INVESTMENT SECURITIES AVAILABLE FOR SALE

12 Months Ended

Dec. 31, 2017

Investments, Debt and Equity Securities [Abstract]

INVESTMENT SECURITIES AVAILABLE FOR SALE

3. INVESTMENT SECURITIES AVAILABLE FOR SALE

The amortized cost and fair value of investment securities available for sale are summarized as follows:

	DECEMBER 31, 2017
	AMORTIZED COST		GROSS UNREALIZED GAINS		GROSS UNREALIZED LOSSES			ESTIMATED FAIR VALUE
U.S. Treasury Notes	$	35,970,990	$	—	$	(411,145	)	$	35,559,845
Government-Sponsored Enterprises		64,444,315		—		(887,811	)		63,556,504
Municipal Securities		40,191,502		487,545		(545,146	)		40,133,901
Total	$	140,606,807	$	487,545	$	(1,844,102	)	$	139,250,250

	DECEMBER 31, 2016
	AMORTIZED COST		GROSS UNREALIZED GAINS		GROSS UNREALIZED LOSSES			ESTIMATED FAIR VALUE
U.S. Treasury Notes	$	24,148,295	$	41,153	$	(250,385	)	$	23,939,063
Government-Sponsored Enterprises		51,737,930		129,482		(833,321	)		51,034,091
Municipal Securities		45,056,390		765,813		(816,413	)		45,005,790
Total	$	120,942,615	$	936,448	$	(1,900,119	)	$	119,978,944

The amortized cost and estimated fair value of investment securities available for sale at December 31, 2017 and December 31, 2016, by contractual maturity are as follows:

	DECEMBER 31, 2017				DECEMBER 31, 2016
	AMORTIZED COST		ESTIMATED FAIR VALUE		AMORTIZED COST		ESTIMATED FAIR VALUE
Due in one year or less	$	11,554,040	$	11,546,968	$	3,343,347	$	3,350,205
Due in one year to five years		72,622,056		72,124,395		82,848,411		82,682,901
Due in five years to ten years		53,290,088		52,576,036		29,662,030		29,169,228
Due in ten years and over		3,140,623		3,002,851		5,088,827		4,776,610
Total	$	140,606,807	$	139,250,250	$	120,942,615	$	119,978,944

Securities pledged to secure deposits and repurchase agreements at December 31, 2017 and 2016, had a carrying amount of $49,424,692 and $47,619,232, respectively.

The tables below summarize gross unrealized losses on investment securities and the fair market value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2017 and 2016. We believe that all unrealized losses have resulted from temporary changes in the interest rate market and not as a result of credit deterioration. We do not intend to sell and it is not likely that we will be required to sell any of the securities referenced in the table below before recovery of their amortized cost.

	Less Than 12 Months							12 Months or Longer							Total
					Gross							Gross							Gross
					Unrealized							Unrealized							Unrealized
	#		Fair Value		Loss			#		Fair Value		Loss			#		Fair Value		Loss
December 31, 2017
Available for sale
U.S. Treasury Notes		8	$	35,559,845	$	(411,145	)		—	$	—	$	—			8	$	35,559,845	$	(411,145	)
Government- Sponsored Enterprises		12		53,275,064		(462,174	)		3		10,281,440		(425,637	)		15		63,556,504		(887,811	)
Municipal Securities		20		7,815,221		(134,998	)		29		11,056,185		(410,148	)		49		18,871,406		(545,146	)
Total		40	$	96,650,130	$	(1,008,317	)		32	$	21,337,625	$	(835,785	)		72	$	117,987,755	$	(1,844,102	)
December 31, 2016
Available for sale
U.S. Treasury notes		4	$	17,968,594	$	(250,385	)		—	$	—	$	—			4	$	17,958,594	$	(250,385	)
Government-Sponsored Enterprises		8		30,136,720		(833,321	)		—		—		—			8		30,136,720		(833,321	)
Municipal Securities		54		22,606,430		(816,413	)		—		—		—			54		22,606,430		(816,413	)
Total		66	$	70,711,744	$	(1,900,119	)		—	$	—	$	—			66	$	70,711,744	$	(1,900,119	)

The table below shows the proceeds received from sales of securities available for sale and gross realized gains and losses.

	For the Year Ended December 31,
	2017			2016			2015
Gross proceeds	$	20,231,265		$	36,218,087		$	16,564,118
Gross realized gains		154,692			384,963			423,832
Gross realized losses		(108,872	)		(4,059	)		—

The tax provision related to these gains was $15,578 and $140,934 for the year ended December 31, 2017 and 2016, respectively.