FAIR VALUE (Tables)

9 Months Ended

Sep. 30, 2024

Fair Value Disclosures [Abstract]

Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis

Assets and liabilities measured at fair value on a recurring basis are summarized below (in thousands):

			Fair Value Measurement at September 30, 2024 Using
Financial Assets:	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. Treasury notes and bonds	$	57,024	$	57,024	$	—	$	—
Mortgage-backed securities, residential	385,393		—		385,393		—
Obligations of states and political subdivisions	36,909		—		36,909		—
Corporate bonds and notes	21,465		—		15,254		6,211
SBA loan pools	53,784		—		53,784		—
Total available for sale securities	$	554,575	$	57,024	$	491,340	$	6,211
Equity investments, at fair value	$	2,750	$	2,750	$	—	$	—
Derivative assets	$	19,715	$	—	$	19,715	$	—
Financial Liabilities:
Derivative liabilities	$	19,742	$	—	$	19,742	$	—

There were no transfers between Level 1 and Level 2 during the three and nine month periods ended September 30, 2024.

			Fair Value Measurement at December 31, 2023 Using
Financial Assets:	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. Treasury notes and bonds	$	55,332	$	55,332	$	—	$	—
Mortgage-backed securities, residential	403,824		—		403,824		—
Obligations of states and political subdivisions	38,686		—		38,686		—
Corporate bonds and notes	20,669		—		13,139		7,530
SBA loan pools	65,482		—		65,482		—
Total available for sale securities	$	583,993	$	55,332	$	521,131	$	7,530
Equity investments, at fair value	$	2,552	$	2,552	$	—	$	—
Derivative assets	$	23,942	$	—	$	23,942	$	—
Financial Liabilities:
Derivative liabilities	$	23,981	$	—	$	23,981	$	—

Schedule of Information Related To Level 3 Non-Recurring Fair Value Measurement

The following tables present a reconciliation of assets and liabilities measured at fair value on a recurring basis using unobservable inputs (Level 3) for the three and nine month periods ended September 30, 2024 and September 30, 2023 (in thousands):

Level 3 Financial Assets:	For the Three Months Ended
Corporate bonds and notes	September 30, 2024		September 30, 2023
Balance of recurring Level 3 assets as of July 1,	$	6,175	$	8,593
Total gains or losses for the period:
Included in Other Comprehensive Income	36		190
Transfers into Level 3	—		—
Transfers out of Level 3	—		(1,323)
Balance of recurring Level 3 assets as of September 30,	$	6,211	$	7,460

Level 3 Financial Assets:	For the Nine Months Ended
Corporate bonds and notes	September 30, 2024		September 30, 2023
Balance of recurring Level 3 assets as of January 1,	$	7,530	$	—
Total gains and losses for the period:
Included in other comprehensive income	430		(1,172)
Transfers into Level 3	—		9,955
Transfers out of Level 3	(1,749)		(1,323)
Balance of recurring Level 3 assets as of September 30,	$	6,211	$	7,460

The following tables present quantitative information regarding Level 3 significant unobservable inputs for assets and liabilities measured at fair value on a recurring basis as of September 30, 2024 and December 31, 2023 (in thousands):

September 30, 2024	Fair Value		Valuation Techniques	Unobservable Input	Range [Weighted Average] at September 30, 2024
Corporate bonds and notes	$	6,211	Discounted cash flow	Market discount rate	12.00% -12.00% [12.00%]

December 31, 2023	Fair Value		Valuation Techniques	Unobservable Input	Range [Weighted Average] at December 31, 2023
Corporate bonds and notes	$	7,530	Discounted cash flow	Market discount rate	12.50% - 12.50% [12.50%]

The following tables present quantitative information regarding Level 3 significant unobservable inputs for assets and liabilities measured at fair value on a non-recurring basis as of September 30, 2024 and December 31, 2023 (in thousands):

Description	Fair Value at September 30, 2024		Valuation Technique	Unobservable Inputs	Range [Weighted Average] at September 30, 2024
Individually analyzed loans:
Commercial and industrial	$	11	Net present value	Present value of cash flows	42.73% - 42.73% [42.73%]
Commercial mortgages, other	923		Income approach	Discount to appraised value	12.10% - 12.10% [12.10%]
Total individually analyzed loans	$	934
Other real estate owned:
Residential mortgages	$	317	Sales comparison	Discount to appraised value	20.80% - 20.80% [20.80%]
Consumer loans:
Home equity lines and loans	166		Sales comparison	Discount to appraised value	20.80% - 20.80% [20.80%]
Total other real estate owned, net	$	483

