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Loans and Allowance for Credit Losses - (Tables)
 3 Months Ended
Mar. 31, 2021
Receivables [Abstract]  
Schedule of Loans by Class
The following table presents the amortized cost of loans by class as of March 31, 2021 and December 31, 2020.
(in thousands)March 31, 2021December 31, 2020
Commercial and industrial$545,069 $498,408 
Real estate:
  Commercial owner-occupied308,266 304,963 
  Commercial investor-owned955,021 961,208 
  Construction71,066 73,046 
  Home equity96,575 104,813 
  Other residential124,383 123,395 
Installment and other consumer loans21,392 22,723 
Total loans, at amortized cost 1
2,121,772 2,088,556 
Allowance for credit losses on loans(19,958)(22,874)
Total loans, net$2,101,814 $2,065,682 
1 Amortized cost includes net deferred loan origination fees of $(6.7) million and $(4.9) million at March 31, 2021 and December 31, 2020, respectively. Amounts are also net of unrecognized purchase discounts of $782 thousand and $815 thousand at March 31, 2021 and December 31, 2020, respectively. Amortized cost excludes accrued interest, which totaled $8.5 million and $8.8 million at March 31, 2021 and December 31, 2020, respectively, and is included in interest receivable and other assets in the consolidated statements of condition.
Financing Receivable Credit Quality Indicators
The following tables present the loan portfolio by loan class, origination year and internal risk rating as of March 31, 2021 and December 31, 2020. Generally, existing term loans that were re-underwritten are reflected in the table in the year of renewal. Lines of credit that have a conversion feature at the time of origination, such as construction to perm loans, are presented by year of origination.
(in thousands)Term Loans - Amortized Cost by Origination YearRevolving Loans Amortized Cost
March 31, 202120212020201920182017PriorTotal
Commercial and industrial:
Pass$116,598 $264,838 $21,201 $11,692 $4,111 $36,865 $76,742 $532,047 
Special Mention— — 812 598 115 8 8,954 10,487 
Substandard— 1,649 390 — — — 496 2,535 
Total commercial and industrial$116,598 $266,487 $22,403 $12,290 $4,226 $36,873 $86,192 $545,069 
Commercial real estate, owner-occupied:
Pass$10,035 $30,459 $27,147 $41,816 $41,962 $110,896 $— $262,315 
Special Mention— — — 2,363 17,076 12,863 — 32,302 
Substandard— 7,147 297 — — 6,205 — 13,649 
Total commercial real estate, owner-occupied$10,035 $37,606 $27,444 $44,179 $59,038 $129,964 $— $308,266 
Commercial real estate, investor-owned:
Pass$29,585 $161,213 $146,537 $170,153 $87,813 $336,840 $110 $932,251 
Special Mention— — 6,808 — 1,811 4,581 — 13,200 
Substandard— — 2,715 4,428 — 2,427 — 9,570 
Total commercial real estate, investor-owned$29,585 $161,213 $156,060 $174,581 $89,624 $343,848 $110 $955,021 
Construction:
Pass$6,533 $29,510 $26,108 $8,915 $— $— $— $71,066 
Special Mention— — — — — — — — 
Substandard— — — — — — — — 
Total construction$6,533 $29,510 $26,108 $8,915 $— $— $— $71,066 
Home equity:
Pass$— $— $— $— $— $793 $95,115 $95,908 
Special Mention— — — — — — — — 
Substandard— — — — — 388 279 667 
Total home equity$— $— $— $— $— $1,181 $95,394 $96,575 
Other residential:
Pass$5,524 $33,498 $29,371 $23,363 $10,520 $22,107 $— $124,383 
Special Mention— — — — — — — — 
Substandard— — — — — — — — 
