Fair Value Presentation (Tables)

12 Months Ended

Dec. 31, 2021

Schedule of Fair Value Assets Measured on Recurring Basis

The following tables provide the fair value for assets required to be measured and reported at fair value on a recurring basis as of December 31, 2021 and December 31, 2020:

	December 31, 2021
(Dollars in thousands)	Level 1		Level 2		Level 3		Total
Assets:
Investment securities available-for-sale:
U.S. Treasury Securities	$	—	$	20,000	$	—	$	20,000
Collateralized Mortgage Backed		—		30,882		—		30,882
Subordinated Debt		—		8,704		—		8,704
Municipal Securities
Taxable		—		10,557		—		10,557
Tax-exempt		—		24,143		—		24,143
U.S. Government Agencies		—		5,627		—		5,627
Derivative asset – interest rate swap on loans		—		2,097		—		2,097
Total	$	—	$	102,010	$	—	$	102,010
Liabilities:
Derivative liability – interest rate swap on loans		—		2,097		—		2,097
Total	$	—	$	2,097	$	—	$	2,097

	December 31, 2020
(Dollars in thousands)	Level 1		Level 2		Level 3		Total
Assets:
Investment securities available-for-sale:
U.S. Treasury Securities	$	—	$	90,000	$	—	$	90,000
Collateralized Mortgage Backed		—		24,896		—		24,896
Subordinated Debt		—		3,278		—		3,278
Municipal Securities
Taxable		—		6,271		—		6,271
Tax-exempt		—		16,334		—		16,334
U.S. Government Agencies		—		6,635		—		6,635
Derivative asset – interest rate swap on loans		—		12,152		—		12,152
Total	$	—	$	159,566	$	—	$	159,566
Liabilities:
Derivative liability – interest rate swap on loans		—		12,152		—		12,152
Total	$	—	$	12,152	$	—	$	12,152

Schedule of Financial Assets Measured at Fair Value on a Nonrecurring Basis

The following table summarizes the value of the Bank’s assets as of December 31, 2021 and December 31, 2020 that were measured at fair value on a nonrecurring basis during the period:

December 31, 2021
(Dollars in thousands)	Level 1		Level 2		Level 3		Total
Assets:
Other Real Estate Owned	$	—	$	—	$	775	$	775
Total	$	—	$	—	$	775	$	775

December 31, 2020
(Dollars in thousands)	Level 1		Level 2		Level 3		Total
Assets:
Other Real Estate Owned	$	—	$	—	$	1,180	$	1,180
Total	$	—	$	—	$	1,180	$	1,180

Schedule of Quantitative Information about Level 3 Fair Value Measurements for Financial Assets Measured at Fair Value on Nonreoccuring Basis

The following table presents quantitative information about Level 3 fair value measurements for financial assets measured at fair value on a nonreoccuring basis as of December 31, 2021

	Fair Value Measurements at December 31, 2021
(Dollars in thousands)	Fair Value		Valuation Technique(s)	Unobservable Inputs	Range of Inputs
Other Real Estate Owned, net	$	775	Appraisals	Discount to reflect current market conditions and estimated selling costs	6% - 10%
Total	$	775

Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments

The following tables reflect the carrying amounts and estimated fair values of the Company’s financial instruments whether or not recognized on the Consolidated Balance Sheets at fair value.

December 31, 2021	Carrying		Estimated		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
(Dollars in thousands)	Amount		Fair Value		Level 1		Level 2		Level 3
Assets:
Cash and cash equivalents	$	93,199	$	93,199	$	93,199	$	—	$	—
Restricted equity securities		15,609		15,609		—		15,609		—
Securities:
Available for sale		99,913		99,913		—		99,913		—
Held to maturity		20,349		21,144		—		21,144		—
Loans, net		1,341,760		1,346,048		—		—		1,346,048
Derivative asset – interest rate swap on loans		2,097		2,097		—		2,097		—
Bank owned life insurance		36,241		36,241		—		36,241		—
Accrued interest receivable		6,735		6,735		—		6,735		—
Liabilities:
Deposits	$	1,411,963	$	1,415,551	$	—	$	952,815	$	462,736
Subordinated debt, net		29,294		29,570		—		29,570		—
Derivative liability – interest rate swaps on loans		2,097		2,097		—		2,097		—
Accrued interest payable		462		462		—		462		—

December 31, 2020	Carrying		Estimated		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
(Dollars in thousands)	Amount		Fair Value		Level 1		Level 2		Level 3
Assets:
Cash and cash equivalents	$	107,528	$	107,528	$	107,528	$	—	$	—
Restricted equity securities		4,616		4,616		—		4,616		—
Securities:
Available for sale		147,414		147,414		—		147,414		—
Held to maturity		22,520		23,578		—		23,578		—
Loans, net		1,230,379		1,259,671		—		—		1,259,671
Loans held for sale		57,006		58,930		—		—		58,930
Derivative asset – interest rate swap on loans		12,152		12,152		—		12,152		—
Bank owned life insurance		25,341		25,341		—		25,341		—
Accrued interest receivable		9,154		9,154		—		9,154		—
Liabilities:
Deposits	$	1,438,246	$	1,451,708	$	—	$	941,503	$	510,205
Subordinated debt, net		14,834		14,834		—		14,834		—
Derivative liability – interest rate swaps on loans		12,152		12,152		—		12,152		—
Accrued interest payable		490		490		—		490		—