capitalized. We expense expenditures that relate to an existing condition caused by past operations. We initially record environmental liabilities assumed in a business combination at fair value; otherwise, we record environmental liabilities on an undiscounted basis. We recognize liabilities for other commitments and contingencies when, after analyzing the available information, we determine it is probable that an asset has been impaired, or that a liability has been incurred and the amount of impairment or loss can be reasonably estimated. When we can estimate a range of probable loss, we accrue the most likely amount within that range, or if no amount is more likely than another, we accrue the minimum of the range of probable loss. We expense legal costs associated with loss contingencies as incurred. We record environmental liabilities independently of any potential claim for recovery. Accruals related to environmental matters are generally determined based on site-specific plans for remediation, taking into account currently available facts, existing technologies and presently enacted laws and regulations. Accruals for environmental matters reflect our prior remediation experience and include an estimate for costs such as fees paid to contractors, outside engineering and consulting firms. Accruals for estimated losses from environmental remediation obligations generally are recognized no later than completion of the remediation feasibility study. Such accruals are adjusted as further information develops or circumstances change. We maintain specific insurance coverage, which may cover all or portions of certain environmental expenditures less a deductible. We recognize receivables in cases where we consider the realization of reimbursements of remediation costs as probable. We would sustain losses to the extent of amounts we have recognized as environmental receivables if the counterparties to those transactions were unable to perform their obligations to us. The determination of the accrual amounts recorded for environmental liabilities includes significant judgments and assumptions made by management. The use of alternate judgments and assumptions could result in the recognition of different levels of environmental remediation costs. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block] | In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments: A Consensus of the FASB Emerging Issues Task Force . This ASU includes a requirement to make an accounting policy election to classify distributions received from equity method investees under either (1) the cumulative earnings approach, where distributions in excess of equity earnings are considered a return of capital and classified as cash inflows from investing activities, or (2) the nature of the distribution approach, where each distribution is evaluated on the basis of the source of the payment and classified as either operating or investing cash inflows. We adopted this standard on January 1, 2018 using the retrospective transition method and made an accounting policy election to use the nature of the distribution approach, which resulted in the following adjustments to our December 31, 2016 and 2017 comparative statements of cash flows (in thousands): Year Ended December 31, 2016 Year Ended December 31, 2017 As Reported ASU 2016-15 Adjustment As Adjusted As Reported ASU 2016-15 Adjustment As Adjusted Operating activities: Distributions from operations of non-controlled entities $ 78,723 $ 9,264 $ 87,987 $ 123,660 $ 22,551 $ 146,211 Net cash provided by operating activities $ 964,040 $ 9,264 $ 973,304 $ 1,108,678 $ 22,551 $ 1,131,229 Investing activities: Distributions from returns of investments in non-controlled entities $ 9,264 $ (9,264 ) $ — $ 78,482 $ (22,551 ) $ 55,931 Net cash used by investing activities $ (857,366 ) $ (9,264 ) $ (866,630 ) $ (570,623 ) $ (22,551 ) $ (593,174 ) In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). This ASU amends the existing accounting standards for revenue recognition and is based on the principle that revenue should be recognized to depict the transfer of goods or services to a customer at an amount that reflects the consideration a company expects to receive in exchange for those goods or services. On January 1, 2018, we adopted the new Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers and all related amendments using the modified retrospective method. We recognized the cumulative effect of initially applying the new revenue standard as an adjustment to the opening balance of partners’ capital. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The cumulative effect of the changes made to our consolidated January 1, 2018 balance sheet resulting from the adoption of the new revenue standard was as follows (in thousands): Balance at December 31, 2017 Adjustments Due to ASU 2014-09 Balance at January 1, 2018 Assets: Property, plant and equipment $ 7,235,468 $ 8,516 $ 7,243,984 Accumulated depreciation (1,682,633 ) (325 ) (1,682,958 ) Net property, plant and equipment $ 5,552,835 $ 8,191 $ 5,561,026 Investments in non-controlled entities $ 1,082,511 $ 502 $ 1,083,013 Liabilities: Deferred revenue $ 117,795 $ (1,901 ) $ 115,894 Other noncurrent liabilities $ 30,350 $ 4,619 $ 34,969 Partners’ capital: Limited partner unitholders $ 2,267,231 $ 5,975 $ 2,273,206 |
Revenue from Contract with Cu_2
Revenue from Contract with Customers (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Prospective Adoption of New Accounting Pronouncements | The table below provides the amount by which financial statement line items are affected in the current reporting period by the application of the new revenue standard, as compared with the guidance that was in effect before the change (in thousands): As Reported Amounts without adoption of ASC 606 Effect of Change Higher/(Lower) Statements of Income: Year Ended December 31, 2018 Transportation and terminals revenue $ 1,878,988 $ 1,871,471 $ 7,517 Depreciation, amortization and impairment $ 265,077 $ 264,733 $ 344 Balance Sheet: As of December 31, 2018 Assets: Property, plant and equipment $ 7,628,592 $ 7,610,591 $ 18,001 Accumulated depreciation 1,830,411 1,829,742 669 Net property, plant and equipment $ 5,798,181 $ 5,780,849 $ 17,332 Investments in non-controlled entities $ 1,076,306 $ 1,075,805 $ 501 Liabilities: Deferred revenue $ 121,085 $ 125,717 $ (4,632 ) Other noncurrent liabilities $ 82,240 $ 72,922 $ 9,318 Partners’ capital: Limited partner unitholders $ 2,763,925 $ 2,750,778 $ 13,147 |
Revenue | The following tables provide details of our revenues disaggregated by key activities that comprise our performance obligations by operating segment (in thousands): Year Ended December 31, 2018 Refined Products Crude Oil Marine Storage Intersegment Eliminations Total Transportation $ 749,266 $ 337,690 $ — $ — $ 1,086,956 Terminalling 179,999 6,365 2,649 — 189,013 Storage 100,564 119,606 135,963 (3,691 ) 352,442 Ancillary services 111,009 25,590 25,674 — 162,273 Lease revenue 11,142 60,598 16,564 — 88,304 Transportation and terminals revenue 1,151,980 549,849 180,850 (3,691 ) 1,878,988 Product sales revenue 872,144 46,767 8,309 — 927,220 Affiliate management fee revenue 1,512 14,832 4,021 — 20,365 Total revenue 2,025,636 611,448 193,180 (3,691 ) 2,826,573 Revenue not under the guidance of ASC 606: Lease revenue (1) (11,142 ) (60,598 ) (16,564 ) — (88,304 ) (Gains) losses from futures contracts included in product sales revenue (2) (85,643 ) 632 — — (85,011 ) Affiliate management fee revenue (1,512 ) (14,832 ) (4,021 ) — (20,365 ) Total revenue from contracts with customers under ASC 606 $ 1,927,339 $ 536,650 $ 172,595 $ (3,691 ) $ 2,632,893 (1) Lease revenue is accounted for under ASC 840, Leases . (2) The impact on product sales revenue from futures contracts falls under the guidance of ASC 815, Derivatives and Hedging . |
Contract with Customer, Asset and Liability | The following table summarizes our accounts receivable, contract assets and contract liabilities resulting from contracts with customers (in thousands): January 1, 2018 December 31, 2018 Accounts receivable from contracts with customers $ 133,084 $ 102,684 Contract assets $ 8,615 $ 8,487 Contract liabilities $ 106,933 $ 122,129 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction | The following table provides the aggregate amount of the transaction price allocated to our UPOs as of December 31, 2018 by operating segment, including the range of years remaining on our contracts with customers and an estimate of revenues expected to be recognized over the next 12 months (dollars in thousands): Refined Products Crude Oil Marine Storage Total Balances at December 31, 2018 $ 2,116,460 $ 1,310,734 $ 323,627 $ 3,750,821 Remaining terms 1 - 20 years 1 - 10 years 1 - 6 years Estimated revenues from UPOs to be recognized in the next 12 months $ 286,224 $ 318,919 $ 150,171 $ 755,314 |
Consolidated Statements Of Ca_2
Consolidated Statements Of Cash Flows - Supplemental Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Supplemental Cash Flow Information [Abstract] | |
Consolidated Statement Of Cash Flows | Changes in the components of operating assets and liabilities are as follows (in thousands): Year Ended December 31, 2016 2017 2018 Trade accounts receivable and other accounts receivable $ (31,107 ) $ (25,639 ) $ 24,169 Inventory (3,510 ) (47,967 ) (3,390 ) Energy commodity derivatives contracts, net of derivatives deposits (692 ) 8,556 (7,078 ) Accounts payable (4,423 ) 8,954 21,146 Accrued payroll and benefits (6,074 ) 10,596 14,015 Accrued interest payable 14,347 5,014 (7,399 ) Accrued taxes other than income (1,421 ) 1,177 1,750 Deferred revenue 20,264 15,904 5,191 Accrued product liabilities 20,261 44,559 (20,677 ) Current and noncurrent environmental liabilities (7,398 ) (4,766 ) 1,226 Other current and noncurrent assets and liabilities (21,762 ) (693 ) (6,707 ) Total $ (21,515 ) $ 15,695 $ 22,246 |
Investments in Non-Controlled_2
Investments in Non-Controlled Entities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments | Our investments in non-controlled entities at December 31, 2018 were comprised of: Entity Ownership Interest BridgeTex Pipeline Company, LLC (“BridgeTex”) 30% Double Eagle Pipeline LLC (“Double Eagle”) 50% HoustonLink Pipeline Company, LLC (“HoustonLink”) 50% MVP Terminalling, LLC (“MVP”) 50% Powder Springs Logistics, LLC (“Powder Springs”) 50% Saddlehorn Pipeline Company, LLC (“Saddlehorn”) 40% Seabrook Logistics, LLC (“Seabrook”) 50% Texas Frontera, LLC (“Texas Frontera”) 50% In September 2018, we sold a 20% interest in BridgeTex to an affiliate of OMERS Infrastructure Management Inc. (“OMERS”), which reduced our ongoing ownership in BridgeTex to a 30% interest. We received $575.6 million in net proceeds from the sale, and we recorded a gain of $353.8 million on our consolidated statements of income. See Note 16 – Commitments and Contingencies for details regarding our indemnity to OMERS that was recorded in relation to the sale. We own a 50% equity interest in MVP, with an affiliate of Valero Energy Corporation (“Valero”) owning the other 50% interest. Upon formation of MVP in September 2017, we contributed $97.6 million of PP&E to this entity. Concurrently, Valero contributed cash of $48.8 million , which was distributed to us as reimbursement for Valero’s portion of the PP&E we contributed. The $48.8 million is reflected as distributions from returns of investments in non-controlled entities on our consolidated statements of cash flows. We serve as operator of BridgeTex, HoustonLink, MVP, Powder Springs, Saddlehorn, Texas Frontera and the pipeline activities of Seabrook. We receive fees for management services as well as reimbursement or payment to us for certain direct operational payroll and other overhead costs. The management fees we have received are reported as affiliate management fee revenue on our consolidated statements of income. Cost reimbursements we receive from these entities in connection with our operating services are included as reductions to costs and expenses on our consolidated statements of income and totaled $4.2 million , $3.6 million and $3.9 million , respectively, for the years ended December 31, 2016 , 2017 and 2018 . We recorded the following revenue and expense transactions from certain of these non-controlled entities in our consolidated statements of income (in millions): Year Ended December 31, 2016 2017 2018 Transportation and terminals revenue: BridgeTex, capacity lease $ 35.5 $ 36.1 $ 39.6 Double Eagle, throughput revenue $ 3.3 $ 4.7 $ 5.2 Saddlehorn, storage revenue $ 0.7 $ 2.1 $ 2.2 Operating costs: Seabrook, storage and ancillary services $ — $ — $ 10.6 MVP, sale of air emission reduction credits (reduction of operating costs) $ — $ — $ (2.2 ) Product sales revenue: Powder Springs, butane sales $ — $ — $ 4.9 Cost of product sales: BridgeTex, transportation charges $ — $ 14.5 $ — Powder Springs, butane purchases $ — $ — $ 0.4 Our consolidated balance sheets reflected the following balances related to our investments in non-controlled entities (in millions): December 31, 2017 December 31, 2018 Trade Accounts Receivable Other Accounts Receivable Other Accounts Payable Trade Accounts Receivable Other Accounts Receivable Other Accounts Payable Long-Term Receivables BridgeTex $ — $ — $ — $ 0.3 $ 1.5 $ — $ — Double Eagle $ 0.5 $ — $ — $ 0.5 $ — $ — $ — HoustonLink $ — $ — $ 0.1 $ — $ — $ — $ — MVP $ — $ 0.4 $ — $ — $ 0.4 $ — $ — Powder Springs $ — $ 0.9 $ — $ — $ — $ — $ 2.2 Saddlehorn $ — $ 0.1 $ — $ — $ 0.2 $ — $ — Seabrook $ — $ 0.2 $ — $ — $ — $ 1.1 $ — We have entered into a long-term lease for 1.7 million barrels of storage from Seabrook (see Note 13 – Leases for future minimum annual rentals under this lease) which is connected to our Houston distribution system. This agreement also provides us with designated access to Seabrook’s docks for crude oil import and export opportunities. We in turn generate revenue by providing this storage capacity and dock access to our third-party customers. We incurred charges for transportation of crude oil at published spot tariff rates on the BridgeTex pipeline of $14.5 million for the year ended December 31, 2018, which were recorded as cost of product sales in our consolidated statements of income. We purchased inventory from BridgeTex valued at $6.7 million during 2017. The financial results from MVP and Texas Frontera are included in our marine storage segment, the financial results from BridgeTex, Double Eagle, HoustonLink, Saddlehorn and Seabrook are included in our crude oil segment and the financial results from Powder Springs are included in our refined products segment, each as earnings of non-controlled entities. A summary of our investments in non-controlled entities (representing only our proportionate interests) follows (in thousands): Investments at December 31, 2017 $ 1,082,511 Additional investment 216,424 Sale of ownership interest in BridgeTex (205,776 ) Other adjustments 502 Earnings of non-controlled entities: Proportionate share of earnings 183,317 Amortization of excess investment and capitalized interest (2,200 ) Earnings of non-controlled entities 181,117 Less: Distributions from operations of non-controlled entities 196,686 Distributions from returns of investments in non-controlled entities 1,786 Investments at December 31, 2018 $ 1,076,306 Summarized financial information of our non-controlled entities (representing 100% of the interests in these entities) follows (in thousands): December 31, 2017 2018 Current assets $ 229,342 $ 258,698 Noncurrent assets 2,057,892 2,461,456 Total assets $ 2,287,234 $ 2,720,154 Current liabilities $ 122,198 $ 170,558 Noncurrent liabilities 74,533 73,700 Total liabilities $ 196,731 $ 244,258 Equity $ 2,090,503 $ 2,475,896 Year Ended December 31, 2016 2017 2018 Revenue $ 279,180 $ 419,214 $ 631,420 Net income $ 164,684 $ 256,423 $ 416,128 |
Inventory (Tables)
Inventory (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Inventory | Inventory at December 31, 2017 and 2018 was as follows (in thousands): December 31, 2017 2018 Refined products $ 73,845 $ 92,751 Liquefied petroleum gases 45,553 46,612 Transmix 33,319 28,497 Crude oil 23,763 11,220 Additives 5,865 6,655 Total inventory $ 182,345 $ 185,735 |
Property, Plant and Equipment_2