Total other residential$5,524 $33,498 $29,371 $23,363 $10,520 $22,107 $— $124,383 
Installment and other consumer:
Pass$1,757 $2,169 $3,334 $3,076 $1,260 $8,111 $1,685 $21,392 
Special Mention— — — — — — — — 
Substandard— — — — — — — — 
Total installment and other consumer$1,757 $2,169 $3,334 $3,076 $1,260 $8,111 $1,685 $21,392 
(in thousands)Term Loans - Amortized Cost by Origination YearRevolving Loans Amortized Cost
March 31, 202120212020201920182017PriorTotal
Total loans:
Pass$170,032 $521,687 $253,698 $259,015 $145,666 $515,612 $173,652 $2,039,362 
Total Special Mention$— $— $7,620 $2,961 $19,002 $17,452 $8,954 $55,989 
Total Substandard$— $8,796 $3,402 $4,428 $— $9,020 $775 $26,421 
Totals$170,032 $530,483 $264,720 $266,404 $164,668 $542,084 $183,381 $2,121,772 

(in thousands)Term Loans - Amortized Cost by Origination YearRevolving Loans Amortized Cost
December 31, 202020202019201820172016PriorTotal
Commercial and industrial:
Pass$308,237 $22,589 $12,596 $4,508 $5,915 $34,282 $85,889 $474,016 
Special Mention— 2,034 1,318 141 11 49 19,092 22,645 
Substandard1,747 — — — — — — 1,747 
Total commercial and industrial$309,984 $24,623 $13,914 $4,649 $5,926 $34,331 $104,981 $498,408 
Commercial real estate, owner-occupied:
Pass$31,029 $27,581 $32,603 $43,843 $12,768 $101,014 $— $248,838 
Special Mention— — 11,764 17,062 7,343 6,601 — 42,770 
Substandard7,147 — — — 6,208 — — 13,355 
Total commercial real estate, owner-occupied$38,176 $27,581 $44,367 $60,905 $26,319 $107,615 $— $304,963 
Commercial real estate, investor-owned:
Pass$162,300 $144,751 $173,955 $100,842 $94,862 $253,611 $117 $930,438 
Special Mention— 10,695 — 1,819 — 8,124 — 20,638 
Substandard— 2,716 4,435 — 1,553 1,428 — 10,132 
Total commercial real estate, investor-owned$162,300 $158,162 $178,390 $102,661 $96,415 $263,163 $117 $961,208 
Construction:
Pass$31,654 $30,150 $11,242 $— $— $— $— $73,046 
Special Mention— — — — — — — — 
Substandard— — — — — — — — 
Total construction$31,654 $30,150 $11,242 $— $— $— $— $73,046 
Home equity:
Pass$— $— $— $— $128 $694 $102,614 $103,436 
Special Mention— — — — — — 799 799 
Substandard— — — — — 391 187 578 
Total home equity$— $— $— $— $128 $1,085 $103,600 $104,813 
Other residential:
Pass$34,447 $31,079 $23,673 $10,574 $6,035 $17,587 $— $123,395 
Special Mention— — — — — — — — 
Substandard— — — — — — — — 
Total other residential$34,447 $31,079 $23,673 $10,574 $6,035 $17,587 $— $123,395 
Installment and other consumer:
Pass$2,361 $4,382 $3,483 $1,543 $3,423 $4,921 $2,593 $22,706 
Special Mention— — — — — — — — 
Substandard— — — 17 — — — 17 
Total installment and other consumer$2,361 $4,382 $3,483 $1,560 $3,423 $4,921 $2,593 $22,723 
Total loans:
Pass$570,028 $260,532 $257,552 $161,310 $123,131 $412,109 $191,213 $1,975,875 
Total Special Mention$— $12,729 $13,082 $19,022 $7,354 $14,774 $19,891 $86,852 
Total Substandard$8,894 $2,716 $4,435 $17 $7,761 $1,819 $187 $25,829 
Totals$578,922 $275,977 $275,069 $180,349 $138,246 $428,702 $211,291 $2,088,556 
Past Due Financing Receivables
The following table shows the amortized cost of loans by class, payment aging and non-accrual status as of March 31, 2021 and December 31, 2020.

Loan Aging Analysis by Class
(in thousands)Commercial and industrialCommercial real estate, owner-occupiedCommercial real estate, investor-ownedConstructionHome equityOther residentialInstallment and other consumerTotal
