LCNB (LCNB) 10-K 15 Mar 23 2022 FY Annual report Financial data

Cover

Cover - USD ($)	12 Months Ended
	Dec. 31, 2022	Mar. 14, 2023	Jun. 30, 2022
Cover [Abstract]
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2022
Current Fiscal Year End Date	--12-31
Document Transition Report	false
Entity File Number	000-26121
Entity Registrant Name	LCNB Corp.
Entity Incorporation, State or Country Code	OH
Entity Tax Identification Number	31-1626393
Entity Address, Address Line One	2 North Broadway
Entity Address, City or Town	Lebanon
Entity Address, State or Province	OH
Entity Address, Postal Zip Code	45036
City Area Code	513
Local Phone Number	932-1414
Title of 12(b) Security	Common Stock, No Par Value
Trading Symbol	LCNB
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Public Float			$ 160,326,132
Entity Common Stock, Shares Outstanding		11,259,642
Entity Central Index Key	0001074902
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	FY
Amendment Flag	false
ICFR Auditor Attestation Flag	false

Audit Information

Audit Information	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Audit Information [Abstract]
Auditor Firm ID	166	686
Auditor Location	Auburn Hills, Michigan	Cincinnati, Ohio
Auditor Name	Plante & Moran PLLC	FORVIS, LLP

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Dec. 31, 2022	Dec. 31, 2021
ASSETS:
Cash and due from banks	$ 20,244,000	$ 16,810,000
Interest-bearing demand deposits	2,457,000	1,326,000
Total cash and cash equivalents	22,701,000	18,136,000
Investment securities:
Equity securities with a readily determinable fair value, at fair value	2,273,000	2,546,000
Equity securities without a readily determinable fair value, at cost	2,099,000	2,099,000
Debt securities, available-for-sale, at fair value	289,850,000	308,177,000
Debt securities, held-to-maturity, at cost	19,878,000	22,972,000
Federal Reserve Bank stock, at cost	4,652,000	4,652,000
Federal Home Loan Bank stock, at cost	4,415,000	5,203,000
Loans, net	1,395,632,000	1,363,939,000
Premises and equipment, net	33,042,000	35,385,000
Operating lease right-of-use assets	6,248,000	6,357,000
Goodwill	59,221,000	59,221,000
Core deposit and other intangibles, net	1,827,000	2,473,000
Bank owned life insurance	44,298,000	43,224,000
Accrued interest receivable	7,482,000	7,999,000
Other assets, net	25,503,000	21,246,000
TOTAL ASSETS	1,919,121,000	1,903,629,000
Deposits:
Non-interest-bearing	505,824,000	501,531,000
Interest-bearing	1,099,146,000	1,127,288,000
Total deposits	1,604,970,000	1,628,819,000
Short-term borrowings	71,455,000	0
Operating Lease, Liability	6,370,000	6,473,000
Accrued interest and other liabilities	16,579,000	19,733,000
TOTAL LIABILITIES	1,718,446,000	1,665,025,000
COMMITMENTS AND CONTINGENT LIABILITIES	$ 0	$ 0
Preferred Stock, No Par Value	$ 0	$ 0
Preferred Stock, Shares Outstanding	0	0
SHAREHOLDERS' EQUITY:
Preferred shares - no par value, authorized 1,000,000 shares, none outstanding	$ 0	$ 0
Common Stock, Value, Issued	144,069,000	143,130,000
Retained earnings	$ 139,249,000	$ 126,312,000
Treasury Stock, Shares	3,011,470	1,798,836
Treasury Stock, Value	$ (52,689,000)	$ (29,029,000)
Accumulated other comprehensive loss, net of taxes	(29,954,000)	(1,809,000)
TOTAL SHAREHOLDERS' EQUITY	200,675,000	238,604,000
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 1,919,121,000	$ 1,903,629,000
Preferred Stock, Shares Authorized	1,000,000	1,000,000
Common Stock, No Par Value	$ 0	$ 0
Common stock, shares, outstanding (in shares)	11,259,080	12,414,956
Common Stock, Shares, Issued	14,270,550	14,213,792
Common Stock, Shares Authorized	19,000,000	19,000,000

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - shares	Dec. 31, 2022	Dec. 31, 2021
SHAREHOLDERS' EQUITY:
Preferred Stock, Shares Authorized	1,000,000	1,000,000
Preferred Stock, Shares Outstanding	0	0
Common Stock, Shares Authorized	19,000,000	19,000,000
Common Stock, Shares, Issued	14,270,550	14,213,792
Treasury Stock, Shares	3,011,470	1,798,836

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
INTEREST INCOME:
Interest and fees on loans	$ 59,247	$ 56,142	$ 59,267
Dividend Income, Equity Securities, Operating	56	51	54
Dividend Income, Operating	29	21	37
Interest on debt securities:
Taxable	5,027	3,668	2,916
Non-taxable	753	864	1,027
Other investments	641	431	479
TOTAL INTEREST INCOME	65,753	61,177	63,780
INTEREST EXPENSE:
Interest on deposits	3,682	3,578	6,634
Interest on short-term borrowings	416	6	7
Interest on long-term debt	613	469	921
TOTAL INTEREST EXPENSE	4,711	4,053	7,562
NET INTEREST INCOME	61,042	57,124	56,218
PROVISION FOR (RECOVERY OF) LOAN LOSSES	250	(269)	2,014
NET INTEREST INCOME AFTER PROVISION FOR (RECOVERY OF) LOAN LOSSES	60,792	57,393	54,204
NON-INTEREST INCOME:
Net gain on sales of securities	0	303	221
Bank owned life insurance income	1,074	1,074	1,441
Net gains from sales of loans	196	852	2,297
Other operating income	360	1,293	1,291
TOTAL NON-INTEREST INCOME	14,288	16,232	15,741
NON-INTEREST EXPENSE:
Salaries and employee benefits	28,483	27,616	27,178
Equipment expenses	1,629	1,678	1,377
Occupancy expense, net	3,067	2,949	2,875
State financial institutions tax	1,740	1,758	1,708
Marketing	1,184	1,239	1,254
Amortization of intangibles	478	1,043	1,046
FDIC insurance premiums, net	530	492	256
ATM expense	1,370	1,416	1,028
Computer maintenance and supplies	1,114	1,213	1,107
Telephone expense	240	420	706
Contracted services	2,503	2,430	1,821
Other real estate owned	(866)	2	(6)
Other non-interest expense	6,662	5,784	5,435
TOTAL NON-INTEREST EXPENSE	48,134	48,040	45,785
INCOME BEFORE INCOME TAXES	26,946	25,585	24,160
PROVISION FOR INCOME TAXES	4,818	4,611	4,085
NET INCOME	$ 22,128	$ 20,974	$ 20,075
Earnings per common share:
Basic (in dollars per share)	$ 1.93	$ 1.66	$ 1.55
Diluted (in dollars per share)	$ 1.93	$ 1.66	$ 1.55
Weighted average common shares outstanding:
Basic (in shares)	11,410,981	12,589,605	12,914,277
Diluted (in shares)	11,410,981	12,589,613	12,914,584
Fiduciary and Trust
Weighted average common shares outstanding:
Revenue from Contract with Customer, Excluding Assessed Tax	$ 6,468	$ 6,674	$ 5,009
Revenue from Contract with Customer, Excluding Assessed Tax	6,468	6,674	5,009
Deposit Account
Weighted average common shares outstanding:
Revenue from Contract with Customer, Excluding Assessed Tax	6,190	6,036	5,482
Revenue from Contract with Customer, Excluding Assessed Tax	$ 6,190	$ 6,036	$ 5,482

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Statement of Comprehensive Income [Abstract]
Net income	$ 22,128	$ 20,974	$ 20,075
Other comprehensive income (loss):
Net unrealized gain (loss) on available-for-sale securities (net of taxes of $(7,546), $(1,501), and $975 for 2022, 2021, and 2020, respectively)	(28,391)	(5,645)	3,666
Reclassification adjustment for net realized gain on sale of available-for-sale securities included in net income (net of taxes of $—, $64, and $46 for 2022, 2021 and 2020, respectively)	0	(239)	(175)
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax	246	32	(121)
Other comprehensive income (loss)	(28,145)	(5,852)	3,370
TOTAL COMPREHENSIVE INCOME (LOSS)	(6,017)	15,122	23,445
COMPONENTS OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX, AS OF YEAR-END:
Net unrealized gain (loss) on securities available-for-sale	(29,927)	(1,536)	4,348
Net unfunded liability for nonqualified pension plan	(27)	(273)	(305)
Balance at year-end	$ (29,954)	$ (1,809)	$ 4,043

CONSOLIDATED STATEMENTS OF CO_2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Other comprehensive income (loss):
OCI, Debt Securities, Available-for-Sale, Unrealized Holding Gain (Loss), before Adjustment, Tax	$ (7,546)	$ (1,501)	$ 975
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Tax	0	64	46
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, Tax	$ 65	$ 9	$ (33)

CONSOLIDATED STATEMENTS OF SHAR

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common Shares	Retained Earnings	Treasury Shares	Accumulated Other Comprehensive Income (Loss)
Balance (in shares) at Dec. 31, 2019		12,936,783
Balance at beginning of year at Dec. 31, 2019	$ 228,048	$ 141,791	$ 104,431	$ (18,847)	$ 673
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	20,075	0	20,075	0	0
Other comprehensive income, net of taxes	3,370	$ 0	0	0	3,370
Dividend Reinvestment and Stock Purchase Plan (in shares)		26,840
Dividend Reinvestment and Stock Purchase Plan	401	$ 401	0	0	0
Exercise of stock options (in shares)		9,593
Exercise of stock options	114	$ 114	0	0	0
Treasury Stock, Shares, Acquired		130,552
Payments for Repurchase of Common Stock	1,872	$ 0	0	1,872	0
Compensation expense relating to restricted stock (in shares)		15,661
Compensation expense relating to restricted stock	137	$ 137	0	0	0
Dividends, Common Stock, Stock		0
Dividends, Common Stock, Cash	(9,448)	$ 0	(9,448)	0	0
Balance (in shares) at Dec. 31, 2020		12,858,325
Balance at end of year at Dec. 31, 2020	240,825	$ 142,443	115,058	(20,719)	4,043
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	20,974	0	20,974	0	0
Other comprehensive income, net of taxes	(5,852)	$ 0	0	0	(5,852)
Dividend Reinvestment and Stock Purchase Plan (in shares)		24,012
Dividend Reinvestment and Stock Purchase Plan	434	$ 434	0	0	0
Exercise of stock options (in shares)		311
Exercise of stock options	4	$ 4	0	0	0
Treasury Stock, Shares, Acquired		493,257
Payments for Repurchase of Common Stock	8,310	$ 0	0	8,310	0
Compensation expense relating to restricted stock (in shares)		25,565
Compensation expense relating to restricted stock	249	$ 249	0	0	0
Dividends, Common Stock, Stock		0
Dividends, Common Stock, Cash	$ (9,720)	$ 0	(9,720)	0	0
Balance (in shares) at Dec. 31, 2021	12,414,956	12,414,956
Balance at end of year at Dec. 31, 2021	$ 238,604	$ 143,130	126,312	(29,029)	(1,809)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	22,128	0	22,128	0	0
Other comprehensive income, net of taxes	(28,145)	$ 0	0	0	(28,145)
Dividend Reinvestment and Stock Purchase Plan (in shares)		24,204
Dividend Reinvestment and Stock Purchase Plan	408	$ 408	0	0	0
Treasury Stock, Shares, Acquired		1,212,634
Payments for Repurchase of Common Stock	23,660	$ 0	0	23,660	0
Compensation expense relating to restricted stock (in shares)		32,554
Compensation expense relating to restricted stock	531	$ 531	0	0	0
Dividends, Common Stock, Stock		0
Dividends, Common Stock, Cash	$ (9,191)	$ 0	(9,191)	0	0
Balance (in shares) at Dec. 31, 2022	11,259,080	11,259,080
Balance at end of year at Dec. 31, 2022	$ 200,675	$ 144,069	$ 139,249	$ (52,689)	$ (29,954)

CONSOLIDATED STATEMENTS OF SH_2

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Statement of Stockholders' Equity [Abstract]
Common Stock, Dividends, Per Share, Declared	$ 0.81	$ 0.77	$ 0.73

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 22,128	$ 20,974	$ 20,075
Adjustments to reconcile net income to net cash flows from operating activities-
Depreciation, amortization and accretion	2,744	2,612	2,234
Provision for (recovery of) loan losses	250	(269)	2,014
Deferred income tax provision (benefit)	(345)	294	134
Increase in cash surrender value of bank owned life insurance	(1,074)	(1,074)	(1,124)
Bank owned life insurance death benefits in excess of cash surrender value	0	0	(317)
Equity Securities, FV-NI, Gain (Loss)	292	(141)	(675)
Net gain on sales of securities	0	(303)	(221)
Realized (gains) losses from sales of premises and equipment, net	455	(6)	(53)
Realized gains from sale and impairment of other real estate owned and repossessed assets	(889)	0	(11)
Origination of mortgage loans for sale	(8,855)	(33,824)	(65,890)
Realized gains from sales of loans	(196)	(852)	(2,297)
Proceeds from sales of loans	8,953	34,268	67,467
Compensation expense related to restricted stock	531	249	137
Changes in:
Accrued income receivable	517	338	(4,573)
Other assets	2,453	(4,208)	(6,795)
Accrued interest and other liabilities	(1,722)	(237)	3,573
TOTAL ADJUSTMENTS	3,114	(3,153)	(6,397)
NET CASH FLOWS PROVIDED BY OPERATING ACTIVITIES	25,242	17,821	13,678
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from sales of equity securities	0	0	967
Proceeds from sales of debt securities, available-for-sale	0	21,235	8,786
Proceeds from maturities, calls, and paydowns of debt securities:
Available-for-sale	20,680	33,093	66,170
Held-to-maturity	4,317	4,285	5,297
Purchases of equity securities	(19)	(16)	(369)
Purchases of debt securities:
Available-for-sale	(39,331)	(161,786)	(102,920)
Held-to-maturity	(1,223)	(2,447)	(2,582)
Net increase in loans	(31,720)	(67,649)	(54,196)
Proceeds from bank owned life insurance mortality benefits	0	0	958
Proceeds from sales of other real estate owned and repossessed assets	1,605	0	208
Purchases of premises and equipment	(884)	(1,940)	(2,791)
Proceeds from sales of premises and equipment	875	6	421
NET CASH FLOWS USED IN INVESTING ACTIVITIES	(44,912)	(175,219)	(80,051)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net increase (decrease) in deposits	(23,849)	173,396	107,143
Net increase in short-term borrowings	71,455	0	0
Proceeds from long-term debt	15,000	0	0
Principal payments on long-term debt	(5,928)	(12,000)	(19,000)
Proceeds from issuance of common stock	408	434	401
Payments for Repurchase of Common Stock	23,660	8,310	1,872
Proceeds from exercise of stock options	0	4	114
Cash dividends paid on common stock	(9,191)	(9,720)	(9,448)
NET CASH FLOWS PROVIDED BY FINANCING ACTIVITIES	24,235	143,804	77,338
Net change in cash	4,565	(13,594)	10,965
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR	18,136	31,730	20,765
CASH AND CASH EQUIVALENTS AT END OF YEAR	22,701	18,136	31,730
CASH PAID DURING THE YEAR FOR:
Interest	4,677	4,228	7,809
Income taxes	4,130	3,665	3,811
SUPPLEMENTAL DISCLOSURES OF NON-CASH INVESTING ACTIVITY:
Transfer from loans to other real estate owned and repossessed assets	717	0	0
Payments to Acquire Federal Home Loan Bank Stock	(374)	0	0
Proceeds from Sale of Federal Home Loan Bank Stock	$ 1,162	$ 0	$ 0

