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Fair Value Measurements (Tables)
9 Months Ended
Sep. 30, 2022
Fair Value Disclosures [Abstract]  
Summary of Valuation of LCNB's Assets Recorded at Fair Value by Inputs Level The following table summarizes the valuation of LCNB's assets recorded at fair value by input levels as of September 30, 2022 and December 31, 2021 (in thousands):
Fair Value Measurements at the End of
the Reporting Period Using
 Fair Value MeasurementsQuoted Prices in Active Markets for Identical Assets (Level 1)Significant Other Observable Inputs
(Level 2)
Significant Unobservable Inputs
(Level 3)
September 30, 2022
Recurring fair value measurements:
Equity securities with a readily determinable fair value:
     Equity securities$955 955 — — 
     Mutual funds36 36 — — 
     Mutual funds measured at net asset value1,184 1,184 — — 
Debt securities, available-for-sale:
     U.S. Treasury notes75,817 75,817 — — 
     U.S. Agency notes77,599 — 77,599 — 
     Corporate bonds5,885 — 5,885 — 
     U.S. Agency mortgage-backed securities81,251 — 81,251 — 
     Municipal securities:    
          Non-taxable8,692 — 8,692 — 
          Taxable41,175 — 41,175 — 
Total recurring fair value measurements$292,594 77,992 214,602 — 
Nonrecurring fair value measurements:   
Impaired loans$958 — — 958 
     Total nonrecurring fair value measurements$958 — — 958 
December 31, 2021    
Recurring fair value measurements:    
Equity securities with a readily determinable fair value:
     Equity securities$1,167 1,167 — — 
     Mutual funds51 51 — — 
     Mutual funds measured at net asset value1,328 1,328 — — 
Debt securities, available-for-sale:    
     U.S. Treasury notes74,744 74,744 — — 
     U.S. Agency notes87,246 — 87,246 — 
     Corporate bonds5,152 — 5,152 — 
     U.S. Agency mortgage-backed securities96,676 — 96,676 — 
     Municipal securities:    
          Non-taxable9,066 — 9,066 — 
          Taxable35,293 — 35,293 — 
Total recurring fair value measurements$310,723 77,290 233,433 — 
Nonrecurring fair value measurements:    
Impaired loans$1,011 — — 1,011 
     Total nonrecurring fair value measurements$1,011 — — 1,011 
Fair Value Measurements Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques The following table presents quantitative information about unobservable inputs used in nonrecurring level 3 fair value measurements at September 30, 2022 and December 31, 2021 (dollars in thousands):
Range
Fair ValueValuation TechniqueUnobservable InputsHighLowWeighted Average
September 30, 2022
Impaired loans$— Estimated sales priceAdjustments for comparable properties, discounts to reflect current market conditionsNot applicable
Impaired loans$958 Discounted cash flowsDiscount rate8.125 %4.625 %6.06 %
December 31, 2021
Impaired loans$— Estimated sales priceAdjustments for comparable properties, discounts to reflect current market conditionsNot applicable
Impaired loans1,011 Discounted cash flowsDiscount rate8.13 %4.63 %6.07 %
Carrying Amounts and Estimated Fair Values of Financial Instruments Carrying amounts and estimated fair values of financial instruments as of September 30, 2022 and December 31, 2021 were as follows (in thousands):
 Fair Value Measurements at the End of
the Reporting Period Using
Carrying
Amount
Fair
Value
Quoted
Prices
in Active
Markets for Identical Assets
(Level 1)
Significant Other Observable Inputs
(Level 2)
Significant Unobservable Inputs
(Level 3)
September 30, 2022
FINANCIAL ASSETS:
Cash and cash equivalents$29,460 29,460 29,460 — — 
Debt securities, held-to-maturity22,415 20,927 — — 20,927 
Loans, net1,371,045 1,206,806 — — 1,206,806 
  Accrued interest receivable7,622 7,622 — 7,622 — 
FINANCIAL LIABILITIES:  
Deposits1,657,370 1,657,818 1,500,286 157,532 — 
Short-term borrowings4,000 4,000 4,000 — — 
Long-term debt24,539 24,015 — 24,015 — 
  Accrued interest payable233 233 — 233 — 
December 31, 2021
FINANCIAL ASSETS:
Cash and cash equivalents$18,136 18,136 18,136 — — 
Debt securities, held-to-maturity22,972 23,087 — — 23,087 
Loans, net1,363,939 1,333,840 — — 1,333,840 
  Accrued interest receivable7,999 7,999 — 7,999 — 
FINANCIAL LIABILITIES:  
Deposits1,628,819 1,630,158 1,435,487 194,671 — 
Long-term debt10,000 10,292 — 10,292 — 
Accrued interest payable277 277 — 277 —