Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2021

Fair Value Measurements

Schedule of fair value measurements of assets recognized in consolidated balance sheets measured at fair value on recurring basis

The following table presents the fair value measurements of assets recognized in the accompanying consolidated balance sheets measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall at September 30, 2021 and December 31, 2020:

			Fair Value Measurements Using
			Quoted Prices
			in Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
			Assets		Inputs		Inputs
	Fair Value		(Level 1)		(Level 2)		(Level 3)
September 30, 2021
State and municipal obligations	$	119,610	$	—	$	119,610	$	—
Subordinated notes	$	15,930	$	—	$	15,930	$	—
December 31, 2020
U.S. government agencies	$	10,053	$	—	$	10,053	$	—
State and municipal obligations	$	143,509	$	—	$	143,509	$	—
Subordinated notes	$	4,505	$	—	$	4,505	$	—

Schedule of fair value measurements of assets recognized in the accompanying consolidated balance sheets measured at fair value on a non-recurring basis

The following table presents the fair value measurements of assets recognized in the accompanying consolidated balance sheets measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurements fall at September 30, 2021 and December 31, 2020.

			Fair Value Measurements Using
			Quoted Prices
			in Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	Fair		Assets		Inputs		Inputs
	Value		(Level 1)		(Level 2)		(Level 3)
	(In thousands)
September 30, 2021
Collateral dependent impaired loans	$	2,404	$	—	$	—	$	2,404
Foreclosed assets held for sale		—		—		—		—
December 31, 2020
Collateral dependent impaired loans	$	71	$	—	$	—	$	71
Foreclosed assets held for sale		—		—		—		—

Schedule of quantitative information about unobservable inputs used in recurring and nonrecurring Level 3 fair value measurements

The following table presents quantitative information about unobservable inputs used in recurring and nonrecurring Level 3 fair value measurements.

	Fair Value at		Valuation	Unobservable
	9/30/21		Technique	Inputs	Range
	(In thousands)
Collateral-dependent impaired loans	$	2,404	Market comparable properties	Marketability discount	10% – 25%
Foreclosed assets held for sale	$	—	Market comparable properties	Marketability discount	10% – 35%

	Fair Value at		Valuation	Unobservable
	12/31/20		Technique	Inputs	Range
	(In thousands)
Collateral-dependent impaired loans	$	71	Market comparable properties	Comparability adjustments	5% – 10%
Foreclosed assets held for sale	$	—	Market comparable properties	Marketability discount	10% – 35%

Schedule of estimated fair values of company's financial instruments

			Fair Value Measurements Using
			Quoted Prices
			in Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	Carrying		Assets		Inputs		Inputs
	Amount		(Level 1)		(Level 2)		(Level 3)
	(In thousands)
September 30, 2021
Financial assets
Cash and cash equivalents	$	91,407	$	91,407	$	—	$	—
Loans, net of allowance		457,996		—		—		463,636
Federal Home Loan Bank stock		3,704		—		3,707		—
Accrued interest receivable		2,206		—		2,206		—
Financial liabilities
Deposits		608,508		—		608,460		—
Short term borrowings		18,280		—		18,280		—
Subordinated debentures		23,650		—		24,211		—
Interest payable		524				524		—

			Fair Value Measurements Using
			Quoted Prices
			in Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	Carrying		Assets		Inputs		Inputs
	Amount		(Level 1)		(Level 2)		(Level 3)
	(In thousands)
December 31, 2020:
Financial assets
Cash and cash equivalents	$	51,592	$	51,592	$	––	$	––
Loans, net of allowance		438,378		––		––		436,893
Federal Home Loan Bank stock		4,177		––		4,177		––
Accrued interest receivable		2,901		––		2,901		––
Financial liabilities
Deposits		579,535		––		580,130		––
Short term borrowings		12,705		––		12,705		––
Federal Home Loan Bank Advances		––		––		––		––
Subordinated debentures		23,604		––		21,989		––
Interest payable		224		––		224		––