Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2019	May 06, 2019
Document and Entity Information [Abstract]
Document type	10-Q
Amendment flag	false
Document period end date	Mar. 31, 2019
Document fiscal period focus	Q1
Document fiscal year focus	2019
Entity registrant name	Green Plains Partners LP
Entity central index key	0001635650
Current fiscal year end date	--12-31
Entity filer category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity common stock, shares outstanding		23,137,695
Trading symbol	gpp

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Current assets
Cash and cash equivalents	$ 304	$ 569
Accounts receivable	2,277	1,460
Accounts receivable from affiliates	18,646	13,897
Prepaid expenses and other	667	690
Total current assets	21,894	16,616
Property and equipment, net of accumulated depreciation and amortization of $29,250 and $28,265, respectively	39,926	40,911
Operating lease right-of-use assets	35,950
Goodwill	10,598	10,598
Investment in equity method investee	3,863	3,648
Note receivable	8,100	8,100
Other assets	1,069	1,271
Total assets	121,400	81,144
Current liabilities
Accounts payable	4,697	2,501
Accounts payable to affiliates	517	676
Accrued and other liabilities	6,326	4,337
Asset retirement obligations	683	674
Operating lease current liabilities	12,621
Total current liabilities	24,844	8,188
Long-term debt	143,037	142,025
Deferred lease liability		843
Asset retirement obligations	2,592	2,542
Operating lease long-term liabilities	24,323
Total liabilities	194,796	153,598
Commitments and contingencies (Note 9)
Partners' deficit
Total partners' deficit	(73,396)	(72,454)
Total liabilities and partners' deficit	121,400	81,144
General Partner [Member]
Partners' deficit
Total partners' deficit	(1,244)	(1,171)
Common Units - Public [Member] \| Limited Partners [Member]
Partners' deficit
Total partners' deficit	114,958	115,352
Common Units - Green Plains [Member] \| Limited Partners [Member]
Partners' deficit
Total partners' deficit	$ (187,110)	$ (186,635)

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Property and equipment, accumulated depreciation	$ 29,250	$ 28,265
Common Units - Public [Member] \| Limited Partners [Member]
Units issued	11,551,147	11,551,147
Units outstanding	11,551,147	11,551,147
Common Units - Green Plains [Member] \| Limited Partners [Member]
Units issued	11,586,548	11,586,548
Units outstanding	11,586,548	11,586,548

Consolidated Statements of Operations - USD ($)
shares in Thousands, $ in Thousands

3 Months Ended

Mar. 31, 2019

Mar. 31, 2018

Revenues

Total revenues

$ 21,087

$ 25,885

Operating expenses

Operations and maintenance (excluding depreciation and amortization reflected below)

6,865

8,410

General and administrative

1,117

1,401

Depreciation and amortization

985

1,181

Total operating expenses

8,967

10,992

Operating income

12,120

14,893

Other income (expense)

Interest income

Interest expense

(2,055)

(1,571)

Other

Total other expense

(2,035)

(1,476)

Income before income taxes and income (loss) from equity method investee

10,085

13,417

Income tax expense

(52)

(32)

Income (loss) from equity method investee

215

(13)

Net income

10,248

13,372

Net income attributable to partners' ownership interests

10,248

13,372

Affiliate [Member]

Revenues

Total revenues

18,782

24,257

Non-affiliate [Member]

Revenues

Total revenues

2,305

1,628

General Partner [Member]

Other income (expense)

Net income attributable to partners' ownership interests

205

267

Limited Partners [Member] | Common Units [Member]

Other income (expense)

Net income attributable to partners' ownership interests

$ 10,043

$ 6,559

Earnings per limited partner unit (basic and diluted):

Earnings per limited partner unit (basic and diluted)

$ 0.43

$ 0.41

Weighted average limited partner units outstanding (basic and diluted):

Weighted average limited partner units outstanding (basic and diluted)

23,119

15,922

Limited Partners [Member] | Subordinated Units [Member]

Other income (expense)

Net income attributable to partners' ownership interests

^[1]

$ 6,546

Earnings per limited partner unit (basic and diluted):

Earnings per limited partner unit (basic and diluted)

^[1]

$ 0.41

Weighted average limited partner units outstanding (basic and diluted):

Weighted average limited partner units outstanding (basic and diluted)

^[1]

15,890

[1]	The subordinated units converted to common units on a one-for-one basis in August 2018 (see Note 6 - Partners' Deficit).

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Cash flows from operating activities:
Net income	$ 10,248	$ 13,372
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	985	1,181
Accretion	59	63
Amortization of debt issuance costs	204	145
Unit-based compensation	79	60
(Income) loss from equity method investee	(215)	13
Other	(22)	11
Changes in operating assets and liabilities:
Accounts receivable	(817)	1,829
Accounts receivable from affiliates	(4,749)	(5,380)
Prepaid expenses and other assets	23	189
Accounts payable and accrued liabilities	4,238	2,583
Accounts payable to affiliates	(159)	611
Operating lease liabilities and right-of-use assets	119
Other	11	12
Net cash provided by operating activities	10,004	14,689
Cash flows from investing activities:
Purchases of property and equipment, net		(1,212)
Net cash used in investing activities		(1,212)
Cash flows from financing activities:
Payments of distributions	(11,269)	(15,306)
Proceeds from revolving credit facility	30,600	24,400
Payments on revolving credit facility	(29,600)	(22,300)
Payments of loan fees		(185)
Net cash used in financing activities	(10,269)	(13,391)
Net change in cash and cash equivalents	(265)	86
Cash and cash equivalents, beginning of period	569	502
Cash and cash equivalents, end of period	304	588
Supplemental disclosures of cash flow
Cash paid for income taxes	126	71
Cash paid for interest	$ 1,780	1,327
Non-cash investing activities:
Contributions to equity method investee		$ 1,172

