Loan Quality And Allowance For Credit Losses (Tables)

9 Months Ended

Sep. 30, 2023

Loan Quality And Allowance For Credit Losses [Abstract]

Schedule of loans by Year of origination and Internally Assigned Risk Ratings



(Dollars in thousands, except per share)													Revolving		Revolving
	Term Loans												Loans		Loans
	Amortized Cost Basis by Origination Year												Amortized		Converted
As of September 30, 2023	2023		2022		2021		2020		2019		Prior		Cost Basis		to Term		Total
Residential real estate 1-4 family:
Commercial:
Risk rating:
Pass (1-5)	$	7,702	$	9,386	$	11,426	$	9,807	$	2,454	$	23,930	$	1,824	$	—	$	66,529
OAEM (6)		—		—		—		—		—		—		—		—		—
Substandard (7)		—		—		—		—		—		98		—		—		98
Doubtful (8)		—		—		—		—		—		—		—		—		—
Total Commercial		7,702		9,386		11,426		9,807		2,454		24,028		1,824		—		66,627
Consumer:
Performing		37,186		30,157		15,746		10,893		5,684		29,605		42,554		20,605		192,430
Nonperforming		—		—		—		—		—		—		—		—		—
Total Consumer		37,186		30,157		15,746		10,893		5,684		29,605		42,554		20,605		192,430
Total	$	44,888	$	39,543	$	27,172	$	20,700	$	8,138	$	53,633	$	44,378	$	20,605	$	259,057
Current period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Residential real estate construction:
Commercial:
Risk rating:
Pass (1-5)	$	3,420	$	2,849	$	1,503	$	229	$	—	$	1,819	$	—	$	—	$	9,820
OAEM (6)		—		—		—		—		—		—		—		—		—
Substandard (7)		—		—		—		—		—		—		—		—		—
Doubtful (8)		—		—		—		—		—		—		—		—		—
Total Commercial		3,420		2,849		1,503		229		—		1,819		—		—		9,820
Consumer:
Performing		7,434		3,830		—		—		—		—		—		—		11,264
Nonperforming		—		—		—		—		—		—		—		—		—
Total Consumer		7,434		3,830		—		—		—		—		—		—		11,264
Total	$	10,854	$	6,679	$	1,503	$	229	$	—	$	1,819	$	—	$	—	$	21,084
Current period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Commercial real estate:
Risk rating:
Pass (1-5)	$	140,948	$	118,484	$	99,775	$	41,944	$	39,762	$	219,830	$	5,310	$	—	$	666,053
OAEM (6)		—		—		—		—		—		2,203		144		—		2,347
Substandard (7)		—		—		—		—		—		2,732		50		—		2,782
Doubtful (8)		—		—		—		—		—		—		—		—		—
Total	$	140,948	$	118,484	$	99,775	$	41,944	$	39,762	$	224,765	$	5,504	$	—	$	671,182
Current period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Commercial:
Risk rating:
Pass (1-5)	$	28,531	$	35,229	$	47,478	$	23,762	$	4,121	$	65,513	$	39,315	$	—	$	243,949
OAEM (6)		—		—		—		—		—		—		—		—		—
Substandard (7)		116		340		—		—		—		3,642		1,072		—		5,170
Doubtful (8)		—		—		—		—		—		—		—		—		—
Total	$	28,647	$	35,569	$	47,478	$	23,762	$	4,121	$	69,155	$	40,387	$	—	$	249,119
Current period gross charge-offs	$	(8)	$	—	$	(81)	$	—	$	—	$	—	$	—	$	—	$	(89)

Consumer:
Performing		1,421		759		2,053		181		114		8		1,858		—		6,394
Nonperforming		—		—		—		—		—		—		14		—		14
Total	$	1,421	$	759	$	2,053	$	181	$	114	$	8	$	1,872	$	—	$	6,408
Current period gross charge-offs	$	(37)	$	(16)	$	(10)	$	(2)	$	(6)	$	—	$	(26)	$	—	$	(97)

