REGULATORY MATTERS (Tables)

3 Months Ended

Mar. 31, 2023

Regulatory Capital Requirements Under Banking Regulations [Abstract]

Schedule of Regulatory Capital and Ratios

As of March 31, 2023, the Company and the Bank believe they are each well capitalized on a consolidated basis for bank regulatory purposes as their respective capital ratios exceed minimum total Tier 1 and CET1 risk-based capital ratios and Tier 1 leverage capital ratios as set forth in the following table. As a bank holding company with less than $3 billion in total consolidated assets, the Company is eligible to be treated as a “small bank holding company” under the Federal Reserve’s Small Bank Holding Company and Savings and Loan Holding Company Policy Statement. As a result, the Company’s capital adequacy is evaluated at the bank level and on a parent-only basis, and it is not subject to consolidated capital standards for regulatory purposes. The ratios set forth below as to the Company are for illustrative purposes in the event it were to become subject to consolidated capital standards for regulatory purposes. The column styled “Required for Capital Adequacy Purposes” includes the 2.50% capital conservation buffer.

The Bank is also subject to capital requirements under the FDIC’s prompt corrective action regime. As of March 31, 2023, the Bank was well capitalized under the regulatory framework for prompt corrective action.

Community Bank Leverage Ratio Framework

As part of the directive under the Economic Growth Act, in September 2019, the FDIC and other federal bank regulatory agencies approved the Community Bank Leverage Ratio (“CBLR”) framework. This optional framework became effective January 1, 2020, and is available to the Company and the Bank as an alternative to the Basel III risk-based capital framework. The CBLR framework provides for a simple measure of capital adequacy for certain community banking organizations. Specifically, depository institutions and depository institution holding companies that have less than $10.0 billion in total consolidated assets and meet other qualifying criteria, including a Tier 1 leverage ratio of greater than 9.00%, are considered qualifying community banking organizations and are eligible to opt into the CBLR framework, and replace the applicable Basel III risk-based capital requirements. As of March 31, 2023, the Company and the Bank qualify for the CBLR framework. Management does not intend to utilize the CBLR framework.

	Actual				Required for Capital Adequacy Purposes				Minimums To Be “Well Capitalized” Under Prompt Corrective Action
	Amount		Ratio		Amount		Ratio		Amount		Ratio
	(dollars in thousands)
As of March 31, 2023
Tier 1 capital (to average assets)
Company	$	181,503	8.89	%	$	81,668	4.00	%	$	—	—
Bank	$	248,852	12.19	%	$	81,668	4.00	%	$	102,086	5.00	%
CET 1 capital (to risk-weighted assets)
Company	$	181,503	9.00	%	$	141,208	7.00	%	$	—	—
Bank	$	248,852	12.34	%	$	141,208	7.00	%	$	131,122	6.50	%
Tier 1 capital (to risk-weighted assets)
Company	$	181,503	9.00	%	$	171,467	8.50	%	$	—	—
Bank	$	248,852	12.34	%	$	171,467	8.50	%	$	161,381	8.00	%
Total capital (to risk-weighted assets)
Company	$	290,643	14.41	%	$	211,813	10.50	%	$	—	—
Bank	$	269,992	13.38	%	$	211,813	10.50	%	$	201,726	10.00	%

	Actual				Required for Capital Adequacy Purposes				Minimums To Be “Well Capitalized” Under Prompt Corrective Action
	Amount		Ratio		Amount		Ratio		Amount		Ratio
	(dollars in thousands)
As of December 31, 2022
Tier 1 capital (to average assets)
Company	$	174,679	8.82	%	$	79,182	4.00	%	$	—	—
Bank	$	240,815	12.17	%	$	79,182	4.00	%	$	98,977	5.00	%
CET 1 capital (to risk-weighted assets)
Company	$	174,679	8.86	%	$	138,018	7.00	%	$	—	—
Bank	$	240,815	12.21	%	$	138,018	7.00	%	$	128,160	6.50	%
Tier 1 capital (to risk-weighted assets)
Company	$	174,679	8.86	%	$	167,593	8.50	%	$	—	—
Bank	$	240,815	12.21	%	$	167,593	8.50	%	$	157,735	8.00	%
Total capital (to risk-weighted assets)
Company	$	282,835	14.34	%	$	207,027	10.50	%	$	—	—
Bank	$	260,971	13.24	%	$	207,027	10.50	%	$	197,169	10.00	%