Property, Plant and Equipment and Other Intangibles (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, plant and equipment consisted of the following (in thousands): Estimated Depreciable Lives December 31, 2017 2018 Construction work-in-progress $ 389,414 $ 395,184 Land and rights-of-way 303,797 303,485 Buildings 114,899 119,720 10 to 53 years Storage tanks 1,897,046 2,059,244 10 to 40 years Pipeline and station equipment 2,581,950 2,614,855 10 to 59 years Processing equipment 1,703,478 1,875,029 3 to 56 years Other 244,884 261,075 3 to 53 years Property, Plant and Equipment, Gross $ 7,235,468 $ 7,628,592 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Changes In Benefit Obligations And Plan Assets | The following table presents the changes in benefit obligations and plan assets for pension benefits and other postretirement benefits, as well as the end-of-period accumulated benefit obligation for the years ended December 31, 2017 and 2018 (in thousands): Pension Benefits Other Postretirement Benefits 2017 2018 2017 2018 Change in benefit obligations: Benefit obligations at beginning of year $ 225,970 $ 297,856 $ 13,011 $ 12,760 Service cost 20,497 38,167 243 243 Interest cost 9,865 14,907 475 416 Plan participants’ contributions — — 280 357 Actuarial loss (gain) 59,686 (21,375 ) (535 ) (599 ) Benefits paid (11,484 ) (14,356 ) (714 ) (1,097 ) Settlement payments (6,678 ) (6,250 ) — — Benefit obligations at end of year 297,856 308,949 12,760 12,080 Change in plan assets: Fair value of plan assets at beginning of year 166,906 198,686 — — Employer contributions 26,533 31,717 434 740 Plan participants’ contributions — — 280 357 Actual return (loss) on plan assets 23,409 (12,207 ) — — Benefits paid (11,484 ) (14,356 ) (714 ) (1,097 ) Settlement payments (6,678 ) (6,250 ) — — Fair value of plan assets at end of year 198,686 197,590 — — Funded status at end of year $ (99,170 ) $ (111,359 ) $ (12,760 ) $ (12,080 ) Accumulated benefit obligations $ 206,480 $ 208,840 |
Amounts Recognized In Consolidated Balance Sheets | Amounts recognized in the consolidated balance sheets included in these financial statements were as follows (in thousands): Pension Benefits Other Postretirement Benefits 2017 2018 2017 2018 Amounts recognized in consolidated balance sheets: Current accrued benefit cost $ — $ — $ 625 $ 859 Long-term pension and benefits 99,170 111,359 12,135 11,221 99,170 111,359 12,760 12,080 Accumulated other comprehensive loss: Net actuarial loss (100,474 ) (91,669 ) (6,597 ) (5,409 ) Prior service credit 3,248 3,067 — — (97,226 ) (88,602 ) (6,597 ) (5,409 ) Net amount of liabilities and accumulated other comprehensive loss recognized in consolidated balance sheets $ 1,944 $ 22,757 $ 6,163 $ 6,671 |
Consolidated Net Periodic Benefit Costs | Net periodic benefit expense for the years ended December 31, 2016 , 2017 and 2018 was as follows (in thousands): Pension Benefits Other Postretirement Benefits 2016 2017 2018 2016 2017 2018 Components of net periodic pension and postretirement benefit expense: Service cost $ 18,179 $ 20,497 $ 38,167 $ 235 $ 243 $ 243 Interest cost 7,950 9,865 14,907 489 475 416 Expected return on plan assets (8,913 ) (10,266 ) (12,090 ) — — — Amortization of prior service credit (181 ) (181 ) (181 ) (3,335 ) — — Amortization of actuarial loss 4,645 5,622 9,763 880 749 589 Settlement cost 202 2,460 1,964 — — — Net periodic expense (credit) $ 21,882 $ 27,997 $ 52,530 $ (1,731 ) $ 1,467 $ 1,248 The service component of our net periodic benefit expense (credit) is presented in operating expense and G&A expense, and the non-service components are presented in other (income) expense in our consolidated statements of income. |
Other Changes In Plan Assets And Benefit Obligations Recognized In Other Comprehensive Loss | Changes in plan assets and benefit obligations recognized in other comprehensive income (loss) during 2016 , 2017 and 2018 were as follows (in thousands): Pension Benefits Other Postretirement Benefits 2016 2017 2018 2016 2017 2018 Beginning balance $ (62,279 ) $ (58,584 ) $ (97,226 ) $ (3,945 ) $ (7,881 ) $ (6,597 ) Net actuarial gain (loss) (971 ) (46,543 ) (2,922 ) (1,481 ) 535 599 Amortization of prior service credit (181 ) (181 ) (181 ) (3,335 ) — — Amortization of actuarial loss 4,645 5,622 9,763 880 749 589 Settlement cost 202 2,460 1,964 — — — Amount recognized in other comprehensive loss 3,695 (38,642 ) 8,624 (3,936 ) 1,284 1,188 Ending balance $ (58,584 ) $ (97,226 ) $ (88,602 ) $ (7,881 ) $ (6,597 ) $ (5,409 ) |
Weighted-Average Rate Assumptions Used | The weighted-average rate assumptions used to determine benefit obligations were as follows: December 31, 2017 2018 Discount rate—Salaried plan 3.70% 3.99% Discount rate—USW plan 3.54% 3.94% Discount rate—IUOE plan 3.79% 4.12% Discount rate—Other Postretirement Benefits 3.43% 4.08% Rate of compensation increase—Salaried plan (1) 4% - 11% 4% - 11% Rate of compensation increase—USW plan 3.50% 3.50% Rate of compensation increase—IUOE plan 5.00% 5.00% (1) The rate of compensation increase assumption for the Salaried plan in 2017 and 2018 is calculated by 10-year age groupings beginning with ages 20-29 at 11% dropping to 4% by ages 70 and above. The weighted-average rate assumptions used to determine net pension and other postretirement benefit expense were as follows: For the Year Ended December 31, 2016 2017 2018 Discount rate—Salaried plan 3.95% 4.21% 3.70% Discount rate—USW plan 3.82% 4.04% 3.63% Discount rate—IUOE plan 3.78% 4.41% 3.79% Discount rate—Other Postretirement Benefits 4% 3.85% 3.43% Rate of compensation increase—Salaried plan (1) 4% - 11% 4% - 11% 4% - 11% Rate of compensation increase—USW plan 3.50% 3.50% 3.50% Rate of compensation increase—IUOE plan 5.00% 5.00% 5.00% Expected rate of return on plan assets—Salaried plan 6.00% 6.00% 6.00% Expected rate of return on plan assets—USW plan 6.00% 6.00% 6.00% Expected rate of return on plan assets—IUOE plan 6.00% 6.00% 6.00% (1) The rate of compensation increase assumption for the Salaried plan is calculated by 10-year age groupings beginning with ages 20-29 at 11% dropping to 4% by ages 70 and above. |
Schedule of Allocation of Plan Assets | The target allocation and actual weighted-average asset allocation percentages at December 31, 2017 and 2018 were as follows: 2017 2018 Actual Target Actual Target Equity securities 37% 30% 29% 30% Fixed income securities 60% 67% 67% 67% Other 3% 3% 4% 3% |
Fair Value, Assets Measured on Recurring Basis | The fair values of the pension plan assets at December 31, 2017 were as follows (in thousands): Asset Category Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Domestic Equity Securities (a) : Small-cap fund $ 5,122 $ 5,122 $ — $ — Mid-cap fund 5,132 5,132 — — Large-cap fund 38,678 38,678 — — International equity fund 24,284 24,284 — — Fixed Income Securities (a) : Short-term bond funds 5,110 5,110 — — Intermediate-term bond funds 25,875 25,875 — — Long-term investment grade bond funds 88,563 88,563 — — Other: Short-term investment funds 5,722 5,722 — — Group annuity contract 200 — — 200 Fair value of plan assets $ 198,686 $ 198,486 $ — $ 200 (a) We hold equity and fixed income securities through investments in mutual funds, which are dedicated to each category as indicated. The fair values of the pension plan assets at December 31, 2018 were as follows (in thousands): Asset Category Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Domestic Equity Securities (a) : Small-cap fund $ 3,816 $ 3,816 $ — $ — Mid-cap fund 3,811 3,811 — — Large-cap funds 30,595 30,595 — — International equity fund 19,471 19,471 — — Fixed Income Securities (a) : Short-term bond funds 9,242 9,242 — — Intermediate-term bond funds 23,036 23,036 — — Long-term investment grade bond funds 99,118 99,118 — — Other: Short-term investment fund 8,312 8,312 — — Group annuity contract 189 — — 189 Fair value of plan assets $ 197,590 $ 197,401 $ — $ 189 (a) We hold equity and fixed income securities through investments in mutual funds, which are dedicated to each category as indicated. |
Expected Benefit Payments | As of December 31, 2018 , the benefit amounts expected to be paid from plan assets through December 31, 2028 were as follows (in thousands): Pension Benefits Other Postretirement Benefits 2019 $ 14,734 $ 859 2020 $ 17,278 $ 901 2021 $ 19,576 $ 915 2022 $ 22,606 $ 913 2023 $ 24,381 $ 878 2024 through 2028 $ 147,022 $ 3,787 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Consolidated Debt | Debt Long-term debt at December 31, 2017 and 2018 was as follows (in thousands): December 31, 2017 2018 6.40% Notes due 2018 $ 250,000 $ — 6.55% Notes due 2019 (1) 550,000 550,000 4.25% Notes due 2021 550,000 550,000 3.20% Notes due 2025 250,000 250,000 5.00% Notes due 2026 650,000 650,000 6.40% Notes due 2037 250,000 250,000 4.20% Notes due 2042 250,000 250,000 5.15% Notes due 2043 550,000 550,000 4.20% Notes due 2045 250,000 250,000 4.25% Notes due 2046 500,000 500,000 4.20% Notes due 2047 500,000 500,000 Face value of long-term debt 4,550,000 4,300,000 Unamortized debt issuance costs (2) (29,472 ) (27,070 ) Net unamortized debt premium (discount) (2) 215 (2,927 ) Net unamortized amount of gains from historical fair value hedges (2) 3,749 866 Long-term debt, net, including current portion 4,524,492 4,270,869 Less: current portion of long-term debt, net (1) 250,974 59,489 Long-term debt, net $ 4,273,518 $ 4,211,380 (1) At December 31, 2018, we had the ability and the intent to refinance approximately $490.0 million of our long-term notes maturing in 2019. As a result, only the portion of our debt that will be repaid with cash available as of December 31, 2018 is classified as current in our consolidated balance sheets. See Note 19 – Subsequent Events for details regarding proceeds received from our debt issuance in January 2019. (2) Debt issuance costs, note discounts and premiums and realized gains and losses of historical fair value hedges are being amortized or accreted to the applicable notes over the respective lives of those notes. |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule Of NYMEX Contracts And Butane Price Swap Purchase Agreements | ur open futures contracts at December 31, 2018 were as follows: Type of Contract/Accounting Methodology Product Represented by the Contract and Associated Barrels Maturity Dates Futures - Economic Hedges 4.1 million barrels of refined products and crude oil Between January and June 2019 Futures - Economic Hedges 0.9 million barrels of butane Between January and April 2019 |
Derivatives and Offset Amounts | December 31, 2017 and 2018 (in thousands): Gross Amounts of Recognized Assets (Liabilities) Gross Amounts of Assets (Liabilities) Offset in the Consolidated Balance Sheets Net Amounts of Assets (Liabilities) Presented in the Consolidated Balance Sheets (1) Margin Deposit Amounts Not Offset in the Consolidated Balance Sheets Net Asset Amount (2) As of December 31, 2017 $ (38,936 ) $ 12,851 $ (26,085 ) $ 36,690 $ 10,605 As of December 31, 2018 $ 62,166 $ (7,155 ) $ 55,011 $ (37,328 ) $ 17,683 (1) Net amount includes energy commodity derivative contracts classified as current liabilities of $25,694 and noncurrent liabilities of $391 |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) | The changes in derivative activity included in AOCL for the years ended December 31, 2016 , 2017 and 2018 were as follows (in thousands): Year Ended December 31, Derivative Gains (Losses) Included in AOCL 2016 2017 2018 Beginning balance $ (30,126 ) $ (34,776 ) $ (33,755 ) Net gain (loss) on interest rate contract cash flow hedges (6,699 ) (1,937 ) 4,317 Reclassification of net loss on cash flow hedges to income 2,049 2,958 2,958 Ending balance $ (34,776 ) $ (33,755 ) $ (26,480 ) |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) | The following is a summary of the effect on our consolidated statements of income for the years ended December 31, 2016 , 2017 and 2018 of derivatives that were designated as cash flow hedges (in thousands): Interest Rate Contracts Amount of Gain (Loss) Recognized in AOCL on Derivatives Location of Loss Reclassified from AOCL into Income Amount of Loss Reclassified from AOCL into Income Year Ended December 31, 2016 $ (6,699 ) Interest expense $ (2,049 ) Year Ended December 31, 2017 $ (1,937 ) Interest expense $ (2,958 ) Year Ended December 31, 2018 $ 4,317 Interest expense $ (2,958 ) |
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location | Year Ended December 31, 2016 2017 2018 Gain (loss) recognized in other income/expense on derivative (futures contracts) $ (8,988 ) $ 4,806 $ 543 Gain (loss) recognized in other income/expense on hedged item (tank bottoms) $ 8,988 $ (4,806 ) $ (543 ) |
Schedule of Derivatives and Hedging-Overall-Subsequent Measurement | The following table provides a summary of the effect on our consolidated statements of income for the years ended December 31, 2016 , 2017 and 2018 of derivatives accounted for as economic hedges (in thousands): Amount of Gain (Loss) Year Ended December 31, Derivative Instrument Location of Gain (Loss) Recognized on Derivatives 2016 2017 2018 Futures contracts Product sales revenue $ (38,584 ) $ (56,338 ) $ 85,012 Futures contracts Cost of product sales 10,998 25,566 (15,947 ) Futures contracts Operating expenses (5,000 ) 3,002 — Total $ (32,586 ) $ (27,770 ) $ 69,065 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The following tables provide a summary of the fair value of derivatives, which are presented on a net basis in our consolidated balance sheets, that were designated as hedging instruments as of December 31, 2017 and 2018 (in thousands): December 31, 2017 Asset Derivatives Liability Derivatives Derivative Instrument Balance Sheet Location Fair Value Balance Sheet Location Fair Value Futures contracts Energy commodity derivatives contracts, net $ — Energy commodity derivatives contracts, net $ 173 Interest rate contracts Other noncurrent assets 12,177 Other noncurrent liabilities — Total $ 12,177 Total $ 173 December 31, 2018 Asset Derivatives Liability Derivatives Derivative Instrument Balance Sheet Location Fair Value Balance Sheet Location Fair Value Futures contracts Energy commodity derivatives contracts, net $ 462 Energy commodity derivatives contracts, net $ — Interest rate contracts Other current assets 312 Other current liabilities 8,438 Total $ 774 Total $ 8,438 The following tables provide a summary of the fair value of derivatives, which are presented on a net basis in our consolidated balance sheets, that were not designated as hedging instruments as of December 31, 2017 and 2018 (in thousands): December 31, 2017 Asset Derivatives Liability Derivatives Derivative Instrument Balance Sheet Location Fair Value Balance Sheet Location Fair Value Futures contracts Energy commodity derivatives contracts, net $ 12,605 Energy commodity derivatives contracts, net $ 38,126 Futures contracts Other noncurrent assets 246 Other noncurrent liabilities 637 Total $ 12,851 Total $ 38,763 December 31, 2018 Asset Derivatives Liability Derivatives Derivative Instrument Balance Sheet Location Fair Value Balance Sheet Location Fair Value Futures contracts Energy commodity derivatives contracts, net $ 61,704 Energy commodity derivatives contracts, net $ 7,155 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Leases [Abstract] | |
Lessee, Future Minimum Rental Payments | Future minimum annual rentals under non-cancellable operating leases and storage contracts with initial or remaining terms greater than one year as of December 31, 2018 , were as follows (in millions): 2019 $ 33.8 2020 32.3 2021 30.2 2022 27.4 2023 26.7 Thereafter 132.2 Total $ 282.6 |
Lessor, Future Minimum Payments Receivable | 2019 $ 39.2 2020 32.8 2021 31.7 2022 22.9 2023 7.2 Thereafter 15.0 Total $ 148.8 |
Leases, Investment in Direct Financing Lease | The net investment under direct financing leasing arrangements as of December 31, 2017 and 2018 was as follows (in millions): December 31, 2017 December 31, 2018 Total minimum lease payments receivable $ 19.2 $ 17.5 Less: Unearned income 4.1 3.5 Recorded net investment in direct financing lease $ 15.1 $ 14.0 The net investment in direct financing leases was classified in the consolidated balance sheets as follows (in millions): December 31, 2017 December 31, 2018 Other accounts receivable $ 1.1 $ 1.1 Long-term receivables 14.0 12.9 Total $ 15.1 $ 14.0 Future minimum payments receivable under this direct financing lease for the next five years are $1.7 million each year. |
Long-Term Incentive Plan (Table
Long-Term Incentive Plan (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Changes In Non-Vested Unit Awards | The amounts below do not include adjustments for above-target or below-target performance. Performance-Based Awards Time-Based Awards Total Awards Number of Unit Awards Weighted-Average Fair Value Number of Unit Awards Weighted-Average Fair Value Number of Unit Awards Weighted-Average Fair Value Non-vested units - 1/1/2018 356,068 $ 76.40 61,104 $ 71.36 417,172 $ 75.66 Units granted during 2018 218,923 $ 73.80 83,564 $ 71.03 302,487 $ 73.03 Units vested during 2018 (173,718 ) $ 70.30 (31,028 ) $ 64.25 (204,746 ) $ 69.39 Units forfeited during 2018 (11,258 ) $ 76.21 (2,252 ) $ 71.56 (13,510 ) $ 75.44 Non-vested units - 12/31/18 390,015 $ 77.66 111,388 $ 73.09 501,403 $ 76.65 |