Basis of Presentation, Description of Business and Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2019
Basis of Presentation, Description of Business and Summary of Significant Accounting Policies [Abstract]
Basis of Presentation, Description of Business and Summary of Significant Accounting Policies	1. BASIS OF PRESENTATION, DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Organization References to “the partnership” in the consolidated financial statements and notes to the consolidated financial statements refer to Green Plains Partners LP and its subsidiaries. Green Plains Holdings LLC, a wholly owned subsidiary of Green Plains Inc., serves as the general partner of the partnership. References to (i) “the general partner” and “Green Plains Holdings” refer to Green Plains Holdings LLC; (ii) “the parent,” “the sponsor” and “Green Plains” refer to Green Plains Inc.; and (iii) “Green Plains Trade” refers to Green Plains Trade Group LLC, a wholly owned subsidiary of Green Plains. Consolidated Financial Statements The consolidated financial statements include the accounts of the partnership and its controlled subsidiaries. All significant intercompany balances and transactions are eliminated on a consolidated basis for reporting purposes. Results for the interim periods presented are not necessarily indicative of the expected results for the entire year. The accompanying unaudited consolidated financial statements are prepared in accordance with GAAP for interim financial information and instructions to Form 10-Q and Article 10 of Regulation S-X. Because they do not include all of the information and footnotes required by GAAP, the consolidated financial statements should be read in conjunction with the partnership’s 2018 annual report on Form 10-K for the year ended December 31, 2018, as filed with the SEC on February 20, 2019. The partnership accounts for its interest in joint ventures using the equity method of accounting, with its investment recorded at the acquisition cost plus the partnership’s share of equity in undistributed earnings or losses and reduced by distributions received. Reclassifications Certain prior year amounts were reclassified to conform to the current year presentation. These reclassifications did not affect total revenues, costs and expenses, net income, or partners’ deficit. Use of Estimates in the Preparation of Consolidated Financial Statements Preparation of the consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and revenues and expenses during the reporting period. The partnership bases its estimates on historical experience and assumptions it believes are proper and reasonable under the circumstances. The partnership regularly evaluates the appropriateness of these estimates and assumptions. Actual results could differ from those estimates. Key accounting policies, including, but not limited to, those related to depreciation of property and equipment, asset retirement obligations, operating leases, and impairment of long-lived assets and goodwill, are impacted significantly by judgments, assumptions and estimates used to prepare the consolidated financial statements. Description of Business The partnership provides fuel storage and transportation services by owning, operating, developing and acquiring ethanol and fuel storage tanks, terminals, transportation assets and other related assets and businesses. The partnership is its parent’s primary downstream logistics provider to support the parent’s approximately 1.1 bgy ethanol marketing and distribution business since the partnership’s assets are the principal method of storing and delivering the ethanol its parent produces. The ethanol produced by the parent is predominantly fuel grade, made principally from starch extracted from corn, and primarily used for blending with gasoline. Ethanol currently comprises approximately 10% of the U.S. gasoline market and is an economical source of octane and oxygenates for blending into the fuel supply. The partnership does not take ownership of, or receive any payments based on the value of the ethanol, other fuels or products it handles. As a result, the partnership does not have any direct exposure to fluctuations in commodity prices. Revenue Recognition The partnership recognizes revenue when obligations under the terms of a contract with a customer are satisfied. Generally, this occurs with the completion of services or the transfer of control of products to the customer or another specified third party. Operating lease revenue related to minimum volume commitments is recognized on a straight-line basis over the term of the lease. To the extent shortfalls associated with minimum volume commitments in the previous four quarters continue to exist, volumes in excess of the minimum volume commitment are applied to those shortfalls. Remaining excess volumes generating operating lease revenue are recognized as incurred. The partnership generates a substantial portion of its revenues under fee-based commercial agreements with Green Plains Trade. Please refer to Note 2 - Revenue to the consolidated financial statements for further details. Operations and Maintenance Expenses The partnership’s operations and maintenance expenses consist primarily of lease expenses related to the transportation assets, labor expenses, outside contractor expenses, insurance premiums, repairs and maintenance expenses, and utility costs. These expenses also include fees for certain management, maintenance and operational services to support the storage and terminal facilities, trucks, and leased railcar fleet allocated by Green Plains under the operational services and secondment agreement. Concentrations of Credit Risk In the normal course of business, the partnership is exposed to credit risk resulting from the possibility a loss may occur due to failure of another party to perform according to the terms of their contract. The partnership provides fuel storage and transportation services for various parties with a significant portion of its revenues earned from Green Plains Trade. The partnership continually monitors its credit risk exposure and concentrations. Please refer to Note 2 – Revenue and Note 10 – Related Party Transactions to the consolidated financial statements for additional information. Segment Reporting The partnership accounts for segment reporting in accordance with ASC 280, Segment Reporting, which establishes standards for entities reporting information about the operating segments and geographic areas in which they operate. Management evaluated how its chief operating decision maker has organized the partnership for purposes of making operating decisions and assessing performance, and concluded it has one reportable segment. Asset Retirement Obligations The partnership records an ARO for the fair value of the estimated costs to retire a tangible long-lived asset in the period incurred if it can be reasonably estimated, which is subsequently adjusted for accretion expense. Corresponding asset retirement costs are capitalized as a long-lived asset and depreciated on a straight-line basis over the asset’s remaining useful life. The expected present value technique used to calculate the fair value of the AROs includes assumptions about costs, settlement dates, interest accretion, and inflation. Changes in assumptions, such as the amount or timing of estimated cash flows, could increase or decrease the AROs. The partnership’s AROs are based on legal obligations to perform remedial activity related to land, machinery and equipment when certain operating leases expire. Recent Accounting Pronouncements On January 1, 2019, the partnership adopted the amended guidance in ASC 842, Leases. Please refer to Note 9 – Commitments and Contingencies to the consolidated financial statements for further details.

Revenue

3 Months Ended

Mar. 31, 2019

Revenue [Abstract]

Revenue

2. REVENUE

Revenue Recognition

The partnership recognizes revenue when obligations under the terms of a contract with a customer are satisfied. Generally, this occurs with the completion of services or the transfer of control of products to the customer or another specified third party. Revenue is measured as the amount of consideration expected to be received in exchange for providing services.

Revenue by Source

The following table disaggregates our revenue by major source for the three months ended March 31, 2019 and 2018 (in thousands):


	Three Months Ended March 31,
	2019		2018
Revenues
Service revenues
Terminal services	$	2,566	$	2,281
Trucking and other		895		1,083
Railcar transportation services		-		26
Total service revenues		3,461		3,390
Leasing revenues (1)
Storage and throughput services		11,785		14,642
Railcar transportation services		5,619		7,443
Terminal services		222		410
Total leasing revenues		17,626		22,495
Total revenues	$	21,087	$	25,885

(1) Leasing revenues do not represent revenues recognized from contracts with customers under ASC 606, Revenue from Contracts with Customers, and are accounted for under ASC 842, Leases.

Terminal Services Revenue

The partnership provides terminal services and logistics solutions to Green Plains Trade, and other customers, through its fuel terminal facilities under various terminal service agreements, some of which have minimum volume commitments. Revenue generated by these terminals is disaggregated between service revenue and leasing revenue in accordance with the new revenue standard. If Green Plains, or other customers, fail to meet their minimum volume commitments during the applicable term, a deficiency payment equal to the deficient volume multiplied by the applicable fee will be charged. Deficiency payments related to the partnership’s terminal services revenue may not be utilized as credits toward future volumes. At terminals where customers have shared use of terminal and tank storage assets, revenue is generated from contracts with customers and accounted for as service revenue. This service revenue is recognized at the point in time when product is withdrawn from tank storage. At terminals where a customer is predominantly provided exclusive use of the terminal or tank storage assets, the partnership is considered a lessor as part of an operating lease agreement. Revenue is recognized over the term of the lease based on the minimum volume commitment or total actual throughput if in excess of the minimum volume commitment.

