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Segment Data
 12 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
Segment Data Segment Data
We aggregate our operating segments into three reportable segments: (i) pipelines and transportation; (ii) wholesale marketing and terminalling; and (iii) investment in pipeline joint ventures.
Our operating segments adhere to the accounting policies used for our consolidated financial statements. Our operating segments are managed separately because each segment requires different industry knowledge, technology and marketing strategies. Decisions concerning the allocation of resources and assessment of operating performance are made based on this segmentation. Management measures the operating performance of each of its reportable segments based on segment contribution margin, with the exception of investments in pipeline joint ventures segment, which is measured based on net income. Segment contribution margin is defined as net revenues less cost of materials and other and operating expenses, excluding depreciation and amortization.
The following is a summary of business segment operating performance as measured by contribution margin, with the exception of investments in pipeline joint ventures segment, which is measured based on net income, for the periods indicated (in thousands):
Year Ended December 31,
202120202019
Pipelines and Transportation
     Net revenues:
         Affiliate$271,033 $233,873 $155,211 
         Third party 16,612 17,596 23,107 
            Total pipelines and transportation287,645 251,469 178,318 
     Cost of materials and other59,821 45,934 22,826 
     Operating expenses (excluding depreciation and amortization)43,818 42,267 54,827 
     Segment contribution margin$184,006 $163,268 $100,665 
 Capital spending (1) (2)
$22,342 $7,631 $6,600 
Wholesale Marketing and Terminalling
     Net revenues:
          Affiliate (3)
$147,793 $148,793 $105,803 
         Third party 265,464 163,156 299,871 
            Total wholesale marketing and terminalling413,257 311,949 405,674 
     Cost of materials and other324,588 223,160 313,647 
     Operating expenses (excluding depreciation and amortization)16,917 14,012 19,330 
     Segment contribution margin$71,752 $74,777 $72,697 
 Capital spending (1) (2)
$5,109 $7,818 $3,387 
Investments in Pipeline Joint Ventures
Income from equity method investments$(24,575)$(22,693)$(19,832)
Equity method investments contributions$(1,393)$(12,175)$(139,294)
Consolidated
     Net revenues:
          Affiliate$418,826 $382,666 $261,014 
         Third party 282,076 180,752 322,978 
            Total Consolidated 700,902 563,418 583,992 
     Cost of materials and other384,409 269,094 336,473 
     Operating expenses (excluding depreciation and amortization presented below)60,735 56,279 74,157 
     Contribution margin255,758 238,045 173,362 
     General and administrative expenses22,545 22,587 20,815 
     Depreciation and amortization42,770 35,731 26,701 
Other operating (income) expense, net(59)(66)34 
     Operating income190,502 179,793 125,812 
Interest expense, net50,221 42,874 47,328 
Income from equity method investments(24,575)(22,693)(19,832)
Other (income) expense, net(119)133 600 
Total non-operating expenses, net25,527 20,314 28,096 
Income before income tax expense164,975 159,479 97,716 
Income tax expense153 223 967 
Net income attributable to partners$164,822 $159,256 $96,749 
 Capital spending (1) (2)
$27,451 $15,449 $9,987 
(1) Capital spending for the year ended December 31, 2020, excludes transaction costs capitalized in the amount of $0.3 million that relate to the Trucking Assets Acquisition and $0.7 million that relate to the Permian Gathering Assets Acquisition.
(2) Capital spending for the years ended December 31, 2021, 2020 and 2019 excludes contributions to equity method investments amounting to $1.4 million, $12.2 million and $139.3 million, respectively.
(3) Affiliate revenue for the wholesale marketing and terminalling segment is presented net of amortization expense pertaining to the Marketing Contract Intangible Acquisition. See Note 3 for additional information.
The following table summarizes the total assets for each segment as of December 31, 2021 and 2020 (in thousands). Assets for each segment includes property, plant and equipment, equity method investments, intangible assets and inventory.
Year Ended December 31,
20212020
Pipelines and transportation $452,690 $469,642 
Wholesale marketing and terminalling211,723 206,918 
Investments in pipeline joint ventures250,030 253,675 
Other (1)
20,628 26,182 
     Total assets$935,071 $956,417 
(1) Other includes cash and cash equivalents and related party receivables and other assets which are recorded at the corporate level.