Fair Value of Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2024

Fair Value of Financial Instruments [Abstract]

Assets and Liabilities Measured at Fair Value on a Recurring and Nonrecurring Basis

			Fair Value Measurements at June 30, 2024 Using
			Quoted
			Prices in	Significant
	Assets		Active Markets	Other		Significant
	Measured at		for Identical	Observable		Unobservable
	Fair Value		Assets	Inputs		Inputs
(in thousands)	06/30/24		(Level 1)	(Level 2)		(Level 3)
Recurring:
Investment securities available-for-sale:
U.S. government agencies	$	6,035		$	6,035
Residential mortgage-backed agencies	$	19,283		$	19,283
Commercial mortgage-backed agencies	$	27,308		$	27,308
Collateralized mortgage obligations	$	15,449		$	15,449
Obligations of states and political subdivisions	$	10,167		$	10,167
Corporate bonds	$	737		$	737
Collateralized debt obligations	$	13,975				$	13,975
Financial derivatives	$	762		$	762
Non-recurring:
Individually evaluated loans, net	$	2,096				$	2,096
Equity Investment	$	3,551				$	3,551
Other real estate owned	$	2,698				$	2,698

			Fair Value Measurements at December 31, 2023 Using
			Quoted
			Prices in	Significant
	Assets/(liabilities)		Active Markets	Other		Significant
	Measured at		for Identical	Observable		Unobservable
	Fair Value		Assets	Inputs		Inputs
(in thousands)	12/31/23		(Level 1)	(Level 2)		(Level 3)
Recurring:
Investment securities available-for-sale:
U.S. government agencies	$	6,034		$	6,034
Residential mortgage-backed agencies	$	20,563		$	20,563
Commercial mortgage-backed agencies	$	28,417		$	28,417
Collateralized mortgage obligations	$	16,356		$	16,356
Obligations of states and political subdivisions	$	10,312		$	10,312
Corporate bonds	$	778			778
Collateralized debt obligations	$	14,709				$	14,709
Financial derivatives	$	756		$	756
Non-recurring:
Individually evaluated loans, net	$	—				$	—
Equity investment	$	3,087				$	3,087
Other real estate owned	$	4,443				$	4,443

Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques

(in thousands)	Fair Value at June 30, 2024		Valuation Technique	Significant Unobservable Inputs	Significant Unobservable Input Value
Recurring:
Investment Securities – available for sale -CDO	$	13,975	Discounted Cash Flow	Discount Margin	Range of mid 400 to high 400
Non-recurring:
Individually Evaluated Loans, net	$	2,096	Market Comparable Properties	Marketability Discount	N/A
Equity Investment	$	3,551	Market Method	Revenue Multiples	2.8x
Other Real Estate Owned	$	2,698	Market Comparable Properties	Marketability Discount	5.0% to 15.0% (weighted avg 5.9%)

(in thousands)	Fair Value at December 31, 2023		Valuation Technique	Significant Unobservable Inputs	Significant Unobservable Input Value
Recurring:
Investment Securities – available for sale -CDO	$	14,709	Discounted Cash Flow	Discount Margin	Range of low to mid 500 and low to mid 600
Non-recurring:
Equity Investment	$	3,087	Market Method	Revenue Multiples	2.8x
Other Real Estate	$	4,443	Market Comparable Properties	Marketability Discount	5.0% to 15.0% (weighted avg 5.9%)

(1) Range would include discounts taken since appraisal and estimated values

Reconciliation of Fair Valued Assets Measured on a Recurring Basis

	Fair Value Measurements
	Using Significant Unobservable Inputs
	(Level 3)
	Investment Securities
(in thousands)	Available for Sale
Beginning balance January 1, 2024	$	14,709
Total losses realized/unrealized:
Included in other comprehensive loss		(734)
Ending balance June 30, 2024	$	13,975

	Fair Value Measurements
	Using Significant Unobservable Inputs
	(Level 3)
	Investment Securities
(in thousands)	Available for Sale
Beginning balance January 1, 2023	$	15,871
Total losses realized/unrealized:
Included in other comprehensive loss		(1,766)
Ending balance June 30, 2023	$	14,105

	Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
(in thousands)	Investment Securities Available for Sale
Beginning balance April 1, 2024	$	14,886
Total losses realized/unrealized:
Included in other comprehensive loss		(911)
Ending balance June 30, 2024	$	13,975

	Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
(in thousands)	Investment Securities Available for Sale
Beginning balance April 1, 2023	$	14,114
Total losses realized/unrealized:
Included in other comprehensive loss		(9)
Ending balance June 30, 2023	$	14,105

Fair Value by Balance Sheet Grouping

	June 30, 2024				Fair Value Measurements
					Quoted
					Prices in		Significant
					Active Markets		Other		Significant
					for Identical		Observable		Unobservable
	Carrying		Fair		Assets		Inputs		Inputs
(in thousands)	Amount		Value		(Level 1)		(Level 2)		(Level 3)
Financial Assets:
Cash and due from banks	$	43,635	$	43,635	$	43,635
Interest bearing deposits in banks		1,457		1,457		1,457
Investment securities - AFS		92,954		92,954			$	78,979	$	13,975
Investment securities - HTM		174,197		143,030				141,259		1,771
Restricted bank stock		3,395		N/A
Loans, net		1,404,746		1,329,798						1,329,798
Financial derivatives		762		762				762
Accrued interest receivable		7,115		7,115				847		6,268
Financial Liabilities:								8
Deposits - non-maturity		1,378,674		1,378,674				1,378,674
Deposits - time deposits		158,397		155,969				155,969
Short-term borrowed funds		62,564		62,564				62,564
Long-term borrowed funds		70,929		70,939				70,939
Accrued interest payable		1,352		1,352				1,352

	December 31, 2023				Fair Value Measurements
					Quoted
					Prices in		Significant
					Active Markets		Other		Significant
					for Identical		Observable		Unobservable
	Carrying		Fair		Assets		Inputs		Inputs
(in thousands)	Amount		Value		(Level 1)		(Level 2)		(Level 3)
Financial Assets:
Cash and due from banks	$	48,343	$	48,343	$	48,343
Interest bearing deposits in banks		1,410		1,410		1,410
Investment securities - AFS		97,169		97,169			$	82,460	$	14,709
Investment securities - HTM		214,297		184,415				182,510		1,905
Restricted bank stock		5,250		N/A
Loans, net		1,388,847		1,319,456						1,319,456
Financial derivative		778		778				778		—
Accrued interest receivable		7,487		7,487				828		6,659
Financial Liabilities:
Deposits - non-maturity		1,355,444		1,355,444				1,355,444
Deposits - time deposits		195,533		193,337				193,337
Short-term borrowed funds		45,418		45,418				45,418
Long-term borrowed funds		110,929		110,809				110,809
Accrued interest payable		612		612				612