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Commitments and Contingencies
 12 Months Ended
Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
(a) Commitments to Extend Credit
In the ordinary course of business, the Bank may enter into various types of transactions that include commitments to extend credit that are not included in its Consolidated Financial Statements. The Bank applies the same credit standards to these commitments as it uses in all its lending activities and has included these commitments in its lending risk evaluations. The majority of the commitments presented below are variable rate. Loan commitments can be either revolving or non-revolving. The Bank’s exposure to credit and market risk under commitments to extend credit is represented by the amount of these commitments.
The following table presents outstanding commitments to extend credit, including letters of credit, at the dates indicated:
 December 31, 2022December 31, 2021
 (In thousands)
Commercial business:
Commercial and industrial$548,438 $570,156 
Owner-occupied CRE3,083 2,252 
Non-owner occupied CRE13,396 7,487 
Total commercial business564,917 579,895 
Real estate construction and land development:
Residential43,460 51,838 
Commercial and multifamily
348,956 209,217 
Total real estate construction and land development392,416 261,055 
Consumer323,016 285,010 
Total outstanding commitments$1,280,349 $1,125,960 
The following table details the activity in the ACL on unfunded commitments during the periods indicated:
Year Ended December 31,
202220212020
(In thousands)
Balance, beginning of period$2,607 $4,681 $306 
Impact of CECL Adoption— — 3,702 
Adjusted balance, beginning of period2,607 4,681 4,008 
(Reversal of) provision for credit losses on unfunded commitments(863)(2,074)673 
Balance, end of period$1,744 $2,607 $4,681 
(b) Variable Interests - LIHTC Investments
The carrying values of investments in unconsolidated LIHTCs were $191.3 million and $116.3 million as of December 31, 2022 and December 31, 2021, respectively. During the years ended December 31, 2022, 2021 and 2020 the Company recognized tax benefits of $12.9 million, $11.4 million and $7.5 million, respectively, and proportional amortization of $10.9 million, $9.7 million and $6.5 million, respectively.
Total unfunded contingent commitments related to the Company’s LIHTC investments totaled $109.2 million and $41.5 million at December 31, 2022 and December 31, 2021, respectively. The Company expects to fund LIHTC commitments of $30.4 million during the year ending December 31, 2023 and $25.4 million during the year ending December 31, 2024, with the remaining commitments of $50.3 million funded by December 31, 2040. There were no impairment losses on the Company’s LIHTC investments during the years ended December 31, 2022, 2021 or 2020.
(c) Variable Interests - NMTC Investments
The Company dissolved the NMTC investment during the year ended December 31, 2021 after gross tax credits related to the Company's certified development entities totaling $9.8 million were utilized during the seven year period ended December 31, 2020. The equity method balance of the NMTC investment was $25.2 million at December 31, 2020. The Company recognized related investment income of $247,000 and $694,000 during the years ended December 31, 2021 and 2020, respectively.