Trucking and Other Revenue

The partnership transports ethanol, natural gasoline, other refined fuels and feedstocks by truck from identified receipt points to various delivery points. Trucking revenue is recognized over time based on the percentage of total miles traveled, which is on average less than 100 miles.

Railcar Transportation Services Revenue

Under the rail transportation services agreement, Green Plains Trade is obligated to use the partnership to transport ethanol and other fuels from receipt points identified by Green Plains Trade to nominated delivery points. Green Plains Trade is required to pay the partnership fees for the minimum railcar volumetric capacity provided, regardless of utilization of that capacity. However, Green Plains Trade is not charged for railcar volumetric capacity that is not available for use due to inspections, upgrades or routine repairs and maintenance. Revenue associated with the rail transportation services fee is considered leasing revenue and is recognized over the term of the lease based on the actual average daily railcar volumetric capacity provided. The partnership may also charge Green Plains Trade a related services fee for logistical operations management of railcar volumetric capacity utilized by Green Plains Trade which is not provided by the partnership. Revenue associated with the related services fee is also considered leasing revenue and recognized over the term of the lease based on the average volumetric capacity for which services are provided.

Storage and Throughput Revenue

The partnership generates leasing revenue from its storage and throughput agreement with Green Plains Trade based on contractual rates charged for the handling, storage and throughput of ethanol. Under this agreement, Green Plains Trade is required to pay the partnership a fee for a minimum volume commitment regardless of the actual volume delivered. If Green Plains Trade fails to meet its minimum volume commitment during any quarter, the partnership will charge Green Plains Trade a deficiency payment equal to the deficient volume multiplied by the applicable fee. The deficiency payment may be applied as a credit toward volumes delivered by Green Plains Trade in excess of the minimum volume commitment during the following four quarters, after which time any unused credits will expire. Revenue is recognized over the term of the lease based on the minimum volume commitment or total actual throughput if in excess of the minimum volume commitment.

Payment Terms

The partnership has standard payment terms, which vary depending on the nature of the services provided, with the majority of terms falling within 10 to 30 days after transfer of control or completion of services. Contracts generally do not include a significant financing component in instances where the timing of revenue recognition differs from the timing of invoicing.

Major Customers

Revenue from Green Plains Trade Group was $18.8 million and $24.3 million for the three months ended March 31, 2019 and 2018, respectively, which exceeds 10% of the partnership's total revenue.

Contract Liabilities

The partnership records unearned revenue when consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services to the customer under the terms of service and lease agreements. Unearned revenue from service agreements, which represents a contract liability, is recorded for fees that have been charged to the customer prior to the completion of performance obligations, and is generally recognized in the subsequent quarter.

The following table reflects the changes in our unearned revenue from service agreements, which is recorded in accrued and other liabilities on the consolidated balance sheets, for the three months ended March 31, 2019 (in thousands):


	Amount
Balance at January 1, 2019	$	248
Revenue recognized included in beginning balance		(248)
Net additions		101
Balance at March 31, 2019	$	101

The partnership expects to recognize all of the unearned revenue associated with service agreements from contracts with customers as of March 31, 2019, in the subsequent quarter when the product is withdrawn from tank storage.

Debt	3 Months Ended
Debt	Mar. 31, 2019
Debt [Abstract]
Debt	3. DEBT Revolving Credit Facility Green Plains Operating Company has a $200.0 million revolving credit facility, which matures on July 1, 2020, to fund working capital, acquisitions, distributions, capital expenditures and other general partnership purposes. The credit facility can be increased by an additional $20.0 million without the consent of the lenders. Advances under the credit facility, are subject to a floating interest rate based on the preceding fiscal quarter’s consolidated leverage ratio at a base rate plus 1.25% to 2.00% or LIBOR plus 2.25% to 3.00%. The unused portion of the credit facility is also subject to a commitment fee of 0.35% to 0.50%, depending on the preceding fiscal quarter’s consolidated leverage ratio. The revolving credit facility is available for revolving loans, including sublimits of $30.0 million for swing line loans and $30.0 million for letters of credit. The revolving credit facility is guaranteed by the partnership, each of its existing subsidiaries, and any potential future domestic subsidiaries. As of March 31, 2019, the revolving credit facility had an average interest rate of 5.51%. The partnership’s obligations under the credit facility are secured by a first priority lien on (i) the capital stock of the partnership’s present and future subsidiaries, (ii) all of the partnership’s present and future personal property, such as investment property, general intangibles and contract rights, including rights under any agreements with Green Plains Trade, and (iii) all proceeds and products of the equity interests of the partnership’s present and future subsidiaries and its personal property. The terms impose affirmative and negative covenants, including restrictions on the partnership’s ability to incur additional debt, acquire and sell assets, create liens, invest capital, pay distributions and materially amend the partnership’s commercial agreements with Green Plains Trade. The credit facility also requires the partnership to maintain a maximum consolidated net leverage ratio of no more than 3.50x and a minimum consolidated interest coverage ratio of no less than 2.75x, each of which is calculated on a pro forma basis with respect to acquisitions and divestitures occurring during the applicable period. The consolidated leverage ratio is calculated by dividing total funded indebtedness minus the lesser of cash in excess of $5.0 million or $30.0 million by the sum of the four preceding fiscal quarters’ consolidated EBITDA. The consolidated interest coverage ratio is calculated by dividing the sum of the four preceding fiscal quarters’ consolidated EBITDA by the sum of the four preceding fiscal quarters’ interest charges. The partnership had $135.0 million and $134.0 million of borrowings outstanding under the revolving credit facility as of March 31, 2019, and December 31, 2018 respectively. The partnership had $63 thousand and $75 thousand of debt issuance costs recorded as a direct reduction of the carrying value of the partnership’s long-term debt as of March 31, 2019, and December 31, 2018, respectively. Covenant Compliance The partnership, including all of its subsidiaries, was in compliance with its debt covenants as of March 31, 2019.

Dispositions

3 Months Ended

Mar. 31, 2019

Dispositions [Abstract]

Dispositions

4. DISPOSITIONS

On November 15, 2018, Green Plains closed on the sale of three of its ethanol plants located in Bluffton, Indiana, Lakota, Iowa, and Riga, Michigan to Valero Renewable Fuels Company, LLC (“Valero”). Correspondingly, the partnership’s storage assets located adjacent to such plants were sold to Green Plains for $120.9 million. As consideration, the partnership received from its parent 8.7 million Green Plains units and a portion of the general partner interest equating to 0.2 million equivalent limited partner units to maintain the general partner’s 2% interest. These units were retired upon receipt. In addition, the partnership also received cash consideration of $2.7 million from Valero for the assignment of certain railcar operating leases. This transaction was accounted for as a transfer between entities under common control and was approved by the conflicts committee.

