Note 6 - Premises and Equipment

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Property, Plant and Equipment Disclosure [Text Block]

NOTE

6.

PREMISES AND EQUIPMENT

The following table presents the major components of premises and equipment at

December 31, 2019

and

2018.

(Amounts in thousands)
Premises and Equipment	2019			2018
Land	$	2,523		$	2,063
Land improvements		243			241
Bank buildings		15,222			13,076
Furniture, fixtures and equipment		13,341			12,682
Software		1,624			1,624
Assets not yet placed in service		860			72
Total premises and equipment		33,813			29,758
Less: accumulated depreciation and amortization		(17,907	)		(16,639	)
Premises and equipment, net	$	15,906		$	13,119

We record depreciation expense on a straight-line basis for all depreciable assets. Depreciation expense totaled

$1.4

million and

$1.7

million, for the years ended

December 31, 2019

and

2018,

respectively. We have entered into a number of non-cancelable lease agreements with respect to various premises. See Note

12,

Leases

for minimum annual rental commitments under non-cancelable lease agreements.