OTHER BORROWED FUNDS

3 Months Ended

Mar. 31, 2023

OTHER BORROWED FUNDS [Abstract]

OTHER BORROWED FUNDS

NOTE 6 - OTHER BORROWED FUNDS

Other borrowed funds at March 31, 2023 and December 31, 2022 are comprised of advances from the Federal Home Loan Bank (“FHLB”) of Cincinnati and promissory notes.

	FHLB Borrowings		Promissory Notes		Totals
March 31, 2023	$	14,936	$	2,394	$	17,330
December 31, 2022	$	15,569	$	2,376	$	17,945

Pursuant to collateral agreements with the FHLB, advances are secured by $284,657 in qualifying mortgage loans, $31,519 in commercial loans and $1,953 in FHLB stock at March 31, 2023.  Fixed-rate FHLB advances of $14,936 mature through 2042 and have interest rates ranging from 1.53% to 2.97% and a year-to-date weighted average cost of 2.38% at March 31, 2023 and 2.39% at December 31, 2022.  There were no variable-rate FHLB borrowings at March 31, 2023.

At March 31, 2023, the Company had a cash management line of credit enabling it to borrow up to $100,000 from the FHLB, subject to the stock ownership and collateral limitations described in the next paragraph.  All cash management advances have an original maturity of 90 days.  The line of credit must be renewed on an annual basis.  There was $100,000 available on this line of credit at March 31, 2023.

Based on the Company’s current FHLB stock ownership, total assets and pledgeable loans, the Company had the ability to obtain borrowings from the FHLB up to a maximum of $188,384 at March 31, 2023.  Of this maximum borrowing capacity, the Company had $101,748 available to use as additional borrowings, of which $100,000 could be used for short term, cash management advances, as mentioned above.

Promissory notes, issued primarily by Ohio Valley, are due at various dates through a final maturity date of November 18, 2023, and have fixed rates ranging from 1.25% to 4.75% and a year-to-date weighted average cost of 2.30% at March 31, 2023, as compared to 1.35% at December 31, 2022.  At March 31, 2023 there were six promissory notes payable by Ohio Valley to related parties totaling $2,394.  There were no promissory notes payable to other banks at March 31, 2023 and December 31, 2022, respectively.

Letters of credit issued on the Bank’s behalf by the FHLB to collateralize certain public unit deposits as required by law totaled $71,700 at March 31, 2023 and $75,140 at December 31, 2022.

Scheduled principal payments as of March 31, 2023:

	FHLB Borrowings		Promissory Notes		Totals
2023	$	1,353	$	500	$	1,853
2024		1,693		1,894		3,587
2025		1,560		—		1,560
2026		1,434		—		1,434
2027		1,397		—		1,397
Thereafter		7,499		—		7,499
	$	14,936	$	2,394	$	17,330