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Loans and Allowance for Credit Losses on Loans (Tables)
12 Months Ended
Dec. 31, 2024
Receivables [Abstract]  
Schedule of Loans by Class
The following table presents the amortized cost of loans by portfolio class as of December 31, 2024 and 2023.
December 31,
(in thousands)20242023
Commercial and industrial$152,263 $153,750 
Real estate:
  Commercial owner-occupied321,962 333,181 
  Commercial non-owner occupied
1,273,596 1,219,385 
  Construction36,970 99,164 
  Home equity88,325 82,087 
  Other residential143,207 118,508 
Installment and other consumer loans66,933 67,645 
Total loans, at amortized cost 1
2,083,256 2,073,720 
Allowance for credit losses on loans(30,656)(25,172)
Total loans, net of allowance for credit losses on loans$2,052,600 $2,048,548 
1 Amortized cost includes net deferred loan origination costs of $2.5 million and $2.7 million at December 31, 2024 and 2023, respectively. Amounts are also net of unrecognized purchase discounts of $1.1 million and $2.0 million at December 31, 2024 and 2023, respectively. Amortized cost excludes accrued interest, which totaled $6.8 million and $6.6 million at December 31, 2024 and 2023, respectively, and is included in interest receivable and other assets in the consolidated statements of condition.
Schedule of Financing Receivable Credit Quality Indicators
The following tables present the loan portfolio by loan portfolio class, origination/renewal year and internal risk rating as of December 31, 2024 and 2023. The current year vintage table reflects gross charge-offs by portfolio class and year of origination. 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
December 31, 202420242023202220212020PriorTotal
Commercial and industrial:
Pass and Watch$9,951 $20,282 $7,742 $1,371 $2,650 $27,487 $71,212 $140,695 
Special Mention598 — — — 221 7,286 8,110 
Substandard— — 2,793 — — — 665 3,458 
Total commercial and industrial$10,549 $20,282 $10,535 $1,371 $2,655 $27,708 $79,163 $152,263 
Gross current period charge-offs$— $— $— $— $— $— $(41)$(41)
Commercial real estate, owner-occupied:
Pass and Watch$14,638 $13,386 $43,381 $44,536 $41,160 $130,197 $169 $287,467 
Special Mention— 378 — 18,870 804 9,499 — 29,551 
Substandard— — 2,110 — — 2,834 — 4,944 
Total commercial real estate, owner-occupied$14,638 $13,764 $45,491 $63,406 $41,964 $142,530 $169 $321,962 
Commercial real estate, non-owner occupied:
Pass and Watch$119,053 $64,906 $162,804 $196,661 $179,060 $442,574 $9,178 $1,174,236 
Special Mention18,343 — 2,736 2,097 729 39,888 — 63,793 
Substandard— 497 — 2,127 — 32,943 — 35,567 
Total commercial real estate, non-owner occupied
$137,396 $65,403 $165,540 $200,885 $179,789 $515,405 $9,178 $1,273,596 
Construction:
Pass and Watch$18,128 $— $11,380 $— $— $— $— $29,508 
Special Mention7,462 — — — — — — 7,462 
Total construction$25,590 $— $11,380 $— $— $— $— $36,970 
Home equity:
Pass and Watch$94 $13 $— $— $— $968 $86,337 $87,412 
Substandard— — — — — 174 739 913 
Total home equity$94 $13 $— $— $— $1,142 $87,076 $88,325 
Other residential:
Pass and Watch$35,390 $17,267 $19,682 $12,989 $24,378 $33,501 $— $143,207 