Total Non-Vested Unit Awards | The table below summarizes the total non-vested unit awards outstanding adjusted for estimated amounts of above-target financial performance to determine the total number of unit awards included in our total equity-based liability accrual. Grant Date Non-Vested Unit Awards Adjustment to Unit Awards in Anticipation of Achieving Above- Target Financial Results Total Unit Award Accrual Vesting Date Unrecognized Compensation Expense (a) (in millions) Performance-Based Awards: 2017 Awards 176,924 159,232 336,156 12/31/2019 $ 9.0 2018 Awards 213,091 — 213,091 12/31/2020 10.5 Time-Based Awards: 2019 Vesting Date 31,835 — 31,835 12/31/2019 0.9 2020 Vesting Date 79,553 — 79,553 12/31/2020 3.9 Total 501,403 159,232 660,635 $ 24.3 (a) Unrecognized compensation expense will be recognized over the remaining vesting period of the awards. |
Weighted-Average Grant Date Fair Values | The weighted-average fair value of awards granted during 2016 , 2017 and 2018 was as follows: Performance-Based Awards Time-Based Awards Number of Unit Awards Weighted-Average Fair Value Number of Unit Awards Weighted-Average Fair Value Units granted during 2016 193,344 $ 70.29 39,301 $ 64.76 Units granted during 2017 189,544 $ 82.34 30,604 $ 79.10 Units granted during 2018 218,923 $ 73.80 83,564 $ 71.03 |
Vested Unit Awards | The table below sets forth the numbers and values of units that vested in each of the three years ended December 31, 2018 . The vested limited partner units include adjustments for above-target financial and market performance. Vesting Date Vested Limited Partner Units Fair Value of Unit Awards on Vesting Date (in millions) Intrinsic Value of Unit Awards on Vesting Date (in millions) 12/31/2016 361,711 $22.6 $27.4 12/31/2017 266,028 $19.9 $18.9 12/31/2018 317,037 $22.1 $18.1 |
Cash Flow Effects Of Long Term Incentive Plan Settlements [Table Text Block] | The difference between the limited partner units issued to the participants and the total number of unit awards vested primarily represents the tax withholdings associated with the award settlement, which we pay in cash. Settlement Date Number of Limited Partner Units Issued, Net of Tax Withholdings Tax Withholdings and Other Cash Payments (in millions) Employer Taxes (in millions) Total Cash Payments (in millions) February 2016 350,552 $14.4 $1.4 $15.8 January 2017 216,679 $13.9 $1.2 $15.1 January 2018 168,913 $9.3 $1.1 $10.4 |
Equity-Based Incentive Compensation Expense | Equity-based incentive compensation expense for 2016 , 2017 and 2018 was as follows (in thousands): Year Ended December 31, 2016 2017 2018 Performance awards $ 17,106 $ 17,823 $ 28,728 Time-based awards 2,252 2,818 3,325 Total $ 19,358 $ 20,641 $ 32,053 Allocation of LTIP expense on our consolidated statements of income: G&A expense $ 19,204 $ 20,463 $ 31,788 Operating expense 154 178 265 Total $ 19,358 $ 20,641 $ 32,053 |
Segment Disclosures (Tables)
Segment Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Reporting Information By Segment | Year Ended December 31, 2016 (in thousands) Refined Products Crude Oil Marine Storage Intersegment Eliminations Total Transportation and terminals revenue $ 1,002,368 $ 407,837 $ 181,721 $ (807 ) $ 1,591,119 Product sales revenue 561,759 31,170 6,673 — 599,602 Affiliate management fee revenue 765 12,533 1,391 — 14,689 Total revenue 1,564,892 451,540 189,785 (807 ) 2,205,410 Operating expenses 380,347 88,528 65,559 (5,762 ) 528,672 Cost of product sales 459,989 31,657 1,692 — 493,338 (Earnings) losses of non-controlled entities 968 (76,972 ) (2,692 ) — (78,696 ) Operating margin 723,588 408,327 125,226 4,955 1,262,096 Depreciation, amortization and impairment expense 103,388 38,081 31,718 4,955 178,142 G&A expenses 91,372 36,165 19,628 — 147,165 Operating profit $ 528,828 $ 334,081 $ 73,880 $ — $ 936,789 Additions to long-lived assets $ 291,202 $ 250,433 $ 104,728 $ 646,363 As of December 31, 2016 Segment assets $ 3,289,600 $ 2,631,407 $ 791,132 $ 6,712,139 Corporate assets 59,934 Total assets $ 6,772,073 Goodwill $ 38,369 $ 12,082 $ 2,809 $ 53,260 Investments in non-controlled entities $ 31,029 $ 886,920 $ 13,306 $ 931,255 Year Ended December 31, 2017 (in thousands) Refined Products Crude Oil Marine Storage Intersegment Eliminations Total Transportation and terminals revenue $ 1,096,040 $ 458,455 $ 180,683 $ (3,403 ) $ 1,731,775 Product sales revenue 717,140 35,053 6,013 — 758,206 Affiliate management fee revenue 1,388 13,950 2,342 — 17,680 Total revenue 1,814,568 507,458 189,038 (3,403 ) 2,507,661 Operating expenses 400,439 120,920 65,296 (8,677 ) 577,978 Cost of product sales 586,751 41,325 7,541 — 635,617 (Earnings) losses of non-controlled entities 1,632 (120,173 ) (2,453 ) — (120,994 ) Operating margin 825,746 465,386 118,654 5,274 1,415,060 Depreciation, amortization and impairment expense 109,434 48,796 33,126 5,274 196,630 G&A expenses 103,225 41,490 21,002 — 165,717 Operating profit $ 613,087 $ 375,100 $ 64,526 $ — $ 1,052,713 Additions to long-lived assets $ 269,369 $ 168,306 $ 127,012 $ 564,687 As of December 31, 2017 Segment assets $ 3,499,492 $ 2,817,186 $ 871,557 $ 7,188,235 Corporate assets 206,140 Total assets $ 7,394,375 Goodwill $ 38,369 $ 12,082 $ 2,809 $ 53,260 Investments in non-controlled entities $ 29,578 $ 961,032 $ 91,901 $ 1,082,511 Year Ended December 31, 2018 (in thousands) Refined Products Crude Oil Marine Storage Intersegment Eliminations Total Transportation and terminals revenue $ 1,151,980 $ 549,849 $ 180,850 $ (3,691 ) $ 1,878,988 Product sales revenue 872,144 46,767 8,309 — 927,220 Affiliate management fee revenue 1,512 14,832 4,021 — 20,365 Total revenue 2,025,636 611,448 193,180 (3,691 ) 2,826,573 Operating expenses 424,851 166,213 68,010 (9,638 ) 649,436 Cost of product sales 650,071 44,128 10,114 — 704,313 Earnings of non-controlled entities (16,039 ) (162,233 ) (2,845 ) — (181,117 ) Operating margin 966,753 563,340 117,901 5,947 1,653,941 Depreciation, amortization and impairment expense 168,954 54,318 35,858 5,947 265,077 G&A expenses 118,491 51,523 24,269 $ — 194,283 Operating profit $ 679,308 $ 457,499 $ 57,774 $ — $ 1,194,581 Additions to long-lived assets $ 298,502 $ 142,108 $ 65,744 $ 506,354 As of December 31, 2018 Segment assets $ 3,715,653 $ 2,710,068 $ 1,065,525 $ 7,491,246 Corporate assets 256,291 Total assets $ 7,747,537 Goodwill $ 38,369 $ 12,082 $ 2,809 $ 53,260 Investments in non-controlled entities $ 37,574 $ 783,486 $ 255,246 $ 1,076,306 |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements, Recurring and Nonrecurring | The following tables summarize the carrying amounts, fair values and fair value measurements recorded or disclosed as of December 31, 2017 and 2018 , based on the three levels established by ASC 820; Fair Value Measurements and Disclosures (in thousands): Fair Value Measurements as of December 31, 2017 using: Assets (Liabilities) Carrying Amount Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Energy commodity derivatives contracts $ (26,085 ) $ (26,085 ) $ (26,085 ) $ — $ — Interest rate contracts $ 12,177 $ 12,177 $ — $ 12,177 $ — Long-term receivables $ 27,676 $ 27,676 $ — $ — $ 27,676 Debt $ (4,524,492 ) $ (4,826,480 ) $ — $ (4,826,480 ) $ — Fair Value Measurements as of December 31, 2018 using: Assets (Liabilities) Carrying Amount Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Energy commodity derivatives contracts $ 55,011 $ 55,011 $ 55,011 $ — $ — Interest rate contracts $ (8,126 ) $ (8,126 ) $ — $ (8,126 ) $ — Long-term receivables $ 20,844 $ 20,844 $ — $ — $ 20,844 Guarantees $ (16,409 ) $ (16,409 ) $ — $ — $ (16,409 ) Debt $ (4,270,869 ) $ (4,224,373 ) $ — $ (4,224,373 ) $ — |
Partners' Capital and Distrib_2
Partners' Capital and Distributions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Partners' Capital Notes [Abstract] | |
Changes In Outstanding Limited Partner Units | The following table details the changes in the number of our limited partner units outstanding from January 1, 2016 through December 31, 2018 : Limited partner units outstanding on January 1, 2016 227,427,247 February 2016—Settlement of employee LTIP awards 350,552 During 2016—Other (a) 6,117 Limited partner units outstanding on December 31, 2016 227,783,916 January 2017—Settlement of employee LTIP awards 216,679 During 2017—Other (a) 23,961 Limited partner units outstanding on December 31, 2017 228,024,556 January 2018—Settlement of employee LTIP awards 168,913 During 2018—Other (a) 1,691 Limited partner units outstanding on December 31, 2018 228,195,160 (a) Limited partner units issued to settle the equity-based retainer paid to independent directors of our general partner. |
Distributions Made to Limited Partner, by Distribution | Distributions we paid during 2016 , 2017 and 2018 were as follows (in thousands, except per unit amount): Payment Date Per Unit Cash Distribution Amount Total Cash Distribution 2/12/2016 $ 0.7850 $ 178,808 5/13/2016 0.8025 182,797 8/12/2016 0.8200 186,783 11/14/2016 0.8375 190,769 Total $ 3.2450 $ 739,157 2/14/2017 $ 0.8550 $ 194,961 5/15/2017 0.8725 198,951 8/14/2017 0.8900 202,942 11/14/2017 0.9050 206,362 Total $ 3.5225 $ 803,216 2/14/2018 $ 0.9200 $ 209,940 5/15/2018 0.9375 213,933 8/14/2018 0.9575 218,497 11/14/2018 0.9775 223,061 Total $ 3.7925 $ 865,431 |
Organization and Description _2
Organization and Description of Business (Narrative) (Details) bbl in Millions | Dec. 31, 2018Terminalbblmi |
Refined Products Segment [Member] | |
Organization and Description of Business [Line Items] | |
Number of Pipeline Terminals | Terminal | 53 |
Number of Independent Terminals | Terminal | 25 |
Refined Products Segment [Member] | Refined Products Transportation Services [Member] | |
Organization and Description of Business [Line Items] | |
Pipeline, Length | mi | 9,700 |
Refined Products Segment [Member] | Ammonia Transportation Services [Member] | |
Organization and Description of Business [Line Items] | |
Pipeline, Length | mi | 1,100 |
Crude Oil Pipeline and Terminals Segment [Member] | |
Organization and Description of Business [Line Items] | |
Pipeline, Length | mi | 2,200 |
Storage Capacity | 33 |
Contracted Storage | 21 |
Pipeline, Length - Wholly Owned | mi | 1,000 |
Storage Capacity - Wholly Owned | 28 |
Contracted Storage - Wholly Owned | 19 |
Marine Storage Segment [Member] | |
Organization and Description of Business [Line Items] | |
Number of Independent Terminals | Terminal | 6 |
Storage Capacity | 27 |
Storage Capacity - Wholly Owned | 25 |
Number of Independent Terminals - Wholly Owned | Terminal | 5 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) $ in Thousands | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Summary of Significant Accounting Policies [Line Items] | ||||
Operating expenses | $ 649,436 | $ 577,978 | $ 528,672 | |
General and administrative | 194,283 | 165,717 | 147,165 | |
Other Nonoperating Income (Expense) | (13,868) | (4,139) | $ 6,466 | |
Long-term pension and benefits | 122,580 | 111,305 | ||
Accumulated other comprehensive loss | (120,491) | $ (137,578) | ||
Error in Actuarial Assumptions [Member] | ||||
Summary of Significant Accounting Policies [Line Items] | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | 19,400 | |||
Operating expenses | 7,800 | |||
General and administrative | 4,700 | |||
Other Nonoperating Income (Expense) | 6,900 | |||
Long-term pension and benefits | 22,200 | |||
Accumulated other comprehensive loss | $ 2,800 | |||
Assets, Total [Member] | Accounting Standards Update 2016-02 [Member] | Scenario, Forecast [Member] | ||||
Summary of Significant Accounting Policies [Line Items] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect on Financial Statement [Fixed List] | $ 180,000 | |||
Liabilities, Total [Member] | Accounting Standards Update 2016-02 [Member] | Scenario, Forecast [Member] | ||||
Summary of Significant Accounting Policies [Line Items] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect on Financial Statement [Fixed List] | $ 180,000 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies Summary of Significant Accounting Policies (New Accounting Pronouncements) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2018 | |
Item Effected [Line Items] | ||||
Distributions from operations of non-controlled entities | $ 196,686 | $ 146,211 | $ 87,987 | |
Net Cash Provided by (Used in) Operating Activities | 1,352,950 | 1,131,229 | 973,304 | |
Distributions from returns of investments in non-controlled entities | 1,786 | 55,931 | 0 | |
Net Cash Provided by (Used in) Investing Activities | (119,256) | (593,174) | (866,630) | |
Property, plant and equipment | 7,628,592 | 7,235,468 | ||
Accumulated depreciation | (1,830,411) | (1,682,633) | ||
Net property, plant and equipment | 5,798,181 | 5,552,835 | ||
Investments in non-controlled entities | 1,076,306 | 1,082,511 | 931,255 | |
Deferred revenue | 121,085 | 117,795 | ||
Other noncurrent liabilities | 82,240 | 30,350 | ||
Limited partner unitholders | 2,763,925 | 2,267,231 | ||
Accounting Standards Update 2014-09 [Member] | ||||
Item Effected [Line Items] | ||||
Property, plant and equipment | 7,628,592 | $ 7,243,984 | ||
Accumulated depreciation | (1,830,411) | (1,682,958) | ||
Net property, plant and equipment | 5,798,181 | 5,561,026 | ||
Investments in non-controlled entities | 1,076,306 | 1,083,013 | ||
Deferred revenue | 121,085 | 115,894 | ||
Other noncurrent liabilities | 82,240 | 34,969 | ||
Limited partner unitholders | 2,763,925 | 2,273,206 | ||
Previously Reported [Member] | ||||
Item Effected [Line Items] | ||||
Distributions from operations of non-controlled entities | 123,660 | 78,723 | ||
Net Cash Provided by (Used in) Operating Activities | 1,108,678 | 964,040 | ||
Distributions from returns of investments in non-controlled entities | 78,482 | 9,264 | ||
Net Cash Provided by (Used in) Investing Activities | (570,623) | (857,366) | ||
Restatement Adjustment [Member] | Accounting Standards Update 2016-15 [Member] | ||||
Item Effected [Line Items] | ||||
Distributions from operations of non-controlled entities | 22,551 | 9,264 | ||
Net Cash Provided by (Used in) Operating Activities | 22,551 | 9,264 | ||
Distributions from returns of investments in non-controlled entities | (22,551) | (9,264) | ||
Net Cash Provided by (Used in) Investing Activities | (22,551) | $ (9,264) | ||
Calculated under Revenue Guidance in Effect before Topic 606 [Member] | Accounting Standards Update 2014-09 [Member] | ||||
Item Effected [Line Items] | ||||
Property, plant and equipment | 7,610,591 | 7,235,468 | ||
Accumulated depreciation | (1,829,742) | (1,682,633) | ||
Net property, plant and equipment | 5,780,849 | 5,552,835 | ||
Investments in non-controlled entities | 1,075,805 | 1,082,511 | ||
Deferred revenue | 125,717 | 117,795 | ||
Other noncurrent liabilities | 72,922 | 30,350 | ||
Limited partner unitholders | 2,750,778 | $ 2,267,231 | ||
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | Accounting Standards Update 2014-09 [Member] | ||||
Item Effected [Line Items] | ||||
Property, plant and equipment | 18,001 | 8,516 | ||
Accumulated depreciation | (669) | (325) | ||
Net property, plant and equipment | 17,332 | 8,191 | ||
Investments in non-controlled entities | 501 | 502 | ||
Deferred revenue | (4,632) | (1,901) | ||
Other noncurrent liabilities | 9,318 | 4,619 | ||
Limited partner unitholders | $ 13,147 | $ 5,975 |
Revenue from Contract with Cu_3
Revenue from Contract with Customers (Narrative) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Revenue from Contract with Customer [Abstract] | |
Deferred Revenue, Revenue Recognized | $ 79.3 |
Average Delivery Point of Barrels in Pipeline System | 50.00% |
Revenue from Contract with Cu_4
Revenue from Contract with Customers (Schedule of Prospective Adoption) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2018 | |
Item Effected [Line Items] | ||||
Revenues | $ 2,826,573 | $ 2,507,661 | $ 2,205,410 | |
Depreciation and amortization expense | 265,077 | 196,630 | 178,142 | |
Property, plant and equipment | 7,628,592 | 7,235,468 | ||
Accumulated depreciation | (1,830,411) | (1,682,633) | ||
Net property, plant and equipment | 5,798,181 | 5,552,835 | ||
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures | 1,076,306 | 1,082,511 | 931,255 | |
Deferred revenue | 121,085 | 117,795 | ||
Other noncurrent liabilities | 82,240 | 30,350 | ||
Limited partner unitholders | 2,763,925 | 2,267,231 | ||
Accounting Standards Update 2014-09 [Member] | ||||