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2022
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES LCNB Corp. (the "Company" or “LCNB”), an Ohio corporation formed in December 1998, is a financial holding company whose principal activity is the ownership of LCNB National Bank (the "Bank"). The Bank was founded in 1877 and provides full banking services, including Wealth Management and Investment services, to customers primarily in Southwestern Ohio and Franklin County Ohio and contiguous areas. BASIS OF PRESENTATION The consolidated financial statements include the accounts of the Company and its subsidiaries. Significant intercompany accounts and transactions are eliminated in consolidation. The accounting and reporting policies of the Company conform with U.S. generally accepted accounting principles and with general practices in the banking industry. Certain prior period data presented in the consolidated financial statements have been reclassified to conform with the current year presentation. These reclassifications had no effect on net income or shareholders' equity. USE OF ESTIMATES The preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Estimates that management has determined to be critical accounting estimates are more fully described in Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations of this Form 10-K. CASH AND CASH EQUIVALENTS For purposes of reporting cash flows, cash and cash equivalents include cash, balances due from banks, federal funds sold, and interest-bearing demand deposits with original maturities of twelve months or less. Deposits with other banks routinely have balances greater than FDIC insured limits. Management considers the risk of loss to be very low with respect to such deposits. INVESTMENT SECURITIES Certain municipal debt securities that management has the positive intent and ability to hold to maturity are classified as “held-to-maturity” and recorded at amortized cost. Debt securities not classified as held-to-maturity are classified as “available-for-sale” and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income, a separate component of shareholders’ equity. Amortization of premiums and accretion of discounts are recognized as adjustments to interest income using the level-yield method. Realized gains or losses from the sale of securities are recorded on the trade date and are computed using the specific identification method. Declines in the fair value of debt securities below their cost that are deemed to be other-than-temporarily impaired, and for which the Company does not intend to sell the securities and it is not more likely than not that the securities will be sold before the anticipated recovery of the impairment, are separated into losses related to credit factors and losses related to other factors. The losses related to credit factors are recognized in earnings and losses related to other factors are recognized in other comprehensive income. In estimating other than temporary impairment losses, management considers the length of time and the extent to which the fair value has been less than cost, the financial condition and near-term prospects of the issuer, and the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value. Management determined that no such impairment adjustment was required to be made in the Company's Consolidated Statements of Income as of December 31, 2022, 2021, and 2020. Equity securities with a readily determinable fair value are measured at fair value with changes in fair value recognized in net income. Federal Home Loan Bank ("FHLB") stock is an equity interest in the Federal Home Loan Bank of Cincinnati. It can be sold only at its par value of $100 per share and only to the FHLB or to another member institution. In addition, the equity ownership rights are more limited than would be the case for a public company because of the oversight role exercised by the Federal Housing Finance Agency in the process of budgeting and approving dividends. Federal Reserve Bank stock is similarly restricted in marketability and value. Both investments are carried at cost, which is their par value. FHLB and Federal Reserve Bank stock are both subject to minimum ownership requirements by member banks. The required investments in common stock are based on predetermined formulas. LOANS The Company’s loan portfolio includes most types of commercial and industrial loans, commercial loans secured by real estate, residential real estate loans, consumer loans, agricultural loans and other types of loans. Most of the properties collateralizing the loan portfolio are located within the Company’s market area. Loans are stated at the principal amount outstanding, net of unearned income, deferred origination fees and costs, and the allowance for loan losses. Interest income is accrued on the unpaid principal balance. The delinquency status of a loan is based on contractual terms and not on how recently payments have been received. Generally, a loan is placed on non-accrual status when it is classified as impaired or there is an indication that the borrower’s cash flow may not be sufficient to make payments as they come due, unless the loan is well secured and in the process of collection. Subsequent cash receipts on non-accrual loans are recorded as a reduction of principal and interest income is recorded once principal recovery is reasonably assured. The current year's accrued interest on loans placed on non-accrual status is charged against earnings. Previous years' accrued interest is charged against the allowance for loan losses. Non-accrual loans are returned to accrual status when, in the opinion of management, the financial position of the borrower indicates there is no longer a reasonable doubt as to the timely collection of interest or principal. Loan origination fees and certain direct loan origination costs are deferred and the net amount amortized as an adjustment of loan yields. These amounts are being amortized over the lives of the related loans. In the ordinary course of business, the Company enters into off-balance sheet financial instruments consisting of commitments to extend credit and standby letters of credit. Such financial instruments are recorded in the consolidated financial statements when they are funded. The credit risk associated with these commitments is evaluated in a manner similar to the allowance for loan losses. Loans acquired from mergers are recorded at fair value with no carryover of the acquired entity's previously established allowance for loan losses. The excess of expected cash flows over the estimated fair value of acquired loans is recognized as interest income over the remaining contractual lives of the loans using the level yield method. Subsequent decreases in expected cash flows will require additions to the allowance for loan losses. Subsequent improvements in expected cash flows result in the recognition of additional interest income over the then-remaining contractual lives of the loans. Management estimates the cash flows expected to be collected at acquisition using a third-party risk model, which incorporates the estimate of key assumptions, such as default rates, severity, and prepayment speeds. Impaired loans acquired are accounted for under Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") No. 310-30. Factors considered in evaluating whether an acquired loan was impaired include delinquency status and history, updated borrower credit status, collateral information, and current loan-to-value information. The difference between contractually required payments at the time of acquisition and the cash flows expected to be collected is referred to as the nonaccretable difference. The interest component of the cash flows expected to be collected is referred to as the accretable yield and is recognized as interest income over the remaining contractual life of the loan using the level yield method. Subsequent decreases in expected cash flows will require additions to the allowance for loan losses. Subsequent improvements in expected cash flows will result in a reclassification from the nonaccretable difference to the accretable yield. ALLOWANCE FOR LOAN LOSSES The allowance for loan losses is established through a provision for loan losses charged to expense. Loans are charged against the allowance for loan losses when management believes that the collectability of the principal is unlikely. Consumer loans are charged off when they reach 120 days past due. Subsequent recoveries, if any, are credited to the allowance. The provision for loan losses is determined by management based upon its evaluation of the amount needed to maintain the allowance for loan losses at a level considered appropriate in relation to the estimated risk of losses inherent in the portfolio. Current methodology used by management to estimate the allowance takes into consideration such factors as changes in the nature and volume of the loan portfolio, overall portfolio quality, review of specific problem loans, historic categorical trends, current delinquency levels as related to historical levels, portfolio growth rates, changes in composition of the portfolio, the current economic environment, as well as current allowance adequacy in relation to the portfolio. Management is cognizant that reliance on historical information coupled with the cyclical nature of the economy, including credit cycles, affects the allowance. Management considers all of these factors prior to making any adjustments to the allowance due to the subjectivity and imprecision involved in allocation methodology. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance consists of specific and general components. The specific component relates to loans that are specifically reviewed for impairment. For such loans, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. The general component covers loans not specifically reviewed for impairment and homogeneous loan pools, such as residential real estate and consumer loans. The general component is measured for each loan category separately based on each category’s average of historical loss experience over a trailing sixty month period, adjusted for qualitative factors. Such qualitative factors may include current economic conditions if different from the five-year historical loss period, trends in underperforming loans, trends in volume and terms of loan categories, concentrations of credit, and trends in loan quality. A loan is considered impaired when management believes, based on current information and events, it is probable that the Bank will be unable to collect all amounts due, including principal and interest, according to the contractual terms of the loan agreement. An impaired loan is measured by the present value of expected future cash flows using the loan's effective interest rate. An impaired collateral-dependent loan may be measured based on collateral value. Smaller-balance homogeneous loans, including residential mortgage and consumer installment loans, which are not evaluated individually are collectively evaluated for impairment. LOANS HELD FOR SALE Mortgage loans originated and intended for sale in the secondary market are carried at the lower of aggregate cost or fair value, as determined by outstanding commitments from investors. Net unrealized losses, if any, are recorded as a valuation allowance and charged to earnings. Mortgage loans held for sale are generally sold with servicing rights retained. Gains and losses on sales of mortgage loans are based on the difference between the selling price and the carrying value of the related mortgage loan sold, which is reduced by the cost allocated to the servicing right. LCNB generally locks in the sale price to the purchaser of the mortgage loan at the same time an interest rate commitment is made to the borrower. FINANCIAL INSTRUMENTS AND LOAN COMMITMENTS Financial instruments include off-balance-sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded. Instruments, such as standby letters of credit, that are considered financial guarantees are recorded at fair value. Reserves for unfunded commitments are recorded as an other liability on the Consolidated Balance Sheets. PREMISES AND EQUIPMENT Premises and equipment are stated at cost less accumulated depreciation. Land is stated at cost. Depreciation is computed on both the straight-line and accelerated methods over the estimated useful lives of the assets, generally 15 to 40 years for premises and 3 to 10 years for equipment. Leasehold improvements are amortized over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. Costs incurred for maintenance and repairs are expensed as incurred. Premises and equipment are evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of a particular asset may not be recoverable. LEASES LCNB determines if a contract is a lease or contains a lease at its inception. A liability to make lease payments ("the lease liability") and a right-of-use asset representing the right to use the underlying asset for the lease term, initially measured at the present value of the lease payments, are recorded in the consolidated balance sheet. The discount rate is LCNB's incremental borrowing rate for periods similar to the respective lease terms. LCNB management is reasonably certain that it will exercise the renewal options contained within the contracts for its leased offices and these additional terms have been included in the calculation of the right-of-use assets and the lease liabilities. Most variable lease payments are excluded except for those that depend on an index or a rate or are in substance fixed payments. A lease is classified as a finance lease if it meets any of five designated criteria. If the lease does not meet any of the five criteria, the lease is classified as an operating lease. All leases entered into by LCNB through December 31, 2022 are classified as operating leases. Lease expense is recognized on a straight-line basis over the lease term for operating leases. LCNB has adopted an accounting policy election to not recognize lease assets and lease liabilities for leases with a term of twelve months or less. Lease expense for such leases is generally recognized on a straight-line basis over the lease term. OTHER REAL ESTATE OWNED Other real estate owned includes properties acquired through foreclosure. Such property is held for sale and is initially recorded at fair value, less costs to sell, establishing a new cost basis. Fair value is primarily based on a property appraisal obtained at the time of transfer and any periodic updates that may be obtained thereafter. The allowance for loan losses is charged for any write down of the loan’s carrying value to fair value at the date of transfer. Any subsequent reductions in fair value and expenses incurred from holding other real estate owned are charged to other non-interest expense. Costs, excluding interest, relating to the improvement of other real estate owned are capitalized. Gains and losses from the sale of other real estate owned are included in other non-interest expense. GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill is the excess of the purchase price over the fair value of the net identifiable assets acquired in a business combination. Goodwill is not amortized, but is instead subject to an annual review for impairment. A review for impairment may be conducted more frequently than annually if circumstances indicate a possible impairment. Impairment indicators that may be considered include the condition of the economy and banking industry; estimated future cash flows; government intervention and regulatory updates; the impact of recent events to financial performance and cost factors of the reporting unit; performance of LCNB’s stock, and other relevant events. These and other factors could lead to a conclusion that goodwill is impaired, which would require LCNB to write off the difference between the current estimated fair value of the Company and its carrying value. Mortgage loan servicing rights are recognized as assets based on the allocated value of retained servicing rights on mortgage loans sold. Mortgage loan servicing rights are carried at the lower of amortized cost or fair value and are expensed in proportion to, and over the period of, estimated net servicing revenues. Impairment is evaluated based on the fair value of the rights using groupings of the underlying mortgage loans as to interest rates. Any impairment of a grouping is reported as a valuation allowance. Servicing fee income is recorded for fees earned for servicing mortgage loans. The fees are based on a contractual percentage of the outstanding principal or a fixed amount per loan and are recorded as income when earned. Amortization of mortgage loan servicing rights is netted against mortgage loan servicing income and recorded in other operating income in the Consolidated Statements of Income. The Company’s other intangible assets relate to core deposits acquired from business combinations. These intangible assets are amortized on a straight-line basis over their estimated useful lives. Management evaluates whether events or circumstances have occurred that indicate the remaining useful life or carrying value of the amortizing intangible should be revised. BANK OWNED LIFE INSURANCE The Company has purchased life insurance policies on certain officers of the Company. The Company is the beneficiary of these policies and has recorded the estimated cash surrender value in the Consolidated Balance Sheets. Income on the policies, based on the increase in cash surrender value and any incremental death benefits, is included in non-interest income in the Consolidated Statements of Income. AFFORDABLE HOUSING TAX CREDIT LIMITED PARTNERSHIP LCNB has elected to account for its investment in an affordable housing tax credit limited partnership using the proportional amortization method. Accordingly, LCNB amortizes the initial cost of the investment to income tax expense in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense. The investment in the limited partnership is included in other assets and the unfunded commitment is included in accrued interest and other liabilities in LCNB's Consolidated Balance Sheets. FAIR VALUE MEASUREMENTS Accounting guidance establishes a fair value hierarchy to prioritize the inputs to valuation techniques used to measure fair value. A financial instrument’s level within the hierarchy is based on the lowest level of input that is significant to the fair value measurement. The three broad input levels are: • Level 1 – quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the reporting date; • Level 2 – inputs other than quoted prices included within level 1 that are observable for the asset or liability either directly or indirectly; and • Level 3 - inputs that are unobservable for the asset or liability. Accounting guidance permits, but does not require, companies to measure many financial instruments and certain other items, including loans and debt securities, at fair value. The decision to elect the fair value option is made individually for each instrument and is irrevocable once made. Changes in fair value for the selected instruments are recorded in earnings. The Company did not select any financial instruments for the fair value election in 2022 or 2021. SHORT-TERM BORROWINGS Short-term borrowings consist of Federal funds purchased, Federal Home Loan Bank advances, and borrowings from non-affiliated banks. Short-term borrowings mature within one day to 365 days of the transaction date. ADVERTISING EXPENSE Advertising costs are expensed as incurred and are recorded as a marketing expense, a component of non-interest expense. PENSION PLANS The Company sponsors two pension plans, both of which are frozen to new participants. Eligible employees of the Company hired before 2009 participate in a multiple-employer qualified noncontributory defined benefit retirement plan. This plan is accounted for as a multi-employer plan because assets contributed by an employer are not segregated in a separate account or restricted to provide benefits only to employees of that employer. A company previously acquired by the Company had a qualified noncontributory, defined benefit pension plan, which has been assumed by the Company, that covers eligible employees hired before May 1, 2005. This is a single employer plan. TREASURY STOCK Common shares repurchased are recorded at cost. Cost of shares retired or reissued is determined using the weighted average method. STOCK OPTIONS AND RESTRICTED STOCK AWARD PLANS The cost of employee services received in exchange for stock option grants is the grant-date fair value of the award estimated using an option-pricing model. The compensation cost for restricted stock awards is based on the market price of the Company's common stock at the date of grant multiplied by the number of shares granted that are expected to vest. The estimated cost is recognized on a straight-line basis over the period the employee is required to provide services in exchange for the award, usually the vesting period. The Company uses a Black-Scholes pricing model and related assumptions for estimating the fair value of stock option grants and a five-year vesting period for stock options and restricted stock. REVENUE RECOGNITION Revenue-generating activities that are within the scope of ASC 606 and that are presented as non-interest income in LCNB's Consolidated Statements of Income include: • Fiduciary income - this includes periodic fees due from Wealth Management and Investment Services customers for managing the customers' financial assets. Fees are generally charged on a quarterly or annual basis and are recognized ratably throughout the period, as the services are provided on an ongoing basis. • Service charges and fees on deposit accounts - these include general service fees charged for deposit account maintenance and activity and transaction-based fees charged for certain services, such as debit card, wire transfer, or overdraft activities. Revenue is recognized when the performance obligation is completed, which is generally after a transaction is completed or monthly for account maintenance services. INCOME TAXES Deferred income taxes are determined using the asset and liability method of accounting. Under this method, the net deferred tax asset or liability is determined based on the tax effects of temporary differences between the book and tax basis of the various balance sheet assets and liabilities and gives current recognition to changes in tax rates and laws. Management analyzes material tax positions taken in any income tax return for any tax jurisdiction and determines the likelihood of the positions being sustained in a tax examination. A tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. EARNINGS PER SHARE Basic earnings per share allocated to common shareholders is calculated using the two-class method and is computed by dividing net income allocated to common shareholders by the weighted average number of common shares outstanding during the period. Diluted earnings per share is adjusted for the dilutive effects of stock-based compensation and is calculated using the two-class method or the treasury stock method. The diluted average number of common shares outstanding has been increased for the assumed exercise of stock-based compensation with the proceeds used to purchase treasury shares at the average market price for the period. ADOPTION OF NEW ACCOUNTING PRONOUNCEMENTS ASU No. 2020-04, "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting" ASU No. 2020-04 was issued in March 2020 and provides optional guidance for a limited period of time to ease the potential burden in accounting for or recognizing the effects of reference rate reform on financial reporting. The amendments provide optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. Originally, the amendments in this update were effective for all entities as of March 12, 2020 through December 31, 2022. ASU No. 2022-06, "Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848" extended the sunset date from December 31, 2022 to December 31, 2024. LCNB does not expect the guidance in ASU No. 2020-04 will have a material impact on its results of consolidated operations or financial position. ASU No. 2018-14, "Compensation - Retirement Benefits - Defined Benefit Plans - General (Subtopic 715-20): Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans" ASU No. 2018-14 was issued in August 2018 and was adopted by LCNB on January 1, 2021. The amendments in this update modify disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans, including the deletion, modification, and addition of certain targeted disclosures. The amendments are to be applied on a retrospective basis to all periods presented upon adoption. Adoption of ASU No. 2018-14 did not have a material impact on LCNB's results of consolidated operations or financial position. ASU No. 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes" ASU No. 2019-12 was issued in December 2019 and adopted by LCNB on January 1, 2021. It simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and clarifies and amends certain other guidance. Adoption of ASU No. 2019-12 did not have a material impact on LCNB's results of consolidated operations or financial position. RECENT ACCOUNTING PRONOUNCEMENTS NOT YET EFFECTIVE From time to time the FASB issues an ASU to communicate changes to U.S. GAAP. The following information provides brief summaries of newly issued but not yet effective ASUs that could have an effect on LCNB’s financial position or results of consolidated operations: ASU No. 2016-13, "Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments" ASU No. 2016-13 was issued in June 2016 and became effective for LCNB on January 1, 2023. It will significantly change current guidance for recognizing impairment of financial instruments. Current guidance requires an "incurred loss" methodology for recognizing credit losses that delays recognition until it is probable a loss has been incurred. ASU No. 2016-13 replaces the incurred loss impairment methodology with a new current expected credit loss ("CECL") methodology that reflects expected credit losses over the lives of the loans and requires consideration of a broader range of information to inform credit loss estimates. The ASU requires an organization to estimate all expected credit losses for financial assets measured at amortized cost, including loans and held-to-maturity debt securities, based on historical experience, current conditions, and reasonable and supportable forecasts. Additional disclosures are required. ASU No. 2016-13 also amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. Under the new guidance, entities will determine whether all or a portion of the unrealized loss on an available-for-sale debt security is a credit loss. Any credit loss will be recognized as an allowance for credit losses on available-for-sale debt securities rather than as a direct reduction of the amortized cost basis of the investment, as is currently required. As a result, entities will recognize improvements to estimated credit losses on available-for-sale debt securities immediately in earnings rather than as interest income over time, as currently required. ASU No. 2016-13 eliminates the current accounting model for purchased credit impaired loans and debt securities. Instead, purchased financial assets with credit deterioration will be recorded gross of estimated credit losses as of the date of acquisition and the estimated credit losses amounts will be added to the allowance for credit losses. Thereafter, entities will account for additional impairment of such purchased assets using the models listed above. Based on LCNB's portfolio composition at December 31, 2022 and the economic environment at that time, the expected increase in LCNB's allowance for credit losses ("ACL") for loans is approximately $2.1 million and the expected ACL for unfunded commitments is approximately $500,000 as of January 1, 2023, the date LCNB adopted CECL. Approximately $350,000 of the increase to the ACL on loans resulted from the transfer of the non-accretable purchase accounting adjustments on purchased credit impaired loans. There was no impact from adoption of CECL on securities available-for sale. As a result of the adoption of this new standard on January 1, 2023, the expected adjustment to retained earnings is a reduction of approximately $1.6 million, which is net of an approximate $450,000 deferred tax asset adjustment stemming from the adoption. ASU No. 2022-02, "Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures" ASU No. 2022-02 was issued in March 2022. These amendments eliminate the TDR recognition and measurement guidance and, instead, require that an entity evaluate whether the modification represents a new loan or a continuation of an existing loan. The amendments also enhance disclosure requirements and introduce new requirements for certain modifications to borrowers experiencing financial difficulties. Additionally, the amendments also require the disclosure of current-period gross charge-offs by year of origination. For entities that have adopted ASU No. 2016-13, the update is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. LCNB adopted ASU No. 2022-02 on January 1, 2023 and it did not have a material impact on LCNB's results of consolidated operations, financial position, or disclosures.

INVESTMENT SECURITIES

INVESTMENT SECURITIES	12 Months Ended
	Dec. 31, 2022
Investments, Debt and Equity Securities [Abstract]
INVESTMENT SECURITIES	INVESTMENT SECURITIES The amortized cost and estimated fair value of debt securities at December 31 are summarized as follows (in thousands): Amortized Unrealized Unrealized Fair 2022 Debt Securities Available-for-Sale: U.S. Treasury notes $ 84,927 — 8,480 76,447 U.S. Agency notes 89,160 — 11,184 77,976 Corporate Bonds 7,450 13 778 6,685 U.S. Agency mortgage-backed securities 90,746 5 11,311 79,440 Municipal securities: Non-taxable 8,892 — 368 8,524 Taxable 46,556 1 5,779 40,778 $ 327,731 19 37,900 289,850 Debt Securities Held-to-Maturity: Municipal securities: Non-taxable $ 16,447 10 594 15,863 Taxable 3,431 — 409 3,022 $ 19,878 10 1,003 18,885 2021 Debt Securities Available-for-Sale: U.S. Treasury notes $ 75,443 57 756 74,744 U.S. Agency notes 89,293 45 2,092 87,246 Corporate Bonds 5,200 70 118 5,152 U.S. Agency mortgage-backed securities 96,018 1,350 692 96,676 Municipal securities: Non-taxable 8,959 125 18 9,066 Taxable 35,208 531 446 35,293 $ 310,121 2,178 4,122 308,177 Debt Securities Held-to-Maturity: Municipal securities: Non-taxable $ 19,403 98 — 19,501 Taxable 3,569 21 4 3,586 $ 22,972 119 4 23,087 Information concerning debt securities with gross unrealized losses at December 31, aggregated by length of time that individual securities have been in a continuous loss position, is as follows (in thousands): Less Than Twelve Months Twelve Months or More Fair Unrealized Fair Unrealized 2022 Available-for-Sale: U.S. Treasury notes $ 16,521 931 59,927 7,549 U.S. Agency notes 7,729 543 70,247 10,641 Corporate Bonds 2,667 283 3,255 495 U.S. Agency mortgage-backed securities 41,543 3,597 37,282 7,714 Municipal securities: Non-taxable 6,831 248 893 120 Taxable 22,162 1,951 18,435 3,828 $ 97,453 7,553 190,039 30,347 Held-to-Maturity: Municipal securities: Non-taxable $ 9,567 593 31 1 Taxable 2,811 370 212 39 $ 12,378 963 243 40 2021 Available-for-Sale: U.S. Treasury notes $ 66,891 756 — — U.S. Agency notes 58,648 1,257 20,289 835 Corporate Bonds 3,898 102 484 16 U.S. Agency mortgage-backed securities 49,813 692 — — Municipal securities: Non-taxable 1,020 18 — — Taxable 18,434 322 3,535 124 $ 198,704 3,147 24,308 975 Held-to-Maturity: Municipal securities: Non-taxable $ 46 — — — Taxable 271 4 — — $ 317 4 — — Unrealized losses at December 31, 2022 have not been recognized into income because the Company does not have the intent to sell the securities, it is likely that the Company will not be required to sell the securities prior to the anticipated recovery of their amortized costs, and the decline in fair values is largely due to changes in interest rates and other market conditions. The issuers continue to make timely principal and interest payments on the securities. Fair value is expected to recover as the securities approach their maturities. Contractual maturities of debt securities at December 31, 2022 were as follows (in thousands). Actual maturities may differ from contractual maturities when issuers have the right to call or prepay obligations. Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair Due within one year $ 13,193 13,004 755 752 Due from one to five years 133,026 119,304 3,628 3,475 Due from five to ten years 90,036 77,467 2,440 2,238 Due after ten years 730 635 13,055 12,420 236,985 210,410 19,878 18,885 U.S. Agency mortgage-backed securities 90,746 79,440 — — $ 327,731 289,850 19,878 18,885 Debt securities with a market value of $166,412,000 and $128,426,000 at December 31, 2022 and 2021, respectively, were pledged to secure public deposits and for other purposes required or permitted by law. Certain information concerning the sale of debt securities available-for-sale for the years ended December 31 was as follows (in thousands): 2022 2021 2020 Proceeds from sales $ — 21,235 8,786 Gross realized gains — 365 221 Gross realized losses — 62 — Realized gains or losses from the sale of securities are computed using the specific identification method. Equity securities with a readily determinable fair value are carried at fair value, with changes in fair value recognized in other operating income in the Consolidated Statements of Income. Equity securities without a readily determinable fair value are measured at cost minus impairment, if any, plus or minus any changes resulting from observable price changes in orderly transactions, as defined, for identical or similar investments of the same issuer. LCNB was not aware of any impairment or observable price change adjustments that needed to be made at December 31, 2022 on its investments in equity securities without a readily determinable fair value. The amortized cost and estimated fair value of equity securities with a readily determinable fair value at December 31 are summarized as follows (in thousands): 2022 2021 Amortized Fair Amortized Cost Fair Value Mutual funds $ 1,429 1,234 1,410 1,379 Equity securities 778 1,039 778 1,167 Total equity securities with a readily determinable fair value $ 2,207 2,273 2,188 2,546 Certain information concerning changes in fair value of equity securities with a readily determinable fair value for the years ended December 31 was as follows (in thousands): 2022 2021 2020 Net gains (losses) recognized $ (292) 141 675 Less net realized gains on equity securities sold — — 658 Unrealized gains (losses) recognized and still held at period end $ (292) 141 17

