Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2026

Fair Value Measurements [Abstract]

Assets Measured at Fair Value on a Recurring Basis

The following tables present the assets and liabilities reported on the Consolidated Balance Sheet at their fair value on a recurring basis as of March 31, 2026 and December 31, 2025 by level within the fair value hierarchy (in thousands). Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.

March 31, 2026	Level I		Level II			Level III		Total
Fair value measurements on a recurring basis:
Assets
Equity securities	$	1,834	$	-		$	-	$	1,834
Available for sale securities:
U.S. Agency securities		-		49,549			-		49,549
U.S. Treasury securities		-		75,636			-		75,636
Obligations of state and political subdivisions		-		124,284			-		124,284
Corporate obligations		-		9,040			-		9,040
Mortgage-backed securities in government sponsored entities		-		189,777			-		189,777
Loans held for sale		-		5,874			-		5,874
Derivative assets		-		6,582			522		7,104
Derivative liabilities		-		(4,186	)		-		(4,186	)

December 31, 2025	Level I		Level II			Level III		Total
Fair value measurements on a recurring basis:
Assets
Equity securities	$	1,815	$	-		$	-	$	1,815
Available for sale securities:
U.S. Agency securities		-		49,755			-		49,755
U.S. Treasuries securities		-		82,654			-		82,654
Obligations of state and political subdivisions		-		115,886			-		115,886
Corporate obligations		-		11,297			-		11,297
Mortgage-backed securities in government sponsored entities		-		185,149			-		185,149
Derivative assets		-		6,587			340		6,927
Derivative liabilities		-		(4,100	)		-		(4,100	)

Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3)

The following tables represent the change in the assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months ended March 31, 2026 and 2025 for interest rate lock commitments (IRLC) (in thousands):

	IRLC-
For the three months ended March 31, 2026	Asset
Balance: December 31, 2025	$	340
Total unrealized losses:
Included in other comprehensive loss		-
Total gains included in earnings and held at reporting date		182
Purchases, sales and settlements		-
Transfers in and/or out of Level 3		-
Ending Balance: March 31, 2026	$	522
Change in unrealized gains for the period included in earnings for assets held as of March 31, 2026		182
Change in unrealized loss for the period included other comprehensive loss for assets held as of December 31, 2025		-

	IRLC-
For the three months ended March 31, 2025	Asset
Balance: December 31, 2024	$	317
Total unrealized losses:
Included in other comprehensive loss		-
Total gains included in earnings and held at reporting date		155
Purchases, sales and settlements		-
Transfers in and/or out of Level 3		-
Ending Balance: March 31, 2025	$	472
Change in unrealized gains for the period included in earnings for assets held as of March 31, 2025		155
Change in unrealized loss for the period included other comprehensive loss for assets held as of December 31, 2024		-

Significant Unobservable Inputs Used in Fair Value Measurement Process

Significant unobservable inputs for assets measured at fair value on a recurring basis at March 31, 2026 and December 31, 2025 (dollars in thousands):

	Quantitative Information about Level 3 Fair Value Measurements
March 31, 2026	Fair Value		Valuation Technique	Significant Unobservable Input	Range			Weighted  Average
Measured at Fair Value on a Recurring Basis:
Net derivative asset and liability:
IRLC	$	522	Discounted cash flows	Pull-through rates		74.76%-100.00	%		90.89	%

	Quantitative Information about Level 3 Fair Value Measurements
December 31, 2025	Fair Value		Valuation Technique	Significant Unobservable Input	Range			Weighted Average
Measured at Fair Value on a Recurring Basis:
Net derivative asset and liability:
IRLC	$	340	Discounted cash flows	Pull-through rates		75.39%-97.16	%		85.90	%

Quantitative Information about Level III Fair Value Measurements
March 31, 2026	Fair Value	Valuation Technique(s)	Unobservable input	Range	Weighted average
Collateral-dependent loans	$ 8,721	Appraised Collateral Values	Discount for time since appraisal	0-100%	22.94%
			Selling costs	0%-10%	9.38%
			Holding period	0 - 12 months	11.50 months
Other real estate owned	2,358	Appraised Collateral Values	Discount for time since appraisal	7.50%	7.50%

December 31, 2025	Fair Value	Valuation Technique(s)	Unobservable input	Range	Weighted average
Collateral dependent loans	8,628	Appraised Collateral Values	Discount for time since appraisal	0-100%	32.18%
			Selling costs	8%-10%	9.43%
			Holding period	1 - 12 months	11.62 months
Other real estate owned	2,358	Appraised Collateral Values	Discount for time since appraisal	7.50%	7.50%

Assets Measured at Fair Value on Non-recurring Basis

Assets measured at fair value on a nonrecurring basis as of March 31, 2026 and December 31, 2025 are included in the table below (in thousands):

March 31, 2026	Level I		Level II		Level III		Total
Collateral-dependent loans	$	-	$	-	$	8,721	$	8,721
Other real estate owned		-		-		2,358		2,358
December 31, 2025	Level I		Level II		Level III		Total
Collateral-dependent loans	$	-	$	-	$	8,628	$	8,628
Other real estate owned		-		-		2,358		2,358

Carrying Amount and Fair Value of Financial Instruments

The carrying amount and fair value of the Company’s financial instruments that are not required to be measured or reported at fair value on a recurring basis are as follows (in thousands):

	Carrying
March 31, 2026	Amount		Fair Value		Level I		Level II		Level III
Financial assets:
Interest bearing time deposits with other banks	$	3,820	$	3,802	$	-	$	-	$	3,802
Net loans		2,275,328		2,256,059		-		-		2,256,059
Financial liabilities:
Deposits		2,441,185		2,438,959		1,870,741		-		568,218
Borrowed funds		198,738		193,638		-		-		193,638

	Carrying
December 31, 2025	Amount		Fair Value		Level I		Level II		Level III
Financial assets:
Interest bearing time deposits with other banks	$	3,820	$	3,802	$	-	$	-	$	3,802
Net loans		2,327,816		2,295,926		-		-		2,295,926
Financial liabilities:
Deposits		2,376,979		2,375,552		1,877,545		-		498,007
Borrowed funds		309,448		304,486		-		-		304,486