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Disclosures about Fair Value Measurements and Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2018
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]
The following tables present the assets measured and recorded on the Consolidated Balance Sheets on a reoccurring basis at their fair value as of June 30, 2018 and December 31, 2017, by level within the fair value hierarchy (in thousands).
 
 
 
Fair Value Measurements at
June 30, 2018
 
 
 
Total
 
 
(Level
1
)
 
 
(Level
2
)
 
 
(Level
3
)
 
US Agency securities
 
$
6,530
 
 
$
—
 
 
$
6,530
 
 
$
—
 
US Agency mortgage-backed securities
 
 
82,637
 
 
 
—
 
 
 
82,637
 
 
 
—
 
Municipal securities
 
 
10,392
 
 
 
—
 
 
 
10,392
 
 
 
—
 
Corporate bonds
 
 
36,296
 
 
 
—
 
 
 
36,296
 
 
 
—
 
Fair value swap asset
 
 
657
 
 
 
—
 
 
 
657
 
 
 
—
 
Fair value swap liability
 
 
(657
)
 
 
—
 
 
 
(657
)
 
 
—
 
 
 
 
 
 
Fair Value Measurements at
December 31, 2017
 
 
 
Total
 
 
(Level
1
)
 
 
(Level
2
)
 
 
(Level
3
)
 
US Agency securities
 
$
6,572
 
 
$
—
 
 
$
6,572
 
 
$
—
 
US Agency mortgage-backed securities
 
 
79,746
 
 
 
—
 
 
 
79,746
 
 
 
—
 
Municipal securities
 
 
7,036
 
 
 
—
 
 
 
7,036
 
 
 
—
 
Corporate bonds
 
 
35,784
 
 
 
—
 
 
 
35,784
 
 
 
—
 
Fair value swap asset
 
 
92
 
 
 
—
 
 
 
92
 
 
 
—
 
Fair value swap liability
 
 
(92
)
 
 
—
 
 
 
(92
)
 
 
—
 
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Table Text Block]
Assets measured and recorded at fair value on a non-recurring basis are summarized below (in thousands, except range data):
 
 
 
Fair Value Measurements at
June 30, 2018
 
 
 
Total
 
 
(Level
1
)
 
 
(Level
2
)
 
 
(Level
3
)
 
Impaired loans
 
$
12
 
 
$
—
 
 
$
—
 
 
$
12
 
Other real estate owned
 
 
160
 
 
 
—
 
 
 
—
 
 
 
160
 
 
 
 
 
 
Fair Value Measurements at
December 31, 2017
 
 
 
Total
 
 
(Level
1
)
 
 
(Level
2
)
 
 
(Level
3
)
 
Impaired loans
 
$
851
 
 
$
—
 
 
$
—
 
 
$
851
 
Other real estate owned
 
 
18
 
 
 
—
 
 
 
—
 
 
 
18
 
 
 
 
 
 
 
 
Quantitative Information About Level
3
Fair Value Measurements
 
June 
30
, 
2018
 
Fair Value
Estimate
 
 
Valuation
Techniques
 
 
Unobservable
Input
 
 
Range
(Wgtd Avg)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Impaired loans
 
$
12
 
 
 
Appraisal of collateral
(1),(3)
 
 
 
Appraisal adjustments
(2)
 
 
 
0%
(0%)
 
Other real estate owned
 
 
160
 
 
 
Appraisal of collateral
(1),(3)
 
 
 
Appraisal adjustments
(2)
 
 
 
0% to 25% (4%)
 
 
 
 
 
 
 
 
 
 
 
 
Liquidation expenses
 
 
 
0% to 186% (34%)
 
 
 
 
 
 
 
 
 
Quantitative Information About Level
3
Fair Value Measurements
 
December 
31
, 
2017
 
Fair Value
Estimate
 
 
Valuation
Techniques
 
 
Unobservable
Input
 
 
Range
(Wgtd Avg)
 
Impaired loans
 
$
851
 
 
 
Appraisal of collateral
(1),(3)
 
 
 
Appraisal adjustments
(2)
 
 
 
21% to 75% (54%)
 
Other real estate owned
 
 
18
 
 
 
Appraisal of collateral
(1),(3)
 
 
 
Appraisal adjustments
(2)
 
 
 
16% to 64% (29%)
 
 
 
 
 
 
 
 
 
 
 
 
Liquidation expenses
 
 
 
2% to 206% (79%)
 
 
 
 
 
 
 
 
 
(1)
Fair Value is generally determined through independent appraisals of the underlying collateral, which generally include various level 3 inputs which are not identifiable.
 