Total other residential$35,390 $17,267 $19,682 $12,989 $24,378 $33,501 $— $143,207 
Installment and other consumer:
Pass and Watch$17,525 $15,429 $10,841 $7,798 $2,788 $10,901 $1,429 $66,711 
Substandard— — — 207 — 15 — 222 
Total installment and other consumer$17,525 $15,429 $10,841 $8,005 $2,788 $10,916 $1,429 $66,933 
Gross current period charge-offs$— $(14)$— $(39)$— $(1)$(4)$(58)
Total loans:
Pass and Watch$214,779 $131,283 $255,830 $263,355 $250,036 $645,628 $168,325 $1,929,236 
Total Special Mention$26,403 $378 $2,736 $20,967 $1,538 $49,608 $7,286 $108,916 
Total Substandard$— $497 $4,903 $2,334 $— $35,966 $1,404 $45,104 
Totals$241,182 $132,158 $263,469 $286,656 $251,574 $731,202 $177,015 $2,083,256 
Total gross current period charge-offs$— $(14)$— $(39)$— $(1)$(45)$(99)
(in thousands)Term Loans - Amortized Cost by Origination YearRevolving Loans Amortized Cost
December 31, 202320232022202120202019PriorTotal
Commercial and industrial:
Pass and Watch$25,615 $9,187 $2,970 $3,718 $15,128 $21,004 $62,486 $140,108 
Special Mention— — — — 334 — 9,300 9,634 
Substandard— — — — 1,311 2,697 — 4,008 
Total commercial and industrial$25,615 $9,187 $2,970 $3,718 $16,773 $23,701 $71,786 $153,750 
Commercial real estate, owner-occupied:
Pass and Watch$13,128 $41,808 $49,887 $37,708 $40,994 $114,018 $56 $297,599 
Special Mention1,431 4,498 15,636 820 286 8,902 — 31,573 
Substandard— 2,231 — — — 1,778 — 4,009 
Total commercial real estate, owner-occupied$14,559 $48,537 $65,523 $38,528 $41,280 $124,698 $56 $333,181 
Commercial real estate, non-owner occupied:
Pass and Watch$76,718 $172,028 $196,340 $150,831 $139,860 $368,675 $9,832 $1,114,284 
Special Mention— 2,790 9,498 11,776 15,708 41,602 — 81,374 
Substandard878 272 2,204 — — 20,373 — 23,727 
Total commercial real estate, non-owner occupied
$77,596 $175,090 $208,042 $162,607 $155,568 $430,650 $9,832 $1,219,385 
Construction:
Pass and Watch$13,138 $24,403 $19,521 $29,512 $— $— $— $86,574 
Special Mention12,590 — — — — — — 12,590 
Total construction$25,728 $24,403 $19,521 $29,512 $— $— $— $99,164 
Home equity:
Pass and Watch$— $— $— $— $— $734 $80,773 $81,507 
Substandard— — — — — 369 211 580 
Total home equity$— $— $— $— $— $1,103 $80,984 $82,087 
Other residential:
Pass and Watch$17,861 $20,114 $13,390 $25,637 $20,935 $20,571 $— $118,508 
Total other residential$17,861 $20,114 $13,390 $25,637 $20,935 $20,571 $— $118,508 
Installment and other consumer:
Pass and Watch$22,038 $14,528 $10,632 $4,687 $5,300 $9,399 $1,061 $67,645 
Total installment and other consumer$22,038 $14,528 $10,632 $4,687 $5,300 $9,399 $1,061 $67,645 
Total loans:
Pass and Watch$168,498 $282,068 $292,740 $252,093 $222,217 $534,401 $154,208 $1,906,225 
Total Special Mention$14,021 $7,288 $25,134 $12,596 $16,328 $50,504 $9,300 $135,171 
Total Substandard$878 $2,503 $2,204 $— $1,311 $25,217 $211 $32,324 
Totals$183,397 $291,859 $320,078 $264,689 $239,856 $610,122 $163,719 $2,073,720 
Schedule of Past Due Financing Receivables
The following table shows the amortized cost of loans by portfolio class, payment aging and non-accrual status as of December 31, 2024 and 2023.

Loan Aging Analysis by Portfolio Class
(in thousands)Commercial and industrialCommercial real estate, owner-occupied
Commercial real estate, non-owner occupied
ConstructionHome equityOther residentialInstallment and other consumerTotal
December 31, 2024        
30-59 days past due$203 $208 $718 $— $738 $— $415 $2,282 
60-89 days past due— 559 — — 186 — 752 
90 days or more past due 1
2,793 113 10,742 — 248 — 13,904 
Total past due2,996 880 11,460 — 1,172 — 430 16,938 
Current149,267 321,082 1,262,136 36,970 87,153 143,207 66,503 2,066,318 
Total loans 1
$152,263 $321,962 $1,273,596 $36,970 $88,325 $143,207 $66,933 $2,083,256 
Non-accrual loans 2
$2,845 $1,537 $28,525 $— $752 $— $222 $33,881 
Non-accrual loans with no allowance$— $1,537 $497 $— $752 $— $207 $2,993 
December 31, 2023        
30-59 days past due$2,991 $618 $— $— $43 $83 $195 $3,930 
60-89 days past due69 — 2,204 — — — 2,274 
90 days or more past due 1
1,311 149 — — — — — 1,460 
Total past due4,371 767 2,204 — 43 83 196 7,664 
Current149,379 332,414 1,217,181 99,164 82,044 118,425 67,449 2,066,056 
Total loans 1
$153,750 $333,181 $1,219,385 $99,164 $82,087 $118,508 $67,645 $2,073,720 
Non-accrual loans 2
$4,008 $434 $3,081 $— $469 $— $— $7,992 
Non-accrual loans with no allowance$1,311 $434 $877 $— $469 $— $— $3,091 
1 There were no non-performing loans past due more than ninety days and accruing interest at December 31, 2024 and 2023.
2 None of the non-accrual loans as of December 31, 2024 or 2023 were earning interest on a cash basis. We recognized no interest income on non-accrual loans in 2024, 2023, or 2022. Accrued interest of $530 thousand, $206 thousand, and $48 thousand was reversed from interest income for the loans that were placed on non-accrual status in 2024, 2023, and 2022, respectively.
Schedule of Collateral Dependent Loans
The following table presents the amortized cost basis of individually analyzed collateral-dependent loans, which were all on non-accrual status, by portfolio class and collateral type as of December 31, 2024 and 2023.
Amortized Cost by Collateral Type
(in thousands)Commercial Real EstateResidential Real EstateOther
Total1
Allowance for Credit Losses
December 31, 2024
Commercial and industrial$52 $— $— $52 $52 
Commercial real estate, owner-occupied1,537 — — 1,537 — 
Commercial real estate, non-owner occupied
28,525 — — 28,525 7,933 
Home equity— 752 — 752 — 
Installment and other consumer— 222 222 15 
Total$30,114 $752 $222 $31,088 $8,000 
December 31, 2023
Commercial and industrial$1,311 $— $— $1,311 $— 
Commercial real estate, owner-occupied434 — — 434 — 
Commercial real estate, non-owner occupied3,081 — — 3,081 408 
Home equity— 469 — 469 — 
Total$4,826 $469 $— $5,295 $408 
1There were no collateral-dependent residential real estate mortgage loans in process of foreclosure or in substance repossessed at December 31, 2024 and 2023.
The weighted average loan-to-value of collateral-dependent loans was approximately 115% and 70% at December 31, 2024 and 2023, respectively.
Schedule of Troubled Debt Restructurings on Financing Receivables
The following table summarizes the amortized cost of loans as of December 31, 2024 and 2023 modified for borrowers experiencing financial difficulty during the years ended December 31, 2024 and 2023, respectively, by portfolio class and type of modification granted.
(in thousands)
Term Extension
Total Modifications
Percent of Portfolio Class Total
December 31, 2024
Home equity$188 $188 0.2 %
Total
$188 $188 
December 31, 2023
Commercial owner-occupied$1,431 $1,431 0.4 %
Commercial non-owner occupied878 878 0.1 %
Total
$2,309 $2,309 
The following table summarizes the financial effect of loan modifications presented in the table above during the years ended December 31, 2024 and 2023 by portfolio class.
(in thousands)Weighted-Average Term Extension (in years)
Year ended December 31, 2024
Home equity6.6
Year ended December 31, 2023
Commercial owner-occupied2.3
Commercial non-owner occupied0.5
The following table summarizes the amortized cost and payment status of loans as of December 31, 2024 and 2023 that were modified during the years ended December 31, 2024 and 2023, respectively, by portfolio class.
(in thousands)
Current
30-59 Days Past Due60-89 Days Past Due
90 Days or More Past Due
Total
Non-Accrual
December 31, 2024
Home equity$188 $— $— $— $188 $113 
Total
$188 $— $— $— $188 $113 
December 31, 2023
Commercial owner-occupied$1,431 $— $— $— $1,431 $— 
Commercial non-owner occupied878 — — — 878 878 
Total
$2,309 $— $— $— $2,309 $878 
Schedule of Allowance for Credit Losses on Financing Receivables
The following table presents the details of the allowance for credit losses on loans segregated by loan portfolio class as of December 31, 2024 and 2023.

Allocation of the Allowance for Credit Losses on Loans
(in thousands)Commercial and industrialCommercial real estate, owner-occupiedCommercial real estate, non-owner occupiedConstructionHome equityOther residentialInstallment and other consumerUnallocatedTotal
December 31, 2024
        
Modeled expected credit losses$759 $1,241 $7,632 $41 $620 $1,133 $625 $— $12,051 
Qualitative adjustments672 1,120 6,528 597 64 268 1,255 10,512 
Specific allocations145 — 7,933 — — — 15 — 8,093 
Total$1,576 $2,361 $22,093 $638 $684 $1,141 $908 $1,255 $30,656 
December 31, 2023
        
Modeled expected credit losses$897 $1,270 $7,380 $185 $482 $619 $634 $— $11,467 
Qualitative adjustments622 1,205 6,327 1,647 70 33 342 2,038 12,284 
Specific allocations193 1,226 — — — — 1,421 
Total$1,712 $2,476 $14,933 $1,832 $552 $653 $976 $2,038 $25,172 
The following table discloses activity in the allowance for credit losses for the periods presented.
Allowance for Credit Losses on Loans Rollforward
(in thousands)Commercial and industrialCommercial real estate, owner-occupied
Commercial real estate, non-owner occupied
ConstructionHome equityOther residentialInstallment and other consumerUnallocatedTotal
Year ended December 31, 2024
Beginning balance$1,712 $2,476 $14,933 $1,832 $552 $653 $976 $2,038 $25,172 
(Reversal) provision (116)(115)7,152 (1,194)132 488 (14)(783)5,550 
(Charge-offs)(41)— — — — — (58)— (99)
Recoveries21 — — — — — 33 
Ending balance$1,576 $2,361 $22,093 $638 $684 $1,141 $908 $1,255 $30,656 
Year ended December 31, 2023
Beginning balance$1,794 $2,487 $12,676 $1,937 $558 $595 $868 $2,068 22,983 
(Reversal) provision(100)395 2,257 (130)(6)58 131 (30)2,575 
(Charge-offs)(11)(406)— — — — (24)— (441)
Recoveries29 — — 25 — — — 55 
Ending balance$1,712 $2,476 $14,933 $1,832 $552 $653 $976 $2,038 $25,172 
Year ended December 31, 2022
Beginning balance$1,709 $2,776 $12,739 $1,653 $595 $644 $621 $2,286 $23,023 
Provision (reversal)72 (289)(63)251 (37)(49)270 (218)(63)
(Charge-offs)(9)— — — — — (23)— (32)
Recoveries22 — — 33 — — — — 55 
Ending balance$1,794 $2,487 $12,676 $1,937 $558 $595 $868 $2,068 $22,983 
Schedule of Related Party Transactions
The following table shows changes in net loans to related parties for each of the three years ended December 31, 2024, 2023 and 2022.
(in thousands)202420232022
Balance at beginning of year$5,832 $6,445 $7,942 
Additions1,425 — 1,525 
Repayments(3,125)(613)(364)
Reclassified due to a change in borrower status— — (2,658)
Balance at end of year$4,132 $5,832 $6,445