LOANS

LOANS	12 Months Ended
	Dec. 31, 2022
Receivables [Abstract]
LOANS	LOANS Major classifications of loans at December 31 were as follows (in thousands): 2022 2021 Commercial and industrial $ 120,327 101,598 Commercial, secured by real estate 936,255 887,679 Residential real estate 306,128 335,106 Consumer 28,414 34,291 Agricultural 10,073 10,649 Other loans, including deposit overdrafts 81 122 1,401,278 1,369,445 Less allowance for loan losses 5,646 5,506 Loans-net $ 1,395,632 1,363,939 Loans in the above table are shown net of deferred origination fees and costs. Deferred origination fees, net of related costs, were $980,000 and $961,000 at December 31, 2022 and 2021, respectively. Non-accrual, past-due, and accruing restructured loans at December 31 were as follows (dollars in thousands): 2022 2021 Non-accrual loans: Commercial, secured by real estate $ 319 1,182 Residential real estate 72 299 Total non-accrual loans 391 1,481 Past-due 90 days or more and still accruing 39 56 Total non-accrual and past-due 90 days or more and still accruing 430 1,537 Accruing restructured loans 1,376 2,622 Total $ 1,806 4,159 Ratio of total non-accrual loans to total loans 0.03 % 0.11 % Ratio of total non-accrual loans, past-due 90 days or more and still accruing, and accruing restructured loans to total loans 0.13 % 0.30 % Interest income that would have been recorded during 2022 and 2021 if loans on non-accrual status at December 31, 2022 and 2021 had been current and in accordance with their original terms was approximately $32,000 and $31,000, respectively. The allowance for loan losses and recorded investment in loans for the years ended December 31 were as follows (in thousands): Commercial Commercial, Residential Consumer Agricultural Other Total 2022 Allowance for loan losses: Balance, beginning of year $ 1,095 3,607 665 105 30 4 5,506 Provision for (recovery of) loan losses 205 69 (81) (12) (8) 77 250 Losses charged off — (67) (5) (37) — (157) (266) Recoveries — — 45 30 — 81 156 Balance, end of year $ 1,300 3,609 624 86 22 5 5,646 Individually evaluated for impairment $ 4 11 6 — — — 21 Collectively evaluated for impairment 1,296 3,598 618 86 22 5 5,625 Acquired credit impaired loans — — — — — — — Balance, end of year $ 1,300 3,609 624 86 22 5 5,646 Loans: Individually evaluated for impairment $ 114 963 482 — — — 1,559 Collectively evaluated for impairment 119,799 934,568 304,770 28,414 10,073 81 1,397,705 Acquired credit impaired loans 414 724 876 — — — 2,014 Balance, end of year $ 120,327 936,255 306,128 28,414 10,073 81 1,401,278 Ratio of net charge-offs to average loans — % 0.01 % (0.01) % 0.02 % — % 100.00 % 0.01 % 2021 Allowance for loan losses: Balance, beginning of year $ 816 3,903 837 153 28 (9) 5,728 Provision for (recovery of) loan losses 279 (375) (190) (45) 2 60 (269) Losses charged off — (112) (28) (9) — (105) (254) Recoveries — 191 46 6 — 58 301 Balance, end of year $ 1,095 3,607 665 105 30 4 5,506 Individually evaluated for impairment $ 5 11 9 — — — 25 Collectively evaluated for impairment 1,090 3,596 656 105 30 4 5,481 Acquired credit impaired loans — — — — — — — Balance, end of year $ 1,095 3,607 665 105 30 4 5,506 Loans: Individually evaluated for impairment $ 155 2,945 559 — — — 3,659 Collectively evaluated for impairment 101,355 883,122 333,384 34,291 10,649 122 1,362,923 Acquired credit impaired loans 88 1,612 1,163 — — — 2,863 Balance, end of year $ 101,598 887,679 335,106 34,291 10,649 122 1,369,445 Ratio of net charge-offs to average loans — % (0.01) % (0.01) % 0.01 % — % 16.24 % — % Commercial Commercial, Residential Consumer Agricultural Other Total 2020 Allowance for loan losses: Balance, beginning of year $ 456 2,924 528 99 34 4 4,045 Provision for (recovery of) loan losses 342 1,332 239 62 (6) 45 2,014 Losses charged off (13) (353) (5) (30) — (140) (541) Recoveries 31 — 75 22 — 82 210 Balance, end of year $ 816 3,903 837 153 28 (9) 5,728 Individually evaluated for impairment $ 8 17 27 — — — 52 Collectively evaluated for impairment 808 3,886 810 153 28 (9) 5,676 Acquired credit impaired loans — — — — — — — Balance, end of year $ 816 3,903 837 153 28 (9) 5,728 Ratio of net charge-offs to average loans (0.02) % 0.04 % (0.02) % 0.02 % — % 10.83 % 0.03 % The risk characteristics of LCNB's material loan portfolio segments were as follows: Commercial & Industrial Loans. LCNB’s commercial and industrial loan portfolio consists of loans for various purposes, including, for example, loans to fund working capital requirements (such as inventory and receivables financing) and purchases of machinery and equipment. LCNB offers a variety of commercial and industrial loan arrangements, including term loans, balloon loans, and lines of credit. Commercial & industrial loans can have a fixed or variable rate, with maturities ranging from one This category includes PPP loans that were authorized under the CARES Act and updated by the Economic Aid Act. The PPP was implemented by the SBA with support from the Department of the Treasury and provided small businesses that were negatively impacted by the COVID-19 pandemic with g overnment guaranteed and potentially forgivable loans that could be used to pay up to eight or twenty-four weeks, depending on the date of the loan, of payroll costs including benefits. Funds could also be used to pay interest on mortgages, rent, utilities, covered operations expenditures, covered property damage costs, covered supplier costs, and covered worker protection expenditures. LCNB originated 316 PPP loans with original balances totaling $45.5 million during 2020 and originated an additional 358 loans with original balances totaling $38.3 million during the first half of 2021. Outstanding PPP loans at December 31, 2022 and 2021 totaled $40,000 and $6,935,000, respectively, and unrecognized fees at those dates totaled $4,000 and $272,000, respectively. Commercial, Secured by Real Estate Loans. Commercial real estate loans include loans secured by a variety of commercial, retail and office buildings, religious facilities, hotels, multifamily (more than four-family) residential properties, construction and land development loans, and other land loans. Mortgage loans secured by owner-occupied agricultural property are included in this category. Commercial real estate loan products generally amortize over five one one Commercial real estate loans are underwritten based on the ability of the property, in the case of income producing property, or the borrower’s business to generate sufficient cash flow to amortize the debt. Secondary emphasis is placed upon global debt service, collateral value, financial strength and liquidity of any and all guarantors, and other factors. Commercial real estate loans are generally originated with a 75% to 85% maximum loan to appraised value ratio, depending upon borrower occupancy. Residential Real Estate Loans. Residential real estate loans include loans secured by first or second mortgage liens on one to four-family residential properties. Home equity lines of credit are included in this category. First and second mortgage loans are generally amortized over five one Residential real estate loans are underwritten primarily based on the borrower’s ability to repay, prior credit history, and the value of the collateral. LCNB generally requires private mortgage insurance for first mortgage loans that have a loan to appraised value ratio of greater than 80% or may require other credit enhancements for second lien mortgage loans. Consumer Loans. LCNB’s portfolio of consumer loans generally includes secured and unsecured loans to individuals for household, family and other personal expenditures. Secured loans include loans to fund the purchase of automobiles, recreational vehicles, boats, and similar acquisitions. Consumer loans made by LCNB generally have fixed rates and terms ranging up to 72 months, depending upon the nature of the collateral, size of the loan, and other relevant factors. Consumer loans generally have higher interest rates, but pose additional risks of collectability and loss when compared to certain other types of loans. Collateral, if present, is generally subject to damage, wear, and depreciation. The borrower’s ability to repay is of primary importance in the underwriting of consumer loans. Agricultural Loans. LCNB’s portfolio of agricultural loans includes loans for financing agricultural production or for financing the purchase of equipment used in the production of agricultural products. LCNB’s agricultural loans are generally secured by farm machinery, livestock, crops, vehicles, or other agricultural-related collateral. LCNB uses a risk-rating system to quantify loan quality. A loan is assigned to a risk category based on relevant information about the ability of the borrower to service the debt including, but not limited to, current financial information, historical payment experience, credit documentation, public information, and current economic trends. The categories used are: • Pass – loans categorized in this category are higher quality loans that do not fit any of the other categories described below. • Other Assets Especially Mentioned (OAEM) - loans in this category are currently protected but are potentially weak. These loans constitute a risk but not to the point of justifying a classification of substandard. The credit risk may be relatively minor yet constitute an undue risk in light of the circumstances surrounding a specific asset. • Substandard – loans in this category are inadequately protected by the current sound net worth and paying capacity of the obligor or of the collateral pledged, if any. Assets so classified must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the possibility that LCNB will sustain some loss if the deficiencies are not corrected. • Doubtful – loans classified in this category have all the weaknesses inherent in loans classified as substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. An analysis of the Company’s loan portfolio by credit quality indicators at December 31 is as follows (in thousands): Pass OAEM Substandard Doubtful Total 2022 Commercial & industrial $ 114,573 3,744 2,010 — 120,327 Commercial, secured by real estate 913,375 15,344 7,536 — 936,255 Residential real estate 304,513 — 1,615 — 306,128 Consumer 28,411 — 3 — 28,414 Agricultural 10,073 — — — 10,073 Other 81 — — — 81 Total $ 1,371,026 19,088 11,164 — 1,401,278 2021 Commercial & industrial $ 98,694 2,757 147 — 101,598 Commercial, secured by real estate 851,709 22,336 13,634 — 887,679 Residential real estate 332,962 — 2,144 — 335,106 Consumer 34,281 — 10 — 34,291 Agricultural 10,649 — — — 10,649 Other 122 — — — 122 Total $ 1,328,417 25,093 15,935 — 1,369,445 LCNB generally performs a classification of assets review, including the regulatory classification of assets, on an ongoing basis. The results of the classification of assets review are validated annually by an independent third party loan review firm. In the event of a difference in rating or classification between those assigned by the internal and external resources, the Company will utilize the more critical or conservative rating or classification. Loans with regulatory classifications are presented monthly to the Board of Directors. LCNB evaluates the loan risk grading system definitions and allowance for loan loss methodology on an ongoing basis. No significant changes were made to either during the past year. A loan portfolio aging analysis at December 31 is as follows (in thousands): 30-59 Days 60-89 Days Greater Than Total Current Total Loans Total Loans Greater Than 2022 Commercial & industrial $ — — — — 120,327 120,327 — Commercial, secured by real estate — — — — 936,255 936,255 — Residential real estate 81 — 79 160 305,968 306,128 39 Consumer 117 3 — 120 28,294 28,414 — Agricultural — — — — 10,073 10,073 — Other 81 — — 81 — 81 — Total $ 279 3 79 361 1,400,917 1,401,278 39 2021 Commercial & industrial $ — — — — 101,598 101,598 — Commercial, secured by real estate 181 — 784 965 886,714 887,679 — Residential real estate 1,130 1 109 1,240 333,866 335,106 51 Consumer 22 5 5 32 34,259 34,291 5 Agricultural — — — — 10,649 10,649 — Other 122 — — 122 — 122 — Total $ 1,455 6 898 2,359 1,367,086 1,369,445 56 Impaired loans, including acquired credit impaired loans, for the years ended December 31 were as follows (in thousands): Recorded Unpaid Related Average Interest 2022 With no related allowance recorded: Commercial & industrial $ 414 523 — 311 145 Commercial, secured by real estate 1,042 1,255 — 2,220 357 Residential real estate 1,173 1,379 — 1,306 234 Consumer — — — — — Agricultural — — — — — Other — — — — — Total $ 2,629 3,157 — 3,837 736 With an allowance recorded: Commercial & industrial $ 114 119 4 135 8 Commercial, secured by real estate 645 645 11 663 43 Residential real estate 185 185 6 194 11 Consumer — — — — — Agricultural — — — — — Other — — — — — Total $ 944 949 21 992 62 Total: Commercial & industrial $ 528 642 4 446 153 Commercial, secured by real estate 1,687 1,900 11 2,883 400 Residential real estate 1,358 1,564 6 1,500 245 Consumer — — — — — Agricultural — — — — — Other — — — — — Total $ 3,573 4,106 21 4,829 798 Recorded Unpaid Related Average Interest 2021 With no related allowance recorded: Commercial & industrial $ 88 316 — 236 83 Commercial, secured by real estate 3,897 4,736 — 5,978 411 Residential real estate 1,501 1,857 — 2,553 227 Consumer — — — 1 — Agricultural — — — — — Other — — — 144 127 Total $ 5,486 6,909 — 8,912 848 With an allowance recorded: Commercial & industrial $ 155 160 5 175 10 Commercial, secured by real estate 660 660 11 674 36 Residential real estate 221 221 9 230 13 Consumer — — — — — Agricultural — — — — — Other — — — — — Total $ 1,036 1,041 25 1,079 59 Total: Commercial & industrial $ 243 476 5 411 93 Commercial, secured by real estate 4,557 5,396 11 6,652 447 Residential real estate 1,722 2,078 9 2,783 240 Consumer — — — 1 — Agricultural — — — — — Other — — — 144 127 Total $ 6,522 7,950 25 9,991 907 Average Interest 2020 With no related allowance recorded: Commercial & industrial $ 1,044 335 Commercial, secured by real estate 7,070 731 Residential real estate 3,290 316 Consumer 10 1 Agricultural — — Other 234 36 Total $ 11,648 1,419 With an allowance recorded: Commercial & industrial $ 212 12 Commercial, secured by real estate 1,517 18 Residential real estate 404 18 Consumer 3 — Agricultural — — Other — — Total $ 2,136 48 Total: Commercial & industrial $ 1,256 347 Commercial, secured by real estate 8,587 749 Residential real estate 3,694 334 Consumer 13 1 Agricultural — — Other 234 36 Total $ 13,784 1,467 Of the interest income recognized on impaired loans during 2022, 2021, and 2020, approximately $5,000, $37,000, and $34,000, respectively, were recognized on a cash basis. The Company continued to accrue interest on certain loans classified as impaired during 2022, 2021, and 2020 because they were restructured or considered well secured and in the process of collection. From time to time, the terms of certain loans are modified as troubled debt restructurings ("TDRs") where concessions are granted to borrowers experiencing financial difficulties. The modification of the terms of such loans may have included one, or a combination, of the following: a temporary or permanent reduction of the stated interest rate of the loan, an increase in the stated rate of interest lower than the current market rate for new debt with similar risk, forgiveness of principal, an extension of the maturity date, or a change in the payment terms. Loan modifications that were classified as troubled debt restructurings during the years ended December 31 were as follows (dollars in thousands): 2022 2021 2020 Number Pre-Modification Recorded Balance Post-Modification Recorded Balance Number Pre-Modification Recorded Balance Post-Modification Recorded Balance Number Pre-Modification Recorded Balance Post-Modification Recorded Balance Commercial and industrial — $ — $ — — $ — $ — 1 $ 5 $ 4 Commercial, secured by real estate — — — — — — 1 1,525 1,525 Residential real estate — — — 3 97 101 1 14 14 Consumer — — — — — — — — — Totals — $ — $ — 3 $ 97 $ 101 3 $ 1,544 $ 1,543 Post-modification balances of newly restructured troubled debt by type of modification for the years ended December 31 were as follows (in thousands): Term Modification Rate Modification Interest Only Principal Forgiveness Combination Total Modifications 2022 Commercial & industrial $ — — — — — — Commercial, secured by real estate — — — — — — Residential real estate — — — — — — Consumer — — — — — — Total $ — — — — — — 2021 Commercial & industrial $ — — — — — — Commercial, secured by real estate — — — — — — Residential real estate 32 — — — 69 101 Consumer — — — — — — Total $ 32 — — — 69 101 2020 Commercial & industrial $ — — — — 4 4 Commercial, secured by real estate — — — — 1,525 1,525 Residential real estate — — — — 14 14 Consumer — — — — — — Total $ — — — — 1,543 1,543 LCNB is not committed to lend additional funds to borrowers whose loan terms were modified in a troubled debt restructuring. There were no troubled debt restructurings that subsequently defaulted within twelve months of the restructuring date for the years ended December 31, 2022, 2021, or 2020. All troubled debt restructurings are considered impaired loans. The allowance for loan loss on such restructured loans is based on the present value of future expected cash flows. Information concerning the post-modification balances of loans that were modified during the year ended December 31 and that were determined to be troubled debt restructurings follows (in thousands): 2022 2021 Impaired loans without a valuation allowance at the end of the period — 101 Impaired loans with a valuation allowance at the end of the period — — Mortgage loans sold to and serviced for the Federal Home Loan Mortgage Corporation and other investors are not included in the accompanying Consolidated Balance Sheets. The unpaid principal balances of those loans at December 31, 2022 and 2021 were approximately $148,412,000 and $149,382,000, respectively.