March 31, 2021        
 30-59 days past due$— $— $791 $— $120 $— $136 $1,047 
 60-89 days past due— — — — 96 — — 96 
 90 days or more past due— — 878 — — — — 878 
Total past due— — 1,669 — 216 — 136 2,021 
Current545,069 308,266 953,352 71,066 96,359 124,383 21,256 2,119,751 
Total loans 1
$545,069 $308,266 $955,021 $71,066 $96,575 $124,383 $21,392 $2,121,772 
Non-accrual loans 2
$— $7,147 $1,603 $— $455 $— $— $9,205 
Non-accrual loans with no allowance$— $7,147 $1,603 $— $455 $— $— $9,205 
December 31, 2020        
 30-59 days past due$— $— $1,673 $— $274 $— $136 $2,083 
 60-89 days past due— — — — — — 622 622 
 90 days or more past due— — — — — — — — 
Total past due— — 1,673 — 274 — 758 2,705 
Current498,408 304,963 959,535 73,046 104,539 123,395 21,965 2,085,851 
Total loans 1
$498,408 $304,963 $961,208 $73,046 $104,813 $123,395 $22,723 $2,088,556 
Non-accrual loans 2
$— $7,147 $1,610 $— $459 $— $17 $9,233 
Non-accrual loans with no allowance$— $7,147 $1,610 $— $459 $— $17 $9,233 
1 There were no loans past due more than ninety days accruing interest at March 31, 2021 or December 31, 2020.
2 None of the non-accrual loans as of March 31, 2021 or December 31, 2020 were earning interest on a cash basis. We recognized no interest income on non-accrual loans for the three months ended March 31, 2021 and 2020. There were no new loans placed on non accrual status during the three months ended March 31, 2021. Accrued interest of $13 thousand was reversed from interest income for loans that were placed on non-accrual status during the three months ended March 31, 2020.
Schedule of Collateral Dependent Loans
The following table presents the amortized cost basis of individually analyzed collateral-dependent non-accrual loans by class at March 31, 2021 and December 31, 2020.
Amortized Cost by Collateral Type
(in thousands)Commercial Real EstateResidential Real EstateOtherTotalAllowance for Credit Losses
March 31, 2021
Commercial real estate, owner-occupied$7,147 $— $— $7,147 $— 
Commercial real estate, investor-owned1,603 — — 1,603 — 
Home equity— 454 — 454 — 
Total$8,750 $454 $— $9,204 $— 
December 31, 2020
Commercial real estate, owner-occupied$7,147 $— $— $7,147 $— 
Commercial real estate, investor-owned1,610 — — 1,610 — 
Home equity— 459 — 459 — 
Installment and other consumer— — 17 17 — 
Total$8,757 $459 $17 $9,233 $— 
Troubled Debt Restructurings on Financing Receivables
The following table summarizes the carrying amount of TDR loans by loan class as of March 31, 2021 and December 31, 2020.
(in thousands)
Recorded Investment in Troubled Debt Restructurings 1
March 31, 2021December 31, 2020
Commercial and industrial$854 $1,021 
Commercial real estate, owner-occupied7,147 7,147 
Commercial real estate, investor-owned1,741 3,305 
Home equity277 281 
Installment and other consumer756 752 
Total$10,775 $12,506 
1TDR loans on non-accrual status totaled $7.4 million at both March 31, 2021 and December 31, 2020. Unfunded commitments for TDR loans totaled $845 thousand as of March 31, 2021

The following table presents information for loans modified in a TDR during the presented periods, including the number of modified contracts, the recorded investment in the loans prior to modification, and the recorded investment in the loans at period end after being restructured. The table excludes fully charged-off TDR loans and loans modified in a TDR and subsequently paid-off during the years presented, if applicable.
(dollars in thousands)Number of Contracts ModifiedPre-Modification Outstanding Recorded InvestmentPost-Modification Outstanding Recorded InvestmentPost-Modification Outstanding Recorded Investment at Period End
TDRs during the three months ended March 31, 2021:   
None—$— $— $— 
TDRs during the three months ended March 31, 2020:   
Commercial and industrial1$170 $162 $144 
Installment and other consumer2103 103 103 
Total3$273 $265 $247 
Allowance for Credit Losses on Financing Receivables
The following table discloses activity in the allowance for credit losses for the periods presented.
Allowance for Credit Losses Rollforward
(in thousands)Commercial and industrialCommercial real estate, owner-occupiedCommercial real estate, investor-ownedConstructionHome equityOther residentialInstallment and other consumerUnallocatedTotal
Three months ended March 31, 2021
Beginning balance$2,530 $2,778 $12,682 $1,557 $738 $998 $291 $1,300 $22,874 
Provision (reversal) - CECL(880)(474)(1,826)(254)(218)(241)(36)1,000 (2,929)
Charge-offs— — — — — — — — — 
Recoveries4 — — 9 — — — — 13 
Ending balance$1,654 $2,304 $10,856 $1,312 $520 $757 $255 $2,300 $19,958 
Three months ended March 31, 2020
Beginning balance$2,334 $2,462 $8,483 $638 $850 $973 $284 $653 $16,677 
Provision - incurred loss446 335 742 86 132 125 79 255 2,200 
Charge-offs— — — — — — — — — 
Recoveries4 — — 3 — — — — 7 
Ending balance$2,784 $2,797 $9,225 $727 $982 $1,098 $363 $908 $18,884