Item Effected [Line Items] | ||||
Depreciation and amortization expense | 265,077 | |||
Property, plant and equipment | 7,628,592 | $ 7,243,984 | ||
Accumulated depreciation | (1,830,411) | (1,682,958) | ||
Net property, plant and equipment | 5,798,181 | 5,561,026 | ||
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures | 1,076,306 | 1,083,013 | ||
Deferred revenue | 121,085 | 115,894 | ||
Other noncurrent liabilities | 82,240 | 34,969 | ||
Limited partner unitholders | 2,763,925 | 2,273,206 | ||
Accounting Standards Update 2014-09 [Member] | Calculated under Revenue Guidance in Effect before Topic 606 [Member] | ||||
Item Effected [Line Items] | ||||
Depreciation and amortization expense | 264,733 | |||
Property, plant and equipment | 7,610,591 | 7,235,468 | ||
Accumulated depreciation | (1,829,742) | (1,682,633) | ||
Net property, plant and equipment | 5,780,849 | 5,552,835 | ||
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures | 1,075,805 | 1,082,511 | ||
Deferred revenue | 125,717 | 117,795 | ||
Other noncurrent liabilities | 72,922 | 30,350 | ||
Limited partner unitholders | 2,750,778 | 2,267,231 | ||
Accounting Standards Update 2014-09 [Member] | Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | ||||
Item Effected [Line Items] | ||||
Depreciation and amortization expense | 344 | |||
Property, plant and equipment | 18,001 | 8,516 | ||
Accumulated depreciation | (669) | (325) | ||
Net property, plant and equipment | 17,332 | 8,191 | ||
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures | 501 | 502 | ||
Deferred revenue | (4,632) | (1,901) | ||
Other noncurrent liabilities | 9,318 | 4,619 | ||
Limited partner unitholders | 13,147 | $ 5,975 | ||
Service [Member] | ||||
Item Effected [Line Items] | ||||
Revenues | 1,878,988 | $ 1,731,775 | $ 1,591,119 | |
Service [Member] | Accounting Standards Update 2014-09 [Member] | ||||
Item Effected [Line Items] | ||||
Revenues | 1,878,988 | |||
Service [Member] | Accounting Standards Update 2014-09 [Member] | Calculated under Revenue Guidance in Effect before Topic 606 [Member] | ||||
Item Effected [Line Items] | ||||
Revenues | 1,871,471 | |||
Service [Member] | Accounting Standards Update 2014-09 [Member] | Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | ||||
Item Effected [Line Items] | ||||
Revenues | $ 7,517 |
Revenue from Contract with Cu_5
Revenue from Contract with Customers (Disaggregated Revenue) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disaggregation of Revenue [Line Items] | |||
Revenues | $ 2,826,573 | $ 2,507,661 | $ 2,205,410 |
Operating Leases, Income Statement, Lease Revenue | (88,304) | ||
Unrealized Gain (Loss) on Derivatives | (85,011) | ||
Revenue from Related Parties | (20,365) | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,632,893 | ||
Service [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 1,878,988 | 1,731,775 | 1,591,119 |
Product [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 927,220 | 758,206 | 599,602 |
Product and Service, Other [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 20,365 | 17,680 | 14,689 |
Transferred over Time [Member] | Transportation [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 1,086,956 | ||
Transferred over Time [Member] | Terminalling [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 189,013 | ||
Transferred over Time [Member] | Storage [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 352,442 | ||
Transferred over Time [Member] | Ancillary Services [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 162,273 | ||
Transferred over Time [Member] | Lease Revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 88,304 | ||
Transferred over Time [Member] | Service [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 1,878,988 | ||
Transferred at Point in Time [Member] | Product [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 927,220 | ||
Operating Segments [Member] | Refined Products Segment [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 2,025,636 | 1,814,568 | 1,564,892 |
Operating Leases, Income Statement, Lease Revenue | (11,142) | ||
Unrealized Gain (Loss) on Derivatives | (85,643) | ||
Revenue from Related Parties | (1,512) | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,927,339 | ||
Operating Segments [Member] | Refined Products Segment [Member] | Service [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 1,151,980 | 1,096,040 | 1,002,368 |
Operating Segments [Member] | Refined Products Segment [Member] | Product [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 872,144 | 717,140 | 561,759 |
Operating Segments [Member] | Refined Products Segment [Member] | Product and Service, Other [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 1,512 | 1,388 | 765 |
Operating Segments [Member] | Refined Products Segment [Member] | Transferred over Time [Member] | Transportation [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 749,266 | ||
Operating Segments [Member] | Refined Products Segment [Member] | Transferred over Time [Member] | Terminalling [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 179,999 | ||
Operating Segments [Member] | Refined Products Segment [Member] | Transferred over Time [Member] | Storage [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 100,564 | ||
Operating Segments [Member] | Refined Products Segment [Member] | Transferred over Time [Member] | Ancillary Services [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 111,009 | ||
Operating Segments [Member] | Refined Products Segment [Member] | Transferred over Time [Member] | Lease Revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 11,142 | ||
Operating Segments [Member] | Refined Products Segment [Member] | Transferred over Time [Member] | Service [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 1,151,980 | ||
Operating Segments [Member] | Refined Products Segment [Member] | Transferred at Point in Time [Member] | Product [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 872,144 | ||
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 611,448 | 507,458 | 451,540 |
Operating Leases, Income Statement, Lease Revenue | (60,598) | ||
Unrealized Gain (Loss) on Derivatives | 632 | ||
Revenue from Related Parties | (14,832) | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 536,650 | ||
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Service [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 549,849 | 458,455 | 407,837 |
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Product [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 46,767 | 35,053 | 31,170 |
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Product and Service, Other [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 14,832 | 13,950 | 12,533 |
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Transferred over Time [Member] | Transportation [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 337,690 | ||
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Transferred over Time [Member] | Terminalling [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 6,365 | ||
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Transferred over Time [Member] | Storage [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 119,606 | ||
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Transferred over Time [Member] | Ancillary Services [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 25,590 | ||
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Transferred over Time [Member] | Lease Revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 60,598 | ||
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Transferred over Time [Member] | Service [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 549,849 | ||
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Transferred at Point in Time [Member] | Product [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 46,767 | ||
Operating Segments [Member] | Marine Storage Segment [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 193,180 | 189,038 | 189,785 |
Operating Leases, Income Statement, Lease Revenue | (16,564) | ||
Unrealized Gain (Loss) on Derivatives | 0 | ||
Revenue from Related Parties | (4,021) | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 172,595 | ||
Operating Segments [Member] | Marine Storage Segment [Member] | Service [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 180,850 | 180,683 | 181,721 |
Operating Segments [Member] | Marine Storage Segment [Member] | Product [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 8,309 | 6,013 | 6,673 |
Operating Segments [Member] | Marine Storage Segment [Member] | Product and Service, Other [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 4,021 | 2,342 | 1,391 |
Operating Segments [Member] | Marine Storage Segment [Member] | Transferred over Time [Member] | Transportation [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 0 | ||
Operating Segments [Member] | Marine Storage Segment [Member] | Transferred over Time [Member] | Terminalling [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 2,649 | ||
Operating Segments [Member] | Marine Storage Segment [Member] | Transferred over Time [Member] | Storage [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 135,963 | ||
Operating Segments [Member] | Marine Storage Segment [Member] | Transferred over Time [Member] | Ancillary Services [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 25,674 | ||
Operating Segments [Member] | Marine Storage Segment [Member] | Transferred over Time [Member] | Lease Revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 16,564 | ||
Operating Segments [Member] | Marine Storage Segment [Member] | Transferred over Time [Member] | Service [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 180,850 | ||
Operating Segments [Member] | Marine Storage Segment [Member] | Transferred at Point in Time [Member] | Product [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 8,309 | ||
Intersegment Eliminations [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | (3,691) | (3,403) | (807) |
Operating Leases, Income Statement, Lease Revenue | 0 | ||
Unrealized Gain (Loss) on Derivatives | 0 | ||
Revenue from Related Parties | 0 | ||
Revenue from Contract with Customer, Excluding Assessed Tax | (3,691) | ||
Intersegment Eliminations [Member] | Service [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | (3,691) | (3,403) | (807) |
Intersegment Eliminations [Member] | Product [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 0 | 0 | 0 |
Intersegment Eliminations [Member] | Product and Service, Other [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 0 | $ 0 | $ 0 |
Intersegment Eliminations [Member] | Transferred over Time [Member] | Transportation [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 0 | ||
Intersegment Eliminations [Member] | Transferred over Time [Member] | Terminalling [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 0 | ||
Intersegment Eliminations [Member] | Transferred over Time [Member] | Storage [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | (3,691) | ||
Intersegment Eliminations [Member] | Transferred over Time [Member] | Ancillary Services [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 0 | ||
Intersegment Eliminations [Member] | Transferred over Time [Member] | Lease Revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 0 | ||
Intersegment Eliminations [Member] | Transferred over Time [Member] | Service [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | (3,691) | ||
Intersegment Eliminations [Member] | Transferred at Point in Time [Member] | Product [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | $ 0 |
Revenue from Contracts with Cus
Revenue from Contracts with Customers (Contract Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Jan. 01, 2018 |
Revenue from Contract with Customer [Abstract] | ||
Billed Contracts Receivable | $ 102,684 | $ 133,084 |
Contract with Customer, Asset, Net | 8,487 | 8,615 |
Contract with Customer, Liability | $ 122,129 | $ 106,933 |
Revenue from Contract with Cu_6
Revenue from Contract with Customer (Remaining Performance Obligation) (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | $ 3,750,821 |
Refined Products Segment [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | 2,116,460 |
Crude Oil Pipeline and Terminals Segment [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | 1,310,734 |
Marine Storage Segment [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | $ 323,627 |
Revenue from Contract with Cu_7
Revenue from Contract with Customer (Performance Obligations in Next 12 Months) (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | $ 3,750,821 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | 755,314 |
Refined Products Segment [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | $ 2,116,460 |
Refined Products Segment [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 12 months |
Revenue, Remaining Performance Obligation, Amount | $ 286,224 |
Crude Oil Pipeline and Terminals Segment [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | 1,310,734 |
Crude Oil Pipeline and Terminals Segment [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | 318,919 |
Marine Storage Segment [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | 323,627 |
Marine Storage Segment [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | $ 150,171 |
Minimum [Member] | Refined Products Segment [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Minimum [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Minimum [Member] | Marine Storage Segment [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Maximum [Member] | Refined Products Segment [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 20 years |
Maximum [Member] | Crude Oil Pipeline and Terminals Segment [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 10 years |
Maximum [Member] | Marine Storage Segment [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 6 years |
Consolidated Statements Of Ca_3
Consolidated Statements Of Cash Flows - Supplemental Disclosures (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Supplemental Cash Flow Information [Abstract] | |||
Increase (decrease) in long-term pension and benefits liability | $ 2.3 | $ 46 | $ 2.5 |
Consolidated Statements Of Ca_4
Consolidated Statements Of Cash Flows - Supplemental Disclosures (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Supplemental Cash Flow Information [Abstract] | |||
Trade accounts receivable and other accounts receivable | $ 24,169 | $ (25,639) | $ (31,107) |
Inventory | (3,390) | (47,967) | (3,510) |
Energy commodity derivatives contracts, net of derivatives deposits | (7,078) | 8,556 | (692) |
Accounts payable | 21,146 | 8,954 | (4,423) |
Accrued payroll and benefits | 14,015 | 10,596 | (6,074) |
Accrued interest payable | (7,399) | 5,014 | 14,347 |
Accrued taxes other than income | 1,750 | 1,177 | (1,421) |
Deferred revenue | 5,191 | 15,904 | 20,264 |
Accrued product purchases | (20,677) | 44,559 | 20,261 |
Current and noncurrent environmental liabilities | 1,226 | (4,766) | (7,398) |
Other current and noncurrent assets and liabilities | (6,707) | (693) | (21,762) |
Changes in components of operating assets and liabilities | $ 22,246 | $ 15,695 | $ (21,515) |
Investments in Non-Controlled_3
Investments in Non-Controlled Entities (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Equity Method Investments and Joint Ventures [Abstract] | ||
Equity Method Investments Unamortized Excess Investment Net | $ 34.8 | $ 59.7 |
Investments in Non-Controlled_4
Investments in Non-Controlled Entities (Equity Method Investments) (Details) $ in Thousands, bbl in Millions | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($)bbl | Dec. 31, 2016USD ($) | |
Schedule of Equity Method Investments [Line Items] | ||||
Contribution of property, plant and equipment to a non-controlled entity | $ 0 | $ 97,638 | $ 0 | |
Proceeds from Sale of Productive Assets | 576,568 | 44,392 | 7,552 | |
Gain (Loss) on Disposition of Other Assets | 353,797 | 18,505 | 28,144 | |
Revenues | 2,826,573 | 2,507,661 | 2,205,410 | |
Operating expenses | 649,436 | 577,978 | 528,672 | |
Cost of product sales | 704,313 | 635,617 | 493,338 | |
Accounts Receivable, Net, Current | 104,164 | 138,779 | ||
Other accounts receivable | 25,007 | 14,561 | ||
Change in Equity Method Investments [Roll Forward] | ||||
Investments at December 31, 2017 | $ 1,082,511 | 1,082,511 | 931,255 | |
Additional Investments | 216,424 | |||
Equity Method Investment, Amount Sold | (205,776) | |||
Other Adjustment to Equity Investment | 502 | |||
Proportionate Share of Equity Earnings | 183,317 | |||
Amortization of Excess Investment and Capitalized Interest | (2,200) | |||