 
 
(2)
Appraisals may be adjusted by management for qualitative factors such as economic conditions.
 
 
 
(3)
Includes qualitative adjustments by management and estimated liquidation expenses.
 
 
 
Fair Value, by Balance Sheet Grouping [Table Text Block]
The estimation methodologies used, the estimated fair values based on US GAAP measurements, and recorded book balances at June 30, 2018 and December 31, 2017,
for financial instruments not recorded at fair value on a reoccurring basis 
were as follows (in thousands):
 
 
 
June 30, 2018
 
 
 
Carrying
Value
 
 
Fair
Value
 
 
(Level 1)
 
 
(Level 2)
 
 
(Level 3)
 
FINANCIAL ASSETS:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
 
$
35,021
 
 
$
35,021
 
 
$
35,021
 
 
$
—
 
 
$
—
 
Investment securities – HTM
 
 
38,916
 
 
 
38,106
 
 
 
—
 
 
 
35,142
 
 
 
2,964
 
Regulatory stock
 
 
8,072
 
 
 
8,072
 
 
 
8,072
 
 
 
—
 
 
 
—
 
Loans held for sale
 
 
3,655
 
 
 
3,734
 
 
 
3,734
 
 
 
—
 
 
 
—
 
Loans, net of allowance for loan loss and unearned income
 
 
881,986
 
 
 
866,446
 
 
 
—
 
 
 
—
 
 
 
866,446
 
Accrued interest income receivable
 
 
3,464
 
 
 
3,464
 
 
 
3,464
 
 
 
—
 
 
 
—
 
Bank owned life insurance
 
 
38,125
 
 
 
38,125
 
 
 
38,125
 
 
 
—
 
 
 
—
 
FINANCIAL LIABILITIES:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Deposits with no stated maturities
 
$
663,357
 
 
$
663,357
 
 
$
663,357
 
 
$
—
 
 
$
—
 
Deposits with stated maturities
 
 
264,819
 
 
 
264,016
 
 
 
—
 
 
 
—
 
 
 
264,016
 
Short-term borrowings
 
 
82,932
 
 
 
82,932
 
 
 
82,932
 
 
 
—
 
 
 
—
 
All other borrowings
 
 
64,376
 
 
 
66,918
 
 
 
—
 
 
 
—
 
 
 
66,918
 
Accrued interest payable
 
 
1,681
 
 
 
1,681
 
 
 
1,681
 
 
 
—
 
 
 
—
 
 
 
 
December 31, 2017
 
 
 
Carrying
Value
 
 
Fair
Value
 
 
(Level 1)
 
 
(Level 2)
 
 
(Level 3)
 
FINANCIAL ASSETS:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
 
$
34,188
 
 
$
34,188
 
 
$
34,188
 
 
$
—
 
 
$
—
 
Investment securities – HTM
 
 
38,752
 
 
 
38,811
 
 
 
—
 
 
 
35,859
 
 
 
2,952
 
Regulatory stock
 
 
6,800
 
 
 
6,800
 
 
 
6,800
 
 
 
—
 
 
 
—
 
Loans held for sale
 
 
3,125
 
 
 
3,173
 
 
 
3,173
 
 
 
—
 
 
 
—
 
Loans, net of allowance for loan loss and unearned income
 
 
879,419
 
 
 
873,784
 
 
 
—
 
 
 
—
 
 
 
873,784
 
Accrued interest income receivable
 
 
3,603
 
 
 
3,603
 
 
 
3,603
 
 
 
—
 
 
 
—
 
Bank owned life insurance
 
 
37,860
 
 
 
37,860
 
 
 
37,860
 
 
 
—
 
 
 
—
 
FINANCIAL LIABILITIES:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Deposits with no stated maturities
 
$
688,648
 
 
$
688,648
 
 
$
688,648
 
 
$
—
 
 
$
—
 
Deposits with stated maturities
 
 
259,297
 
 
 
260,153
 
 
 
—
 
 
 
—
 
 
 
260,153
 
Short-term borrowings
 
 
49,084
 
 
 
49,084
 
 
 
49,084
 
 
 
—
 
 
 
—
 
All other borrowings
 
 
66,617
 
 
 
69,684
 
 
 
—
 
 
 
—
 
 
 
69,684
 
Accrued interest payable
 
 
1,754
 
 
 
1,754
 
 
 
1,754
 
 
 
—
 
 
 
—