ACQUIRED CREDIT IMPAIRED LOANS

ACQUIRED CREDIT IMPAIRED LOANS	12 Months Ended
	Dec. 31, 2022
Acquired Credit Impaired Loans [Abstract]
ACQUIRED CREDIT IMPAIRED LOANS	ACQUIRED CREDIT IMPAIRED LOANS The following table provides, as of December 31, the major classifications of loans acquired that are accounted for in accordance with FASB ASC 310-30 (in thousands): 2022 2021 Acquired from First Capital Bancshares, Inc. Commercial & industrial $ 68 1 Commercial, secured by real estate — — Residential real estate 262 398 Total $ 330 399 Acquired from Eaton National Bank & Trust Co. Commercial & industrial $ 284 — Commercial, secured by real estate 68 310 Residential real estate 456 463 Total $ 808 773 Acquired from BNB Bancorp, Inc. Commercial & industrial $ — — Commercial, secured by real estate 623 688 Residential real estate 61 51 Total $ 684 739 Acquired from Columbus First Bancorp, Inc. Commercial & industrial $ 62 87 Commercial, secured by real estate 33 614 Residential real estate 97 251 Total 192 952 Total Commercial & industrial $ 414 88 Commercial, secured by real estate 724 1,612 Residential real estate 876 1,163 Total $ 2,014 2,863 The following table provides the outstanding balance and related carrying amount for acquired impaired loans at December 31 (in thousands): 2022 2021 Outstanding balance $ 2,396 3,769 Carrying amount 2,014 2,863 Activity during 2022 and 2021 for the accretable discount related to acquired impaired loans is as follows (in thousands): 2022 2021 Accretable discount, beginning of year $ 116 182 Reclass from nonaccretable discount to accretable discount 407 266 Less accretion (490) (332) Accretable discount, end of year $ 33 116

OTHER REAL ESTATE OWNED

OTHER REAL ESTATE OWNED	12 Months Ended
	Dec. 31, 2022
Real Estate [Abstract]
OTHER REAL ESTATE OWNED	OTHER REAL ESTATE OWNED Other real estate owned includes property acquired through foreclosure or deed-in-lieu of foreclosure and are included in other assets in the Consolidated Balance Sheets. Changes in other real estate owned were as follows (in thousands): 2022 2021 Balance, beginning of year $ — 197 Additions 717 — Reductions due to sales (717) (197) Balance, end of year $ — — There were no residential consumer mortgage loans secured by residential real estate in the process of foreclosure at December 31, 2022.

PREMISES AND EQUIPMENT

PREMISES AND EQUIPMENT	12 Months Ended
	Dec. 31, 2022
Property, Plant and Equipment [Abstract]
PREMISES AND EQUIPMENT	PREMISES AND EQUIPMENT Premises and equipment at December 31 are summarized as follows (in thousands): 2022 2021 Land $ 8,222 8,512 Buildings 30,148 31,296 Equipment 17,266 17,272 Construction in progress 4,558 4,100 Total 60,194 61,180 Less accumulated depreciation 27,152 25,795 Premises and equipment, net $ 33,042 35,385 Depreciation charged to expense was $1,897,000 in 2022, $1,931,000 in 2021, and $1,834,000 in 2020.

LEASES

LEASES	12 Months Ended
	Dec. 31, 2022
Leases [Abstract]
Lessee, Operating Leases	LEASES LCNB has capitalized operating leases for its Union Village, Fairfield, Barron Street, and Worthington offices, for the land at its Oxford and Oakwood offices, for certain office equipment, and for its ATMs. The Oakwood lease has a remaining term of fifteen years with options to renew for six additional periods of five years each. The Oxford lease has a remaining term of thirty-eight years with no renewal options. The other leases have remaining terms of less than one year up to nine years, some of which contain options to renew the leases for additional five Lease expenses for offices are included in the Consolidated Statements of Income in occupancy expense, net and lease expenses for equipment and ATMs are included in equipment expenses. Components of lease expense for the years ended December 31 are as follows (in thousands): 2022 2021 Operating lease expense $ 616 840 Short-term lease expense 243 48 Variable lease expense 4 4 Other 11 10 Total lease expense $ 874 902 Other information related to leases at December 31, 2022 is as follows (dollars in thousands): Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 623 Right-of-use assets obtained in exchange for new operating lease liabilities $ 370 Weighted average remaining lease term in years for operating leases 33.4 Weighted average discount rate for operating leases 3.46 % Future payments due under operating leases as of December 31, 2022 are as follows (in thousands): 2023 $ 665 2024 675 2025 471 2026 333 2027 311 Thereafter 9,966 12,421 Less effects of discounting 6,051 Operating lease liabilities recognized $ 6,370 Rental expense for all leased branches and equipment was approximately $874,000 in 2022, $902,000 in 2021, and $731,000 in 2020.

GOODWILL AND OTHER INTANGIBLE A

GOODWILL AND OTHER INTANGIBLE ASSETS	12 Months Ended
	Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLE ASSETS	GOODWILL AND OTHER INTANGIBLE ASSETS LCNB performs an impairment test of the carrying value of goodwill annually in the fourth quarter or sooner if circumstances indicate a possible impairment. Impairment indicators that may be considered include the condition of the economy and banking industry; estimated future cash flows; government intervention and regulatory updates; the impact of recent events to financial performance and cost factors of the reporting unit; performance of LCNB’s stock and other relevant events. These and other factors could lead to a conclusion that goodwill is impaired, which would require LCNB to write off the difference between the estimated fair value of the Company and its carrying value. Other intangible assets in the Consolidated Balance Sheets at December 31 were as follows (in thousands): 2022 2021 Gross Accumulated Net Gross Accumulated Net Core deposit intangibles $ 8,544 7,588 956 8,544 7,110 1,434 Mortgage servicing rights 2,408 1,537 871 2,323 1,284 1,039 Total $ 10,952 9,125 1,827 10,867 8,394 2,473 The estimated aggregate future amortization expense for each of the next five years for intangible assets remaining as of December 31, 2022 is as follows (in thousands): 2023 $ 647 2024 514 2025 302 2026 113 2027 86

AFFORDABLE HOUSING TAX CREDIT L

AFFORDABLE HOUSING TAX CREDIT LIMITED PARTNERSHIP	12 Months Ended
	Dec. 31, 2022
Equity Method Investments and Joint Ventures [Abstract]
AFFORDABLE HOUSING TAX CREDIT LIMITED PARTNERSHIP	AFFORDABLE HOUSING TAX CREDIT LIMITED PARTNERSHIPS LCNB is a limited partner in limited partnerships that sponsor affordable housing projects utilizing the Low Income Housing Tax Credit (LIHTC) pursuant to Section 42 of the Internal Revenue Code. The purpose of the investments is to achieve a satisfactory return on capital, to facilitate the sale of additional affordable housing product offerings, and to assist in achieving goals associated with the Community Reinvestment Act. The primary activities of the limited partnerships include the identification, development, and operation of multi-family housing that is leased to qualifying residential tenants. The following table presents the balances of LCNB's affordable housing tax credit investment and related unfunded commitment at December 31 (in thousands): 2022 2021 Affordable housing tax credit investment $ 16,950 14,950 Less amortization 3,268 2,126 Net affordable housing tax credit investment $ 13,682 12,824 Unfunded commitment $ 7,185 8,655 The net affordable housing tax credit investment is included in other assets and the unfunded commitment is included in accrued interest and other liabilities in the Consolidated Balance Sheets. LCNB expects to fund the unfunded commitment over ten years. The following table presents other information relating to LCNB's affordable housing tax credit investment for the years indicated (in thousands): Year ended December 31, 2022 2021 2020 Tax credits and other tax benefits recognized $ 1,394 995 612 Tax credit amortization expense included in provision for income taxes 1,142 806 510

CERTIFICATES OF DEPOSIT

CERTIFICATES OF DEPOSIT	12 Months Ended
	Dec. 31, 2022
Deposits [Abstract]
CERTIFICATES OF DEPOSIT	TIME DEPOSITS Contractual maturities of time deposits at December 31, 2022 were as follows (in thousands): 2023 $ 80,283 2024 51,886 2025 8,108 2026 9,028 2027 5,683 Thereafter 1,512 $ 156,500 The aggregate amount of time deposits in denominations of $250,000 or more at December 31, 2022 and 2021 was $16,139,000 and $25,123,000, respectively.

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2022
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The provision for federal income taxes consists of (in thousands): 2022 2021 2020 Income taxes currently payable $ 5,162 4,317 3,951 Deferred income tax provision (benefit) (344) 294 134 Provision for income taxes $ 4,818 4,611 4,085 A reconciliation between the statutory income tax and the Company's effective tax rate follows: 2022 2021 2020 Statutory tax rate 21.0 % 21.0 % 21.0 % Increase (decrease) resulting from - Tax exempt interest (0.6) % (0.7) % (0.9) % Tax exempt income on bank owned life insurance (0.8) % (0.9) % (1.3) % Captive insurance premium income (0.9) % (0.8) % (0.8) % Affordable housing tax credit limited partnerships (0.8) % (0.6) % (0.4) % Tax benefit from certain provisions of the CARES Act — % — % (0.8) % Other – net — % — % 1.0 % Effective tax rate 17.9 % 18.0 % 17.8 % Deferred tax assets and liabilities, included in the Consolidated Balance Sheets with other assets, net in 2022 and accrued interest and other liabilities in 2021, consist of the following at December 31 (in thousands): 2022 2021 Deferred tax assets: Allowance for loan losses $ 1,186 1,156 Net unrealized losses on investment securities available-for-sale 7,955 408 Fair value adjustment on loans acquired from mergers 40 103 Deferred compensation 602 630 Minimum pension liability 7 73 Operating lease right-of-use assets 1,338 1,359 Other 165 96 11,293 3,825 Deferred tax liabilities: Depreciation of premises and equipment (1,174) (1,595) Amortization of intangibles (1,643) (1,518) Prepaid expenses (316) (323) FHLB stock dividends (183) (216) Operating lease liabilities (1,338) (1,359) (4,654) (5,011) Net deferred tax assets (liabilities) $ 6,639 (1,186) As of December 31, 2022 and 2021 there were no unrecognized tax benefits and the Company does not anticipate the total amount of unrecognized tax benefits will significantly change within the next twelve months. There were no amounts recognized for interest and penalties in the Consolidated Statements of Income for the three-year period ended December 31, 2022. The Company is no longer subject to examination by federal tax authorities for years before 2019.

COMMITMENTS AND CONTINGENT LIAB

COMMITMENTS AND CONTINGENT LIABILITIES	12 Months Ended
	Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENT LIABILITIES	COMMITMENTS AND CONTINGENT LIABILITIES LCNB is a party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit. They involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the balance sheets. The Company's exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit is represented by the contract amount of those instruments. The Bounce Protection product, a customer deposit overdraft program, is offered as a service and does not constitute a contract between the customer and LCNB. LCNB uses the same credit policies in making commitments and conditional obligations as it does for on-balance-sheet instruments. Financial instruments whose contract amounts represent off-balance-sheet credit risk at December 31 were as follows (in thousands): 2022 2021 Commitments to extend credit: Commercial loans $ 22,823 82,578 Other loans: Fixed rate 191 5,196 Adjustable rate 1,422 2,784 Unused lines of credit: Fixed rate 41,558 32,655 Adjustable rate 238,876 150,746 Unused overdraft protection amounts on demand and NOW accounts 16,566 16,711 Standby letters of credit 5 5 $ 321,441 290,675 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract or agreement. Unused lines of credit include amounts not drawn on line of credit loans. Commitments to extend credit and unused lines of credit generally have fixed expiration dates or other termination clauses. Standby letters of credit are conditional commitments issued to guarantee the performance of a customer to a third party. These guarantees generally are fully secured and have varying maturities. The Company evaluates each customer’s credit worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company, is based on management’s credit evaluation of the borrower. Collateral held varies, but may include accounts receivable; inventory; property, plant and equipment; residential realty; and income-producing commercial properties. Capital expenditures include: the construction or acquisition of new office buildings; improvements to LCNB's offices; purchases of furniture and equipment; and additions or improvements to LCNB's information technology system. Commitments outstanding for capital expenditures as of December 31, 2022 totaled approximately $419,000. The Company and the Bank are parties to various claims and proceedings arising in the normal course of business. Management, after consultation with legal counsel, believes that the liabilities, if any, arising from such proceedings and claims will not be material to LCNB's consolidated financial position or results of operations.

REGULATORY MATTERS

REGULATORY MATTERS	12 Months Ended
	Dec. 31, 2022
Regulatory Assets and Liabilities, Other Disclosure [Abstract]
REGULATORY MATTERS	REGULATORY MATTERS AND IMPACT ON PAYMENT OF DIVIDENDS The principal source of income and funds for LCNB Corp. is dividends paid by the Bank. The payment of dividends is subject to restriction by regulatory authorities. For 2023, the restrictions generally limit dividends to the aggregate of net income for the year 2023 plus the net earnings retained for 2022 and 2021. In addition, dividend payments may not reduce capital levels below minimum regulatory guidelines. At December 31, 2022, approximately $12,947,000 of the Bank’s earnings retained was available for dividends in 2023 under this guideline. Dividends in excess of these limitations would require the prior approval of the Comptroller of the Currency. The Bank must meet certain minimum capital requirements set by federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possible additional discretionary actions by regulators that, if undertaken, could have a material effect on the Company's and Bank's financial statements. The Bank’s capital amounts and classification are also subject to qualitative judgments by regulators about components, risk weightings, and other factors. In addition to the minimum capital requirements, a financial institution needs to maintain a Capital Conservation Buffer composed of Common Equity Tier 1 Capital of at least 2.5% above its minimum risk-weighted capital requirements to avoid limitations on its ability to make capital distributions, including dividend payments to shareholders and certain discretionary bonus payments to executive officers. A financial institution with a buffer below 2.5% will be subject to increasingly stringent limitations on capital distributions as the buffer approaches zero. For various regulatory purposes, financial institutions are classified into categories based upon capital adequacy: Minimum Minimum Requirement with Capital Conservation Buffer To Be Considered Ratio of Common Equity Tier 1 Capital to risk-weighted assets 4.5 % 7.0 % 6.5 % Ratio of tier 1 capital to risk-weighted assets 6.0 % 8.5 % 8.0 % Ratio of total capital (tier 1 capital plus tier 2 capital) to risk-weighted assets 8.0 % 10.5 % 10.0 % Leverage ratio (tier 1 capital to adjusted quarterly average total assets) 4.0 % N/A 5.0 % As of the most recent notification from its regulators, the Bank was categorized as "well-capitalized" under the regulatory framework for prompt corrective action. Management believes that no conditions or events have occurred since the last notification that would change the Bank's category. On September 17, 2019, the FDIC finalized a rule that introduced an optional simplified measure of capital adequacy for qualifying community banking organizations, as required by the Economic Growth, Regulatory Relief and Consumer Protection Act. The simplified rule was designed to reduce burden by removing the requirements for calculating and reporting risk-based capital ratios for qualifying community banking organizations that opt into the framework. It could be used beginning with the March 31, 2020 Call Report. Qualifications to use the simplified approach include having a tier 1 leverage ratio of greater than 9%, less than $10 billion in total consolidated assets, and limited amounts of off-balance-sheet exposures and trading assets and liabilities. A qualifying community banking organization that opts into the framework and meets all requirements under the framework will be considered to have met the well-capitalized ratio requirements under the Prompt Corrective Action regulations and will not be required to report or calculate risk-based capital. LCNB qualifies to use the simplified measure, but did not opt in for the December 31, 2022 or 2021 regulatory capital calculations. A summary of the regulatory capital of the Bank at December 31 follows (dollars in thousands): 2022 2021 Regulatory Capital: Shareholders' equity $ 213,052 234,451 Goodwill and other intangible assets (60,177) (60,655) Accumulated other comprehensive (income) loss 29,945 1,809 Tier 1 risk-based capital 182,820 175,605 Eligible allowance for loan losses 5,646 5,506 Total risk-based capital $ 188,466 181,111 Capital Ratios: Common Equity Tier 1 Capital to risk-weighted assets 11.94 % 12.25 % Tier 1 capital to risk-weighted assets 11.94 % 12.25 % Total capital (tier 1 capital plus tier 2 capital) to risk-weighted assets 12.31 % 12.64 % Leverage ratio (tier 1 capital to adjusted quarterly average total assets) 9.72 % 9.58 %

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME	12 Months Ended
	Dec. 31, 2022
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
ACCUMULATED OTHER COMPREHENSIVE INCOME	ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) Changes in accumulated other comprehensive income (loss) for 2022 and 2021 were as follows (in thousands): 2022 2021 Unrealized Gains and Losses on Available-for-Sale Securities Changes in Pension Plan Assets and Benefit Obligations Total Unrealized Gains and Losses on Available-for-Sale Securities Changes in Pension Plan Assets and Benefit Obligations Total Balance at beginning of year $ (1,536) (273) (1,809) 4,348 (305) 4,043 Before reclassifications (28,391) 246 (28,145) (5,645) 32 (5,613) Reclassifications — — — (239) — (239) Balance at end of year $ (29,927) (27) (29,954) (1,536) (273) (1,809) Reclassifications out of accumulated other comprehensive loss during 2022 and 2021 and the affected line items in the Consolidated Statements of Income were as follows (in thousands): 2022 2021 Affected Line Item in the Consolidated Statements of Income Net gains on sales of debt securities $ — 303 Net gains (losses) on sales of debt securities Less provision for income taxes — 64 Provision for income taxes Reclassification adjustment, net of taxes $ — 239

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	12 Months Ended
	Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]
STOCK BASED COMPENSATION	STOCK-BASED COMPENSATION LCNB established an Ownership Incentive Plan (the "2002 Plan") during 2002 that allowed for stock-based awards to eligible employees, as determined by the Board of Directors. The awards were in the form of stock options, share awards, and/or appreciation rights. The 2002 Plan provided for the issuance of up to 200,000 shares. The 2002 Plan expired on April 16, 2012. Any outstanding unexercised options, however, continued to be exercisable in accordance with their terms and the last of the options were exercised during 2021. The 2015 Ownership Incentive Plan (the "2015 Plan") was approved by LCNB's shareholders at the annual meeting on April 28, 2015 and allows for stock-based awards to eligible employees, as determined by the Compensation Committee of LCNB's Board of Directors ("Compensation Committee"). Awards may be made in the form of stock options, appreciation rights, restricted shares, and/or restricted share units. The 2015 Plan provides for the issuance of up to 450,000 shares of common stock. The 2015 Plan will terminate on April 28, 2025 and is subject to earlier termination by the Compensation Committee. Stock-based awards may be in the form of treasury shares or newly issued shares. LCNB has not granted stock options since 2012. The following table summarizes stock option activity for the years indicated: 2021 2020 Options Weighted Weighted Outstanding at January 1, 311 $ 12.60 9,904 $ 11.96 Exercised (311) 12.60 (9,593) 11.94 Expired — — — — Outstanding at December 31, — $ — 311 $ 12.60 Exercisable at December 31, — $ — 311 $ 12.60 The following table provides information related to stock options exercised during the years indicated (in thousands): 2021 2020 Intrinsic value of options exercised $ 1 46 Cash received from options exercised 4 114 Tax benefit realized from options exercised — 5 Compensation costs related to option awards were recognized in full during the first quarter 2017. Restricted stock awards granted under the 2015 Plan were as follows: 2022 2021 2020 Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Outstanding at January 1, 44,512 $ 17.08 28,596 $ 17.42 17,752 $ 18.03 Granted 32,554 19.25 26,321 16.85 19,211 16.87 Vested (18,752) 18.01 (9,649) 17.49 (4,817) 17.83 Forfeited — — (756) 16.86 (3,550) 16.9 Outstanding at December 31, 58,314 $ 17.99 44,512 $ 17.08 28,596 $ 17.42 Total expense related to restricted stock awards included in salaries and wages in the Consolidated Statements of Income for the years ended December 31, 2022, 2021, and 2020 was $531,000, $249,000, and $137,000 respectively. The related tax benefit for the years ended December 31, 2022, 2021, and 2020 was $111,000, $52,000, and $29,000, respectively. Unrecognized compensation expense for restricted stock awards was $701,000 at December 31, 2022 and is expected to be recognized over a period of 4.2 years.