Description	Fair Value at December 31, 2023		Valuation Technique	Unobservable Inputs	Range [Weighted Average] at December 31, 2023
Individually analyzed loans:
Commercial and industrial	$	64	Net present value	Present value of cash flows	47.30% - 56.80% [54.80%]
Total individually analyzed loans	$	64
Other real estate owned:
Residential mortgages	$	116	Sales comparison	Discount to appraised value	20.80% - 20.80% [20.80%]
Consumer loans:
Home equity lines and loans	211		Sales comparison	Discount to appraised value	20.80% - 20.80% [20.80%]
Total other real estate owned, net	$	327

Schedule of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis

Assets and liabilities measured at fair value on a non-recurring basis as of September 30, 2024 and December 31, 2023 are summarized below (in thousands):

			Fair Value Measurement at September 30, 2024 Using
Financial Assets:	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Gains (Losses)
Individually analyzed loans:
Commercial and industrial	$	11	$	—	$	—	$	11	$	—
Commercial mortgages, other	923		—		—		923		—
Total individually analyzed loans	$	934	$	—	$	—	$	934	$	—
Other real estate owned:
Residential mortgages	$	317	$	—	$	—	$	317	$	—
Consumer loans:
Home equity lines and loans	166		—		—		166		—
Total other real estate owned, net	$	483	$	—	$	—	$	483	$	—

			Fair Value Measurement at December 31, 2023 Using
Financial Assets:	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Gains (Losses)
Individually analyzed loans:
Commercial and industrial	$	64	$	—	$	—	$	64	$	—
Total individually analyzed loans	$	64	$	—	$	—	$	64	$	—
Other real estate owned:
Residential mortgages	$	116	$	—	$	—	$	116	$	—
Consumer loans:
Home equity lines and loans	211		—		—		211		—
Total other real estate owned, net	$	327	$	—	$	—	$	327	$	—

Schedule of Carrying Value and Estimated Fair Value of Financial Instruments

The carrying amounts and estimated fair values of financial instruments, as of September 30, 2024 and December 31, 2023, are as follows (in thousands):

	September 30, 2024
Financial assets:	Carrying Amount		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Estimated Fair Value (1)
Cash and due from financial institutions	$	36,247	$	36,247	$	—	$	—	$	36,247
Interest-earning deposits in other financial institutions	44,193		44,193		—		—		44,193
Equity investments	3,244		3,244		—		—		3,244
Securities available for sale	554,575		57,024		491,340		6,211		554,575
Securities held to maturity	657		—		—		657		657
FHLBNY and FRBNY stock	4,189		—		—		—		N/A
Loans, net and loans held for sale	2,028,954		—		—		1,949,576		1,949,576
Derivative assets	19,715		—		19,715		—		19,715
Financial liabilities:
Deposits:
Demand, savings, and insured money market deposits	$	1,839,290	$	1,839,290	$	—	$	—	$	1,839,290
Time deposits	611,831		—		611,575		—		611,575
FHLBNY and FRB advances	50,000		—		50,047		—		50,047
Derivative liabilities	19,742		—		19,742		—		19,742

(1) Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates.

	December 31, 2023
Financial assets:	Carrying Amount		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Estimated Fair Value (1)
Cash and due from financial institutions	$	22,247	$	22,247	$	—	$	—	$	22,247
Interest-earning deposits in other financial institutions	14,600		14,600		—		—		14,600
Equity investments	3,046		3,046		—		—		3,046
Securities available for sale	583,993		55,332		521,131		7,530		583,993
Securities held to maturity	785		—		—		785		785
FHLBNY and FRBNY stock	5,498		—		—		—		N/A
Loans, net and loans held for sale	1,972,664		—		—		1,875,390		1,875,390
Derivative assets	23,942		—		23,942		—		23,942
Financial liabilities:
Deposits:
Demand, savings, and insured money market deposits	$	1,817,162	$	1,817,162	$	—	$	—	$	1,817,162
Time deposits	612,265		—		609,863		—		609,863
FHLBNY overnight advances	31,920		—		31,925		—		31,925
Derivative liabilities	23,981		—		23,981		—		23,981

(1) Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates.