Federal Home Loan Bank (FHLB) Advances and Other Short-Term Borrowings

12 Months Ended

Dec. 31, 2015

Federal Home Loan Bank Advances And Other Borrowings [Abstract]

Federal Home Loan Bank (FHLB) Advances and Other Short-Term Borrowings

NOTE 6 - FEDERAL HOME LOAN BANK (FHLB) ADVANCES AND OTHER SHORT TERM BORROWINGS

The following is a summary of FHLB advances and other short term borrowings:

				(Amounts in thousands)
				December 31,
	Weighted Average Interest Rate			2015		2014
FHLB advances - long term:
Fixed rate payable and convertible fixed rate FHLB advances, with    monthly interest payments:
Due in 2015				$	—	$	4,000
Due in 2016		1.99	%		5,000		5,000
Due in 2017		3.77	%		18,000		16,000
Due in 2018		1.17	%		2,000		—
Total FHLB advances - long term		3.20	%		25,000		25,000
FHLB advances - short term:
Short term		0.39	%		8,000		9,500
Cash management		0.36	%		9,000		6,000
Total FHLB advances - short term		0.37	%		17,000		15,500
Total FHLB advances		2.06	%		42,000		40,500
Other short term borrowings:
Securities sold under repurchase agreements		0.11	%		2,499		4,259
Total FHLB advances and other short term borrowings		1.95	%	$	44,499	$	44,759

The following is a summary of FHLB advances – short term:

	(Amounts in thousands)
	2015			2014			2013
Average balance during the year	$	14,674		$	17,541		$	4,559
Average interest rate during the year		0.27	%		0.89	%		0.15	%
Maximum month-end balance during the year	$	23,500		$	22,500		$	13,000
Weighted average interest rate at year end		0.37	%		0.25	%		0.12	%

At December 31, 2015, FHLB advances were collateralized by FHLB stock owned by the Bank with a carrying value of $2.8 million, a blanket lien against the Bank’s qualified mortgage loan portfolio of $27.2 million, $26.1 million in mortgage-backed securities and $2.8 million in U.S. Government-guaranteed small business administration pools. In comparison, in the prior year FHLB advances were collateralized by FHLB stock owned by the Bank with a carrying value of $2.8 million, a blanket lien against the Bank’s qualified mortgage loan portfolio of $25.6 million and $31.6 million in mortgage-backed securities. Maximum borrowing capacities from FHLB totaled $51.0 million and $53.4 million at December 31, 2015 and 2014, respectively.

At December 31, 2015, $18.0 million of the FHLB fixed rate advances were putable on or after certain specified dates at the option of the FHLB and at December 31, 2014, $22.0 million of the FHLB fixed rate advances were putable on or after certain specified dates at the option of the FHLB. Should the FHLB elect to exercise the put, the Company is required to pay the advance off on that date without penalty.

The following is a summary of other short term borrowings:

	(Amounts in thousands)
	2015			2014			2013
Average balance during the year	$	4,082		$	4,141		$	3,453
Average interest rate during the year		0.10	%		0.07	%		0.09	%
Maximum month-end balance during the year	$	7,541		$	5,795		$	4,022
Weighted average interest rate at year end		0.11	%		0.07	%		0.07	%

Securities sold under repurchase agreements represent arrangements the Bank has entered into with certain deposit customers within its local market areas. These borrowings are collateralized with securities. At December 31, 2015 and 2014, securities allocated for this purpose, owned by the Bank and held in safekeeping accounts at independent correspondent banks, amounted to $5.8 million and $7.5 million, respectively.

The following table provides additional detail regarding other short term borrowings:

	(Amounts in thousands)
	Repurchase Agreements (Sweep)
	Accounted for as Secured Borrowings
	At December 31, 2015		At December 31, 2014
	Remaining Contractual Maturity of the Agreements
	Overnight and Continuous		Overnight and Continuous
Repurchase agreements:
U.S. Government-sponsored mortgage-backed securities	$	4,729	$	6,137
U.S. Government-sponsored collateralized mortgage obligations		1,088		1,361
Total collateral carrying value	$	5,817	$	7,498
Total short-term borrowings	$	2,499	$	4,259