EARNINGS PER SHARE

EARNINGS PER SHARE	12 Months Ended
	Dec. 31, 2022
Earnings Per Share [Abstract]
EARNINGS PER SHARE	EARNINGS PER SHARELCNB has granted restricted stock awards with non-forfeitable dividend rights, which are considered participating securities. Accordingly, earnings per share is computed using the two-class method as required by FASB ASC 260-10-45. Basic earnings per common share is calculated by dividing net income allocated to common shareholders by the weighted average number of common shares outstanding during the period, which excludes the participating securities. Diluted earnings per common share is adjusted for the dilutive effects of stock options, warrants, and restricted stock. The diluted average number of common shares outstanding has been increased for the assumed exercise of stock options with proceeds used to purchase treasury shares at the average market price for the period. Earnings per share for the years ended December 31 were calculated as follows (in thousands, except share and per share data): 2022 2021 2020 Net income $ 22,128 20,974 20,075 Less allocation of earnings and dividends to participating securities 114 75 45 Net income allocated to common shareholders $ 22,014 20,899 20,030 Weighted average common shares outstanding, gross 11,469,676 12,635,013 12,943,622 Less average participating securities 58,695 45,408 29,345 Weighted average number of shares outstanding used in the calculation of basic earnings per common share 11,410,981 12,589,605 12,914,277 Add dilutive effect of: Stock options — 8 307 Adjusted weighted average number of shares outstanding used in the calculation of diluted earnings per common share 11,410,981 12,589,613 12,914,584 Earnings per common share: Basic $ 1.93 1.66 1.55 Diluted 1.93 1.66 1.55

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2022
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	RELATED PARTY TRANSACTIONS LCNB has entered into related party transactions with various directors and executive officers. Management believes these transactions do not involve more than a normal risk of collectability or present other unfavorable features. The following table provides a summary of the loan activity for these officers and directors for the years ended December 31 (in thousands): 2022 2021 Beginning balance $ 2,125 2,929 New loans and advances 317 250 Change in composition of related parties — (413) Reductions (250) (641) Ending Balance $ 2,192 2,125 Deposits from executive officers, directors and related interests of such persons held by the Company at December 31, 2022 and 2021 amounted to $2,163,000 and $3,373,000, respectively.

FAIR VALUE OF FINANCIAL INSTRUM

FAIR VALUE OF FINANCIAL INSTRUMENTS	12 Months Ended
	Dec. 31, 2022
Fair Value Disclosures [Abstract]
FAIR VALUE OF FINANCIAL INSTRUMENTS	FAIR VALUE OF FINANCIAL INSTRUMENTS LCNB measures certain assets at fair value using various valuation techniques and assumptions, depending on the nature of the asset. Fair value is defined as the price that would be received from the sale of an asset in an orderly transaction between market participants at the measurement date. The inputs to the valuation techniques used to measure fair value are assigned to one of three broad levels: • Level 1 – quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the reporting date. • Level 2 – inputs other than quoted prices included within level 1 that are observable for the asset or liability either directly or indirectly. Level 2 inputs may include quoted prices for similar assets in active markets, quoted prices for identical assets or liabilities in markets that are not active, inputs other than quoted prices (such as interest rates or yield curves) that are observable for the asset or liability, and inputs that are derived from or corroborated by observable market data. • Level 3 – inputs that are unobservable for the asset or liability. Equity Securities with a Readily Determinable Fair Value Equity securities with a readily determinable fair value are reported at fair value with changes in fair value reported in other operating income in the Consolidated Statements of Income. Fair values for equity securities are determined based on market quotations (level 1). LCNB has invested in two mutual funds that are traded in active markets and their fair values are based on market quotations (level 1). Investments in another two mutual funds are measured at fair value using net asset values ("NAV") and are considered level 1 because the NAVs are determined and published and are the basis for current transactions. Debt Securities, Available-for-Sale The majority of LCNB's financial debt securities are classified as available-for-sale. The securities are reported at fair value with unrealized holding gains and losses reported net of income taxes in accumulated other comprehensive income (loss). LCNB utilizes a pricing service for determining the fair values of its debt securities. Methods and significant assumptions used to estimate fair value are as follows: • Fair value for U.S. Treasury notes are determined based on market quotations (level 1). • Fair values for the other debt securities are calculated using the discounted cash flow method for each security. The discount rates for these cash flows are estimated by the pricing service using rates observed in the market (level 2). Cash flow streams are dependent on estimated prepayment speeds and the overall structure of the securities given existing market conditions. Assets Recorded at Fair Value on a Nonrecurring Basis Assets that may be recorded at fair value on a nonrecurring basis include impaired loans, other real estate owned, and other repossessed assets. A loan is considered impaired when management believes it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement. Impaired loans are carried at the present value of estimated future cash flows using the loan's existing rate or the fair value of collateral if the loan is collateral dependent, if this value is less than the loan balance. These inputs are considered to be level 3. Other real estate owned is adjusted to fair value, less costs to sell, upon transfer of the loan to foreclosed assets, usually based on an appraisal of the property. Subsequently, foreclosed assets are carried at the lower of carrying value or fair value. Other repossessed assets are valued at estimated sales prices, less costs to sell. The inputs for other real estate owned and other repossessed assets are considered to be level 3. The following table summarizes the valuation of LCNB’s assets recorded at fair value by input levels as of December 31 (in thousands): Fair Value Measurements at the End of Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs 2022 Recurring fair value measurements: Equity securities with a readily determinable fair value: Equity securities $ 1,039 1,039 — — Mutual funds 41 41 — — Mutual funds measured at net asset value 1,193 1,193 — — Debt securities available-for-sale: U.S. Treasury notes 76,447 76,447 — — U.S. Agency notes 77,976 — 77,976 — Corporate bonds 6,685 — 6,685 — U.S. Agency mortgage-backed securities 79,440 — 79,440 — Municipal securities: Non-taxable 8,524 — 8,524 — Taxable 40,778 — 40,778 — Total recurring fair value measurements $ 292,123 78,720 213,403 — Nonrecurring fair value measurements: Impaired loans $ 923 — — 923 Total nonrecurring fair value measurements $ 923 — — 923 2021 Recurring fair value measurement: Equity securities with a readily determinable fair value: Equity securities $ 1,167 1,167 — — Mutual funds 51 51 — — Mutual funds measured at net asset value 1,328 1,328 — — Debt securities available-for-sale: U.S. Treasury notes 74,744 74,744 — — U.S. Agency notes 87,246 — 87,246 — Corporate bonds 5,152 — 5,152 — U.S. Agency mortgage-backed securities 96,676 — 96,676 — Municipal securities: Non-taxable 9,066 — 9,066 — Taxable 35,293 — 35,293 — Total recurring fair value measurements $ 310,723 77,290 233,433 — Nonrecurring fair value measurements: Impaired loans $ 1,011 — — 1,011 Total nonrecurring fair value measurements $ 1,011 — — 1,011 The following table presents quantitative information about unobservable inputs used in nonrecurring Level 3 fair value measurements at December 31, 2022 and 2021 (dollars in thousands): Range Fair Value Valuation Technique Unobservable Inputs High Low Weighted Average 2022 Impaired loans $ — Estimated sales price Adjustments for comparable properties, discounts to reflect current market conditions Not applicable 923 Discounted cash flows Discount rate 8.13 % 4.63 % 6.04 % 2021 Impaired loans $ — Estimated sales price Adjustments for comparable properties, discounts to reflect current market conditions Not applicable 1,011 Discounted cash flows Discount rate 8.25 % 4.00 % 6.07 % Carrying amounts and estimated fair values of financial instruments as of December 31 were as follows (in thousands): Fair Value Measurements at the End of Carrying Fair Quoted Significant Other Significant 2022 FINANCIAL ASSETS: Cash and cash equivalents $ 22,701 22,701 22,701 — — Debt securities, held-to-maturity 19,878 18,885 — — 18,885 Loans, net 1,395,632 1,219,112 — — 1,219,112 Accrued interest receivable 7,482 7,482 — 7,482 — FINANCIAL LIABILITIES: Deposits 1,604,970 1,604,380 1,448,470 155,910 — Long-term debt 19,072 18,573 — 18,573 — Accrued interest payable 311 311 — 311 — 2021 FINANCIAL ASSETS: Cash and cash equivalents $ 18,136 18,136 18,136 — — Debt securities, held-to-maturity 22,972 23,087 — — 23,087 Loans, net 1,363,939 1,333,840 — — 1,333,840 Accrued interest receivable 7,999 7,999 — 7,999 — FINANCIAL LIABILITIES: Deposits 1,628,819 1,630,158 1,435,487 194,671 — Long-term debt 10,000 10,292 — 10,292 — Accrued interest payable 277 277 — 277 — The fair values of off-balance-sheet financial instruments such as loan commitments and letters of credit are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements. The fair values of such instruments were not material at December 31, 2022 and 2021. Fair values of financial instruments are based on various assumptions, including the discount rate and estimates of future cash flows. Therefore, the fair values presented may not represent amounts that could be realized in actual transactions. In addition, because the required disclosures exclude certain financial instruments and all nonfinancial instruments, any aggregation of the fair value amounts presented would not represent the underlying value of the Company. .

PARENT COMPANY FINANCIAL INFORM

PARENT COMPANY FINANCIAL INFORMATION	12 Months Ended
	Dec. 31, 2022
Condensed Financial Information Disclosure [Abstract]
PARENT COMPANY FINANCIAL INFORMATION	PARENT COMPANY FINANCIAL INFORMATION Condensed financial information for LCNB Corp., at the parent company level only, follows (in thousands): Condensed Balance Sheets: December 31, 2022 2021 Assets: Cash on deposit with subsidiary $ 916 657 Cash on deposit with unrelated depository institution 620 451 Equity securities, at fair value 1,024 1,156 Investment in subsidiaries 215,222 236,401 Other assets 59 180 Total assets $ 217,841 238,845 Liabilities: Short-term borrowings $ 3,000 — Long-term debt 14,072 — Other liabilities 94 241 Total liabilities 17,166 241 Shareholders' equity 200,675 238,604 Total liabilities and shareholders' equity $ 217,841 238,845 Condensed Statements of Income Year ended December 31, 2022 2021 2020 Income: Dividends from subsidiaries $ 17,850 15,820 12,070 Interest and dividends 35 34 29 Other income (loss), net (123) 155 147 Total income 17,762 16,009 12,246 Total expenses 3,305 1,764 1,326 Income before income tax benefit and equity in undistributed income of subsidiaries 14,457 14,245 10,920 Income tax benefit (705) (333) (404) Equity in undistributed income of subsidiaries 6,966 6,396 8,751 Net income $ 22,128 20,974 20,075 Condensed Statements of Cash Flows Year ended December 31, 2022 2021 2020 Cash flows from operating activities: Net income $ 22,128 20,974 20,075 Adjustments for non-cash items - Increase in undistributed income of subsidiaries (6,966) (6,396) (8,751) Other, net 636 299 (88) Net cash flows provided by operating activities 15,798 14,877 11,236 Cash flows from investing activities: Purchases of equity securities — — (346) Proceeds from sales of equity securities — — 463 Net cash flows provided by (used in) investing activities — — 117 Cash flows from financing activities: Net increase in short-term borrowings 3,000 — — Proceeds from long-term debt 15,000 — — Principal payments on long-term debt (928) — — Proceeds from issuance of common stock 409 434 401 Payments to repurchase common stock (23,660) (8,310) (1,872) Cash dividends paid on common stock (9,191) (9,720) (9,448) Other — 4 114 Net cash flows used in financing activities (15,370) (17,592) (10,805) Net change in cash 428 (2,715) 548 Cash at beginning of year 1,108 3,823 3,275 Cash at end of year $ 1,536 1,108 3,823