Schedule of nonaccrual loans and loans past due over 90 days and still on accrual by class of loans



(Dollars in thousands)	Nonaccrual and Loans Past Due Over 90 Days+
					Loans Past Due
	Nonaccrual		Nonaccrual		Over 90 Days
	Without ACL		With ACL		Still Accruing
September 30, 2023
Residential Real Estate 1-4 Family
First liens	$	98	$	—	$	—
Junior liens and lines of credit		—		—		—
Total		98		—		—
Residential real estate - construction		—		—		—
Commercial real estate		—		—		—
Commercial		115		—		—
Consumer		—		—		14
Total	$	213	$	—	$	14

Internal Credit Rating For The Loan Portfolio



	Pass		OAEM		Substandard		Doubtful
(Dollars in thousands)	(1-5)		(6)		(7)		(8)		Total

December 31, 2022
Residential Real Estate 1-4 Family
First liens	$	144,377	$	—	$	120	$	—	$	144,497
Junior liens and lines of credit		73,688		—		—		—		73,688
Total		218,065		—		120		—		218,185
Residential real estate - construction		24,393		—		—		—		24,393
Commercial real estate		562,665		1,095		2,902		—		566,662
Commercial		228,085		2,751		4,766		—		235,602
Consumer		6,199		—		—		—		6,199
Total	$	1,039,407	$	3,846	$	7,788	$	—	$	1,051,041

Aging Of Payments Of The Loan Portfolio



(Dollars in thousands)	Loans Past Due
							Total				Total
	30-59 Days		60-89 Days		90 Days+		Past Due		Current		Loans
September 30, 2023
Residential Real Estate 1-4 Family
First liens	$	21	$	232	$	98	$	351	$	186,880	$	187,231
Junior liens and lines of credit		399		—		—		399		71,427		71,826
Total		420		232		98		750		258,307		259,057
Residential real estate - construction		—		—		—		—		21,084		21,084
Commercial real estate		311		—		—		311		670,871		671,182
Commercial		662		—		115		777		248,342		249,119
Consumer		10		16		14		40		6,368		6,408
Total	$	1,403	$	248	$	227	$	1,878	$	1,204,972	$	1,206,850



									Total
									Past Due &				Total
December 31, 2022	30-59 Days		60-89 Days		90 Days+		Nonaccrual		Nonaccrual		Current		Loans
Residential Real Estate 1-4 Family
First liens	$	340	$	177	$	—	$	120	$	637	$	143,860	$	144,497
Junior liens and lines of credit		490		—		—		—		490		73,198		73,688
Total		830		177		—		120		1,127		217,058		218,185
Residential real estate - construction		—		—		—		—		—		24,393		24,393
Commercial real estate		649		—		—		—		649		566,013		566,662
Commercial		681		50		—		—		731		234,871		235,602
Consumer		29		5		13		—		47		6,152		6,199
Total	$	2,189	$	232	$	13	$	120	$	2,554	$	1,048,487	$	1,051,041

Allowance for Credit Losses (ACL), By Loan Segment



	Residential Real Estate 1-4 Family
	First		Junior Liens &				Commercial
(Dollars in thousands)	Liens		Lines of Credit		Construction		Real Estate		Commercial		Consumer		Unallocated		Total

ACL at June 30, 2023	$	1,720	$	683	$	177	$	9,083	$	2,854	$	98	$	—	$	14,615
Charge-offs		—		—		—		—		(2)		(21)		—		(23)
Recoveries		—		—		4		—		15		51		—		70
Provision		(519)		(265)		61		1,124		503		(38)		—		866
ACL at September 30, 2023	$	1,201	$	418	$	242	$	10,207	$	3,370	$	90	$	—	$	15,528

