Disclosure Regarding Fair Value of Financial Statements (Tables)

9 Months Ended

Sep. 30, 2018

Fair Value Disclosures [Abstract]

Schedule of assets and liabilities measured at fair value on a recurring basis

Assets and liabilities measured at fair value on a recurring basis as of September 30, 2018 and December 31, 2017 are as follows: 

	Balance as of September 30, 2018
	Level 1		Level 2		Level 3		Total
U.S. Treasury Notes	$	31,839,733	$	—	$	—	$	31,839,733
Government-Sponsored Enterprises		—		58,570,650		—		58,570,650
Municipal Securities		—		21,649,135		6,543,683		28,192,818
Total	$	31,839,733	$	80,219,785	$	6,543,683	$	118,603,201

	Balance as of December 31, 2017
	Level 1		Level 2		Level 3		Total
U.S. Treasury Notes	$	35,559,845	$	—	$	—	$	35,559,845
Government-Sponsored Enterprises		—		63,556,504		—		63,556,504
Municipal Securities		—		28,675,012		11,458,889		40,133,901
Total	$	35,559,845	$	92,231,516	$	11,458,889	$	139,250,250

Schedule of changes in Level 3 instruments

The following table reconciles the changes in assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months and nine months ended September 30, 2018 and 2017:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2018			2017			2018			2017
Beginning Balance	$	7,096,356		$	12,488,995		$	11,458,889		$	13,977,857
Total realized/unrealized gains (losses)
Included in earnings		—			—			—			—
Included in other comprehensive income		52,254			13,852			119,721			254,940
Purchases, issuances, and settlements net of maturities		(604,927	)		(593,719	)		(5,034,927	)		(2,323,719	)
Transfers in and/or out of Level 3		—			—			—			—
Ending Balance	$	6,543,683		$	11,909,128		$	6,543,683		$	11,909,078

Schedule of assets and liabilities measured at fair value on a nonrecurring basis

The following tables present information about certain assets and liabilities measured at fair value on a nonrecurring basis as of September 30, 2018 and December 31, 2017:

	September 30, 2018
		Quoted Market Price in active markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs  (Level 3)		Total
Impaired loans		$	—	$	—	$	2,229,800	$	2,229,800
Other real estate owned			—		—		—		—
Loans held for sale			—		2,861,227		—		2,861,227
Total		$	—	$	2,861,227	$	2,229,800	$	5,091,027

	December 31, 2017
			Quoted Market Price in active markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Impaired loans		$	—	$	—	$	1,735,051	$	1,735,051
Other real estate owned			—		—		435,479		435,479
Loans held for sale			—		2,093,723		—		2,093,723
Total		$	—	$	2,093,723	$	2,170,530	$	4,264,253

Schedule of unobservable inputs used in Level 3 fair value measurement

The following table provides information describing the unobservable inputs used in Level 3 fair value measurements as of September 30, 2018 and 2017:

		Inputs
	Valuation Technique	Unobservable Input	General Range of Inputs
Impaired Loans	Appraisal Value/Comparison Sales/Other Estimates	Appraisals and/or Sales of Comparable Properties	Appraisals Discounted 10% to 20% for Sales Commissions and Other Holding Costs
Other Real Estate Owned	Appraisal Value/Comparison Sales/Other Estimates	Appraisals and/or Sales of Comparable Properties	Appraisals Discounted 10% to 20% for Sales Commissions and Other Holding Costs

Schedule of carrying amount, fair value, and placement in the fair value hierarchy of financial instruments

The following tables present the carrying amount, fair value, and placement in the fair value hierarchy of our financial instruments as of September 30, 2018 and December 31, 2017. 

Fair Value Measurements at September 30, 2018
	Carrying Amount		Estimated Fair Value		Level 1		Level 2		Level 3
Financial Assets:
Cash and due from banks	$	8,187,758	$	8,187,758	$	8,187,758	$	—	$	—
Interest-bearing deposits at the Federal Reserve		21,573,263		21,573,263		21,573,263		—		—
Investment securities available for sale		118,603,201		118,603,201		31,839,733		80,219,785		6,543,683
Mortgage loans to be sold		2,861,227		2,861,227		—		2,861,227		—
Loans, net		270,521,873		264,323,028		—		—		264,323,028
Accrued interest receivable		1,471,368		1,471,368		—		1,471,368		—
Financial Liabilities:
Demand deposits		339,719,194		339,719,194		—		339,719,194		—
Time deposits		43,322,064		44,653,911		—		44,653,911		—
Accrued interest payable		149,179		149,179		—		149,179		—

Fair Value Measurements at December 31, 2017
	Carrying Amount		Estimated Fair Value		Level 1		Level 2		Level 3
Financial Assets:
Cash and due from banks	$	8,486,025	$	8,486,025	$	8,486,025	$	—	$	—
Interest-bearing deposits at the Federal Reserve		24,034,194		24,034,194		24,034,194		—		—
Investment securities available for sale		139,250,250		139,250,250		35,559,845		92,231,516		11,458,889
Mortgage loans to be sold		2,093,723		2,093,723		—		2,093,723		—
Loans, net		266,305,242		265,277,204		—		—		265,277,204
Accrued interest receivable		1,720,920		1,720,920		—		1,720,920		—
Financial Liabilities:
Demand deposits		360,967,884		360,967,884		—		360,967,884		—
Time deposits		41,920,416		40,722,870		—		40,722,870		—
Accrued interest payable		96,190		96,190		—		96,190		—