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LOANS AND RELATED ALLOWANCE FOR CREDIT LOSSES
 12 Months Ended
Dec. 31, 2023
Loans and Leases Receivable Disclosure [Abstract]  
LOANS AND RELATED ALLOWANCE FOR CREDIT LOSSES LOANS AND RELATED ALLOWANCE FOR CREDIT LOSSES
Major categories of loans are summarized as follows:
(dollars in thousands)December 31, 2023December 31, 2022
Commercial and industrial$427,800 $266,757 
Commercial real estate - owner occupied295,842 218,503 
Commercial real estate - non-owner occupied880,681 713,202 
Construction and land development363,983 360,824 
Multi-family417,923 287,865 
One-to-four family residential491,508 338,253 
Agricultural and farmland287,294 237,746 
Municipal, consumer, and other239,386 197,103 
Loans, before allowance for credit losses3,404,417 2,620,253 
Allowance for credit losses(40,048)(25,333)
Loans, net of allowance for credit losses$3,364,369 $2,594,920 
Allowance for Credit Losses
Management estimates the allowance for credit losses using relevant available information from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. The discounted cash flow method is used to estimate expected credit losses for all loan categories, except for consumer loans where the weighted average remaining maturity method is utilized.
At December 31, 2023, the economic forecast used by management anticipates a mild recession in 2024, with the unemployment rate increasing modestly and GDP growth slowing and then shrinking over the next 4 quarters considered in the forecast period. After the forecast period, the Company reverts to long-term averages over a 4-quarter reversion period. Additionally, management has made qualitative adjustments to the loss estimates to reflect other factors that influence credit losses.
The following tables detail activity in the allowance for credit losses:
(dollars in thousands)Commercial
and
Industrial		Commercial
Real Estate
Owner
Occupied		Commercial
Real Estate
Non-owner
Occupied		Construction
and Land
Development		Multi-FamilyOne-to-four
Family
Residential		Agricultural
and
Farmland		Municipal,
Consumer,
and
Other		Total
Balance, December 31, 2020$3,929 $3,141 $11,251 $4,232 $1,957 $1,801 $793 $4,734 $31,838 
Provision for loan losses(1,474)(1,280)(3,130)340 (694)(472)52 (1,419)(8,077)
Charge-offs(668)(30)— — — (267)— (449)(1,414)
Recoveries653 9 24 342 — 249 — 312 1,589 
Balance, December 31, 2021$2,440 $1,840 $8,145 $4,914 $1,263 $1,311 $845 $3,178 $23,936 
Provision for loan losses88 (1,653)(1,707)(692)209 146 (49)2,952 (706)
Charge-offs(23)(25)— — — (67)— (569)(684)
Recoveries774 1,031 283 1 — 369 — 329 2,787 
Balance, December 31, 2022$3,279 $1,193 $6,721 $4,223 $1,472 $1,759 $796 $5,890 $25,333 
Adoption of ASC 326(822)587 501 1,969 85 797 1,567 2,299 6,983 
PCD allowance established in acquisition69 127 239 240 68 492 5 7 1,247 
Provision for loan losses2,823 352 187 (487)1,931 2,004 (1,399)1,254 6,665 
Charge-offs(428)(5)(202)— — (34)— (690)(1,359)
Recoveries59 18 268 53 281 186 6 308 1,179 
Balance, December 31, 2023$4,980 $2,272 $7,714 $5,998 $3,837 $5,204 $975 $9,068 $40,048