Income (Loss) from Equity Method Investments | 181,117 | 120,994 | 78,696 | |
Distributions from operations of non-controlled entities | 196,686 | 146,211 | 87,987 | |
Distributions from returns of investments in non-controlled entities | 1,786 | 55,931 | 0 | |
Investments at December 31, 2018 | 1,076,306 | 1,082,511 | 931,255 | |
Equity Method Investment, Summarized Financial Information, Current Assets | 258,698 | 229,342 | ||
Equity Method Investment, Summarized Financial Information, Noncurrent Assets | 2,461,456 | 2,057,892 | ||
Equity Method Investment, Summarized Financial Information, Assets | 2,720,154 | 2,287,234 | ||
Equity Method Investment, Summarized Financial Information, Current Liabilities | 170,558 | 122,198 | ||
Equity Method Investment, Summarized Financial Information, Noncurrent Liabilities | 73,700 | 74,533 | ||
Equity Method Investment, Summarized Financial Information, Liabilities | 244,258 | 196,731 | ||
Equity Method Investment Summarized Financial Information, Equity | 2,475,896 | 2,090,503 | ||
Equity Method Investment, Summarized Financial Information, Revenue | 631,420 | 419,214 | 279,180 | |
Equity Method Investment, Summarized Financial Information, Net Income (Loss) | 416,128 | 256,423 | 164,684 | |
Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Related Party Transaction, Other Revenues from Transactions with Related Party | $ 3,900 | 3,600 | 4,200 | |
BridgeTex [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity Method Investment, Ownership Percentage | 30.00% | 30.00% | ||
Equity Method Investment Sold Percentage | 20.00% | |||
Proceeds from Sale of Productive Assets | $ 575,600 | |||
Gain (Loss) on Disposition of Other Assets | $ 353,800 | |||
BridgeTex [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Cost of product sales | 14,500 | |||
Accounts Receivable, Net, Current | $ 300 | |||
Other accounts receivable | $ 1,500 | |||
Related Party Transaction, Purchases from Related Party | 6,700 | |||
Double Eagle Pipeline Llc [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity Method Investment, Ownership Percentage | 50.00% | |||
Double Eagle Pipeline Llc [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Accounts Receivable, Net, Current | $ 500 | 500 | ||
HoustonLink Pipeline Company LLC [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity Method Investment, Ownership Percentage | 50.00% | |||
HoustonLink Pipeline Company LLC [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Accounts Payable, Other | $ 100 | |||
MVP Terminalling, LLC [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity Method Investment, Ownership Percentage | 50.00% | 50.00% | ||
Joint Venture, Ownership Interest | 50.00% | |||
Contribution of property, plant and equipment to a non-controlled entity | $ 97,600 | |||
Change in Equity Method Investments [Roll Forward] | ||||
Distributions from returns of investments in non-controlled entities | 48,800 | |||
MVP Terminalling, LLC [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Operating expenses | $ (2,200) | |||
Other accounts receivable | $ 400 | 400 | ||
Powder Springs Logistics, LLC [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity Method Investment, Ownership Percentage | 50.00% | |||
Powder Springs Logistics, LLC [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Cost of product sales | $ 400 | |||
Other accounts receivable | 900 | |||
Accounts Receivable, Net, Noncurrent | $ 2,200 | |||
Saddlehorn Pipeline Company [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity Method Investment, Ownership Percentage | 40.00% | |||
Saddlehorn Pipeline Company [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Other accounts receivable | $ 200 | $ 100 | ||
Seabrook Logistics, LLC [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity Method Investment, Ownership Percentage | 50.00% | |||
Seabrook Logistics, LLC [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Storage Capacity | bbl | 1.7 | |||
Operating expenses | $ 10,600 | |||
Other accounts receivable | $ 200 | |||
Accounts Payable, Other | $ 1,100 | |||
Texas Frontera Llc [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity Method Investment, Ownership Percentage | 50.00% | |||
Service [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | $ 1,878,988 | 1,731,775 | 1,591,119 | |
Service [Member] | BridgeTex [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 39,600 | 36,100 | 35,500 | |
Service [Member] | Double Eagle Pipeline Llc [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 5,200 | 4,700 | 3,300 | |
Service [Member] | Saddlehorn Pipeline Company [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 2,200 | 2,100 | 700 | |
Product [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 927,220 | $ 758,206 | $ 599,602 | |
Product [Member] | Powder Springs Logistics, LLC [Member] | Equity Method Investee [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | $ 4,900 |
Inventory (Inventory) (Details)
Inventory (Inventory) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | ||
Refined petroleum products | $ 92,751 | $ 73,845 |
Liquefied petroleum gases | 46,612 | 45,553 |
Transmix | 28,497 | 33,319 |
Crude oil | 11,220 | 23,763 |
Additives | 6,655 | 5,865 |
Total inventory | 185,735 | $ 182,345 |
Inventory Write-down | $ 18,500 |
Property, Plant and Equipment_3
Property, Plant and Equipment and Other Intangibles (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Interest Costs Threshold For Capitalization Construction In Process | $ 500 | ||
Long-term Debt, Weighted Average Interest Rate, over Time | 4.80% | 4.80% | 4.90% |
Property, Plant and Equipment, Gross | $ 7,628,592 | $ 7,235,468 | |
Depreciation expense | $ 214,400 | 196,300 | $ 176,700 |
Finite-Lived Intangible Asset, Useful Life | 20 years | ||
Amortization of Intangible Assets | $ 1,600 | 400 | $ 1,400 |
Impairments | 49,100 | ||
Property, Plant and Equipment, Other Types [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 261,075 | 244,884 | |
Capitalized Interest [Member] | Property, Plant and Equipment, Other Types [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | $ 67,600 | $ 57,300 | |
Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 7 years | ||
Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 30 years |
Property, Plant and Equipment_4
Property, Plant and Equipment and Other Intangibles (Property, Plant And Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Long-term Debt, Weighted Average Interest Rate, over Time | 4.80% | 4.80% | 4.90% |
Property, Plant and Equipment, Gross | $ 7,628,592 | $ 7,235,468 | |
Construction in Progress [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 395,184 | 389,414 | |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 303,485 | 303,797 | |
Building and Building Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 119,720 | 114,899 | |
Storage Tanks [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 2,059,244 | 1,897,046 | |
Pipelines [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 2,614,855 | 2,581,950 | |
Processing Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 1,875,029 | 1,703,478 | |
Property, Plant and Equipment, Other Types [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | $ 261,075 | $ 244,884 | |
Minimum [Member] | Building and Building Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated depreciable life, years | 10 years | ||
Minimum [Member] | Storage Tanks [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated depreciable life, years | 10 years | ||
Minimum [Member] | Pipelines [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated depreciable life, years | 10 years | ||
Minimum [Member] | Processing Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated depreciable life, years | 3 years | ||
Minimum [Member] | Property, Plant and Equipment, Other Types [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated depreciable life, years | 3 years | ||
Maximum [Member] | Building and Building Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated depreciable life, years | 53 years | ||
Maximum [Member] | Storage Tanks [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated depreciable life, years | 40 years | ||
Maximum [Member] | Pipelines [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated depreciable life, years | 59 years | ||
Maximum [Member] | Processing Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated depreciable life, years | 56 years | ||
Maximum [Member] | Property, Plant and Equipment, Other Types [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated depreciable life, years | 53 years |
Major Customers and Concentra_2
Major Customers and Concentration Of Risks (Details) | 12 Months Ended |
Dec. 31, 2018Employee | |
Concentration Risk [Line Items] | |
Number of employees | 1,868 |
Refined Products Segment [Member] | |
Concentration Risk [Line Items] | |
Number of employees | 948 |
Crude Oil Pipeline and Terminals Segment [Member] | |
Concentration Risk [Line Items] | |
Number of employees | 160 |
Marine Storage Segment [Member] | |
Concentration Risk [Line Items] | |
Number of employees | 201 |
Customer Concentration Risk [Member] | |
Concentration Risk [Line Items] | |
Customer Concentration Risk, Benchmark Percentage | 10.00% |
Unionized Employees Concentration Risk [Member] | Refined Products Segment [Member] | |
Concentration Risk [Line Items] | |
Concentration Risk, Percentage | 24.00% |
Unionized Employees Concentration Risk [Member] | Crude Oil Pipeline and Terminals Segment [Member] | |
Concentration Risk [Line Items] | |
Concentration Risk, Percentage | 0.00% |
Unionized Employees Concentration Risk [Member] | Marine Storage Segment [Member] | |
Concentration Risk [Line Items] | |
Concentration Risk, Percentage | 14.00% |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)pension_plan | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined contribution plan, expenses | $ 11,000 | $ 9,900 | $ 9,600 |
Number of Union Pension Plans | pension_plan | 2 | ||
Defined Benefit Plan, Health Care Cost Trend Rate Assumed, Next Fiscal Year | 5.80% | ||
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 4.90% | ||
Fixed Income Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Plan Assets, Target Allocation, Percentage | 67.00% | 67.00% | |
Fixed Income Securities [Member] | Scenario, Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Plan Assets, Target Allocation, Percentage | 70.00% | ||
Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Plan Assets, Target Allocation, Percentage | 30.00% | 30.00% | |
Equity Securities [Member] | Scenario, Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Plan Assets, Target Allocation, Percentage | 30.00% | ||
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Benefit Obligation | $ 308,949 | $ 297,856 | 225,970 |
Defined Benefit Plan, Plan Assets, Amount | 197,590 | 198,686 | 166,906 |
Defined Benefit Plan, Benefit Obligation, Actuarial Gain (Loss) | 21,375 | (59,686) | |
Defined Benefit Plan, Expected Amortization of Gain (Loss), Next Fiscal Year | (5,100) | ||
Defined Benefit Plan, Expected Amortization of Prior Service Cost (Credit), Next Fiscal Year | (200) | ||
Contributions estimated to be paid | 32,100 | ||
Other Postretirement Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Benefit Obligation | 12,080 | 12,760 | 13,011 |
Defined Benefit Plan, Plan Assets, Amount | 0 | 0 | $ 0 |
Defined Benefit Plan, Benefit Obligation, Actuarial Gain (Loss) | 599 | 535 | |
Defined Benefit Plan, Expected Amortization of Gain (Loss), Next Fiscal Year | (200) | ||
Contributions estimated to be paid | $ 900 | ||
Salaried Plan and IUOE [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Benefit Obligation | 154,400 | ||
Defined Benefit Plan, Plan Assets, Amount | $ 145,900 |
Employee Benefit Plans (Changes
Employee Benefit Plans (Changes In Benefit Obligations And Plan Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Pension Plan [Member] | |||
Change in benefit obligation: | |||
Benefit obligation at beginning of year | $ 297,856 | $ 225,970 | |
Service cost | 38,167 | 20,497 | $ 18,179 |
Interest cost | 14,907 | 9,865 | 7,950 |
Defined Benefit Plan, Benefit Obligation, Contributions by Plan Participant | 0 | 0 | |
Actuarial loss | (21,375) | 59,686 | |
Benefits paid | (14,356) | (11,484) | |
Settlements | (6,250) | (6,678) | |
Benefit obligation at end of year | 308,949 | 297,856 | 225,970 |
Change in plan assets: | |||
Beginning balance | 198,686 | 166,906 | |
Employer contributions | 31,717 | 26,533 | |
Plan participants’ contributions | 0 | 0 | |
Actual return on plan assets | (12,207) | 23,409 | |
Defined Benefit Plan, Plan Assets, Benefits Paid | 14,356 | 11,484 | |
Defined Benefit Plan, Plan Assets, Payment for Settlement | (6,250) | (6,678) | |
Fair value of plan assets at end of year | 197,590 | 198,686 | 166,906 |
Funded status at end of year | (111,359) | (99,170) | |
Accumulated benefit obligation | 208,840 | 206,480 | |
Other Postretirement Benefits [Member] | |||
Change in benefit obligation: | |||
Benefit obligation at beginning of year | 12,760 | 13,011 | |
Service cost | 243 | 243 | 235 |
Interest cost | 416 | 475 | 489 |
Defined Benefit Plan, Benefit Obligation, Contributions by Plan Participant | 357 | 280 | |
Actuarial loss | (599) | (535) | |
Benefits paid | (1,097) | (714) | |
Settlements | 0 | 0 | |
Benefit obligation at end of year | 12,080 | 12,760 | 13,011 |
Change in plan assets: | |||
Beginning balance | 0 | 0 | |
Employer contributions | 740 | 434 | |
Plan participants’ contributions | 357 | 280 | |
Actual return on plan assets | 0 | 0 | |
Defined Benefit Plan, Plan Assets, Benefits Paid | 1,097 | 714 | |
Defined Benefit Plan, Plan Assets, Payment for Settlement | 0 | 0 | |
Fair value of plan assets at end of year | 0 | 0 | $ 0 |
Funded status at end of year | $ (12,080) | $ (12,760) |
Employee Benefit Plans (Amounts
Employee Benefit Plans (Amounts Recognized In Consolidated Balance Sheets) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Amounts recognized in consolidated balance sheet: | ||||
Long-term pension and benefit cost | $ 122,580 | $ 111,305 | ||
Accumulated other comprehensive loss: | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (120,491) | (137,578) | ||
Pension Plan [Member] | ||||
Amounts recognized in consolidated balance sheet: | ||||
Current accrued benefit cost | 0 | 0 | ||
Long-term pension and benefit cost | 111,359 | 99,170 | ||
Net amount recognized in consolidated balance sheet | 111,359 | 99,170 | ||
Accumulated other comprehensive loss: | ||||
Net actuarial loss | (91,669) | (100,474) | ||
Prior service credit | 3,067 | 3,248 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (88,602) | (97,226) | $ (58,584) | $ (62,279) |
Amount of Liabilities and Accumulated Other Comprehensive Loss Recognized in Consolidated Balance Sheet | 22,757 | 1,944 | ||
Other Postretirement Benefits [Member] | ||||
Amounts recognized in consolidated balance sheet: | ||||
Current accrued benefit cost | 859 | 625 | ||
Long-term pension and benefit cost | 11,221 | 12,135 | ||
Net amount recognized in consolidated balance sheet | 12,080 | 12,760 | ||
Accumulated other comprehensive loss: | ||||
Net actuarial loss | (5,409) | (6,597) | ||
Prior service credit | 0 | 0 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (5,409) | (6,597) | $ (7,881) | $ (3,945) |
Amount of Liabilities and Accumulated Other Comprehensive Loss Recognized in Consolidated Balance Sheet | $ 6,671 | $ 6,163 |
Employee Benefit Plans (Consoli
Employee Benefit Plans (Consolidated Net Periodic Benefit Costs) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Pension Plan [Member] | |||
Components of net periodic pension and postretirement benefit expense: | |||
Service cost | $ 38,167 | $ 20,497 | $ 18,179 |
Interest cost | 14,907 | 9,865 | 7,950 |
Expected return on plan assets | (12,090) | (10,266) | (8,913) |
Amortization of prior service cost (credit) | (181) | (181) | (181) |
Amortization of net actuarial loss | 9,763 | 5,622 | 4,645 |
Settlement | 1,964 | 2,460 | 202 |
Net periodic expense (credit) | 52,530 | 27,997 | 21,882 |
Other Postretirement Benefits [Member] | |||
Components of net periodic pension and postretirement benefit expense: | |||
Service cost | 243 | 243 | 235 |
Interest cost | 416 | 475 | 489 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of prior service cost (credit) | 0 | 0 | (3,335) |
Amortization of net actuarial loss | 589 | 749 | 880 |
Settlement | 0 | 0 | 0 |
Net periodic expense (credit) | $ 1,248 | $ 1,467 | $ (1,731) |
Employee Benefit Plans (Other C
Employee Benefit Plans (Other Changes In Plan Assets And Benefit Obligations Recognized In Other Comprehensive Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Changes in AOCL [Roll Forward] | |||