ALL at December 31, 2022	$	459	$	234	$	343	$	7,493	$	4,846	$	133	$	667	$	14,175
Impact of adopting ASU 2016-13		1,096		493		(95)		584		(1,907)		(40)		(667)		(56)
Charge-offs		—		—		—		—		(89)		(97)		—		(186)
Recoveries		2		—		46		—		94		76		—		218
Provision		(356)		(309)		(52)		2,130		426		18		—		1,857
ACL at September 30, 2023	$	1,201	$	418	$	242	$	10,207	$	3,370	$	90	$	—	$	15,528

ALL at June 30, 2022	$	465	$	245	$	289	$	8,096	$	5,076	$	119	$	725	$	15,015
Charge-offs		—		—		—		—		(6)		(33)		—		(39)
Recoveries		—		1		—		—		8		4		—		13
Provision		(4)		3		75		9		(33)		38		(88)		—
ALL at September 30, 2022	$	461	$	249	$	364	$	8,105	$	5,045	$	128	$	637	$	14,989

ALL at December 31, 2021	$	475	$	252	$	325	$	8,168	$	5,127	$	130	$	589	$	15,066
Charge-offs		(20)		—		—		—		(69)		(79)		—		(168)
Recoveries		47		2		—		—		20		22		—		91
Provision		(41)		(5)		39		(63)		(33)		55		48		—
ALL at September 30, 2022	$	461	$	249	$	364	$	8,105	$	5,045	$	128	$	637	$	14,989

The following table presents, by class, loans that were evaluated for the ALL under the specific reserve (individually) and those that were evaluated under the general reserve (collectively) and the amount of the ALL established in each class as of December 31, 2022:



	Residential Real Estate 1-4 Family
	First		Junior Liens &				Commercial
(Dollars in thousands)	Liens		Lines of Credit		Construction		Real Estate		Commercial		Consumer		Unallocated		Total
December 31, 2022
Loans evaluated for ALL:
Individually	$	619	$	—	$	—	$	2,331	$	—	$	—	$	—	$	2,950
Collectively		143,878		73,688		24,393		564,331		235,602		6,199		—		1,048,091
Total	$	144,497	$	73,688	$	24,393	$	566,662	$	235,602	$	6,199	$	—	$	1,051,041

ALL established for ‎ loans evaluated:
Individually	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Collectively		459		234		343		7,493		4,846		133		667		14,175
ALL at December 31, 2022	$	459	$	234	$	343	$	7,493	$	4,846	$	133	$	667	$	14,175

Impaired Financing Receivables



	Impaired Loans
	With No Allowance				With Allowance
(Dollars in thousands)			Unpaid				Unpaid
	Recorded		Principal		Recorded		Principal		Related
December 31, 2022	Investment		Balance		Investment		Balance		Allowance
Residential Real Estate 1-4 Family
First liens	$	619	$	619	$	—	$	—	$	—
Junior liens and lines of credit		—		—		—		—		—
Total		619		619		—		—		—
Residential real estate - construction		—		—		—		—		—
Commercial real estate		2,331		2,331		—		—		—
Commercial		—		—		—		—		—
Total	$	2,950	$	2,950	$	—	$	—	$	—

Troubled Debt Restructuring Loans



								Troubled Debt Restructurings
								Within the Last 12 Months
								That Have Defaulted
(Dollars in thousands)	Troubled Debt Restructurings							On Modified Terms
	Number of	Recorded						Number of	Recorded
	Contracts	Investment		Performing*		Nonperforming*		Contracts	Investment
December 31, 2022
Residential real estate - construction	—	$	—	$	—	$	—	—	$	—
Residential real estate	5		619		619		—	—		—
Commercial real estate - owner occupied	3		783		783		—	—		—
Commercial real estate - farm land	3		1,466		1,466		—	—		—
Commercial real estate - construction and land development	—		—		—		—	—		—
Commercial real estate - other	1		82		82		—	—		—
Total	12	$	2,950	$	2,950	$	—	—	$	—

*The performing status is determined by the loans compliance with the modified terms. Nonperforming is considered 90 days or more past due.