The following is a summary of assets and liabilities disposed of (in thousands):


Total consideration received	$	120,900
Identifiable assets and liabilities disposed of:
Property and equipment, net		4,192
Asset retirement obligations		(425)
Total identifiable net assets		3,767
Units retired:
Common units - Green Plains		118,482
General partners interest		2,418
Total units retired		120,900
Partners' deficit effect	$	(3,767)

In conjunction with the disposition, the partnership amended the 1) omnibus agreement, 2) operational services agreement, 3) ethanol storage and throughput agreement, and (4) rail transportation services agreement. Please refer to Note 10 – Related Party Transactions to the consolidated financial statements for additional information.

Unit-Based Compensation	3 Months Ended
Unit-Based Compensation	Mar. 31, 2019
Unit-Based Compensation [Abstract]
Unit-Based Compensation	5. UNIT-BASED COMPENSATION The board of directors of the general partner adopted the LTIP upon completion of the IPO. The LTIP is intended to promote the interests of the partnership, its general partner and affiliates by providing unit-based incentive compensation awards to employees, consultants and directors to encourage superior performance. The LTIP reserves 2,500,000 common limited partner units for issuance in the form of options, restricted units, phantom units, distribution equivalent rights, substitute awards, unit appreciation rights, unit awards, profit interest units or other unit-based awards. The partnership measures unit-based compensation grants at fair value on the grant date and records noncash compensation expense related to the awards over the requisite service period. There was no change in the number of non-vested unit-based awards during the three months ended March 31, 2019. Compensation costs related to the unit-based awards of $79 thousand and $60 thousand were recognized during the three months ended March 31, 2019 and 2018, respectively. As of March 31, 2019, there was $79 thousand of unrecognized compensation costs from unit-based compensation awards.

Partners' Deficit

3 Months Ended

Mar. 31, 2019

Partners' Deficit [Abstract]

Partners' Deficit

6. PARTNERS’ DEFICIT

Changes in partners’ deficit are as follows (in thousands):


	Limited Partners
	Common Units- Public		Common Units- Green Plains		General Partner			Total
Balance, December 31, 2018	$	115,352	$	(186,635)	$	(1,171)	$	(72,454)
Quarterly cash distributions to unitholders ($0.475 per unit)		(5,487)		(5,504)		(278)		(11,269)
Net income		5,014		5,029		205		10,248
Unit-based compensation, including general partner net contributions		79		-		-		79
Balance, March 31, 2019	$	114,958	$	(187,110)	$	(1,244)	$	(73,396)


	Limited Partners
	Common Units- Public		Common Units- Green Plains		Subordinated Units- Green Plains		General Partner			Total
Balance, December 31, 2017	$	115,747	$	(38,505)	$	(139,376)	$	(712)	$	(62,846)
Quarterly cash distributions to unitholders ($0.470 per unit)		(5,420)		(2,063)		(7,468)		(355)		(15,306)
Net income		4,751		1,808		6,546		267		13,372
Unit-based compensation, including general partner net contributions		60		-		-		-		60
Balance, March 31, 2018	$	115,138	$	(38,760)	$	(140,298)	$	(800)	$	(64,720)

There was no change in the number of common limited partner units outstanding during the three months ended March 31, 2019.

Subordinated Unit Conversion

The requirements under the partnership agreement for the conversion of all of the outstanding subordinated units into common units were satisfied upon the payment of the distribution with respect to the quarter ended June 30, 2018. Accordingly, the subordination period ended on August 13, 2018, the first business day after the date of the distribution payment, and all of the 15,889,642 outstanding subordinated units were converted into common units on a one-for-one basis. The conversion of the subordinated units did not impact the amount of cash distributions paid or the total number of outstanding units.

Issuance of Additional Securities

The partnership agreement authorizes the partnership to issue unlimited additional partnership interests on the terms and conditions determined by the general partner without unitholder approval.

Cash Distribution Policy

Quarterly distributions are made from available cash within 45 days after the end of each calendar quarter. Available cash generally means, all cash and cash equivalents on hand at the end of that quarter less cash reserves established by the general partner plus all or any portion of the cash on hand resulting from working capital borrowings made subsequent to the end of that quarter.

The general partner also holds incentive distribution rights that entitles it to receive increasing percentages, up to 48%, of available cash distributed from operating surplus, as defined in the partnership agreement, in excess of $0.46 per unit per quarter. The maximum distribution of 48% does not include any distributions the general partner or its affiliates may receive on its general partner interest, common units, or subordinated units.

On February 8, 2019, the partnership distributed $11.3 million to unitholders of record as of February 1, 2019, related to the quarterly cash distribution of $0.475 per unit that was declared on January 17, 2019, for the quarter ended December 31, 2018.

On April 18, 2019, the board of directors of the general partner declared a quarterly cash distribution of $0.475 per unit, or approximately $11.3 million, for the quarter ended March 31, 2019. The distribution is payable on May 10, 2019, to unitholders of record at the close of business on May 3, 2019.

The total cash distributions declared for the three months ended March 31, 2019 and 2018, are as follows (in thousands):


	Three Months Ended March 31,
	2019		2018
General partner distributions	$	225	$	310
Incentive distributions		53		73
Total distributions to general partner		278		383

Limited partner common units - public		5,487		5,478
Limited partner common units - Green Plains		5,504		2,085
Limited partner subordinated units - Green Plains		-		7,547
Total distributions to limited partners		10,991		15,110
Total distributions declared	$	11,269	$	15,493

Earnings Per Unit

3 Months Ended

Mar. 31, 2019

Earnings Per Unit [Abstract]

Earnings Per Unit

7. EARNINGS PER UNIT

The partnership computes earnings per unit using the two-class method. Earnings per unit applicable to common units, and to subordinated units prior to the expiration of the subordination period, is calculated by dividing the respective limited partners’ interest in net income by the weighted average number of common and subordinated units outstanding during the period, adjusted for the dilutive effect of any outstanding dilutive securities. Diluted earnings per limited partner unit was the same as basic earnings per limited partner unit as there were no potentially dilutive common or subordinated units outstanding as of March 31, 2019. The following tables show the calculation of earnings per limited partner unit – basic and diluted (in thousands, except for per unit data):


	Three Months Ended March 31, 2019
	Limited Partner Common Units		General Partner		Total
Net income:
Distributions declared	$	10,991	$	278	$	11,269
Earnings less than distributions		(948)		(73)		(1,021)
Total net income	$	10,043	$	205	$	10,248

Weighted-average units outstanding - basic and diluted		23,119

Earnings per limited partner unit - basic and diluted	$	0.43



	Three Months Ended March 31, 2018
	Limited Partner Common Units		Limited Partner Subordinated Units (1)		General Partner		Total
Net income:
Distributions declared	$	7,563	$	7,547	$	383	$	15,493
Earnings less than distributions		(1,004)		(1,001)		(116)		(2,121)
Total net income	$	6,559	$	6,546	$	267	$	13,372

Weighted-average units outstanding - basic and diluted		15,922		15,890

Earnings per limited partner unit - basic and diluted	$	0.41	$	0.41

(1) The subordinated units converted to common units on a one-for-one basis in August 2018 (see Note 6 – Partners’ Deficit).

