Fair Value of Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2019

Fair Value Disclosures [Abstract]

Estimated Fair Values and Related Carrying or Notional Amounts

The estimated fair values, and related carrying or notional amounts, for on and off-balance sheet financial instruments as of December 31, 2020 and 2019, are reflected below. The aggregate fair values in the table below do not represent the total market value of the Bank’s assets and liabilities.  The table excludes the following: Bank Premises and Equipment, Goodwill, Mortgage Servicing Rights, Other Real Estate Owned, Other Assets, Other Liabilities and Accrued Expenses.

	(In Thousands)
	December 31, 2020										December 31, 2019
	Carrying		Fair								Carrying		Fair
	Amount		Value		Level 1		Level 2		Level 3		Amount		Value		Level 1		Level 2		Level 3
Financial Assets:
Cash and cash equivalents	$	175,706	$	175,706	$	175,706	$	-	$	-	$	51,296	$	51,296	$	51,296	$	-	$	-
Interest-bearing time deposits		4,653		4,677		-		4,677		-		4,309		4,331		-		4,331		-
Securities - available-for-sale		307,812		307,812		-		306,250		1,562		222,293		222,293		10,021		210,782		1,490
Other securities		5,939		5,939		-		-		5,939		5,810		5,810		-		-		5,810
Loans held for sale		7,740		7,740		-		-		7,740		4,248		4,248		-		-		4,248
Loans, net		1,289,318		1,261,440		-		-		1,261,440		1,211,771		1,188,014		-		-		1,188,014
Interest receivable		6,188		6,188		-		-		6,188		6,769		6,769		-		-		6,769
Financial Liabilities:
Interest bearing deposits	$	997,462	$	1,004,608	$	-	$	-	$	1,004,608	$	746,628	$	746,628	$	-	$	-	$	746,628
Noninterest bearing deposits		351,147		351,147		-		351,147		-		265,156		265,156		-		265,156		-
Time deposits		247,553		250,135		-		-		250,135		276,563		277,008		-		-		277,008
Total Deposits		1,596,162		1,605,890		-		351,147		1,254,743		1,288,347		1,288,792		-		265,156		1,023,636
Fed funds purchased and    securities sold under    agreement to repurchase		30,239		30,239		-		-		30,239		48,073		48,073		-		-		48,073
Federal Home Loan Bank advances		17,861		17,872		-		-		17,872		24,806		24,811		-		-		24,811
Interest payable		338		338		-		-		338		754		754		-		-		754

Financial Assets Measured at Fair Value on Recurring Basis

The following table summarizes financial assets measured at fair value on a recurring basis as of December 31, 2020 and December 31, 2019 segregated by level or the valuation inputs within the fair value hierarchy utilized to measure fair value.

Assets and Liabilities Measured at Fair Value on a Recurring Basis (in Thousands)
	Quoted Prices in		Significant		Significant
	Active Markets		Observable		Observable
	for Identical		Inputs		Inputs
December 31, 2020	Assets (Level 1)		(Level 2)		(Level 3)
Assets-(Securities Available-for-Sale)
U.S. Treasury	$	-	$	-	$	-
U.S. Government agencies		-		124,241		-
Mortgage-backed securities		-		113,056		-
State and local governments		-		68,953		1,562
Total Securities Available-for-Sale	$	-	$	306,250	$	1,562

	Quoted Prices in		Significant		Significant
	Active Markets		Observable		Observable
	for Identical		Inputs		Inputs
December 31, 2019	Assets (Level 1)		(Level 2)		(Level 3)
Assets-(Securities Available-for-Sale)
U.S. Treasury	$	10,021	$	-	$	-
U.S. Government agencies		-		62,445		-
Mortgage-backed securities		-		95,197		-
State and local governments		-		53,140		1,490
Total Securities Available-for-Sale	$	10,021	$	210,782	$	1,490

Changes in the Level 3 Fair-Value Category of Unobservable Inputs

	(In Thousands)
	Fair Value Measurements Using Significant
	Unobservable Inputs (Level 3)
	State and Local		State and Local		State and Local
	Governments		Governments		Governments
	Tax-Exempt		Taxable		Total
Balance at January 1, 2020	$	-	$	1,490	$	1,490
Change in Market Value		-		72		72
Purchases		-		-		-
Sales		-		-		-
Payments & Maturities		-		-		-
Balance at December 31, 2020	$	-	$	1,562	$	1,562

	(In Thousands)
	Fair Value Measurements Using Significant
	Unobservable Inputs (Level 3)
	State and Local		State and Local		State and Local
	Governments		Governments		Governments
	Tax-Exempt		Taxable		Total
Balance at January 1, 2019	$	-	$	1,427	$	1,427
Change in Market Value		-		63		63
Purchases		-		-		-
Sales		-		-		-
Payments & Maturities		-		-		-
Balance at December 31, 2019	$	-	$	1,490	$	1,490

Collateral Dependent Impaired Loans and Other Real Estate

The following table presents collateral dependent impaired loans and other real estate owned as recorded at fair value:

	($ in Thousands)
	Assets Measured at Fair Value on a Nonrecurring Basis at December 31, 2020
			Quoted Prices in
			Markets for		Significant		Significant
	Balance at		Identical		Observable Inputs		Unobservable Inputs
	December 31, 2020		Assets (Level 1)		(Level 2)		(Level 3)
Collateral dependent impaired     loans	$	7,703	$	-	$	-	$	7,703
Other real estate owned -     commercial		-		-		-		-

	($ in Thousands)
	Assets Measured at Fair Value on a Nonrecurring Basis at December 31, 2019
			Quoted Prices in
			Markets for		Significant		Significant
	Balance at		Identical		Observable Inputs		Unobservable Inputs
	December 31, 2019		Assets (Level 1)		(Level 2)		(Level 3)
Collateral dependent impaired     loans	$	444	$	-	$	-	$	444
Other real estate owned -     commercial		164		-		-		164

Quantitative Information about Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements

The following table presents quantitative information about unobservable inputs used in recurring and nonrecurring Level 3 fair value measurements:

	(In Thousands)
	Fair Value at December 31, 2020		Valuation Technique	Unobservable Inputs	Range (Weighted Average)
State and local    government	$	1,562	Discounted Cash Flow	Credit strength of underlying project or entity / Discount rate	1.19-1.19% (1.19%)
Collateral dependent    impaired loans		7,703	Collateral based measurements	Discount to reflect current market conditions and ultimate collectability	0.71-100% (17.71%)
Other real estate    owned - commercial		-	Appraisals	Discount to reflect current market	— % ( — )

	(In Thousands)
	Fair Value at December 31, 2019		Valuation Technique	Unobservable Inputs	Range (Weighted Average)
State and local    government	$	1,490	Discounted Cash Flow	Credit strength of underlying project or entity / Discount rate	0-5% (2.52%)
Collateral dependent    impaired loans		444	Collateral based measurements	Discount to reflect current market conditions and ultimate collectability	0-50% (30.73%)
Other real estate    owned - commercial		164	Appraisals	Discount to reflect current market	0-20 % ( 23.31%)