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2022
Accounting Policies [Abstract]
BASIS OF PRESENTATION	BASIS OF PRESENTATION The consolidated financial statements include the accounts of the Company and its subsidiaries. Significant intercompany accounts and transactions are eliminated in consolidation. The accounting and reporting policies of the Company conform with U.S. generally accepted accounting principles and with general practices in the banking industry. Certain prior period data presented in the consolidated financial statements have been reclassified to conform with the current year presentation. These reclassifications had no effect on net income or shareholders' equity.
USE OF ESTIMATES	USE OF ESTIMATESThe preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period.  Actual results could differ from those estimates. Estimates that management has determined to be critical accounting estimates are more fully described in Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations of this Form 10-K.
CASH AND CASH EQUIVALENTS	CASH AND CASH EQUIVALENTS For purposes of reporting cash flows, cash and cash equivalents include cash, balances due from banks, federal funds sold, and interest-bearing demand deposits with original maturities of twelve months or less. Deposits with other banks routinely have balances greater than FDIC insured limits. Management considers the risk of loss to be very low with respect to such deposits.
INVESTMENT SECURITIES	INVESTMENT SECURITIES Certain municipal debt securities that management has the positive intent and ability to hold to maturity are classified as “held-to-maturity” and recorded at amortized cost. Debt securities not classified as held-to-maturity are classified as “available-for-sale” and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income, a separate component of shareholders’ equity. Amortization of premiums and accretion of discounts are recognized as adjustments to interest income using the level-yield method. Realized gains or losses from the sale of securities are recorded on the trade date and are computed using the specific identification method. Declines in the fair value of debt securities below their cost that are deemed to be other-than-temporarily impaired, and for which the Company does not intend to sell the securities and it is not more likely than not that the securities will be sold before the anticipated recovery of the impairment, are separated into losses related to credit factors and losses related to other factors. The losses related to credit factors are recognized in earnings and losses related to other factors are recognized in other comprehensive income. In estimating other than temporary impairment losses, management considers the length of time and the extent to which the fair value has been less than cost, the financial condition and near-term prospects of the issuer, and the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value. Management determined that no such impairment adjustment was required to be made in the Company's Consolidated Statements of Income as of December 31, 2022, 2021, and 2020. Equity securities with a readily determinable fair value are measured at fair value with changes in fair value recognized in net income. Federal Home Loan Bank ("FHLB") stock is an equity interest in the Federal Home Loan Bank of Cincinnati. It can be sold only at its par value of $100 per share and only to the FHLB or to another member institution. In addition, the equity ownership rights are more limited than would be the case for a public company because of the oversight role exercised by the Federal Housing Finance Agency in the process of budgeting and approving dividends. Federal Reserve Bank stock is similarly restricted in marketability and value. Both investments are carried at cost, which is their par value. FHLB and Federal Reserve Bank stock are both subject to minimum ownership requirements by member banks. The required investments in common stock are based on predetermined formulas.
LOANS	LOANS The Company’s loan portfolio includes most types of commercial and industrial loans, commercial loans secured by real estate, residential real estate loans, consumer loans, agricultural loans and other types of loans. Most of the properties collateralizing the loan portfolio are located within the Company’s market area. Loans are stated at the principal amount outstanding, net of unearned income, deferred origination fees and costs, and the allowance for loan losses. Interest income is accrued on the unpaid principal balance. The delinquency status of a loan is based on contractual terms and not on how recently payments have been received. Generally, a loan is placed on non-accrual status when it is classified as impaired or there is an indication that the borrower’s cash flow may not be sufficient to make payments as they come due, unless the loan is well secured and in the process of collection. Subsequent cash receipts on non-accrual loans are recorded as a reduction of principal and interest income is recorded once principal recovery is reasonably assured. The current year's accrued interest on loans placed on non-accrual status is charged against earnings. Previous years' accrued interest is charged against the allowance for loan losses. Non-accrual loans are returned to accrual status when, in the opinion of management, the financial position of the borrower indicates there is no longer a reasonable doubt as to the timely collection of interest or principal. Loan origination fees and certain direct loan origination costs are deferred and the net amount amortized as an adjustment of loan yields. These amounts are being amortized over the lives of the related loans. In the ordinary course of business, the Company enters into off-balance sheet financial instruments consisting of commitments to extend credit and standby letters of credit. Such financial instruments are recorded in the consolidated financial statements when they are funded. The credit risk associated with these commitments is evaluated in a manner similar to the allowance for loan losses. Loans acquired from mergers are recorded at fair value with no carryover of the acquired entity's previously established allowance for loan losses. The excess of expected cash flows over the estimated fair value of acquired loans is recognized as interest income over the remaining contractual lives of the loans using the level yield method. Subsequent decreases in expected cash flows will require additions to the allowance for loan losses. Subsequent improvements in expected cash flows result in the recognition of additional interest income over the then-remaining contractual lives of the loans. Management estimates the cash flows expected to be collected at acquisition using a third-party risk model, which incorporates the estimate of key assumptions, such as default rates, severity, and prepayment speeds. Impaired loans acquired are accounted for under Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") No. 310-30. Factors considered in evaluating whether an acquired loan was impaired include delinquency status and history, updated borrower credit status, collateral information, and current loan-to-value information. The difference between contractually required payments at the time of acquisition and the cash flows expected to be collected is referred to as the nonaccretable difference. The interest component of the cash flows expected to be collected is referred to as the accretable yield and is recognized as interest income over the remaining contractual life of the loan using the level yield method. Subsequent decreases in expected cash flows will require additions to the allowance for loan losses. Subsequent improvements in expected cash flows will result in a reclassification from the nonaccretable difference to the accretable yield.
ALLOWANCE FOR LOAN LOSSES	ALLOWANCE FOR LOAN LOSSES The allowance for loan losses is established through a provision for loan losses charged to expense. Loans are charged against the allowance for loan losses when management believes that the collectability of the principal is unlikely. Consumer loans are charged off when they reach 120 days past due. Subsequent recoveries, if any, are credited to the allowance. The provision for loan losses is determined by management based upon its evaluation of the amount needed to maintain the allowance for loan losses at a level considered appropriate in relation to the estimated risk of losses inherent in the portfolio. Current methodology used by management to estimate the allowance takes into consideration such factors as changes in the nature and volume of the loan portfolio, overall portfolio quality, review of specific problem loans, historic categorical trends, current delinquency levels as related to historical levels, portfolio growth rates, changes in composition of the portfolio, the current economic environment, as well as current allowance adequacy in relation to the portfolio. Management is cognizant that reliance on historical information coupled with the cyclical nature of the economy, including credit cycles, affects the allowance. Management considers all of these factors prior to making any adjustments to the allowance due to the subjectivity and imprecision involved in allocation methodology. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance consists of specific and general components. The specific component relates to loans that are specifically reviewed for impairment. For such loans, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. The general component covers loans not specifically reviewed for impairment and homogeneous loan pools, such as residential real estate and consumer loans. The general component is measured for each loan category separately based on each category’s average of historical loss experience over a trailing sixty month period, adjusted for qualitative factors. Such qualitative factors may include current economic conditions if different from the five-year historical loss period, trends in underperforming loans, trends in volume and terms of loan categories, concentrations of credit, and trends in loan quality. A loan is considered impaired when management believes, based on current information and events, it is probable that the Bank will be unable to collect all amounts due, including principal and interest, according to the contractual terms of the loan agreement. An impaired loan is measured by the present value of expected future cash flows using the loan's effective interest rate. An impaired collateral-dependent loan may be measured based on collateral value. Smaller-balance homogeneous loans, including residential mortgage and consumer installment loans, which are not evaluated individually are collectively evaluated for impairment.
PREMISES AND EQUIPMENT	PREMISES AND EQUIPMENT Premises and equipment are stated at cost less accumulated depreciation. Land is stated at cost. Depreciation is computed on both the straight-line and accelerated methods over the estimated useful lives of the assets, generally 15 to 40 years for premises and 3 to 10 years for equipment. Leasehold improvements are amortized over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. Costs incurred for maintenance and repairs are expensed as incurred. Premises and equipment are evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of a particular asset may not be recoverable.
OTHER REAL ESTATE OWNED	OTHER REAL ESTATE OWNED Other real estate owned includes properties acquired through foreclosure. Such property is held for sale and is initially recorded at fair value, less costs to sell, establishing a new cost basis. Fair value is primarily based on a property appraisal obtained at the time of transfer and any periodic updates that may be obtained thereafter. The allowance for loan losses is charged for any write down of the loan’s carrying value to fair value at the date of transfer. Any subsequent reductions in fair value and expenses incurred from holding other real estate owned are charged to other non-interest expense. Costs, excluding interest, relating to the improvement of other real estate owned are capitalized. Gains and losses from the sale of other real estate owned are included in other non-interest expense.
GOODWILL AND OTHER INTANGIBLE ASSETS	GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill is the excess of the purchase price over the fair value of the net identifiable assets acquired in a business combination. Goodwill is not amortized, but is instead subject to an annual review for impairment. A review for impairment may be conducted more frequently than annually if circumstances indicate a possible impairment. Impairment indicators that may be considered include the condition of the economy and banking industry; estimated future cash flows; government intervention and regulatory updates; the impact of recent events to financial performance and cost factors of the reporting unit; performance of LCNB’s stock, and other relevant events. These and other factors could lead to a conclusion that goodwill is impaired, which would require LCNB to write off the difference between the current estimated fair value of the Company and its carrying value. Mortgage loan servicing rights are recognized as assets based on the allocated value of retained servicing rights on mortgage loans sold. Mortgage loan servicing rights are carried at the lower of amortized cost or fair value and are expensed in proportion to, and over the period of, estimated net servicing revenues. Impairment is evaluated based on the fair value of the rights using groupings of the underlying mortgage loans as to interest rates. Any impairment of a grouping is reported as a valuation allowance. Servicing fee income is recorded for fees earned for servicing mortgage loans. The fees are based on a contractual percentage of the outstanding principal or a fixed amount per loan and are recorded as income when earned. Amortization of mortgage loan servicing rights is netted against mortgage loan servicing income and recorded in other operating income in the Consolidated Statements of Income. The Company’s other intangible assets relate to core deposits acquired from business combinations. These intangible assets are amortized on a straight-line basis over their estimated useful lives. Management evaluates whether events or circumstances have occurred that indicate the remaining useful life or carrying value of the amortizing intangible should be revised.
BANK OWNED LIFE INSURANCE	BANK OWNED LIFE INSURANCE The Company has purchased life insurance policies on certain officers of the Company. The Company is the beneficiary of these policies and has recorded the estimated cash surrender value in the Consolidated Balance Sheets. Income on the policies, based on the increase in cash surrender value and any incremental death benefits, is included in non-interest income in the Consolidated Statements of Income.
AFFORDABLE HOUSING TAX CREDIT LIMITED PARTNERSHIP	AFFORDABLE HOUSING TAX CREDIT LIMITED PARTNERSHIP LCNB has elected to account for its investment in an affordable housing tax credit limited partnership using the proportional amortization method. Accordingly, LCNB amortizes the initial cost of the investment to income tax expense in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense. The investment in the limited partnership is included in other assets and the unfunded commitment is included in accrued interest and other liabilities in LCNB's Consolidated Balance Sheets.
FAIR VALUE MEASUREMENTS	FAIR VALUE MEASUREMENTS Accounting guidance establishes a fair value hierarchy to prioritize the inputs to valuation techniques used to measure fair value. A financial instrument’s level within the hierarchy is based on the lowest level of input that is significant to the fair value measurement. The three broad input levels are: • Level 1 – quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the reporting date; • Level 2 – inputs other than quoted prices included within level 1 that are observable for the asset or liability either directly or indirectly; and • Level 3 - inputs that are unobservable for the asset or liability. Accounting guidance permits, but does not require, companies to measure many financial instruments and certain other items, including loans and debt securities, at fair value. The decision to elect the fair value option is made individually for each instrument and is irrevocable once made. Changes in fair value for the selected instruments are recorded in earnings. The Company did not select any financial instruments for the fair value election in 2022 or 2021.
ADVERTISING EXPENSE	ADVERTISING EXPENSE Advertising costs are expensed as incurred and are recorded as a marketing expense, a component of non-interest expense.
PENSION PLANS	PENSION PLANS The Company sponsors two pension plans, both of which are frozen to new participants. Eligible employees of the Company hired before 2009 participate in a multiple-employer qualified noncontributory defined benefit retirement plan. This plan is accounted for as a multi-employer plan because assets contributed by an employer are not segregated in a separate account or restricted to provide benefits only to employees of that employer. A company previously acquired by the Company had a qualified noncontributory, defined benefit pension plan, which has been assumed by the Company, that covers eligible employees hired before May 1, 2005. This is a single employer plan.
TREASURY STOCK	TREASURY STOCK Common shares repurchased are recorded at cost. Cost of shares retired or reissued is determined using the weighted average method.
STOCK OPTIONS AND RESTRICTED STOCK AWARD PLANS	STOCK OPTIONS AND RESTRICTED STOCK AWARD PLANS The cost of employee services received in exchange for stock option grants is the grant-date fair value of the award estimated using an option-pricing model. The compensation cost for restricted stock awards is based on the market price of the Company's common stock at the date of grant multiplied by the number of shares granted that are expected to vest. The estimated cost is recognized on a straight-line basis over the period the employee is required to provide services in exchange for the award, usually the vesting period. The Company uses a Black-Scholes pricing model and related assumptions for estimating the fair value of stock option grants and a five-year vesting period for stock options and restricted stock.
REVENUE RECOGNITION	REVENUE RECOGNITION Revenue-generating activities that are within the scope of ASC 606 and that are presented as non-interest income in LCNB's Consolidated Statements of Income include: • Fiduciary income - this includes periodic fees due from Wealth Management and Investment Services customers for managing the customers' financial assets. Fees are generally charged on a quarterly or annual basis and are recognized ratably throughout the period, as the services are provided on an ongoing basis. • Service charges and fees on deposit accounts - these include general service fees charged for deposit account maintenance and activity and transaction-based fees charged for certain services, such as debit card, wire transfer, or overdraft activities. Revenue is recognized when the performance obligation is completed, which is generally after a transaction is completed or monthly for account maintenance services.
INCOME TAXES	INCOME TAXES Deferred income taxes are determined using the asset and liability method of accounting. Under this method, the net deferred tax asset or liability is determined based on the tax effects of temporary differences between the book and tax basis of the various balance sheet assets and liabilities and gives current recognition to changes in tax rates and laws. Management analyzes material tax positions taken in any income tax return for any tax jurisdiction and determines the likelihood of the positions being sustained in a tax examination. A tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded.
EARNINGS PER SHARE	EARNINGS PER SHARE Basic earnings per share allocated to common shareholders is calculated using the two-class method and is computed by dividing net income allocated to common shareholders by the weighted average number of common shares outstanding during the period. Diluted earnings per share is adjusted for the dilutive effects of stock-based compensation and is calculated using the two-class method or the treasury stock method. The diluted average number of common shares outstanding has been increased for the assumed exercise of stock-based compensation with the proceeds used to purchase treasury shares at the average market price for the period.
RECENT ACCOUNTING PRONOUNCEMENTS	ADOPTION OF NEW ACCOUNTING PRONOUNCEMENTS ASU No. 2020-04, "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting" ASU No. 2020-04 was issued in March 2020 and provides optional guidance for a limited period of time to ease the potential burden in accounting for or recognizing the effects of reference rate reform on financial reporting. The amendments provide optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. Originally, the amendments in this update were effective for all entities as of March 12, 2020 through December 31, 2022. ASU No. 2022-06, "Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848" extended the sunset date from December 31, 2022 to December 31, 2024. LCNB does not expect the guidance in ASU No. 2020-04 will have a material impact on its results of consolidated operations or financial position. ASU No. 2018-14, "Compensation - Retirement Benefits - Defined Benefit Plans - General (Subtopic 715-20): Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans" ASU No. 2018-14 was issued in August 2018 and was adopted by LCNB on January 1, 2021. The amendments in this update modify disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans, including the deletion, modification, and addition of certain targeted disclosures. The amendments are to be applied on a retrospective basis to all periods presented upon adoption. Adoption of ASU No. 2018-14 did not have a material impact on LCNB's results of consolidated operations or financial position. ASU No. 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes" ASU No. 2019-12 was issued in December 2019 and adopted by LCNB on January 1, 2021. It simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and clarifies and amends certain other guidance. Adoption of ASU No. 2019-12 did not have a material impact on LCNB's results of consolidated operations or financial position. RECENT ACCOUNTING PRONOUNCEMENTS NOT YET EFFECTIVE From time to time the FASB issues an ASU to communicate changes to U.S. GAAP. The following information provides brief summaries of newly issued but not yet effective ASUs that could have an effect on LCNB’s financial position or results of consolidated operations: ASU No. 2016-13, "Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments" ASU No. 2016-13 was issued in June 2016 and became effective for LCNB on January 1, 2023. It will significantly change current guidance for recognizing impairment of financial instruments. Current guidance requires an "incurred loss" methodology for recognizing credit losses that delays recognition until it is probable a loss has been incurred. ASU No. 2016-13 replaces the incurred loss impairment methodology with a new current expected credit loss ("CECL") methodology that reflects expected credit losses over the lives of the loans and requires consideration of a broader range of information to inform credit loss estimates. The ASU requires an organization to estimate all expected credit losses for financial assets measured at amortized cost, including loans and held-to-maturity debt securities, based on historical experience, current conditions, and reasonable and supportable forecasts. Additional disclosures are required. ASU No. 2016-13 also amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. Under the new guidance, entities will determine whether all or a portion of the unrealized loss on an available-for-sale debt security is a credit loss. Any credit loss will be recognized as an allowance for credit losses on available-for-sale debt securities rather than as a direct reduction of the amortized cost basis of the investment, as is currently required. As a result, entities will recognize improvements to estimated credit losses on available-for-sale debt securities immediately in earnings rather than as interest income over time, as currently required. ASU No. 2016-13 eliminates the current accounting model for purchased credit impaired loans and debt securities. Instead, purchased financial assets with credit deterioration will be recorded gross of estimated credit losses as of the date of acquisition and the estimated credit losses amounts will be added to the allowance for credit losses. Thereafter, entities will account for additional impairment of such purchased assets using the models listed above. Based on LCNB's portfolio composition at December 31, 2022 and the economic environment at that time, the expected increase in LCNB's allowance for credit losses ("ACL") for loans is approximately $2.1 million and the expected ACL for unfunded commitments is approximately $500,000 as of January 1, 2023, the date LCNB adopted CECL. Approximately $350,000 of the increase to the ACL on loans resulted from the transfer of the non-accretable purchase accounting adjustments on purchased credit impaired loans. There was no impact from adoption of CECL on securities available-for sale. As a result of the adoption of this new standard on January 1, 2023, the expected adjustment to retained earnings is a reduction of approximately $1.6 million, which is net of an approximate $450,000 deferred tax asset adjustment stemming from the adoption. ASU No. 2022-02, "Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures" ASU No. 2022-02 was issued in March 2022. These amendments eliminate the TDR recognition and measurement guidance and, instead, require that an entity evaluate whether the modification represents a new loan or a continuation of an existing loan. The amendments also enhance disclosure requirements and introduce new requirements for certain modifications to borrowers experiencing financial difficulties. Additionally, the amendments also require the disclosure of current-period gross charge-offs by year of origination. For entities that have adopted ASU No. 2016-13, the update is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. LCNB adopted ASU No. 2022-02 on January 1, 2023 and it did not have a material impact on LCNB's results of consolidated operations, financial position, or disclosures.
Lessee, Leases	LEASES LCNB determines if a contract is a lease or contains a lease at its inception. A liability to make lease payments ("the lease liability") and a right-of-use asset representing the right to use the underlying asset for the lease term, initially measured at the present value of the lease payments, are recorded in the consolidated balance sheet. The discount rate is LCNB's incremental borrowing rate for periods similar to the respective lease terms. LCNB management is reasonably certain that it will exercise the renewal options contained within the contracts for its leased offices and these additional terms have been included in the calculation of the right-of-use assets and the lease liabilities. Most variable lease payments are excluded except for those that depend on an index or a rate or are in substance fixed payments. A lease is classified as a finance lease if it meets any of five designated criteria. If the lease does not meet any of the five criteria, the lease is classified as an operating lease. All leases entered into by LCNB through December 31, 2022 are classified as operating leases. Lease expense is recognized on a straight-line basis over the lease term for operating leases. LCNB has adopted an accounting policy election to not recognize lease assets and lease liabilities for leases with a term of twelve months or less. Lease expense for such leases is generally recognized on a straight-line basis over the lease term.
Financing Receivable, Held-for-sale	LOANS HELD FOR SALE Mortgage loans originated and intended for sale in the secondary market are carried at the lower of aggregate cost or fair value, as determined by outstanding commitments from investors. Net unrealized losses, if any, are recorded as a valuation allowance and charged to earnings. Mortgage loans held for sale are generally sold with servicing rights retained. Gains and losses on sales of mortgage loans are based on the difference between the selling price and the carrying value of the related mortgage loan sold, which is reduced by the cost allocated to the servicing right. LCNB generally locks in the sale price to the purchaser of the mortgage loan at the same time an interest rate commitment is made to the borrower.
Loan Commitments, Policy	FINANCIAL INSTRUMENTS AND LOAN COMMITMENTS Financial instruments include off-balance-sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded. Instruments, such as standby letters of credit, that are considered financial guarantees are recorded at fair value. Reserves for unfunded commitments are recorded as an other liability on the Consolidated Balance Sheets.
Debt, Policy	SHORT-TERM BORROWINGS Short-term borrowings consist of Federal funds purchased, Federal Home Loan Bank advances, and borrowings from non-affiliated banks. Short-term borrowings mature within one day to 365 days of the transaction date.

INVESTMENT SECURITIES (Tables)

INVESTMENT SECURITIES (Tables)	12 Months Ended
	Dec. 31, 2022
Investments, Debt and Equity Securities [Abstract]
Amortized Cost and Fair Value of Available-for-Sale Investment Securities	The amortized cost and estimated fair value of debt securities at December 31 are summarized as follows (in thousands): Amortized Unrealized Unrealized Fair 2022 Debt Securities Available-for-Sale: U.S. Treasury notes $ 84,927 — 8,480 76,447 U.S. Agency notes 89,160 — 11,184 77,976 Corporate Bonds 7,450 13 778 6,685 U.S. Agency mortgage-backed securities 90,746 5 11,311 79,440 Municipal securities: Non-taxable 8,892 — 368 8,524 Taxable 46,556 1 5,779 40,778 $ 327,731 19 37,900 289,850 Debt Securities Held-to-Maturity: Municipal securities: Non-taxable $ 16,447 10 594 15,863 Taxable 3,431 — 409 3,022 $ 19,878 10 1,003 18,885 2021 Debt Securities Available-for-Sale: U.S. Treasury notes $ 75,443 57 756 74,744 U.S. Agency notes 89,293 45 2,092 87,246 Corporate Bonds 5,200 70 118 5,152 U.S. Agency mortgage-backed securities 96,018 1,350 692 96,676 Municipal securities: Non-taxable 8,959 125 18 9,066 Taxable 35,208 531 446 35,293 $ 310,121 2,178 4,122 308,177 Debt Securities Held-to-Maturity: Municipal securities: Non-taxable $ 19,403 98 — 19,501 Taxable 3,569 21 4 3,586 $ 22,972 119 4 23,087
Securities in a Continuous Loss Position	Information concerning debt securities with gross unrealized losses at December 31, aggregated by length of time that individual securities have been in a continuous loss position, is as follows (in thousands): Less Than Twelve Months Twelve Months or More Fair Unrealized Fair Unrealized 2022 Available-for-Sale: U.S. Treasury notes $ 16,521 931 59,927 7,549 U.S. Agency notes 7,729 543 70,247 10,641 Corporate Bonds 2,667 283 3,255 495 U.S. Agency mortgage-backed securities 41,543 3,597 37,282 7,714 Municipal securities: Non-taxable 6,831 248 893 120 Taxable 22,162 1,951 18,435 3,828 $ 97,453 7,553 190,039 30,347 Held-to-Maturity: Municipal securities: Non-taxable $ 9,567 593 31 1 Taxable 2,811 370 212 39 $ 12,378 963 243 40 2021 Available-for-Sale: U.S. Treasury notes $ 66,891 756 — — U.S. Agency notes 58,648 1,257 20,289 835 Corporate Bonds 3,898 102 484 16 U.S. Agency mortgage-backed securities 49,813 692 — — Municipal securities: Non-taxable 1,020 18 — — Taxable 18,434 322 3,535 124 $ 198,704 3,147 24,308 975 Held-to-Maturity: Municipal securities: Non-taxable $ 46 — — — Taxable 271 4 — — $ 317 4 — —
Investments Classified by Contractual Maturity Date	Contractual maturities of debt securities at December 31, 2022 were as follows (in thousands). Actual maturities may differ from contractual maturities when issuers have the right to call or prepay obligations. Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair Due within one year $ 13,193 13,004 755 752 Due from one to five years 133,026 119,304 3,628 3,475 Due from five to ten years 90,036 77,467 2,440 2,238 Due after ten years 730 635 13,055 12,420 236,985 210,410 19,878 18,885 U.S. Agency mortgage-backed securities 90,746 79,440 — — $ 327,731 289,850 19,878 18,885
Realized Gain (Loss) on Investment Securities Available-for-Sale	Certain information concerning the sale of debt securities available-for-sale for the years ended December 31 was as follows (in thousands): 2022 2021 2020 Proceeds from sales $ — 21,235 8,786 Gross realized gains — 365 221 Gross realized losses — 62 —
Equity Securities with Readily Determinable Fair Value [Table Text Block]	The amortized cost and estimated fair value of equity securities with a readily determinable fair value at December 31 are summarized as follows (in thousands): 2022 2021 Amortized Fair Amortized Cost Fair Value Mutual funds $ 1,429 1,234 1,410 1,379 Equity securities 778 1,039 778 1,167 Total equity securities with a readily determinable fair value $ 2,207 2,273 2,188 2,546
Equity Securities With Readily Determinable Fair Value, Changes in Fair Value [Table Text Block]	Certain information concerning changes in fair value of equity securities with a readily determinable fair value for the years ended December 31 was as follows (in thousands): 2022 2021 2020 Net gains (losses) recognized $ (292) 141 675 Less net realized gains on equity securities sold — — 658 Unrealized gains (losses) recognized and still held at period end $ (292) 141 17

LOANS (Tables)

