Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2020

Fair Value Disclosures [Abstract]

Summary of Estimated Fair Values of Financial Instruments

The following tables present estimated fair values of the Company’s financial instruments as of the period indicated, whether or not recognized or recorded in the consolidated balance sheets at the period indicated:

	March 31, 2020				Fair Value Measurements Using
	Carrying Value		Estimated Fair Value		Level 1		Level 2		Level 3
	(dollars in thousands)
Financial assets
Cash and due from banks	$	14,124	$	14,124	$	14,124	$	-	$	-
Interest earning deposits with other banks		115,112		115,112		115,112		-		-
Investment securities		19,759		19,771		15,065		4,706		-
Other investments		5,723		5,723		-		4,973		750
Loans receivable, net		992,255		984,126		-		-		984,126
Accrued interest receivable		3,014		3,014		-		3,014		-
Financial liabilities
Deposits	$	1,005,062		1,005,541	$	-	$	1,005,541	$	-
FHLB advances		24,999		24,384		-		24,384		-
Subordinated debt		9,982		9,759		-		9,759		-
Junior subordinated debentures		3,583		2,803		-		2,803		-
Accrued interest payable		310		310		-		310		-

	December 31, 2019				Fair Value Measurements Using
	Carrying Value		Estimated Fair Value		Level 1		Level 2		Level 3
	(dollars in thousands)
Financial assets
Cash and due from banks	$	16,555	$	16,555	$	16,555	$	-	$	-
Interest earning deposits with other banks		111,259		111,259		111,259		-		-
Investment securities		32,710		32,689		24,945		7,744		-
Other investments		4,505		4,505		-		4,005		500
Loans receivable, net		927,633		922,046		-		-		922,046
Accrued interest receivable		2,980		2,980		-		2,980		-
Financial liabilities
Deposits	$	967,959	$	967,804	$	-	$	967,804	$	-
FHLB advances		10,000		10,000		-		10,000		-
Subordinated debt		9,979		9,879		-		9,879		-
Junior subordinated debentures		3,583		3,214		-		3,214		-
Accrued interest payable		308		308		-		308		-

Summary of Assets Measured at Fair Value on Recurring Basis

Items measured at fair value on a recurring basis – The following fair value hierarchy table presents information about the Company’s assets that are measured at fair value on a recurring basis at the dates indicated:

	Level 1		Level 2		Level 3		Total Fair Value
	(dollars in thousands)
March 31, 2020
Available-for-sale
U.S. Treasury securities	$	15,066	$	-	$	-	$	15,066
U.S. Government agencies		-		—		-		—
U.S. Agency collateralized mortgage obligations		-		128		-		128
U.S. Agency residential mortgage-backed securities		-		24		-		24
Municipals		-		251		-		251
	$	15,066	$	403	$	-	$	15,469
December 31, 2019
Available-for-sale
U.S. Treasury securities	$	24,945	$	-	$	-	$	24,945
U.S. Government agencies		-		2,999		-		2,999
U.S. Agency collateralized mortgage obligations		-		129		-		129
U.S. Agency residential mortgage-backed securities		-		27		-		27
Municipals		-		260		-		260
	$	24,945	$	3,415	$	-	$	28,360

Summary of Assets and Liabilities Classified as Level 3 and Measured at Fair Value on Nonrecurring Basis

The following table provides a description of the valuation technique, unobservable inputs, and qualitative information about the unobservable inputs for the Company’s assets and liabilities classified as Level 3 and measured at fair value on a nonrecurring basis at the dates indicated:

	Valuation Technique	Unobservable Inputs	March 31, 2020 Weighted Average Rate			December 31, 2019 Weighted Average Rate
Impaired loans	Collateral valuations	Discount to appraised value		9	%		10	%

Summary of Financial Assets and Liabilities Measured at Fair Value on Nonrecurring Basis

Items measured at fair value on a nonrecurring basis – The following table presents financial assets and liabilities measured at fair value on a nonrecurring basis and the level within the fair value hierarchy of the fair value measurements for those assets at the dates indicated:

	Level 1		Level 2		Level 3		Total Fair Value
	(dollars in thousands)
March 31, 2020
Impaired loans	$	-	$	-	$	763	$	763
Total	$	-	$	-	$	763	$	763
December 31, 2019
Impaired loans	$	-	$	-	$	1,030	$	1,030
Total	$	-	$	-	$	1,030	$	1,030