Accumulated Other Comprehensive Income, Beginning Balance | $ (137,578) | ||
Net actuarial loss | (2,323) | $ (46,008) | $ (2,452) |
Amortization of prior service credit | (181) | (181) | (3,516) |
Amortization of actuarial loss | 10,352 | 6,371 | 5,525 |
Settlement cost | 1,964 | 2,460 | 202 |
Total other comprehensive loss | 17,087 | (36,337) | (4,891) |
Accumulated Other Comprehensive Income, Ending Balance | (120,491) | (137,578) | |
Pension Plan [Member] | |||
Changes in AOCL [Roll Forward] | |||
Accumulated Other Comprehensive Income, Beginning Balance | (97,226) | (58,584) | (62,279) |
Net actuarial loss | (2,922) | (46,543) | (971) |
Amortization of prior service credit | (181) | (181) | (181) |
Amortization of actuarial loss | 9,763 | 5,622 | 4,645 |
Settlement cost | 1,964 | 2,460 | 202 |
Total other comprehensive loss | 8,624 | (38,642) | 3,695 |
Accumulated Other Comprehensive Income, Ending Balance | (88,602) | (97,226) | (58,584) |
Other Postretirement Benefits [Member] | |||
Changes in AOCL [Roll Forward] | |||
Accumulated Other Comprehensive Income, Beginning Balance | (6,597) | (7,881) | (3,945) |
Net actuarial loss | 599 | 535 | (1,481) |
Amortization of prior service credit | 0 | 0 | (3,335) |
Amortization of actuarial loss | 589 | 749 | 880 |
Settlement cost | 0 | 0 | 0 |
Total other comprehensive loss | 1,188 | 1,284 | (3,936) |
Accumulated Other Comprehensive Income, Ending Balance | $ (5,409) | $ (6,597) | $ (7,881) |
Employee Benefit Plans (Weighte
Employee Benefit Plans (Weighted-Average Rate Assumptions Used) (Details) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 4.08% | 3.43% | |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 3.43% | 3.85% | 4.00% |
Salaried Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 3.99% | 3.70% | |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 3.70% | 4.21% | 3.95% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Rate of Return on Plan Assets | 6.00% | 6.00% | 6.00% |
U S W Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 3.94% | 3.54% | |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 3.50% | 3.50% | |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 3.63% | 4.04% | 3.82% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Rate of Return on Plan Assets | 6.00% | 6.00% | 6.00% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 3.50% | 3.50% | 3.50% |
I U O E Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 4.12% | 3.79% | |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 5.00% | 5.00% | |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 3.79% | 4.41% | 3.78% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Rate of Return on Plan Assets | 6.00% | 6.00% | 6.00% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 5.00% | 5.00% | 5.00% |
Minimum [Member] | Salaried Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 4.00% | 4.00% | |
Minimum [Member] | U S W Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 4.00% | ||
Minimum [Member] | Pension Plan [Member] | U S W Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 4.00% | 4.00% | |
Maximum [Member] | Salaried Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 11.00% | ||
Maximum [Member] | U S W Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 11.00% | ||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 11.00% | 11.00% | 11.00% |
Employee Benefit Plans (Fair Va
Employee Benefit Plans (Fair Value Of Pension Plan Assets) (Details) - Pension Plan [Member] - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | $ 197,590 | $ 198,686 | $ 166,906 | ||
Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | 197,401 | 198,486 | |||
Significant Unobservable Inputs (Level 3) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | 189 | 200 | |||
Small-Cap Fund [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 3,816 | 5,122 | ||
Small-Cap Fund [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 3,816 | 5,122 | ||
Mid-Cap Fund [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 3,811 | 5,132 | ||
Mid-Cap Fund [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 3,811 | 5,132 | ||
Large-Cap Fund [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 30,595 | 38,678 | ||
Large-Cap Fund [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 30,595 | 38,678 | ||
International Equity Fund [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | 19,471 | [1] | 24,284 | ||
International Equity Fund [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | 19,471 | [1] | 24,284 | ||
Short-Term Bond Fund [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 9,242 | 5,110 | ||
Short-Term Bond Fund [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 9,242 | 5,110 | ||
Intermediate-Term Bond Funds [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 23,036 | 25,875 | ||
Intermediate-Term Bond Funds [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 23,036 | 25,875 | ||
Long-Term Investment Grade Bond Fund [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 99,118 | 88,563 | ||
Long-Term Investment Grade Bond Fund [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | [1] | 99,118 | 88,563 | ||
Short-Term Investment Fund [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | 8,312 | 5,722 | |||
Short-Term Investment Fund [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | 8,312 | 5,722 | |||
Group Annuity Contract [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | 189 | 200 | |||
Group Annuity Contract [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Plan Assets, Amount | $ 189 | $ 200 | |||
[1] | We hold equity and fixed income securities through investments in mutual funds, which are dedicated to each category as indicated. |
Employee Benefit Plans (Investm
Employee Benefit Plans (Investment Strategies) (Details) | 12 Months Ended |
Dec. 31, 2018 | |
Small-Cap Fund [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Description | Small-cap fund |
Fund's Investment Strategy | Seeks to track performance of the Center for Research in Security Prices (“CRSP”) US Small Cap Index |
Mid-Cap Fund [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Description | Mid-cap fund |
Fund's Investment Strategy | Seeks to track performance of the CRSP US Mid Cap Index |
Large-Cap Fund [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Description | Large-cap funds |
Fund's Investment Strategy | Seek to track performance of the Standard & Poor’s 500 Index |
International Equity Fund [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Description | International equity fund |
Fund's Investment Strategy | Seeks long-term growth of capital by investing 65% or more of assets in international equities |
Short-Term Bond Fund [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Description | Short-term bond funds |
Fund's Investment Strategy | Seek current income with limited price volatility through investment in primarily high quality bonds |
Intermediate-Term Bond Funds [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Description | Intermediate-term bond funds |
Fund's Investment Strategy | Seek moderate and sustainable level of current income by investing primarily in high quality fixed income securities with maturities from five to ten years |
Long-Term Investment Grade Bond Fund [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Description | Long-term investment grade bond funds |
Fund's Investment Strategy | Seek high and sustainable current income through investment primarily in long-term high grade bonds |
Short-Term Investment Fund [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Description | Short-term investment fund |
Fund's Investment Strategy | Invests in high quality short-term money market instruments issued by the U.S. Treasury |
Group Annuity Contract [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Description | Group annuity contract |
Fund's Investment Strategy | Earns interest quarterly equal to the effective yield of the 91-day U.S. Treasury bill |
Employee Benefit Plans (Target
Employee Benefit Plans (Target Allocation And Actual Weighted-Average Asset Allocation Of Plan Assets) (Details) | Dec. 31, 2018 | Dec. 31, 2017 |
Equity Securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Actual plan asset allocation | 29.00% | 37.00% |
Target plan asset allocation | 30.00% | 30.00% |
Fixed Income Securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Actual plan asset allocation | 67.00% | 60.00% |
Target plan asset allocation | 67.00% | 67.00% |
Cash and Cash Equivalents [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Actual plan asset allocation | 4.00% | 3.00% |
Target plan asset allocation | 3.00% | 3.00% |
Employee Benefit Plans (Expecte
Employee Benefit Plans (Expected Benefit Payments) (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,018 | $ 14,734 |
2,019 | 17,278 |
2,020 | 19,576 |
2,021 | 22,606 |
2,022 | 24,381 |
2023 through 2027 | 147,022 |
Other Postretirement Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,018 | 859 |
2,019 | 901 |
2,020 | 915 |
2,021 | 913 |
2,022 | 878 |
2023 through 2027 | $ 3,787 |
Related Party Transactions (Nar
Related Party Transactions (Narrative) (Details) - Director [Member] - USD ($) $ in Millions | 2 Months Ended | 12 Months Ended | ||
Feb. 29, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Targa Resource Partners L P [Member] | ||||
Related Party Transaction [Line Items] | ||||
Related Party Transaction, Expenses from Transactions with Related Party | $ 4.7 | |||
Methvin Company [Member] | ||||
Related Party Transaction [Line Items] | ||||
Related Party Transaction, Other Revenues from Transactions with Related Party | $ 21.7 | $ 16.6 | $ 16.2 | |
Accounts Receivable, Related Parties, Current | $ 1.9 | $ 1.6 |
Debt (Consolidated Debt) (Detai
Debt (Consolidated Debt) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | ||
Debt Instrument [Line Items] | |||
Short-term Debt, Refinanced, Amount | $ 490,000,000 | ||
Debt Instrument, Face Amount | 4,300,000,000 | $ 4,550,000,000 | |
Debt Issuance Costs, Net | [1] | (27,070,000) | (29,472,000) |
Debt Instrument, Unamortized Discount (Premium), Net | [1] | (2,927,000) | 215,000 |
Deferred Gain (Loss) on Discontinuation of Interest Rate Fair Value Hedge | [1] | 866,000 | 3,749,000 |
Long-term Debt | 4,270,869,000 | 4,524,492,000 | |
Current portion of long-term debt, net | 59,489,000 | 250,974,000 | |
Long-term Debt, Excluding Current Maturities | 4,211,380,000 | 4,273,518,000 | |
6.40% Notes Due 2018 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 0 | 250,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 6.40% | ||
6.55% Notes Due 2019 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 550,000,000 | 550,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 6.55% | ||
4.25% Notes Due 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 550,000,000 | 550,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 4.25% | ||
3.20% Notes Due 2025 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 250,000,000 | 250,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 3.20% | ||
5.00% Notes Due 2046 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 650,000,000 | 650,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.00% | ||
6.40% Notes Due 2037 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 250,000,000 | 250,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 6.40% | ||
4.20% Notes Due 2042 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 250,000,000 | 250,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 4.20% | ||
5.15% Notes Due 2043 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 550,000,000 | 550,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.15% | ||
4.20% Notes Due 2045 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 250,000,000 | 250,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 4.20% | ||
4.25% Notes Due 2046 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 500,000,000 | 500,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 4.25% | ||
4.20% Notes Due 2047 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 500,000,000 | 500,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 4.20% | ||
Line of Credit [Member] | Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt | $ 0 | $ 0 | |
[1] | Debt issuance costs, note discounts and premiums and realized gains and losses of historical fair value hedges are being amortized or accreted to the applicable notes over the respective lives of those notes. |
Debt (Narrative) (Details)
Debt (Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Debt Instrument [Line Items] | |||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $ 550,000,000 | ||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 0 | ||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 550,000,000 | ||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 0 | ||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 0 | ||
Long-term Debt, Maturities, Repayments of Principal after Year Five | 3,200,000,000 | ||
Debt Instrument, Face Amount | 4,300,000,000 | $ 4,550,000,000 | |
Proceeds from Issuance of Senior Long-term Debt | 0 | 496,705,000 | $ 1,142,997,000 |
Payments of Debt Issuance Costs | 404,000 | 6,316,000 | $ 10,906,000 |
Long-term Debt | $ 4,270,869,000 | $ 4,524,492,000 | |
Long-term Debt, Weighted Average Interest Rate, over Time | 4.80% | 4.80% | 4.90% |
Cash Payments for Interest | $ 227,800,000 | $ 206,200,000 | $ 181,700,000 |
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,000,000,000 | ||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.125% | ||
Letters of Credit Outstanding, Amount | $ 6,800,000 | $ 6,300,000 | |
Debt Instrument, Consolidated Debt to EBITDA Ratio | 5 | ||
Revolving Credit Facility [Member] | Minimum [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | ||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.10% | ||
Revolving Credit Facility [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 1.625% | ||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.275% | ||
Commercial Paper [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,000,000,000 | ||
Long-term Debt, Weighted Average Interest Rate, over Time | 2.30% | 1.30% | |
Commercial Paper [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Term | 397 days | ||
4.20% Notes Due 2047 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 500,000,000 | $ 500,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 4.20% | ||
Line of Credit [Member] | Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt | $ 0 | $ 0 |
Derivative Financial Instrume_3
Derivative Financial Instruments (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Derivative [Line Items] | ||||
Debt Instrument, Face Amount | $ 4,300,000,000 | $ 4,550,000,000 | ||
Net payment on financial derivatives | (24,619,000) | 0 | $ 19,287,000 | |
Energy commodity derivatives deposits | 37,328,000 | 0 | ||
Energy commodity derivatives deposits | 0 | 36,690,000 | ||
Interest Expense [Member] | ||||
Derivative [Line Items] | ||||
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | (2,200,000) | |||
4.25% Notes Due 2046 [Member] | ||||
Derivative [Line Items] | ||||
Debt Instrument, Face Amount | $ 500,000,000 | 500,000,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.25% | |||
Interest Rate Contract [Member] | Future Debt Issuance 2019 [Member] | Cash Flow Hedging [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Notional Amount | $ 250,000,000 | |||
Interest Rate Contract [Member] | Future Debt Issuance 2019 [Member] | Cash Flow Hedging [Member] | Other Current Liabilities [Member] | ||||
Derivative [Line Items] | ||||
Derivative Liability, Fair Value, Gross Liability | 8,400,000 | |||
Interest Rate Contract [Member] | Future Debt Issuance 2019 [Member] | Cash Flow Hedging [Member] | Other Current Assets [Member] | ||||
Derivative [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | 300,000 | |||
Interest Rate Contract [Member] | Future Debt Issuance 2018 [Member] | Cash Flow Hedging [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Notional Amount | 200,000,000 | |||
Net payment on financial derivatives | $ (24,600,000) | |||
Interest Rate Contract [Member] | 4.25% Notes Due 2046 [Member] | Cash Flow Hedging [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Notional Amount | $ 250,000,000 | |||
Debt Instrument, Face Amount | $ 500,000,000 | |||
Debt Instrument, Interest Rate, Stated Percentage | 4.25% | |||
Net payment on financial derivatives | $ 19,300,000 | |||
Commodity Contract [Member] | ||||
Derivative [Line Items] | ||||
Gain (Loss) from Components Excluded from Assessment of Fair Value Hedge Effectiveness | $ 2,400,000 | $ 5,200,000 |
