Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2023

Fair Value Disclosures [Abstract]

Summary of Estimated Fair Value of Financial Instruments that are not Required to be Measured or Reported at Fair Value

The estimated fair values of the Company’s financial instruments that are not required to be measured or reported at fair value are as follows:

	At September 30, 2023				At December 31, 2022
(In Thousands)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Financial assets:
Cash and cash equivalents (Level 1)	$	67,979	$	67,979	$	30,011	$	30,011
Certificates of deposit with other banks (Level 3)		249		249		5,623		5,590
Securities held to maturity (Level 2)		37,778		34,588		31,822		30,080
Loans (Level 3)		978,912		920,526		927,871		886,944
Derivative (Level 3)		3,264		3,264		—		—
Accrued interest receivable (Level 1)		4,767		4,767		4,661		4,661
Restricted investments in bank stock (Level 1)		3,107		3,107		3,377		3,377
Cash surrender value of life insurance (Level 1)		24,732		24,732		19,244		19,244
Financial liabilities:
Non-maturity deposits (Level 1)		742,411		742,411		675,299		675,299
Time Deposits (Level 3)		299,361		296,799		271,473		266,775
Other borrowings (Level 3)		15,000		15,000		20,938		20,938
Subordinated Notes (Level 3)		40,354		35,796		40,484		35,966
Accrued interest payable (Level 1)		1,166		1,166		797		797

Summary of Fair Value of Assets and Liabilities Measured on Recurring Basis

	September 30, 2023
(In Thousands)	Level I		Level II		Level III		Total
Assets:
US government agency securities	$	—	$	1,982	$	—	$	1,982
Small Business Administration loan pools		—		679		—		679
Obligations of state and political subdivisions		—		39,679		—		39,679
Mortgage backed securities in government-sponsored entities		—		36,439		—		36,439
Total	$	—	$	78,779	$	—	$	78,779
	December 31, 2022
(In Thousands)	Level I		Level II		Level III		Total
Assets:
Small Business Administration loan pools	$	—	$	843	$	—	$	843
Obligations of state and political subdivisions		—		40,169		—		40,169
Mortgage backed securities in government-sponsored entities		—		37,801		—		37,801
Total	$	—	$	78,813	$	—	$	78,813

Summary of Financial Assets Measured at Fair Value on a Nonrecurring Basis

For financial assets measured at fair value on a nonrecurring basis, the fair value measurements by level within the fair value hierarchy used as of September 30, 2023 and December 31, 2022 are presented in the table below.

	September 30, 2023
(In Thousands)	Level I		Level II		Level III		Total
Loans individually evaluated	$	—	$	—	$	9,523	$	9,523
	December 31, 2022
(In Thousands)	Level I		Level II		Level III		Total
Loans individually evaluated	$	—	$	—	$	7,313	$	7,313

Summary of Information about Valuation Processes Used to Determine Nonrecurring Fair Value Measurements

The following tables provide information describing the valuation processes used to determine nonrecurring fair value measurements categorized within Level III of the fair value hierarchy:

	September 30, 2023
	Quantitative Information About Level III Fair Value Measurements
(In Thousands)	Fair Value		Valuation Techniques			Unobservable Input	Range (Weighted Average)
Loans individually evaluated	$	9,523	Appraisal of collateral	(1	)	Liquidation expenses		10	%
	December 31, 2022
	Quantitative Information About Level III Fair Value Measurements
(In Thousands)	Fair Value		Valuation Techniques			Unobservable Input	Range (Weighted Average)
Loans individually evaluated	$	7,313	Appraisal of collateral	(1	)	Liquidation expenses		10	%

(1)Fair value is generally determined through independent appraisals of the underlying collateral, which include various Level III inputs that are not identifiable.