Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Schedule of Income Tax Expense (Benefit)

The following table presents the composition of income tax expense (benefit) for the years ended December 31:

(dollars in thousands)	2022		2021		2020
Federal
Current	$	35,514	$	22,581	$	4,256
Deferred	(2,801)		2,273		(4,273)
Total Federal	32,713		24,854		(17)
State
Current	828		361		145
Deferred	(131)		110		(129)
Total State	697		471		16
Total Federal and State	$	33,410	$	25,325	$	(1)

Schedule of Statutory to Effective Tax Rate Reconciliation

The following table presents a reconciliation of the statutory tax rate to the effective tax rate for the years ended December 31:

	2022		2021		2020
Statutory tax rate	21.0	%	21.0	%	21.0	%
Tax-exempt interest	(1.0)	%	(1.3)	%	(11.9)	%
Low income housing tax credits	(0.7)	%	(1.5)	%	(11.1)	%
Bank owned life insurance	(0.2)	%	(0.3)	%	(1.8)	%
Other	0.7	%	0.8	%	3.8	%
Effective Tax Rate	19.8	%	18.7	%	—	%

Schedule of Significant Components of Temporary Differences

The following table presents significant components of our temporary differences as of the dates presented:

	December 31,
(dollars in thousands)	2022		2021
Deferred Tax Assets:
Allowance for loan losses	$	23,383	$	22,083
Net unrealized holding losses on securities available-for-sale	21,843		—
Lease liabilities	10,767		10,876
State net operating loss carryforwards	5,924		5,565
Net unrealized losses on interest rate swaps	4,562		—
Cumulative adjustment to funded status of pension	4,029		3,922
Low income housing partnerships	3,098		3,270
Other employee benefits	3,070		3,433
Other	3,842		3,973
Deferred Tax Assets	80,518		53,122
Less: Valuation allowance	(5,924)		(5,565)
Total Deferred Tax Assets	74,594		47,557
Deferred Tax Liabilities:
Right-of-use lease assets	(9,385)		(9,603)
Deferred loan income	(6,113)		(6,697)
Prepaid pension	(4,084)		(4,566)
Purchase accounting adjustments	(1,853)		(1,954)
Depreciation on premises and equipment	(629)		(1,107)
Net unrealized holding gains on securities available-for-sale	—		(2,004)
Other	(922)		(1,466)
Total Deferred Tax liabilities	(22,986)		(27,397)
Net Deferred Tax Asset	$	51,608	$	20,160

Schedule of Reconciliation of Change in Federal and State Gross Unrecognized Tax Benefits

The following table reconciles the change in Federal and State gross unrecognized tax benefits, or UTB, for the years ended December 31:

(dollars in thousands)	2022		2021		2020
Balance at beginning of year	$	1,331	$	1,277	$	1,051
Prior period tax positions	—		—		(18)
Current period tax positions	317		54		244
Balance at End of Year	$	1,648	$	1,331	$	1,277
Amount That Would Impact the Effective Tax Rate if Recognized	$	1,148	$	1,069	$	1,027