(11) Stock-Based Compensation

Phantom Stock Option Plan and Long-term Incentive Plan

The Greene County Bancorp, Inc. 2011 Phantom Stock Option and Long-term Incentive Plan (the “Plan”) was adopted effective July 1, 2011, to promote the long-term financial success of the Company and its subsidiaries by providing a means to attract, retain and reward individuals who contribute to such success and to further align their interests with those of the Company’s shareholders. The Plan is intended to provide benefits to employees and directors of the Company or any subsidiary as designated by the Compensation Committee of the Board of Directors of the Company (“Committee”). A phantom stock option represents the right to receive a cash payment on the date the award vests. The Plan is more fully described in Note 11 of the consolidated financial statements and notes thereto for the year ended June 30, 2020.

A summary of the Company’s phantom stock option activity and related information for the Plan for the three months ended September 30, 2020 and 2019 is as follows:

	2020		2019
Number of options outstanding at beginning of year		1,765,100		1,711,600
Options granted		523,700		614,700
Options forfeited		-		(7,000	)
Number of options outstanding at period end		2,288,800		2,319,300

(In thousands)		2020				2019
Compensation expense recognized		$	635			$	645

The total liability for the Plan was $5.5 million and $4.9 million at September 30, 2020 and June 30, 2020, respectively, and is included in accrued expenses and other liabilities.