Derivative Financial Instrume_4
Derivative Financial Instruments (Schedule Of NYMEX Contracts And Butane Price Swap Purchase Agreements) (Details) bbl in Millions | Dec. 31, 2018bbl |
Economic Hedges [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount | 4.1 |
Economic Hedges Futures [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount | 0.9 |
Derivative Financial Instrume_5
Derivative Financial Instruments (Schedule of Derivative Offset Amounts) (Details) - Exchange Traded [Member] - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative [Line Items] | |||
Derivative Liability, Fair Value, Gross Liability | $ (7,155) | $ (38,936) | |
Derivative Asset, Fair Value, Gross Asset | 62,166 | 12,851 | |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 26,085 | ||
Derivative Asset, Fair Value, Amount Offset Against Collateral | [1] | 55,011 | |
Derivative, Right to Reclaim Cash | 36,690 | ||
Derivative, Collateral, Obligation to Return Cash | (37,328) | ||
Amount After Offset | $ 17,683 | 10,605 | |
Other Current Liabilities [Member] | |||
Derivative [Line Items] | |||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 25,694 | ||
Other Noncurrent Liabilities [Member] | |||
Derivative [Line Items] | |||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | $ 391 | ||
[1] | Net amount includes energy commodity derivative contracts classified as current liabilities of $25,694 and noncurrent liabilities of $391 at December 31, 2017. |
Derivative Financial Instrume_6
Derivative Financial Instruments (Amounts Included in AOCL) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Derivative Gains Included in Accumulated Other Comprehensive Loss [Roll Forward] | |||
Accumulated Other Comprehensive Income (Loss), Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax | $ (33,755) | $ (34,776) | $ (30,126) |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | 4,317 | (1,937) | (6,699) |
Reclassification of net loss on cash flow hedges to income | 2,958 | 2,958 | 2,049 |
Accumulated Other Comprehensive Income (Loss), Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax | $ (26,480) | $ (33,755) | $ (34,776) |
Derivative Financial Instrume_7
Derivative Financial Instruments (Derivatives And Hedging-Cash Flow Hedges) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | $ 4,317 | $ (1,937) | $ (6,699) |
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | Interest Rate Contract [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | 4,317 | (1,937) | (6,699) |
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | Interest Rate Contract [Member] | Interest Expense [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative Instruments, Loss Reclassified from Accumulated OCI into Income | $ (2,958) | $ (2,958) | $ (2,049) |
Derivative Financial Instrume_8
Derivative Financial Instruments (Fair Value Hedging Disclosures) (Details) - Commodity Contract [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Increase (Decrease) in Fair Value of Price Risk Fair Value Hedging Instruments | $ 543 | $ 4,806 | $ (8,988) |
Increase (Decrease) in Fair Value of Hedged Item in Price Risk Fair Value Hedge | $ (543) | $ (4,806) | $ 8,988 |
Derivative Financial Instrume_9
Derivative Financial Instruments (Derivatives And Hedging-Overall-Subsequent Measurement) (Details) - Not Designated as Hedging Instrument [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative, Gain (Loss) on Derivative, Net | $ 69,065 | $ (27,770) | $ (32,586) |
Sales [Member] | Commodity Contract [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative, Gain (Loss) on Derivative, Net | 85,012 | (56,338) | (38,584) |
Cost of Sales [Member] | Commodity Contract [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative, Gain (Loss) on Derivative, Net | (15,947) | 25,566 | 10,998 |
Operating Expenses [Member] | Commodity Contract [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative, Gain (Loss) on Derivative, Net | $ 0 | $ 3,002 | $ (5,000) |
Derivative Financial Instrum_10
Derivative Financial Instruments (Derivatives And Hedging-Designated) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Gross Asset | $ 774 | $ 12,177 |
Derivative Liability, Fair Value, Gross Liability | 8,438 | 173 |
Designated as Hedging Instrument [Member] | Commodity Contract [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Gross Asset | 462 | 0 |
Designated as Hedging Instrument [Member] | Commodity Contract [Member] | Other Current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | 173 |
Designated as Hedging Instrument [Member] | Interest Rate Contract [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Gross Asset | 312 | |
Designated as Hedging Instrument [Member] | Interest Rate Contract [Member] | Other Current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 8,438 | |
Designated as Hedging Instrument [Member] | Interest Rate Contract [Member] | Other Noncurrent Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Gross Asset | 12,177 | |
Designated as Hedging Instrument [Member] | Interest Rate Contract [Member] | Other Noncurrent Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | |
Not Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Gross Asset | 12,851 | |
Derivative Liability, Fair Value, Gross Liability | 38,763 | |
Not Designated as Hedging Instrument [Member] | Commodity Contract [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Gross Asset | 61,704 | 12,605 |
Not Designated as Hedging Instrument [Member] | Commodity Contract [Member] | Other Current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | $ 7,155 | 38,126 |
Not Designated as Hedging Instrument [Member] | Commodity Contract [Member] | Other Noncurrent Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Gross Asset | 246 | |
Not Designated as Hedging Instrument [Member] | Commodity Contract [Member] | Other Noncurrent Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | $ 637 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018USD ($)mi | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Operating Leases [Line Items] | |||
Operating Leases, Future Minimum Payments Due, Next Twelve Months | $ 33.8 | ||
Operating Leases, Income Statement, Contingent Revenue | 51.8 | $ 24.9 | |
Total rent expense | 42.1 | $ 34.8 | $ 30.2 |
Operating Leases, Future Minimum Payments, Due in Two Years | 32.3 | ||
Operating Leases, Future Minimum Payments, Due in Three Years | 30.2 | ||
Operating Leases, Future Minimum Payments, Due in Four Years | 27.4 | ||
Operating Leases, Future Minimum Payments, Due in Five Years | 26.7 | ||
Operating Leases, Future Minimum Payments, Due Thereafter | $ 132.2 | ||
Texas and New Mexico Pipeline (Leased) [Member] | |||
Operating Leases [Line Items] | |||
Pipeline, Length | mi | 40 | ||
Seabrook Logistics, LLC [Member] | Equity Method Investee [Member] | |||
Operating Leases [Line Items] | |||
Operating Leases, Future Minimum Payments Due, Next Twelve Months | $ 11 | ||
Total rent expense | 10.6 | ||
Operating Leases, Future Minimum Payments, Due in Two Years | 11 | ||
Operating Leases, Future Minimum Payments, Due in Three Years | 9.4 | ||
Operating Leases, Future Minimum Payments, Due in Four Years | 6.6 | ||
Operating Leases, Future Minimum Payments, Due in Five Years | 6.6 | ||
Operating Leases, Future Minimum Payments, Due Thereafter | $ 37.5 |
Leases (Lessee, future minimum
Leases (Lessee, future minimum rental payments) (Details) $ in Millions | Dec. 31, 2018USD ($) |
Leases [Abstract] | |
2,018 | $ 33.8 |
2,019 | 32.3 |
2,020 | 30.2 |
2,021 | 27.4 |
2,022 | 26.7 |
Thereafter | 132.2 |
Total | $ 282.6 |
Leases (Lessor, future minimum
Leases (Lessor, future minimum payments receivable) (Details) $ in Millions | Dec. 31, 2018USD ($) |
Operating Leases, Future Minimum Payments Receivable [Abstract] | |
2,018 | $ 39.2 |
2,019 | 32.8 |
2,020 | 31.7 |
2,021 | 22.9 |
2,022 | 7.2 |
Thereafter | 15 |
Total | $ 148.8 |
Minimum [Member] | |
Property Subject to or Available for Operating Lease [Line Items] | |
Lessor, operating lease, term | 1 year |
Maximum [Member] | |
Property Subject to or Available for Operating Lease [Line Items] | |
Lessor, operating lease, term | 10 years |
Leases (Investment in Direct Fi
Leases (Investment in Direct Financing Lease) (Details) $ in Millions | Dec. 31, 2018USD ($)mi | Dec. 31, 2017USD ($) |
Direct Financing Lease [Line Items] | ||
Direct Financing Lease, Minimum Payments to be Received | $ 17.5 | $ 19.2 |
Direct Financing Lease, Unearned Income | 3.5 | 4.1 |
Direct Financing Lease, Net Investment | 14 | 15.1 |
Direct Financing Leases, Future Minimum Payments Receivable, Next Twelve Months | 1.7 | |
Direct Financing Leases, Future Minimum Payments, Receivable in Two Years | 1.7 | |
Direct Financing Leases, Future Minimum Payments Due in Three Years | 1.7 | |
Direct Financing Leases, Future Minimum Payments, Receivable in Four Years | 1.7 | |
Direct Financing Leases, Future Minimum Payments Due in Five Years | 1.7 | |
Other Current Assets [Member] | ||
Direct Financing Lease [Line Items] | ||
Direct Financing Lease, Net Investment | 1.1 | 1.1 |
Other Noncurrent Assets [Member] | ||
Direct Financing Lease [Line Items] | ||
Direct Financing Lease, Net Investment | $ 12.9 | $ 14 |
Texas and New Mexico Pipeline (Leased) [Member] | ||
Direct Financing Lease [Line Items] | ||
Pipeline, Length | mi | 40 |
Long-Term Incentive Plan (Narra
Long-Term Incentive Plan (Narrative) (Details) shares in Millions | 12 Months Ended |
Dec. 31, 2018shares | |
Long Term Incentive Plan [Line Items] | |
Board of Director Deferred Award Days to Payment | 60 days |
Limited partners' capital account, units issued (in units) | 11.9 |
Limited partner unitholders, units remaining available (in shares) | 2.2 |
Performance Shares [Member] | |
Long Term Incentive Plan [Line Items] | |
Equity Based Compensation, Award Payout Percentage, Minimum | 0.00% |
Equity Based Compensation, Award Payout Percentage, Maximum | 200.00% |
Equity Based Compensation Award Payout Fluctuation Of Award Market | 50.00% |
Share-Based Compensation Arrangement By Share-Based Payment Award, Award Forfeiture Period | 2 years |
Minimum [Member] | |
Long Term Incentive Plan [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years |
Maximum [Member] | |
Long Term Incentive Plan [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years |
Long-Term Incentive Plan (Chang
Long-Term Incentive Plan (Changes In Non-Vested Unit Awards) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Non-vested units - 1/1/2018 (in shares) | 417,172 | ||
Units granted (in shares) | 302,487 | ||
Units vested during 2018 (in shares) | (204,746) | ||
Units forfeited during 2018 (in shares) | (13,510) | ||
Non-vested units - 12/31/18 (in shares) | 501,403 | 417,172 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Non-vested units - 1/1/2018 (in dollars per share) | $ 75.66 | ||
Units granted during 2018 (in dollars per share) | 73.03 | ||
Units vested during 2018 (in dollars per share) | 69.39 | ||
Units forfeited during 2018 (in dollars per share) | 75.44 | ||
Non-vested units - 12/31/18 (in dollars per share) | $ 76.65 | $ 75.66 | |
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Non-vested units - 1/1/2018 (in shares) | 356,068 | ||
Units granted (in shares) | 218,923 | 189,544 | 193,344 |
Units vested during 2018 (in shares) | (173,718) | ||
Units forfeited during 2018 (in shares) | (11,258) | ||
Non-vested units - 12/31/18 (in shares) | 390,015 | 356,068 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Non-vested units - 1/1/2018 (in dollars per share) | $ 76.40 | ||
Units granted during 2018 (in dollars per share) | 73.80 | $ 82.34 | $ 70.29 |
Units vested during 2018 (in dollars per share) | 70.30 | ||
Units forfeited during 2018 (in dollars per share) | 76.21 | ||
Non-vested units - 12/31/18 (in dollars per share) | $ 77.66 | $ 76.40 | |
Time-Based Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Non-vested units - 1/1/2018 (in shares) | 61,104 | ||
Units granted (in shares) | 83,564 | 30,604 | 39,301 |
Units vested during 2018 (in shares) | (31,028) | ||
Units forfeited during 2018 (in shares) | (2,252) | ||
Non-vested units - 12/31/18 (in shares) | 111,388 | 61,104 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Non-vested units - 1/1/2018 (in dollars per share) | $ 71.36 | ||
Units granted during 2018 (in dollars per share) | 71.03 | $ 79.10 | $ 64.76 |
Units vested during 2018 (in dollars per share) | 64.25 | ||
Units forfeited during 2018 (in dollars per share) | 71.56 | ||
Non-vested units - 12/31/18 (in dollars per share) | $ 73.09 | $ 71.36 |
Long-Term Incentive Plan (Total
Long-Term Incentive Plan (Total Non-Vested Unit Awards) (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | |
Long Term Incentive Plan [Line Items] | |||
Non-vested units (in shares) | 501,403 | 417,172 | |
Adjustment to Unit Awards in Anticipation of Achieving Above- Target Financial Results (in shares) | 159,232 | ||
Total Unit Award Accrual (in shares) | 660,635 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | [1] | $ 24.3 | |
Performance Shares [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Non-vested units (in shares) | 390,015 | 356,068 | |
Time-Based Awards [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Non-vested units (in shares) | 111,388 | 61,104 | |
2017 Awards [Member] | Performance Shares [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Non-vested units (in shares) | 176,924 | ||
Adjustment to Unit Awards in Anticipation of Achieving Above- Target Financial Results (in shares) | 159,232 | ||
Total Unit Award Accrual (in shares) | 336,156 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | [1] | $ 9 | |
Two Thousand Eighteen Awards [Member] | Performance Shares [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Non-vested units (in shares) | 213,091 | ||
Adjustment to Unit Awards in Anticipation of Achieving Above- Target Financial Results (in shares) | 0 | ||
Total Unit Award Accrual (in shares) | 213,091 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | [1] | $ 10.5 | |
Retention Awards Vesting 2019 [Member] | Time-Based Awards [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Non-vested units (in shares) | 31,835 | ||
Adjustment to Unit Awards in Anticipation of Achieving Above- Target Financial Results (in shares) | 0 | ||
Total Unit Award Accrual (in shares) | 31,835 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | [1] | $ 0.9 | |
Retention Awards Vesting 2020 [Member] | Time-Based Awards [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Non-vested units (in shares) | 79,553 | ||
Adjustment to Unit Awards in Anticipation of Achieving Above- Target Financial Results (in shares) | 0 | ||
Total Unit Award Accrual (in shares) | 79,553 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | [1] | $ 3.9 | |
[1] | Unrecognized compensation expense will be recognized over the remaining vesting period of the awards. |
Long-Term Incentive Plan (Weigh
Long-Term Incentive Plan (Weighted-Average Grant Date Fair Values) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Long Term Incentive Plan [Line Items] | |||
Units granted (in shares) | 302,487 | ||
Weighted-Average Grant Date Fair Value (in dollars per share) | $ 73.03 | ||
Performance Shares [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Units granted (in shares) | 218,923 | 189,544 | 193,344 |
Weighted-Average Grant Date Fair Value (in dollars per share) | $ 73.80 | $ 82.34 | $ 70.29 |
Time-Based Awards [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Units granted (in shares) | 83,564 | 30,604 | 39,301 |
Weighted-Average Grant Date Fair Value (in dollars per share) | $ 71.03 | $ 79.10 | $ 64.76 |
Long-Term Incentive Plan (Veste
Long-Term Incentive Plan (Vested Unit Awards) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Nonvested Total Unit Award Accrual Number (in shares) | 317,037 | 266,028 | 361,711 |
Fair Value of Unit Awards on Vesting Date (in millions) | $ 22.1 | $ 19.9 | $ 22.6 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Vested | $ 18.1 | $ 18.9 | $ 27.4 |
Long-Term Incentive Plan (Cash
Long-Term Incentive Plan (Cash Flow Effects Of LTIP Settlements) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Partners' Capital Account, Units, Unit-based Compensation (in shares) | 168,913 | 216,679 | 350,552 |
Settlement of tax withholdings on long-term incentive compensation | $ 9,285 | $ 13,875 | $ 14,376 |
Payments for Other Taxes | 1,100 | 1,200 | 1,400 |
Total Cash Taxes Paid (in millions) | $ 10,400 | $ 15,100 | $ 15,800 |
Long-Term Incentive Plan (Equit
Long-Term Incentive Plan (Equity-Based Incentive Compensation Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Long Term Incentive Plan [Line Items] | |||