Income Taxes	3 Months Ended
Income Taxes	Mar. 31, 2019
Income Taxes [Abstract]
Income Taxes	8. INCOME TAXES The partnership is a limited partnership, which is not subject to federal income taxes. The general partner and the unitholders are responsible for paying federal and state income taxes on their share of the partnership’s taxable income. However, the partnership owns a subsidiary that is taxed as a corporation for federal and state income tax purposes. In addition, the partnership is subject to state income taxes in certain states. As a result, the financial statements reflect a provision or benefit for such income taxes. The partnership recognizes uncertainties in income taxes based upon the technical merits of the position, and measures the maximum benefit and degree of likelihood to determine the tax liability in the financial statements.

Commitments and Contingencies

3 Months Ended

Mar. 31, 2019

Commitments and Contingencies [Abstract]

Commitments and Contingencies

9. COMMITMENTS AND CONTINGENCIES

Adoption of ASC 842

On January 1, 2019, the partnership adopted the amended guidance in ASC 842, Leases, and all related amendments (“new lease standard”) and applied it to all leases using the optional transition method which requires the amended guidance to be applied at the date of adoption. The standard does not require the guidance to be applied to the earliest comparative period presented in the financial statements. As such, comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The new lease standard had a material impact on the partnership’s consolidated balance sheets, increasing total assets and total liabilities by $39.7 million upon adoption. It did not have a material impact on the consolidated statement of operations for the three months ended March 31, 2019.

The impact on the consolidated balance sheet as of December 31, 2018 for the adoption of the new lease standard was as follows (in thousands):


	Balance at December 31, 2018		Adjustments Due to ASC 842		Balance at January 1, 2019
	(audited)
Balance sheet
Assets
Operating lease right-of-use assets	$	-	$	39,685	$	39,685

Liabilities
Operating lease current liabilities		-		13,534		13,534
Deferred lease liabilities		843		(843)		-
Operating lease long-term liabilities		-		26,994		26,994

The partnership’s leases do not specify an implicit interest rate. Therefore, the incremental borrowing rate was used based on information available at commencement date to determine the present value of future payments.

Practical Expedients

Under the new lease standard, companies may elect various practical expedients upon adoption. The partnership elected the package of practical expedients related to transition, which states that an entity need not reassess initial direct costs for existing leases, the lease classification for any expired or existing leases, and whether any expired or existing contracts are or contain leases.

The partnership elected to utilize a portfolio approach for lease classification, which allows for an entity to group together leases with similar characteristics provided that its application does not create a material difference when compared to accounting for the leases at a contract level. For the partnership’s railcar leases, the partnership elected to combine the railcars within each contract rider and account for each contract rider as an individual lease.

The partnership also elected the practical expedient for lessees to include both the lease and non-lease components as a single component and account for them as a lease. Certain of the partnership’s railcar agreements provide for maintenance costs to be the responsibility of the partnership as incurred or charged by the lessor. This maintenance cost is a non-lease component that the partnership elected to combine with the monthly rental payment and account for the total cost as operating lease expense. In addition, the partnership has a land lease that contains a non-lease component for the handling and unloading services the landlord provides. The partnership elected to combine the cost of services with the land lease cost and account for the total as operating lease expense.

The lessor practical expedient to combine both the lease and non-lease components and account for them as a lease was applied by class of underlying asset. The storage and throughput agreement consists of lease costs paid by Green Plains Trade for the rental of the terminal facilities as well as non-lease costs for the throughput services provided by the partnership. For this agreement, the partnership elected to combine the facility rental revenue and the service revenue and account for the total as leasing revenue. The railcar transportation services agreement consists of lease costs paid by Green Plains Trade for the use of the partnership’s railcar assets as well as non-lease costs for logistical operations management and other services. For this agreement, the partnership elected to combine the railcar rental revenue and the service revenue and account for the total as leasing revenue.

A lessee may elect not to apply the recognition requirements in the new lease standard for short-term leases. Instead, the lease payments may be recognized into profit or loss on a straight-line basis over the lease term. The partnership has elected to use this short-term lease exemption, and therefore will not record a lease liability or right-of-use asset for leases with a term of one year or less. The partnership did not incur any short-term lease expense for the three months ended March 31, 2019.

Operating Lease Expense

The partnership leases certain facilities, parcels of land, and railcars with remaining terms ranging from less than one year to approximately 12.6 years, including renewal options reasonably certain to be exercised for the land and facility leases. Railcar agreement renewals are not considered reasonably certain to be exercised as they typically renew with significantly different underlying terms.

The partnership may sublease certain of its railcars to third parties on a short-term basis. These subleases are classified as operating leases, with the associated sublease revenue recognized on a straight-line basis over the lease term.

The components of lease expense are as follows (in thousands):


	Three Months Ended March 31, 2019
Lease expense
Operating lease expense	$	4,209
Variable lease expense (1)		122
Total lease expense	$	4,331

(1) Represents amounts incurred in excess of the minimum payments required for the handling and unloading of railcars for a certain land lease, offset by railcar lease abatements provided by the lessor when railcars are out of service during periods of maintenance or upgrade.

Supplemental cash flow information related to operating leases is as follows (in thousands):


	Three Months Ended March 31, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	4,091

Supplemental balance sheet information related to operating leases is as follows:


	March 31, 2019
Weighted average remaining lease term		4.3 years

Weighted average discount rate		5.21%

Aggregate minimum lease payments under the operating lease agreements for the remainder of 2019 and in future years are as follows (in thousands):



Year Ending December 31,	Amount
2019	$	10,892
2020		12,315
2021		6,803
2022		5,183
2023		1,587
Thereafter		4,794
Total	$	41,574
Less: Present value discount		(4,630)
Operating lease liabilities	$	36,944

The partnership has additional railcar operating leases that will commence in the second quarter of 2019 to replace expiring leases, with estimated future minimum lease commitments of approximately $6.7 million and lease terms of five years. The undiscounted amounts are not included in the tables above.

Aggregate minimum lease payments remaining under the operating lease agreements as of December 31, 2018 are as follows (in thousands):


Year Ending December 31,	Amount
2019	$	14,180
2020		11,843
2021		6,842
2022		4,758
2023		1,164
Thereafter		4,028
Total	$	42,815

Lease Revenue

The components of lease revenue are as follows (in thousands):


	Three Months Ended March 31, 2019
Lease revenue
Operating lease revenue	$	17,334
Variable lease revenue (1)		68
Sublease revenue		224
Total lease revenue	$	17,626

(1) Represents amounts delivered by Green Plains Trade and other customers in excess of various minimum volume commitments, as well as the difference between the contracted railcar volumetric capacity and the actual amount provided to Green Plains Trade during the period.