LOANS (Tables)	12 Months Ended
	Dec. 31, 2022
Receivables [Abstract]
Major Classifications of Loans	Major classifications of loans at December 31 were as follows (in thousands): 2022 2021 Commercial and industrial $ 120,327 101,598 Commercial, secured by real estate 936,255 887,679 Residential real estate 306,128 335,106 Consumer 28,414 34,291 Agricultural 10,073 10,649 Other loans, including deposit overdrafts 81 122 1,401,278 1,369,445 Less allowance for loan losses 5,646 5,506 Loans-net $ 1,395,632 1,363,939
Non-accrual, Past Due, and Accruing Restructured Loans	Non-accrual, past-due, and accruing restructured loans at December 31 were as follows (dollars in thousands): 2022 2021 Non-accrual loans: Commercial, secured by real estate $ 319 1,182 Residential real estate 72 299 Total non-accrual loans 391 1,481 Past-due 90 days or more and still accruing 39 56 Total non-accrual and past-due 90 days or more and still accruing 430 1,537 Accruing restructured loans 1,376 2,622 Total $ 1,806 4,159 Ratio of total non-accrual loans to total loans 0.03 % 0.11 % Ratio of total non-accrual loans, past-due 90 days or more and still accruing, and accruing restructured loans to total loans 0.13 % 0.30 %
Allowance for Loan Losses and Recorded Investments in Loans	The allowance for loan losses and recorded investment in loans for the years ended December 31 were as follows (in thousands): Commercial Commercial, Residential Consumer Agricultural Other Total 2022 Allowance for loan losses: Balance, beginning of year $ 1,095 3,607 665 105 30 4 5,506 Provision for (recovery of) loan losses 205 69 (81) (12) (8) 77 250 Losses charged off — (67) (5) (37) — (157) (266) Recoveries — — 45 30 — 81 156 Balance, end of year $ 1,300 3,609 624 86 22 5 5,646 Individually evaluated for impairment $ 4 11 6 — — — 21 Collectively evaluated for impairment 1,296 3,598 618 86 22 5 5,625 Acquired credit impaired loans — — — — — — — Balance, end of year $ 1,300 3,609 624 86 22 5 5,646 Loans: Individually evaluated for impairment $ 114 963 482 — — — 1,559 Collectively evaluated for impairment 119,799 934,568 304,770 28,414 10,073 81 1,397,705 Acquired credit impaired loans 414 724 876 — — — 2,014 Balance, end of year $ 120,327 936,255 306,128 28,414 10,073 81 1,401,278 Ratio of net charge-offs to average loans — % 0.01 % (0.01) % 0.02 % — % 100.00 % 0.01 % 2021 Allowance for loan losses: Balance, beginning of year $ 816 3,903 837 153 28 (9) 5,728 Provision for (recovery of) loan losses 279 (375) (190) (45) 2 60 (269) Losses charged off — (112) (28) (9) — (105) (254) Recoveries — 191 46 6 — 58 301 Balance, end of year $ 1,095 3,607 665 105 30 4 5,506 Individually evaluated for impairment $ 5 11 9 — — — 25 Collectively evaluated for impairment 1,090 3,596 656 105 30 4 5,481 Acquired credit impaired loans — — — — — — — Balance, end of year $ 1,095 3,607 665 105 30 4 5,506 Loans: Individually evaluated for impairment $ 155 2,945 559 — — — 3,659 Collectively evaluated for impairment 101,355 883,122 333,384 34,291 10,649 122 1,362,923 Acquired credit impaired loans 88 1,612 1,163 — — — 2,863 Balance, end of year $ 101,598 887,679 335,106 34,291 10,649 122 1,369,445 Ratio of net charge-offs to average loans — % (0.01) % (0.01) % 0.01 % — % 16.24 % — % Commercial Commercial, Residential Consumer Agricultural Other Total 2020 Allowance for loan losses: Balance, beginning of year $ 456 2,924 528 99 34 4 4,045 Provision for (recovery of) loan losses 342 1,332 239 62 (6) 45 2,014 Losses charged off (13) (353) (5) (30) — (140) (541) Recoveries 31 — 75 22 — 82 210 Balance, end of year $ 816 3,903 837 153 28 (9) 5,728 Individually evaluated for impairment $ 8 17 27 — — — 52 Collectively evaluated for impairment 808 3,886 810 153 28 (9) 5,676 Acquired credit impaired loans — — — — — — — Balance, end of year $ 816 3,903 837 153 28 (9) 5,728 Ratio of net charge-offs to average loans (0.02) % 0.04 % (0.02) % 0.02 % — % 10.83 % 0.03 %
Analysis of the Company's Loan Portfolio by Credit Quality Indicators	An analysis of the Company’s loan portfolio by credit quality indicators at December 31 is as follows (in thousands): Pass OAEM Substandard Doubtful Total 2022 Commercial & industrial $ 114,573 3,744 2,010 — 120,327 Commercial, secured by real estate 913,375 15,344 7,536 — 936,255 Residential real estate 304,513 — 1,615 — 306,128 Consumer 28,411 — 3 — 28,414 Agricultural 10,073 — — — 10,073 Other 81 — — — 81 Total $ 1,371,026 19,088 11,164 — 1,401,278 2021 Commercial & industrial $ 98,694 2,757 147 — 101,598 Commercial, secured by real estate 851,709 22,336 13,634 — 887,679 Residential real estate 332,962 — 2,144 — 335,106 Consumer 34,281 — 10 — 34,291 Agricultural 10,649 — — — 10,649 Other 122 — — — 122 Total $ 1,328,417 25,093 15,935 — 1,369,445
Loan Portfolio Aging Analysis	A loan portfolio aging analysis at December 31 is as follows (in thousands): 30-59 Days 60-89 Days Greater Than Total Current Total Loans Total Loans Greater Than 2022 Commercial & industrial $ — — — — 120,327 120,327 — Commercial, secured by real estate — — — — 936,255 936,255 — Residential real estate 81 — 79 160 305,968 306,128 39 Consumer 117 3 — 120 28,294 28,414 — Agricultural — — — — 10,073 10,073 — Other 81 — — 81 — 81 — Total $ 279 3 79 361 1,400,917 1,401,278 39 2021 Commercial & industrial $ — — — — 101,598 101,598 — Commercial, secured by real estate 181 — 784 965 886,714 887,679 — Residential real estate 1,130 1 109 1,240 333,866 335,106 51 Consumer 22 5 5 32 34,259 34,291 5 Agricultural — — — — 10,649 10,649 — Other 122 — — 122 — 122 — Total $ 1,455 6 898 2,359 1,367,086 1,369,445 56
Impaired Loans	Impaired loans, including acquired credit impaired loans, for the years ended December 31 were as follows (in thousands): Recorded Unpaid Related Average Interest 2022 With no related allowance recorded: Commercial & industrial $ 414 523 — 311 145 Commercial, secured by real estate 1,042 1,255 — 2,220 357 Residential real estate 1,173 1,379 — 1,306 234 Consumer — — — — — Agricultural — — — — — Other — — — — — Total $ 2,629 3,157 — 3,837 736 With an allowance recorded: Commercial & industrial $ 114 119 4 135 8 Commercial, secured by real estate 645 645 11 663 43 Residential real estate 185 185 6 194 11 Consumer — — — — — Agricultural — — — — — Other — — — — — Total $ 944 949 21 992 62 Total: Commercial & industrial $ 528 642 4 446 153 Commercial, secured by real estate 1,687 1,900 11 2,883 400 Residential real estate 1,358 1,564 6 1,500 245 Consumer — — — — — Agricultural — — — — — Other — — — — — Total $ 3,573 4,106 21 4,829 798 Recorded Unpaid Related Average Interest 2021 With no related allowance recorded: Commercial & industrial $ 88 316 — 236 83 Commercial, secured by real estate 3,897 4,736 — 5,978 411 Residential real estate 1,501 1,857 — 2,553 227 Consumer — — — 1 — Agricultural — — — — — Other — — — 144 127 Total $ 5,486 6,909 — 8,912 848 With an allowance recorded: Commercial & industrial $ 155 160 5 175 10 Commercial, secured by real estate 660 660 11 674 36 Residential real estate 221 221 9 230 13 Consumer — — — — — Agricultural — — — — — Other — — — — — Total $ 1,036 1,041 25 1,079 59 Total: Commercial & industrial $ 243 476 5 411 93 Commercial, secured by real estate 4,557 5,396 11 6,652 447 Residential real estate 1,722 2,078 9 2,783 240 Consumer — — — 1 — Agricultural — — — — — Other — — — 144 127 Total $ 6,522 7,950 25 9,991 907 Average Interest 2020 With no related allowance recorded: Commercial & industrial $ 1,044 335 Commercial, secured by real estate 7,070 731 Residential real estate 3,290 316 Consumer 10 1 Agricultural — — Other 234 36 Total $ 11,648 1,419 With an allowance recorded: Commercial & industrial $ 212 12 Commercial, secured by real estate 1,517 18 Residential real estate 404 18 Consumer 3 — Agricultural — — Other — — Total $ 2,136 48 Total: Commercial & industrial $ 1,256 347 Commercial, secured by real estate 8,587 749 Residential real estate 3,694 334 Consumer 13 1 Agricultural — — Other 234 36 Total $ 13,784 1,467
Loan Modification that were Classified as Troubled Debt Restructuring	Loan modifications that were classified as troubled debt restructurings during the years ended December 31 were as follows (dollars in thousands): 2022 2021 2020 Number Pre-Modification Recorded Balance Post-Modification Recorded Balance Number Pre-Modification Recorded Balance Post-Modification Recorded Balance Number Pre-Modification Recorded Balance Post-Modification Recorded Balance Commercial and industrial — $ — $ — — $ — $ — 1 $ 5 $ 4 Commercial, secured by real estate — — — — — — 1 1,525 1,525 Residential real estate — — — 3 97 101 1 14 14 Consumer — — — — — — — — — Totals — $ — $ — 3 $ 97 $ 101 3 $ 1,544 $ 1,543
Troubled Debt Restructurings by Type of Modification	Post-modification balances of newly restructured troubled debt by type of modification for the years ended December 31 were as follows (in thousands): Term Modification Rate Modification Interest Only Principal Forgiveness Combination Total Modifications 2022 Commercial & industrial $ — — — — — — Commercial, secured by real estate — — — — — — Residential real estate — — — — — — Consumer — — — — — — Total $ — — — — — — 2021 Commercial & industrial $ — — — — — — Commercial, secured by real estate — — — — — — Residential real estate 32 — — — 69 101 Consumer — — — — — — Total $ 32 — — — 69 101 2020 Commercial & industrial $ — — — — 4 4 Commercial, secured by real estate — — — — 1,525 1,525 Residential real estate — — — — 14 14 Consumer — — — — — — Total $ — — — — 1,543 1,543

ACQUIRED CREDIT IMPAIRED LOANS

ACQUIRED CREDIT IMPAIRED LOANS (Tables)	12 Months Ended
	Dec. 31, 2022
Acquired Credit Impaired Loans [Abstract]
Schedule of carrying values of certain loans acquired in a transfer	The following table provides, as of December 31, the major classifications of loans acquired that are accounted for in accordance with FASB ASC 310-30 (in thousands): 2022 2021 Acquired from First Capital Bancshares, Inc. Commercial & industrial $ 68 1 Commercial, secured by real estate — — Residential real estate 262 398 Total $ 330 399 Acquired from Eaton National Bank & Trust Co. Commercial & industrial $ 284 — Commercial, secured by real estate 68 310 Residential real estate 456 463 Total $ 808 773 Acquired from BNB Bancorp, Inc. Commercial & industrial $ — — Commercial, secured by real estate 623 688 Residential real estate 61 51 Total $ 684 739 Acquired from Columbus First Bancorp, Inc. Commercial & industrial $ 62 87 Commercial, secured by real estate 33 614 Residential real estate 97 251 Total 192 952 Total Commercial & industrial $ 414 88 Commercial, secured by real estate 724 1,612 Residential real estate 876 1,163 Total $ 2,014 2,863
Outstanding and related carrying amount for acquired impaired loans	The following table provides the outstanding balance and related carrying amount for acquired impaired loans at December 31 (in thousands): 2022 2021 Outstanding balance $ 2,396 3,769 Carrying amount 2,014 2,863
Accretable discount related to acquired impaired loans	Activity during 2022 and 2021 for the accretable discount related to acquired impaired loans is as follows (in thousands): 2022 2021 Accretable discount, beginning of year $ 116 182 Reclass from nonaccretable discount to accretable discount 407 266 Less accretion (490) (332) Accretable discount, end of year $ 33 116

OTHER REAL ESTATE OWNED (Tables

OTHER REAL ESTATE OWNED (Tables)	12 Months Ended
	Dec. 31, 2022
Real Estate [Abstract]
Changes in Other Real Estate Owned	Changes in other real estate owned were as follows (in thousands): 2022 2021 Balance, beginning of year $ — 197 Additions 717 — Reductions due to sales (717) (197) Balance, end of year $ — —

PREMISES AND EQUIPMENT (Tables)

PREMISES AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2022
Property, Plant and Equipment [Abstract]
Premises and Equipment	Premises and equipment at December 31 are summarized as follows (in thousands): 2022 2021 Land $ 8,222 8,512 Buildings 30,148 31,296 Equipment 17,266 17,272 Construction in progress 4,558 4,100 Total 60,194 61,180 Less accumulated depreciation 27,152 25,795 Premises and equipment, net $ 33,042 35,385

LEASES (Tables)

LEASES (Tables)	12 Months Ended
	Dec. 31, 2022
Leases [Abstract]
Lessee, Leases, Other Information [Table Text Block]	Other information related to leases at December 31, 2022 is as follows (dollars in thousands): Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 623 Right-of-use assets obtained in exchange for new operating lease liabilities $ 370 Weighted average remaining lease term in years for operating leases 33.4 Weighted average discount rate for operating leases 3.46 %
Lessee, Operating Lease, Liability, Maturity	Future payments due under operating leases as of December 31, 2022 are as follows (in thousands): 2023 $ 665 2024 675 2025 471 2026 333 2027 311 Thereafter 9,966 12,421 Less effects of discounting 6,051 Operating lease liabilities recognized $ 6,370
Lease, Cost	Components of lease expense for the years ended December 31 are as follows (in thousands): 2022 2021 Operating lease expense $ 616 840 Short-term lease expense 243 48 Variable lease expense 4 4 Other 11 10 Total lease expense $ 874 902

GOODWILL AND OTHER INTANGIBLE_2

GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)	12 Months Ended
	Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill
Schedule of Other Intangible Assets Included in Other Assets	Other intangible assets in the Consolidated Balance Sheets at December 31 were as follows (in thousands): 2022 2021 Gross Accumulated Net Gross Accumulated Net Core deposit intangibles $ 8,544 7,588 956 8,544 7,110 1,434 Mortgage servicing rights 2,408 1,537 871 2,323 1,284 1,039 Total $ 10,952 9,125 1,827 10,867 8,394 2,473
Estimated Aggregate Future Amortization Expense	The estimated aggregate future amortization expense for each of the next five years for intangible assets remaining as of December 31, 2022 is as follows (in thousands): 2023 $ 647 2024 514 2025 302 2026 113 2027 86

AFFORDABLE HOUSING TAX CREDIT_2

AFFORDABLE HOUSING TAX CREDIT LIMITED PARTNERSHIP (Tables)	12 Months Ended
	Dec. 31, 2022
Equity Method Investments and Joint Ventures [Abstract]
Activity in Affordable Housing Program Obligation	The following table presents the balances of LCNB's affordable housing tax credit investment and related unfunded commitment at December 31 (in thousands): 2022 2021 Affordable housing tax credit investment $ 16,950 14,950 Less amortization 3,268 2,126 Net affordable housing tax credit investment $ 13,682 12,824 Unfunded commitment $ 7,185 8,655 The net affordable housing tax credit investment is included in other assets and the unfunded commitment is included in accrued interest and other liabilities in the Consolidated Balance Sheets. LCNB expects to fund the unfunded commitment over ten years. The following table presents other information relating to LCNB's affordable housing tax credit investment for the years indicated (in thousands): Year ended December 31, 2022 2021 2020 Tax credits and other tax benefits recognized $ 1,394 995 612 Tax credit amortization expense included in provision for income taxes 1,142 806 510

CERTIFICATES OF DEPOSIT (Tables

CERTIFICATES OF DEPOSIT (Tables)	12 Months Ended
	Dec. 31, 2022
Deposits [Abstract]
Contractual Maturities of Time Deposits	Contractual maturities of time deposits at December 31, 2022 were as follows (in thousands): 2023 $ 80,283 2024 51,886 2025 8,108 2026 9,028 2027 5,683 Thereafter 1,512 $ 156,500

BORROWINGS (Tables)

BORROWINGS (Tables)	12 Months Ended
	Dec. 31, 2022
Debt Disclosure [Abstract]
Summary of funds borrowed from Federal Home Loan Bank	Long-term debt at December 31 was as follows (in thousands): 2022 2021 FHLB advances $ 5,000 10,000 Term loan 14,072 — Total long-term debt $ 19,072 10,000
Schedule of Maturities of Long-Term Federal Home Loan Bank Advances	t December 31 by year of maturity were as follows (dollars in thousands): 2022 2021 Maturing within one year $ 6,918 5,000 Maturing one year through two years 2,001 5,000 Maturing two years through three years 10,153 — Total $ 19,072 10,000
Short-term borrowings	Short-term borrowings at December 31, 2022 were as follows (dollars in thousands): 2022 Outstanding Balance Average Rate Lines of credit $ 18,455 5.00 % FHLB short-term advances 50,000 4.40 % Revolving line of credit 3,000 7.25 % $ 71,455 4.67 %

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2022
Income Tax Disclosure [Abstract]
Provision for Federal Income Taxes	The provision for federal income taxes consists of (in thousands): 2022 2021 2020 Income taxes currently payable $ 5,162 4,317 3,951 Deferred income tax provision (benefit) (344) 294 134 Provision for income taxes $ 4,818 4,611 4,085
Reconciliation Between Statutory Income Tax and Effective Tax Rate	A reconciliation between the statutory income tax and the Company's effective tax rate follows: 2022 2021 2020 Statutory tax rate 21.0 % 21.0 % 21.0 % Increase (decrease) resulting from - Tax exempt interest (0.6) % (0.7) % (0.9) % Tax exempt income on bank owned life insurance (0.8) % (0.9) % (1.3) % Captive insurance premium income (0.9) % (0.8) % (0.8) % Affordable housing tax credit limited partnerships (0.8) % (0.6) % (0.4) % Tax benefit from certain provisions of the CARES Act — % — % (0.8) % Other – net — % — % 1.0 % Effective tax rate 17.9 % 18.0 % 17.8 %
Schedule of Deferred Tax Assets and Liabilities	Deferred tax assets and liabilities, included in the Consolidated Balance Sheets with other assets, net in 2022 and accrued interest and other liabilities in 2021, consist of the following at December 31 (in thousands): 2022 2021 Deferred tax assets: Allowance for loan losses $ 1,186 1,156 Net unrealized losses on investment securities available-for-sale 7,955 408 Fair value adjustment on loans acquired from mergers 40 103 Deferred compensation 602 630 Minimum pension liability 7 73 Operating lease right-of-use assets 1,338 1,359 Other 165 96 11,293 3,825 Deferred tax liabilities: Depreciation of premises and equipment (1,174) (1,595) Amortization of intangibles (1,643) (1,518) Prepaid expenses (316) (323) FHLB stock dividends (183) (216) Operating lease liabilities (1,338) (1,359) (4,654) (5,011) Net deferred tax assets (liabilities) $ 6,639 (1,186)

COMMITMENTS AND CONTINGENT LI_2

COMMITMENTS AND CONTINGENT LIABILITIES (Tables)	12 Months Ended
	Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Financial Instruments Whose Contract Amounts Represent Off-Balance-Sheet Credit Risk	Financial instruments whose contract amounts represent off-balance-sheet credit risk at December 31 were as follows (in thousands): 2022 2021 Commitments to extend credit: Commercial loans $ 22,823 82,578 Other loans: Fixed rate 191 5,196 Adjustable rate 1,422 2,784 Unused lines of credit: Fixed rate 41,558 32,655 Adjustable rate 238,876 150,746 Unused overdraft protection amounts on demand and NOW accounts 16,566 16,711 Standby letters of credit 5 5 $ 321,441 290,675

REGULATORY MATTERS (Tables)

REGULATORY MATTERS (Tables)	12 Months Ended
	Dec. 31, 2022
Regulatory Assets and Liabilities, Other Disclosure [Abstract]
Financial institutions are classified into categories based upon capital adequacy	For various regulatory purposes, financial institutions are classified into categories based upon capital adequacy: Minimum Minimum Requirement with Capital Conservation Buffer To Be Considered Ratio of Common Equity Tier 1 Capital to risk-weighted assets 4.5 % 7.0 % 6.5 % Ratio of tier 1 capital to risk-weighted assets 6.0 % 8.5 % 8.0 % Ratio of total capital (tier 1 capital plus tier 2 capital) to risk-weighted assets 8.0 % 10.5 % 10.0 % Leverage ratio (tier 1 capital to adjusted quarterly average total assets) 4.0 % N/A 5.0 %
Summary of regulatory capital and capital ratios of LCNB	A summary of the regulatory capital of the Bank at December 31 follows (dollars in thousands): 2022 2021 Regulatory Capital: Shareholders' equity $ 213,052 234,451 Goodwill and other intangible assets (60,177) (60,655) Accumulated other comprehensive (income) loss 29,945 1,809 Tier 1 risk-based capital 182,820 175,605 Eligible allowance for loan losses 5,646 5,506 Total risk-based capital $ 188,466 181,111 Capital Ratios: Common Equity Tier 1 Capital to risk-weighted assets 11.94 % 12.25 % Tier 1 capital to risk-weighted assets 11.94 % 12.25 % Total capital (tier 1 capital plus tier 2 capital) to risk-weighted assets 12.31 % 12.64 % Leverage ratio (tier 1 capital to adjusted quarterly average total assets) 9.72 % 9.58 %