Allocation of LTIP expense on Consolidated Statements of Income | $ 32,053 | $ 20,641 | $ 19,358 |
G&A Expense [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Allocation of LTIP expense on Consolidated Statements of Income | 31,788 | 20,463 | 19,204 |
Operating Expenses [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Allocation of LTIP expense on Consolidated Statements of Income | 265 | 178 | 154 |
Performance Shares [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Allocation of LTIP expense on Consolidated Statements of Income | 28,728 | 17,823 | 17,106 |
Time-Based Awards [Member] | |||
Long Term Incentive Plan [Line Items] | |||
Allocation of LTIP expense on Consolidated Statements of Income | $ 3,325 | $ 2,818 | $ 2,252 |
Segment Disclosures (Segment Re
Segment Disclosures (Segment Reporting Information By Segment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 2,826,573 | $ 2,507,661 | $ 2,205,410 |
Operating expenses | 649,436 | 577,978 | 528,672 |
Cost of product sales | 704,313 | 635,617 | 493,338 |
Earnings of non-controlled entities | (181,117) | (120,994) | (78,696) |
Operating margin | 1,653,941 | 1,415,060 | 1,262,096 |
Depreciation and amortization expense | 265,077 | 196,630 | 178,142 |
G&A expenses | 194,283 | 165,717 | 147,165 |
Operating profit | 1,194,581 | 1,052,713 | 936,789 |
Additions to long-lived assets | 562,296 | 572,744 | 653,528 |
Total assets | 7,747,537 | 7,394,375 | 6,772,073 |
Goodwill | 53,260 | 53,260 | 53,260 |
Investments in non-controlled entities | 1,076,306 | 1,082,511 | 931,255 |
Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Additions to long-lived assets | 506,354 | 564,687 | 646,363 |
Total assets | 7,491,246 | 7,188,235 | 6,712,139 |
Operating Segments [Member] | Refined Products Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 2,025,636 | 1,814,568 | 1,564,892 |
Operating expenses | 424,851 | 400,439 | 380,347 |
Cost of product sales | 650,071 | 586,751 | 459,989 |
Earnings of non-controlled entities | (16,039) | 1,632 | 968 |
Operating margin | 966,753 | 825,746 | 723,588 |
Depreciation and amortization expense | 168,954 | 109,434 | 103,388 |
G&A expenses | 118,491 | 103,225 | 91,372 |
Operating profit | 679,308 | 613,087 | 528,828 |
Additions to long-lived assets | 298,502 | 269,369 | 291,202 |
Total assets | 3,715,653 | 3,499,492 | 3,289,600 |
Goodwill | 38,369 | 38,369 | 38,369 |
Investments in non-controlled entities | 37,574 | 29,578 | 31,029 |
Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 611,448 | 507,458 | 451,540 |
Operating expenses | 166,213 | 120,920 | 88,528 |
Cost of product sales | 44,128 | 41,325 | 31,657 |
Earnings of non-controlled entities | (162,233) | (120,173) | (76,972) |
Operating margin | 563,340 | 465,386 | 408,327 |
Depreciation and amortization expense | 54,318 | 48,796 | 38,081 |
G&A expenses | 51,523 | 41,490 | 36,165 |
Operating profit | 457,499 | 375,100 | 334,081 |
Additions to long-lived assets | 142,108 | 168,306 | 250,433 |
Total assets | 2,710,068 | 2,817,186 | 2,631,407 |
Goodwill | 12,082 | 12,082 | 12,082 |
Investments in non-controlled entities | 783,486 | 961,032 | 886,920 |
Operating Segments [Member] | Marine Storage Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 193,180 | 189,038 | 189,785 |
Operating expenses | 68,010 | 65,296 | 65,559 |
Cost of product sales | 10,114 | 7,541 | 1,692 |
Earnings of non-controlled entities | (2,845) | (2,453) | (2,692) |
Operating margin | 117,901 | 118,654 | 125,226 |
Depreciation and amortization expense | 35,858 | 33,126 | 31,718 |
G&A expenses | 24,269 | 21,002 | 19,628 |
Operating profit | 57,774 | 64,526 | 73,880 |
Additions to long-lived assets | 65,744 | 127,012 | 104,728 |
Total assets | 1,065,525 | 871,557 | 791,132 |
Goodwill | 2,809 | 2,809 | 2,809 |
Investments in non-controlled entities | 255,246 | 91,901 | 13,306 |
Corporate, Non-Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Total assets | 256,291 | 206,140 | 59,934 |
Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | (3,691) | (3,403) | (807) |
Operating expenses | (9,638) | (8,677) | (5,762) |
Cost of product sales | 0 | 0 | 0 |
Earnings of non-controlled entities | 0 | 0 | 0 |
Operating margin | 5,947 | 5,274 | 4,955 |
Depreciation and amortization expense | 5,947 | 5,274 | 4,955 |
G&A expenses | 0 | 0 | 0 |
Operating profit | 0 | 0 | 0 |
Service [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 1,878,988 | 1,731,775 | 1,591,119 |
Service [Member] | Operating Segments [Member] | Refined Products Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 1,151,980 | 1,096,040 | 1,002,368 |
Service [Member] | Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 549,849 | 458,455 | 407,837 |
Service [Member] | Operating Segments [Member] | Marine Storage Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 180,850 | 180,683 | 181,721 |
Service [Member] | Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | (3,691) | (3,403) | (807) |
Product [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 927,220 | 758,206 | 599,602 |
Product [Member] | Operating Segments [Member] | Refined Products Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 872,144 | 717,140 | 561,759 |
Product [Member] | Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 46,767 | 35,053 | 31,170 |
Product [Member] | Operating Segments [Member] | Marine Storage Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 8,309 | 6,013 | 6,673 |
Product [Member] | Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 0 | 0 | 0 |
Product and Service, Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 20,365 | 17,680 | 14,689 |
Product and Service, Other [Member] | Operating Segments [Member] | Refined Products Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 1,512 | 1,388 | 765 |
Product and Service, Other [Member] | Operating Segments [Member] | Crude Oil Pipeline and Terminals Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 14,832 | 13,950 | 12,533 |
Product and Service, Other [Member] | Operating Segments [Member] | Marine Storage Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 4,021 | 2,342 | 1,391 |
Product and Service, Other [Member] | Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 0 | $ 0 | $ 0 |
Commitments and Contingencies (
Commitments and Contingencies (Details) (Narrative) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2018 | |
Loss Contingencies [Line Items] | ||||
Accrual for Environmental Loss Contingencies | $ 20.5 | $ 19.3 | ||
Environmental Remediation Expense | 15 | 9 | $ 5.9 | |
Recorded Third-Party Environmental Recoveries Receivable | 4.1 | 7.2 | ||
Recorded Third-Party Environmental Recoveries, Amount | $ 3.1 | 0.7 | $ 0.9 | |
BridgeTex [Member] | ||||
Loss Contingencies [Line Items] | ||||
Equity Method Investment, Ownership Percentage | 30.00% | 30.00% | ||
Powder Springs Logistics, LLC [Member] | ||||
Loss Contingencies [Line Items] | ||||
Equity Method Investment, Ownership Percentage | 50.00% | |||
Indemnification Agreement [Member] | Equity Method Investee [Member] | BridgeTex [Member] | ||||
Loss Contingencies [Line Items] | ||||
Guarantees, Fair Value Disclosure | $ 16 | |||
Guarantee of Indebtedness of Others [Member] | Equity Method Investee [Member] | Powder Springs Logistics, LLC [Member] | ||||
Loss Contingencies [Line Items] | ||||
Guarantees, Fair Value Disclosure | $ 0.4 | |||
Equity Method Investment, Ownership Percentage | 50.00% | |||
Guarantor Obligations, Maximum Exposure, Undiscounted | $ 25 | |||
Accounts Receivable [Member] | ||||
Loss Contingencies [Line Items] | ||||
Recorded Third-Party Environmental Recoveries Receivable | 2.4 | 0.5 | ||
Other Noncurrent Assets [Member] | ||||
Loss Contingencies [Line Items] | ||||
Recorded Third-Party Environmental Recoveries Receivable | $ 1.7 | $ 6.7 |
Fair Value Disclosures (Details
Fair Value Disclosures (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term receivables | $ 0 | $ 0 |
Guarantees, Fair Value Disclosure | 0 | |
Debt | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term receivables | 0 | 0 |
Guarantees, Fair Value Disclosure | 0 | |
Debt | (4,224,373) | (4,826,480) |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term receivables | 20,844 | 27,676 |
Guarantees, Fair Value Disclosure | (16,409) | |
Debt | 0 | 0 |
Commodity Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability | (26,085) | |
Commodity Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability | 0 | |
Commodity Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability | 0 | |
Interest Rate Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 0 | |
Interest Rate Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 12,177 | |
Interest Rate Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 0 | |
Reported Value Measurement [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term receivables | 20,844 | 27,676 |
Guarantees, Fair Value Disclosure | (16,409) | |
Debt | (4,270,869) | (4,524,492) |
Reported Value Measurement [Member] | Commodity Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 55,011 | |
Derivative Liability | (26,085) | |
Reported Value Measurement [Member] | Interest Rate Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 12,177 | |
Derivative Liability | (8,126) | |
Estimate of Fair Value Measurement [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term receivables | 20,844 | 27,676 |
Guarantees, Fair Value Disclosure | (16,409) | |
Debt | (4,224,373) | (4,826,480) |
Estimate of Fair Value Measurement [Member] | Commodity Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 55,011 | |
Derivative Liability | (26,085) | |
Estimate of Fair Value Measurement [Member] | Interest Rate Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | $ 12,177 | |
Derivative Liability | (8,126) | |
Fair Value, Measurements, Recurring [Member] | Commodity Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 55,011 | |
Fair Value, Measurements, Recurring [Member] | Commodity Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 0 | |
Fair Value, Measurements, Recurring [Member] | Commodity Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 0 | |
Fair Value, Measurements, Recurring [Member] | Interest Rate Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability | 0 | |
Fair Value, Measurements, Recurring [Member] | Interest Rate Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability | (8,126) | |
Fair Value, Measurements, Recurring [Member] | Interest Rate Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability | $ 0 |
Partners' Capital and Distrib_3
Partners' Capital and Distributions (Changes In Limited Partner Units Outstanding) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Capital Unit [Line Items] | ||||
Amount Authorized Under Equity Distribution Agreement | $ 750 | |||
Limited Partners' Capital Account [Roll Forward] | ||||
Limited partner unitholders, units outstanding (in shares) | 228,024,556 | 227,783,916 | 227,427,247 | |
Partners' Capital Account, Units, Unit-based Compensation (in shares) | 168,913 | 216,679 | 350,552 | |
Limited partner unitholders, units outstanding (in shares) | 228,195,160 | 228,024,556 | 227,783,916 | |
Limited Partners' Capital Account, Right to Receive Distribution in Cash, Period | 45 days | |||
Limited Partners' Capital Account, Removal of Magellan GP, LLC, Percentage Vote | 100.00% | |||
Limited Partners' Capital Account, Annual Report Available, Period | 120 days | |||
Limited Partners' Capital Account, Tax Reporting Information, Period | 90 days | |||
Management [Member] | ||||
Limited Partners' Capital Account [Roll Forward] | ||||
Partners' Capital Account, Units, Unit-based Compensation (in shares) | 168,913 | 216,679 | 350,552 | |
Director [Member] | ||||
Limited Partners' Capital Account [Roll Forward] | ||||
Partners' Capital Account, Units, Unit-based Compensation (in shares) | [1] | 1,691 | 23,961 | 6,117 |
[1] | Limited partner units issued to settle the equity-based retainer paid to independent directors of our general partner. |
Partners' Capital and Distrib_4
Partners' Capital and Distributions (Distributions) (Details) - USD ($) $ / shares in Units, $ in Thousands | Nov. 14, 2018 | Aug. 14, 2018 | May 15, 2018 | Feb. 14, 2018 | Nov. 14, 2017 | Aug. 14, 2017 | May 15, 2017 | Feb. 14, 2017 | Nov. 14, 2016 | Aug. 12, 2016 | May 13, 2016 | Feb. 12, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Partners' Capital Notes [Abstract] | |||||||||||||||
Partners' Capital Account, Distribution Per Unit of Limited Partner Interest (in dollars per share) | $ 0.9775 | $ 0.9575 | $ 0.9375 | $ 0.9200 | $ 0.9050 | $ 0.8900 | $ 0.8725 | $ 0.8550 | $ 0.83750 | $ 0.8200 | $ 0.8025 | $ 0.7850 | $ 3.7925 | $ 3.5225 | $ 3.245 |
Limited Partners' Capital Account, Distribution Amount | $ 223,061 | $ 218,497 | $ 213,933 | $ 209,940 | $ 206,362 | $ 202,942 | $ 198,951 | $ 194,961 | $ 190,769 | $ 186,783 | $ 182,797 | $ 178,808 | $ 865,431 | $ 803,216 | $ 739,157 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | Feb. 14, 2019 | Feb. 01, 2019 | Jan. 31, 2019 | Jan. 18, 2019 | Nov. 14, 2018 | Aug. 14, 2018 | May 15, 2018 | Feb. 14, 2018 | Nov. 14, 2017 | Aug. 14, 2017 | May 15, 2017 | Feb. 14, 2017 | Nov. 14, 2016 | Aug. 12, 2016 | May 13, 2016 | Feb. 12, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Subsequent Event [Line Items] | ||||||||||||||||||||
Debt Instrument, Face Amount | $ 4,300,000,000 | $ 4,550,000,000 | ||||||||||||||||||
Proceeds from Issuance of Senior Long-term Debt | $ 0 | $ 496,705,000 | $ 1,142,997,000 | |||||||||||||||||
Partners' Capital Account, Units, Unit-based Compensation (in shares) | 168,913 | 216,679 | 350,552 | |||||||||||||||||
Units granted (in shares) | 302,487 | |||||||||||||||||||
Partners' Capital Account, Distribution Per Unit of Limited Partner Interest (in dollars per share) | $ 0.9775 | $ 0.9575 | $ 0.9375 | $ 0.9200 | $ 0.9050 | $ 0.8900 | $ 0.8725 | $ 0.8550 | $ 0.83750 | $ 0.8200 | $ 0.8025 | $ 0.7850 | $ 3.7925 | $ 3.5225 | $ 3.245 | |||||
Total cash distributions | $ 223,061,000 | $ 218,497,000 | $ 213,933,000 | $ 209,940,000 | $ 206,362,000 | $ 202,942,000 | $ 198,951,000 | $ 194,961,000 | $ 190,769,000 | $ 186,783,000 | $ 182,797,000 | $ 178,808,000 | $ 865,431,000 | $ 803,216,000 | $ 739,157,000 | |||||
6.55% Notes Due 2019 [Member] | ||||||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||||||
Debt Instrument, Face Amount | $ 550,000,000 | $ 550,000,000 | ||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 6.55% | |||||||||||||||||||
Management [Member] | ||||||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||||||
Partners' Capital Account, Units, Unit-based Compensation (in shares) | 168,913 | 216,679 | 350,552 | |||||||||||||||||
Director [Member] | ||||||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||||||
Partners' Capital Account, Units, Unit-based Compensation (in shares) | [1] | 1,691 | 23,961 | 6,117 | ||||||||||||||||
Subsequent Event [Member] | ||||||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||||||
Partners' Capital Account, Units, Unit-based Compensation (in shares) | 208,268 | |||||||||||||||||||
Units granted (in shares) | 347,473 | |||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||||||||||||||||||
Partners' Capital Account, Distribution Per Unit of Limited Partner Interest (in dollars per share) | $ 0.9975 | |||||||||||||||||||
Total cash distributions | $ 227,800,000 | |||||||||||||||||||
Subsequent Event [Member] | Four Point Two Percentage Notes Due Two Thousand Forty Five [Member] | ||||||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||||||
Debt Instrument, Face Amount | $ 500,000,000 | |||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.85% | |||||||||||||||||||
Debt Instrument, Notes At Price | 99.371% | |||||||||||||||||||
Proceeds from Issuance of Senior Long-term Debt | $ 492,500,000 | |||||||||||||||||||
Subsequent Event [Member] | Management [Member] | ||||||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||||||
Partners' Capital Account, Units, Unit-based Compensation (in shares) | 199,792 | |||||||||||||||||||
Subsequent Event [Member] | Director [Member] | ||||||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||||||
Partners' Capital Account, Units, Unit-based Compensation (in shares) | 8,476 | |||||||||||||||||||
Unionized Employees Concentration Risk [Member] | Subsequent Event [Member] | ||||||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||||||
Concentration Risk, Percentage | 24.00% | |||||||||||||||||||
Collective Bargaining Agreement, Extension Term | 1 day | |||||||||||||||||||
[1] | Limited partner units issued to settle the equity-based retainer paid to independent directors of our general partner. |