In accordance with the amended storage and throughput agreement, Green Plains Trade is obligated to deliver a minimum volume of 235.7 mmg per calendar quarter to the partnership’s storage facilities and pay $0.05 per gallon on all volume it throughputs associated with the agreement. While this agreement contains a provision stating that the rate could potentially increase above the $0.05 per gallon on the sixth anniversary of the effective date, the potential increase would be based on a percentage change in the Bureau of Labor Producer Price Index, which cannot be predicted at this time. The remaining lease term for this agreement is approximately 9.3 years, with automatic one-year renewal periods in which either party has the right to terminate the contract. Due to the unilateral right to termination during the renewal period, the lease contract would no longer contain enforceable rights or obligations. Therefore, the lease term does not include the successive one-year renewal periods. Anticipated minimum operating lease revenue under this agreement assuming a consistent rate of $0.05 per gallon for the remainder of 2019 and in future years is as follows (in thousands):



Year Ending December 31,	Amount
2019	$	35,355
2020		47,140
2021		47,140
2022		47,140
2023		47,140
Thereafter		212,130
Total	$	436,045

In accordance with the amended rail transportation services agreement with Green Plains Trade, Green Plains Trade is required to pay the rail transportation services fee for railcar volumetric capacity provided by the partnership. The remaining lease term for this agreement is approximately 6.3 years, with automatic one-year renewal periods in which either party has the right to terminate the contract. Due to the unilateral right to termination during the renewal period, the lease contract would no longer contain enforceable rights or obligations. Therefore, the lease term does not include the successive one-year renewal periods. Under the terms of the agreement, Green Plains Trade is not required to pay for volumetric capacity that is not available due to inspections, upgrades, or routine repairs and maintenance. As a result, the actual volumetric capacity billed may be reduced based on the amount of volumetric capacity available for use during any applicable period. Anticipated minimum operating lease revenue under this agreement for the remainder of 2019 and in future years is as follows (in thousands):


Year Ending December 31,	Amount
2019	$	14,252
2020		17,255
2021		9,983
2022		7,417
2023		1,109
Thereafter		-
Total	$	50,016

The partnership provides terminal services and logistics solutions to certain customers under various terminal service agreements, some of which have minimum volume commitments. At terminals where a customer is predominantly provided exclusive use of the terminal or tank storage assets, the partnership is considered a lessor as part of an operating lease agreement. Revenue is recognized over the term of the lease based on the minimum volume commitment, or total actual throughput if in excess of the minimum volume commitment. The remaining lease terms for these agreements range from less than one year to approximately 6.4 years, some of which contain renewal options reasonably certain to be exercised. Minimum operating lease revenue for these terminals for the remainder of 2019 and in future years is as follows (in thousands):


Year Ending December 31,	Amount
2019	$	106
2020		74
2021		74
2022		74
2023		74
Thereafter		123
Total	$	525

Other Commitments and Contingencies

The partnership has agreements for contracted services with certain vendors that require the partnership to pay minimum monthly amounts, which expire on various dates. These agreements do not contain an identified asset and therefore are not considered operating leases. The partnership satisfied the minimum commitments under these agreements during the three months ended March 31, 2019 and 2018. Aggregate minimum payments under these agreements for the remainder of 2019 and in future years are as follows (in thousands):



Year Ending December 31,	Amount
2019	$	498
2020		153
2021		157
2022		156
2023		-
Thereafter		-
Total	$	964

Legal

The partnership may be involved in litigation that arises during the ordinary course of business. The partnership is not currently party to any material litigation.

Related Party Transactions

3 Months Ended

Mar. 31, 2019

Related Party Transactions

10. RELATED PARTY TRANSACTIONS

The partnership engages in various related party transactions with Green Plains and subsidiaries of Green Plains. Green Plains provides a variety of shared services to the partnership, including general management, accounting and finance, payroll and human resources, information technology, legal, communications and treasury activities. These costs are proportionally allocated by Green Plains to its subsidiaries based on common financial metrics management believes are reasonable. The partnership recorded expenses related to these shared services of $0.9 million and $1.2 million for the three months ended March 31, 2019 and 2018, respectively. In addition, the partnership reimburses Green Plains for wages and benefit costs of employees directly performing services on its behalf. Green Plains may also pay certain direct costs on behalf of the partnership, which are reimbursed by the partnership. The partnership believes the consolidated financial statements reflect all material costs of doing business related to its operations, including expenses incurred by other entities on its behalf.

Omnibus Agreement

The partnership has entered into an omnibus agreement, as amended, with Green Plains and its affiliates which, among other terms and conditions, addresses the partnership’s obligation to reimburse Green Plains for direct or allocated costs and expenses incurred by Green Plains for general and administrative services; the prohibition of Green Plains and its subsidiaries from owning, operating or investing in any business that owns or operates fuel terminals or fuel transportation assets; the partnership’s right of first offer to acquire assets if Green Plains decides to sell them; a nontransferable, nonexclusive, royalty-free license to use the Green Plains trademark and name; the allocation of taxes among the parent, the partnership and its affiliates and the parent’s preparation and filing of tax returns; and an indemnity by Green Plains for environmental and other liabilities.

If Green Plains or its affiliates cease to control the general partner, then either Green Plains or the partnership may terminate the omnibus agreement, provided that (i) the indemnification obligations of the parties survive according to their respective terms; and (ii) Green Plains’ obligation to reimburse the partnership for operational failures survives according to its terms.

Operating Services and Secondment Agreement

The general partner has entered into an operational services and secondment agreement, as amended, with Green Plains. Under the terms of the agreement, Green Plains seconds employees to the general partner to provide management, maintenance and operational functions for the partnership, including regulatory matters, health, environment, safety and security programs, operational services, emergency response, employee training, finance and administration, human resources, business operations and planning. The seconded personnel are under the direct management and supervision of the general partner who reimburses the parent for the cost of the seconded employees, including wages and benefits. If a seconded employee does not devote 100% of his or her time providing services to the general partner, the general partner reimburses the parent for a prorated portion of the employee’s overall wages and benefits based on the percentage of time the employee spent working for the general partner.

Under the operational services and secondment agreement, Green Plains will indemnify the partnership from any claims, losses or liabilities incurred by the partnership, including third-party claims, arising from their performance of the operational services secondment agreement; provided, however, that Green Plains will not be obligated to indemnify the partnership for any claims, losses or liabilities arising out of the partnership’s gross negligence, willful misconduct or bad faith with respect to any services provided under the operational services and secondment agreement.

Commercial Agreements

The partnership has various fee-based commercial agreements with Green Plains Trade, including:

10-year storage and throughput agreement, expiring on June 30, 2028;

10-year rail transportation services agreement, expiring on June 30, 2025;

1-year trucking transportation agreement, expiring on May 31, 2019;

Terminal services agreement for the Birmingham, Alabama unit train terminal, expiring December 31, 2019; and

Various other terminal services agreements for other fuel terminal facilities, each with Green Plains Trade.

The storage and throughput, rail transportation services, and trucking transportation agreements have various automatic renewal terms if not cancelled by either party within specified timeframes. Please refer to Item 15 – Exhibits, Financial Statement Schedule in our annual report on Form 10-K for the year ended December 31, 2018, for further details.

The storage and throughput agreement and terminal services agreements are supported by minimum volume commitments. The rail transportation services agreement is supported by minimum take-or-pay volumetric capacity commitments.

Under the storage and throughput agreement, as amended, Green Plains Trade is obligated to deliver a minimum volume of 235.7 mmg of product per calendar quarter to the partnership’s storage facilities and pay $0.05 per gallon on all volume it throughputs. If Green Plains Trade fails to meet its minimum volume commitment during any quarter, Green Plains Trade will pay the partnership a deficiency payment equal to the deficient volume multiplied by the applicable fee. The deficiency payment may be applied as a credit toward volumes delivered by Green Plains Trade in excess of the minimum volume commitment during the following four quarters, after which time any unused credits will expire. The partnership charged Green Plains Trade a deficiency payment in the amount of $4.0 million related to the minimum volume commitment for the three months ended March 31, 2019. The cumulative minimum volume deficiency credits available to Green Plains Trade as of March 31, 2019 totaled $7.0 million, of which $3.0 million will expire if unused by the end of the fourth quarter of 2019, and $4.0 million will expire if unused by the end of the first quarter of 2020.

Under the rail transportation services agreement, Green Plains Trade is obligated to use the partnership to transport ethanol and other fuels from receipt points identified by Green Plains Trade to nominated delivery points. The average daily railcar volumetric capacity provided by the partnership was 83.4 mmg and 99.2 mmg, respectively, and the associated monthly fee was approximately $0.0216 and $0.0252 per gallon, respectively, during the three months ended March 31, 2019 and 2018. The partnership’s leased railcar fleet consisted of approximately 2,840 and 3,500 railcars as of March 31, 2019 and 2018, respectively.

Green Plains Trade is also obligated to use the partnership for logistical operations management and other services related to average daily railcar volumetric capacity provided by Green Plains Trade, which was approximately 3.6 mmg and 6.6 mmg for the three months ended March 31, 2019 and 2018, respectively. Green Plains Trade is obligated to pay a monthly fee of approximately $0.0013 per gallon for these services. In addition, Green Plains Trade reimburses the partnership for costs related to: (1) railcar switching and unloading fees; (2) increased costs related to changes in law or governmental regulation related to the specification, operation or maintenance of railcars; (3) demurrage charges, except when the charges are due to the partnership’s gross negligence or willful misconduct; and (4) fees related to rail transportation services under transportation contracts with third-party common carriers. Green Plains Trade frequently contracts with the partnership for additional railcar volumetric capacity during the normal course of business at comparable margins.

Under the trucking transportation agreement, Green Plains Trade pays the partnership to transport ethanol and other fuels by truck from identified receipt points to various delivery points. Green Plains Trade is obligated to pay a monthly trucking transportation services fee equal to the aggregate volume transported in a calendar month by the partnership’s trucks, multiplied by the applicable rate for each truck lane. A truck lane is defined as a specific and routine route of travel between a point of origin and point of destination. Rates for each truck lane are negotiated based on product, location, mileage and other factors. Green Plains Trade reimburses the partnership for costs related to: (1) truck switching and unloading fees; (2) increased costs related to changes in law or governmental regulation related to the specification, operation and maintenance of trucks; and (3) fees related to trucking transportation services under transportation contracts with third-party common carriers.

Under the Birmingham terminal services agreement, effective January 1, 2017, through December 31, 2019, Green Plains Trade is obligated to throughput a minimum volume commitment of approximately 2.8 mmg per month and pay associated throughput fees, as well as fees for ancillary services.

The partnership recorded revenues from Green Plains Trade under the storage and throughput agreement and rail transportation services agreement of $17.2 million and $22.1 million for the three months ended March 31, 2019 and 2018, respectively. The partnership recorded revenues from Green Plains Trade and other Green Plains subsidiaries related to trucking and terminal services of $1.6 million and $2.2 million for the three months ended March 31, 2019 and 2018, respectively.

Cash Distributions

The partnership distributed $5.8 million and $9.9 million to Green Plains related to the quarterly cash distribution paid for the three months ended March 31, 2019 and 2018, respectively.

Equity Method Investment

The partnership entered into a project management agreement with NLR Energy Logistics LLC, effective June 23, 2017, in which NLR provided the partnership a fixed monthly fee to coordinate and manage the development, design, and construction of the Little Rock, Arkansas unit train terminal. Construction of the terminal was completed during the first quarter of 2018. The partnership recognized no income related to the project management agreement during the three months ended March 31, 2019, and $75 thousand of other income during the three months ended March 31, 2018. In addition, the partnership has recorded a receivable of $51 thousand for various expenses to be reimbursed by NLR as of March 31, 2019.

Other Related Party Revenues and Expenses

The partnership incurs expenses charged by a subsidiary of the parent for cleaning of its storage tanks. There were no tank cleaning expenses incurred for the three months ended March 31, 2019. The partnership incurred tank cleaning expense of $10 thousand for the three months ended March 31, 2018.

Equity Method Investment

3 Months Ended

Mar. 31, 2019

Equity Method Investment [Abstract]

Equity Method Investment

11. EQUITY METHOD INVESTMENT

NLR Energy Logistics LLC

The partnership and Delek Renewables LLC have a 50/50 joint venture, NLR Energy Logistics LLC, which operates a unit train terminal in the Little Rock, Arkansas area with capacity to unload 110-car unit trains and provide approximately 100,000 barrels of storage. Operations commenced at the beginning of the second quarter of 2018, and the first unit train was received in July 2018. As of March 31, 2019, the partnership's investment balance in the joint venture was $3.9 million.

The partnership does not consolidate any part of the assets or liabilities or operating results of its equity method investee. The partnership’s share of net income or loss in the investee increases or decreases, as applicable, the carrying value of the investment. With respect to NLR, the partnership determined that this entity does not represent a variable interest entity and consolidation is not required. In addition, although the partnership has the ability to exercise significant influence over the joint venture through board representation and voting rights, all significant decisions require the consent of the other investor without regard to economic interest.

Summarized Financial Information

The partnership reports its proportional share of equity method investee income (loss) on a one-month lag in the consolidated statements of operations. The following table presents combined summarized statement of operations data of our equity method investee for the three months ended February 28, 2019 and 2018 (amounts represent 100% of investee financial information in thousands, unaudited):


	Three Months Ended February 28,
	2019		2018
Total revenues	$	816	$	-
Total operating expenses		387		26
Net income (loss)	$	429	$	(26)

Basis of Presentation, Description of Business and Summary of Significant Accounting Policies (Policy)	3 Months Ended
	Mar. 31, 2019
Basis of Presentation, Description of Business and Summary of Significant Accounting Policies [Abstract]
Consolidated Financial Statements	Consolidated Financial Statements The consolidated financial statements include the accounts of the partnership and its controlled subsidiaries. All significant intercompany balances and transactions are eliminated on a consolidated basis for reporting purposes. Results for the interim periods presented are not necessarily indicative of the expected results for the entire year. The accompanying unaudited consolidated financial statements are prepared in accordance with GAAP for interim financial information and instructions to Form 10-Q and Article 10 of Regulation S-X. Because they do not include all of the information and footnotes required by GAAP, the consolidated financial statements should be read in conjunction with the partnership’s 2018 annual report on Form 10-K for the year ended December 31, 2018, as filed with the SEC on February 20, 2019. The partnership accounts for its interest in joint ventures using the equity method of accounting, with its investment recorded at the acquisition cost plus the partnership’s share of equity in undistributed earnings or losses and reduced by distributions received.
Reclassifications	Reclassifications Certain prior year amounts were reclassified to conform to the current year presentation. These reclassifications did not affect total revenues, costs and expenses, net income, or partners’ deficit.
Use of Estimates in the Preparation of Consolidated Financial Statements	Use of Estimates in the Preparation of Consolidated Financial Statements Preparation of the consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and revenues and expenses during the reporting period. The partnership bases its estimates on historical experience and assumptions it believes are proper and reasonable under the circumstances. The partnership regularly evaluates the appropriateness of these estimates and assumptions. Actual results could differ from those estimates. Key accounting policies, including, but not limited to, those related to depreciation of property and equipment, asset retirement obligations, operating leases, and impairment of long-lived assets and goodwill, are impacted significantly by judgments, assumptions and estimates used to prepare the consolidated financial statements.
Description of Business	Description of Business The partnership provides fuel storage and transportation services by owning, operating, developing and acquiring ethanol and fuel storage tanks, terminals, transportation assets and other related assets and businesses. The partnership is its parent’s primary downstream logistics provider to support the parent’s approximately 1.1 bgy ethanol marketing and distribution business since the partnership’s assets are the principal method of storing and delivering the ethanol its parent produces. The ethanol produced by the parent is predominantly fuel grade, made principally from starch extracted from corn, and primarily used for blending with gasoline. Ethanol currently comprises approximately 10% of the U.S. gasoline market and is an economical source of octane and oxygenates for blending into the fuel supply. The partnership does not take ownership of, or receive any payments based on the value of the ethanol, other fuels or products it handles. As a result, the partnership does not have any direct exposure to fluctuations in commodity prices.
Revenue Recognition	Revenue Recognition The partnership recognizes revenue when obligations under the terms of a contract with a customer are satisfied. Generally, this occurs with the completion of services or the transfer of control of products to the customer or another specified third party. Operating lease revenue related to minimum volume commitments is recognized on a straight-line basis over the term of the lease. To the extent shortfalls associated with minimum volume commitments in the previous four quarters continue to exist, volumes in excess of the minimum volume commitment are applied to those shortfalls. Remaining excess volumes generating operating lease revenue are recognized as incurred. The partnership generates a substantial portion of its revenues under fee-based commercial agreements with Green Plains Trade. Please refer to Note 2 - Revenue to the consolidated financial statements for further details.
Operations and Maintenance Expenses	Operations and Maintenance Expenses The partnership’s operations and maintenance expenses consist primarily of lease expenses related to the transportation assets, labor expenses, outside contractor expenses, insurance premiums, repairs and maintenance expenses, and utility costs. These expenses also include fees for certain management, maintenance and operational services to support the storage and terminal facilities, trucks, and leased railcar fleet allocated by Green Plains under the operational services and secondment agreement.
Concentrations of Credit Risk	Concentrations of Credit Risk In the normal course of business, the partnership is exposed to credit risk resulting from the possibility a loss may occur due to failure of another party to perform according to the terms of their contract. The partnership provides fuel storage and transportation services for various parties with a significant portion of its revenues earned from Green Plains Trade. The partnership continually monitors its credit risk exposure and concentrations. Please refer to Note 2 – Revenue and Note 10 – Related Party Transactions to the consolidated financial statements for additional information.
Segment Reporting	Segment Reporting The partnership accounts for segment reporting in accordance with ASC 280, Segment Reporting, which establishes standards for entities reporting information about the operating segments and geographic areas in which they operate. Management evaluated how its chief operating decision maker has organized the partnership for purposes of making operating decisions and assessing performance, and concluded it has one reportable segment.
Asset Retirement Obligations	Asset Retirement Obligations The partnership records an ARO for the fair value of the estimated costs to retire a tangible long-lived asset in the period incurred if it can be reasonably estimated, which is subsequently adjusted for accretion expense. Corresponding asset retirement costs are capitalized as a long-lived asset and depreciated on a straight-line basis over the asset’s remaining useful life. The expected present value technique used to calculate the fair value of the AROs includes assumptions about costs, settlement dates, interest accretion, and inflation. Changes in assumptions, such as the amount or timing of estimated cash flows, could increase or decrease the AROs. The partnership’s AROs are based on legal obligations to perform remedial activity related to land, machinery and equipment when certain operating leases expire.
Recent Accounting Pronouncements	Recent Accounting Pronouncements On January 1, 2019, the partnership adopted the amended guidance in ASC 842, Leases. Please refer to Note 9 – Commitments and Contingencies to the consolidated financial statements for further details.

Revenue (Tables)

3 Months Ended

Mar. 31, 2019

Revenue [Abstract]

Disaggregatation Of Revenue By Major Source


	Three Months Ended March 31,
	2019		2018
Revenues
Service revenues
Terminal services	$	2,566	$	2,281
Trucking and other		895		1,083
Railcar transportation services		-		26
Total service revenues		3,461		3,390
Leasing revenues (1)
Storage and throughput services		11,785		14,642
Railcar transportation services		5,619		7,443
Terminal services		222		410
Total leasing revenues		17,626		22,495
Total revenues	$	21,087	$	25,885

(1) Leasing revenues do not represent revenues recognized from contracts with customers under ASC 606, Revenue from Contracts with Customers, and are accounted for under ASC 842, Leases.

Changes in Unearned Revenue From Service Agreements


	Amount
Balance at January 1, 2019	$	248
Revenue recognized included in beginning balance		(248)
Net additions		101
Balance at March 31, 2019	$	101

Dispositions (Table)

3 Months Ended

Mar. 31, 2019

Dispositions [Abstract]

Summary Of Assets And Liabilities Disposed Of


Total consideration received	$	120,900
Identifiable assets and liabilities disposed of:
Property and equipment, net		4,192
Asset retirement obligations		(425)
Total identifiable net assets		3,767
Units retired:
Common units - Green Plains		118,482
General partners interest		2,418
Total units retired		120,900
Partners' deficit effect