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables)	12 Months Ended
	Dec. 31, 2022
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss)	Changes in accumulated other comprehensive income (loss) for 2022 and 2021 were as follows (in thousands): 2022 2021 Unrealized Gains and Losses on Available-for-Sale Securities Changes in Pension Plan Assets and Benefit Obligations Total Unrealized Gains and Losses on Available-for-Sale Securities Changes in Pension Plan Assets and Benefit Obligations Total Balance at beginning of year $ (1,536) (273) (1,809) 4,348 (305) 4,043 Before reclassifications (28,391) 246 (28,145) (5,645) 32 (5,613) Reclassifications — — — (239) — (239) Balance at end of year $ (29,927) (27) (29,954) (1,536) (273) (1,809)
Reclassification Out Of Accumulated Other Comprehensive Income	Reclassifications out of accumulated other comprehensive loss during 2022 and 2021 and the affected line items in the Consolidated Statements of Income were as follows (in thousands): 2022 2021 Affected Line Item in the Consolidated Statements of Income Net gains on sales of debt securities $ — 303 Net gains (losses) on sales of debt securities Less provision for income taxes — 64 Provision for income taxes Reclassification adjustment, net of taxes $ — 239

RETIREMENT PLANS (Tables)

RETIREMENT PLANS (Tables)	12 Months Ended
	Dec. 31, 2022
Retirement Benefits [Abstract]
Summary of Costs of Retirement Plans	Funding and administrative costs of the qualified noncontributory defined benefit retirement plan and 401(k) plan charged to salaries and employee benefits in the Consolidated Statements of Income for the years ended December 31 were as follows (in thousands): 2022 2021 2020 Qualified noncontributory defined benefit retirement plan $ 1,298 1,178 1,111 401(k) plan 636 610 590
Components of Net Benefit Costs	The components of net periodic pension cost of the nonqualified defined benefit retirement plan for the years ended December 31 are summarized as follows (in thousands): 2022 2021 2020 Service cost $ — — — Interest cost 54 52 63 Amortization of unrecognized (gain) loss 8 8 2 Net periodic pension cost $ 62 60 65
Reconciliation of Changes in Projected Benefit Obligations	A reconciliation of changes in the projected benefit obligation of the nonqualified defined benefit retirement plan at December 31 follows (in thousands): 2022 2021 2020 Projected benefit obligation at beginning of year $ 1,999 2,124 2,045 Service cost — — — Interest cost 54 52 63 Actuarial (gain) or loss (303) (33) 155 Benefits paid (144) (144) (139) Projected benefit obligation at end of year $ 1,606 1,999 2,124
Amount Recognized in OCI	Amounts recognized in accumulated other comprehensive income (loss), net of tax, at December 31 for the nonqualified defined benefit retirement plan consists of (in thousands): 2022 2021 2020 Net actuarial (gain) or loss $ (246) (32) 122
Schedule of Key Assumptions Used	Key weighted-average assumptions used to determine the benefit obligation and net periodic pension costs for the nonqualified defined benefit retirement plan for the years ended December 31 were as follows: 2022 2021 2020 Benefit obligation: Discount rate 5.02 % 2.83 % 2.52 % Salary increase rate — % — % — % Net periodic pension cost: Discount rate 2.83 % 2.52 % 3.22 % Salary increase rate — % — % — % Amortization period in years 19.41 20.16 21.24
Expected Benefit Payments	Estimated future benefit payments reflecting expected future service for the years ended after December 31, 2022 are (in thousands): 2023 $ 144 2024 144 2025 144 2026 143 2027 142 2028-2032 648

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	12 Months Ended
	Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]
Summary of Restricted Stock Awards Activity	Restricted stock awards granted under the 2015 Plan were as follows: 2022 2021 2020 Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Outstanding at January 1, 44,512 $ 17.08 28,596 $ 17.42 17,752 $ 18.03 Granted 32,554 19.25 26,321 16.85 19,211 16.87 Vested (18,752) 18.01 (9,649) 17.49 (4,817) 17.83 Forfeited — — (756) 16.86 (3,550) 16.9 Outstanding at December 31, 58,314 $ 17.99 44,512 $ 17.08 28,596 $ 17.42
Summary of Stock Option Activity	The following table summarizes stock option activity for the years indicated: 2021 2020 Options Weighted Weighted Outstanding at January 1, 311 $ 12.60 9,904 $ 11.96 Exercised (311) 12.60 (9,593) 11.94 Expired — — — — Outstanding at December 31, — $ — 311 $ 12.60 Exercisable at December 31, — $ — 311 $ 12.60
Schedule Of Information Related To Stock Options Exercised	The following table provides information related to stock options exercised during the years indicated (in thousands): 2021 2020 Intrinsic value of options exercised $ 1 46 Cash received from options exercised 4 114 Tax benefit realized from options exercised — 5

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	12 Months Ended
	Dec. 31, 2022
Earnings Per Share [Abstract]
Computations of Earnings Per Share	Earnings per share for the years ended December 31 were calculated as follows (in thousands, except share and per share data): 2022 2021 2020 Net income $ 22,128 20,974 20,075 Less allocation of earnings and dividends to participating securities 114 75 45 Net income allocated to common shareholders $ 22,014 20,899 20,030 Weighted average common shares outstanding, gross 11,469,676 12,635,013 12,943,622 Less average participating securities 58,695 45,408 29,345 Weighted average number of shares outstanding used in the calculation of basic earnings per common share 11,410,981 12,589,605 12,914,277 Add dilutive effect of: Stock options — 8 307 Adjusted weighted average number of shares outstanding used in the calculation of diluted earnings per common share 11,410,981 12,589,613 12,914,584 Earnings per common share: Basic $ 1.93 1.66 1.55 Diluted 1.93 1.66 1.55

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	12 Months Ended
	Dec. 31, 2022
Related Party Transactions [Abstract]
Schedule of Related Party Transactions	The following table provides a summary of the loan activity for these officers and directors for the years ended December 31 (in thousands): 2022 2021 Beginning balance $ 2,125 2,929 New loans and advances 317 250 Change in composition of related parties — (413) Reductions (250) (641) Ending Balance $ 2,192 2,125

FAIR VALUE OF FINANCIAL INSTR_2

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)	12 Months Ended
	Dec. 31, 2022
Fair Value Disclosures [Abstract]
Summary of Valuation of LCNB's Assets Recorded at Fair Value by Inputs Level	The following table summarizes the valuation of LCNB’s assets recorded at fair value by input levels as of December 31 (in thousands): Fair Value Measurements at the End of Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs 2022 Recurring fair value measurements: Equity securities with a readily determinable fair value: Equity securities $ 1,039 1,039 — — Mutual funds 41 41 — — Mutual funds measured at net asset value 1,193 1,193 — — Debt securities available-for-sale: U.S. Treasury notes 76,447 76,447 — — U.S. Agency notes 77,976 — 77,976 — Corporate bonds 6,685 — 6,685 — U.S. Agency mortgage-backed securities 79,440 — 79,440 — Municipal securities: Non-taxable 8,524 — 8,524 — Taxable 40,778 — 40,778 — Total recurring fair value measurements $ 292,123 78,720 213,403 — Nonrecurring fair value measurements: Impaired loans $ 923 — — 923 Total nonrecurring fair value measurements $ 923 — — 923 2021 Recurring fair value measurement: Equity securities with a readily determinable fair value: Equity securities $ 1,167 1,167 — — Mutual funds 51 51 — — Mutual funds measured at net asset value 1,328 1,328 — — Debt securities available-for-sale: U.S. Treasury notes 74,744 74,744 — — U.S. Agency notes 87,246 — 87,246 — Corporate bonds 5,152 — 5,152 — U.S. Agency mortgage-backed securities 96,676 — 96,676 — Municipal securities: Non-taxable 9,066 — 9,066 — Taxable 35,293 — 35,293 — Total recurring fair value measurements $ 310,723 77,290 233,433 — Nonrecurring fair value measurements: Impaired loans $ 1,011 — — 1,011 Total nonrecurring fair value measurements $ 1,011 — — 1,011
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques	The following table presents quantitative information about unobservable inputs used in nonrecurring Level 3 fair value measurements at December 31, 2022 and 2021 (dollars in thousands): Range Fair Value Valuation Technique Unobservable Inputs High Low Weighted Average 2022 Impaired loans $ — Estimated sales price Adjustments for comparable properties, discounts to reflect current market conditions Not applicable 923 Discounted cash flows Discount rate 8.13 % 4.63 % 6.04 % 2021 Impaired loans $ — Estimated sales price Adjustments for comparable properties, discounts to reflect current market conditions Not applicable 1,011 Discounted cash flows Discount rate 8.25 % 4.00 % 6.07 %
Carrying Amounts and Estimated Fair Values of Financial Instruments	Carrying amounts and estimated fair values of financial instruments as of December 31 were as follows (in thousands): Fair Value Measurements at the End of Carrying Fair Quoted Significant Other Significant 2022 FINANCIAL ASSETS: Cash and cash equivalents $ 22,701 22,701 22,701 — — Debt securities, held-to-maturity 19,878 18,885 — — 18,885 Loans, net 1,395,632 1,219,112 — — 1,219,112 Accrued interest receivable 7,482 7,482 — 7,482 — FINANCIAL LIABILITIES: Deposits 1,604,970 1,604,380 1,448,470 155,910 — Long-term debt 19,072 18,573 — 18,573 — Accrued interest payable 311 311 — 311 — 2021 FINANCIAL ASSETS: Cash and cash equivalents $ 18,136 18,136 18,136 — — Debt securities, held-to-maturity 22,972 23,087 — — 23,087 Loans, net 1,363,939 1,333,840 — — 1,333,840 Accrued interest receivable 7,999 7,999 — 7,999 — FINANCIAL LIABILITIES: Deposits 1,628,819 1,630,158 1,435,487 194,671 — Long-term debt 10,000 10,292 — 10,292 — Accrued interest payable 277 277 — 277 —

PARENT COMPANY FINANCIAL INFO_2

PARENT COMPANY FINANCIAL INFORMATION (Tables)	12 Months Ended
	Dec. 31, 2022
Condensed Financial Information Disclosure [Abstract]
Condensed Balance Sheets	Condensed financial information for LCNB Corp., at the parent company level only, follows (in thousands): Condensed Balance Sheets: December 31, 2022 2021 Assets: Cash on deposit with subsidiary $ 916 657 Cash on deposit with unrelated depository institution 620 451 Equity securities, at fair value 1,024 1,156 Investment in subsidiaries 215,222 236,401 Other assets 59 180 Total assets $ 217,841 238,845 Liabilities: Short-term borrowings $ 3,000 — Long-term debt 14,072 — Other liabilities 94 241 Total liabilities 17,166 241 Shareholders' equity 200,675 238,604 Total liabilities and shareholders' equity $ 217,841 238,845
Condensed Statements of Income	Condensed Statements of Income Year ended December 31, 2022 2021 2020 Income: Dividends from subsidiaries $ 17,850 15,820 12,070 Interest and dividends 35 34 29 Other income (loss), net (123) 155 147 Total income 17,762 16,009 12,246 Total expenses 3,305 1,764 1,326 Income before income tax benefit and equity in undistributed income of subsidiaries 14,457 14,245 10,920 Income tax benefit (705) (333) (404) Equity in undistributed income of subsidiaries 6,966 6,396 8,751 Net income $ 22,128 20,974 20,075
Condensed Statements of Cash Flows	Condensed Statements of Cash Flows Year ended December 31, 2022 2021 2020 Cash flows from operating activities: Net income $ 22,128 20,974 20,075 Adjustments for non-cash items - Increase in undistributed income of subsidiaries (6,966) (6,396) (8,751) Other, net 636 299 (88) Net cash flows provided by operating activities 15,798 14,877 11,236 Cash flows from investing activities: Purchases of equity securities — — (346) Proceeds from sales of equity securities — — 463 Net cash flows provided by (used in) investing activities — — 117 Cash flows from financing activities: Net increase in short-term borrowings 3,000 — — Proceeds from long-term debt 15,000 — — Principal payments on long-term debt (928) — — Proceeds from issuance of common stock 409 434 401 Payments to repurchase common stock (23,660) (8,310) (1,872) Cash dividends paid on common stock (9,191) (9,720) (9,448) Other — 4 114 Net cash flows used in financing activities (15,370) (17,592) (10,805) Net change in cash 428 (2,715) 548 Cash at beginning of year 1,108 3,823 3,275 Cash at end of year $ 1,536 1,108 3,823

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	12 Months Ended
	Dec. 31, 2022
CASH AND CASH EQUIVALENTS
Short term investment maturity period	12 months
ALLOWANCE FOR LOAN LOSSES
Minimum period due consumer loan	120 days
Period for measurement of loan component	60 months
Historical loss period	5 years
STOCK OPTIONS
Option vesting period	5 years
Premises | Minimum
Property, Plant and Equipment [Line Items]
Estimated useful life	15 years
Premises | Maximum
Property, Plant and Equipment [Line Items]
Estimated useful life	40 years
Equipment | Minimum
Property, Plant and Equipment [Line Items]
Estimated useful life	3 years
Equipment | Maximum
Property, Plant and Equipment [Line Items]
Estimated useful life	10 years

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Recent Accounting Pronouncements (Details) - USD ($)	Jan. 01, 2023	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Retained earnings		$ 139,249,000	$ 126,312,000
Deferred Tax Assets, Net		6,639,000	(1,186,000)
Balance, end of year		$ 5,646,000	$ 5,506,000	$ 5,728,000	$ 4,045,000
Accounting Standards Update 2016-13
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Retained earnings	$ 1,600,000
Deferred Tax Assets, Net	450,000
Transfer Non-Accretable Discount On Purchased Credit Impaired Loans To Allowance For Credit Losses	350,000
Accounting Standards Update 2016-13 | Loans and Finance Receivables
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Balance, end of year	2,100,000
Accounting Standards Update 2016-13 | Unfunded Loan Commitment
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Balance, end of year	$ 500,000

INVESTMENT SECURITIES, AMORTIZE

INVESTMENT SECURITIES, AMORTIZED COST AND FAIR VALUE (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Debt Securities Available-for-Sale:
Amortized Cost	$ 327,731	$ 310,121
Unrealized Gains	19	2,178
Unrealized Losses	37,900	4,122
Debt securities, available-for-sale, at fair value	289,850	308,177
Debt Securities Held-to-Maturity:
Amortized Cost	19,878	22,972
Unrealized Gains	10	119
Unrealized Losses	1,003	4
Fair Value	18,885	23,087
Equity Securities, FV-NI, Cost	2,207	2,188
Equity Securities, FV-NI	2,273	2,546
U.S. Treasury notes
Debt Securities Available-for-Sale:
Amortized Cost	84,927	75,443
Unrealized Gains	0	57
Unrealized Losses	8,480	756
Debt securities, available-for-sale, at fair value	76,447	74,744
U.S. Agency notes
Debt Securities Available-for-Sale:
Amortized Cost	89,160	89,293
Unrealized Gains	0	45
Unrealized Losses	11,184	2,092
Debt securities, available-for-sale, at fair value	77,976	87,246
U.S. Agency mortgage-backed securities
Debt Securities Available-for-Sale:
Amortized Cost	90,746	96,018
Unrealized Gains	5	1,350
Unrealized Losses	11,311	692
Debt securities, available-for-sale, at fair value	79,440	96,676
Debt Securities Held-to-Maturity:
Amortized Cost	0
Fair Value	0
Non-taxable municipal securities
Debt Securities Available-for-Sale:
Amortized Cost	8,892	8,959
Unrealized Gains	0	125
Unrealized Losses	368	18
Debt securities, available-for-sale, at fair value	8,524	9,066
Debt Securities Held-to-Maturity:
Amortized Cost	16,447	19,403
Unrealized Gains	10	98
Unrealized Losses	594	0
Fair Value	15,863	19,501
Taxable municipal securities
Debt Securities Available-for-Sale:
Amortized Cost	46,556	35,208
Unrealized Gains	1	531
Unrealized Losses	5,779	446
Debt securities, available-for-sale, at fair value	40,778	35,293
Debt Securities Held-to-Maturity:
Amortized Cost	3,431	3,569
Unrealized Gains	0	21
Unrealized Losses	409	4
Fair Value	3,022	3,586
Mutual funds
Debt Securities Held-to-Maturity:
Equity Securities, FV-NI, Cost	1,429	1,410
Equity Securities, FV-NI	1,234	1,379
Equity securities
Debt Securities Held-to-Maturity:
Equity Securities, FV-NI, Cost	778	778
Equity Securities, FV-NI	1,039	1,167
Corporate Bond Securities
Debt Securities Available-for-Sale:
Amortized Cost	7,450	5,200
Unrealized Gains	13	70
Unrealized Losses	778	118
Debt securities, available-for-sale, at fair value	$ 6,685	$ 5,152

INVESTMENT SECURITIES, CONTINUO

INVESTMENT SECURITIES, CONTINUOUS UNREALIZED LOSS POSITION (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Available-for-Sale:
Less Than 12 Months, Fair Value	$ 97,453	$ 198,704
Less Than 12 Months, Unrealized Losses	7,553	3,147
12 Months or More, Fair Value	190,039	24,308
12 Months or More, Unrealized Losses	30,347	975
Held-to-Maturity:
Less Than 12 Months, Fair Value	12,378	317
Less Than 12 Months, Unrealized Losses	963	4
12 Months or More, Fair Value	243	0
12 Months or More, Unrealized Losses	40	0
U.S. Treasury notes
Available-for-Sale:
Less Than 12 Months, Fair Value	16,521	66,891
Less Than 12 Months, Unrealized Losses	931	756
12 Months or More, Fair Value	59,927	0
12 Months or More, Unrealized Losses	7,549	0
U.S. Agency notes
Available-for-Sale:
Less Than 12 Months, Fair Value	7,729	58,648
Less Than 12 Months, Unrealized Losses	543	1,257
12 Months or More, Fair Value	70,247	20,289
12 Months or More, Unrealized Losses	10,641	835
U.S. Agency mortgage-backed securities
Available-for-Sale:
Less Than 12 Months, Fair Value	41,543	49,813
Less Than 12 Months, Unrealized Losses	3,597	692
12 Months or More, Fair Value	37,282	0
12 Months or More, Unrealized Losses	7,714	0
Non-taxable Municipal Securities
Available-for-Sale:
Less Than 12 Months, Fair Value	6,831	1,020
Less Than 12 Months, Unrealized Losses	248	18
12 Months or More, Fair Value	893	0
12 Months or More, Unrealized Losses	120	0
Held-to-Maturity:
Less Than 12 Months, Fair Value	9,567	46
Less Than 12 Months, Unrealized Losses	593	0
12 Months or More, Fair Value	31	0
12 Months or More, Unrealized Losses	1	0
Taxable Municipal Securities
Available-for-Sale:
Less Than 12 Months, Fair Value	22,162	18,434
Less Than 12 Months, Unrealized Losses	1,951	322
12 Months or More, Fair Value	18,435	3,535
12 Months or More, Unrealized Losses	3,828	124
Held-to-Maturity:
Less Than 12 Months, Fair Value	2,811	271
Less Than 12 Months, Unrealized Losses	370	4
12 Months or More, Fair Value	212	0
12 Months or More, Unrealized Losses	39	0
Corporate Bond Securities
Available-for-Sale:
Less Than 12 Months, Fair Value	2,667	3,898
Less Than 12 Months, Unrealized Losses	283	102
12 Months or More, Fair Value	3,255	484
12 Months or More, Unrealized Losses	$ 495	$ 16

INVESTMENT SECURITIES, MATURITI

INVESTMENT SECURITIES, MATURITIES (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Available for Sale, Amortized Cost [Abstract]
Due within one year	$ 13,193
Due from one to five years	133,026
Due from five to ten years	90,036
Due after ten years	730
Amortized Cost	236,985
Amortized Cost	327,731	$ 310,121
Available-for-sale, Fair Value [Abstract]
Due within one year	13,004
Due from one to five years	119,304
Due from five to ten years	77,467
Due after ten years	635
Fair Value	210,410
Held-to-maturity Securities, Amortized Cost [Abstract]
Due within one year	755
Due from one to five years	3,628
Due from five to ten years	2,440
Due after ten years	13,055
Amortized Cost	19,878	22,972
Held-to-maturity Securities, Fair Value [Abstract]
Due within one year	752
Due from one to five years	3,475
Due from five to ten years	2,238
Due after ten years	12,420
Fair Value	18,885	23,087
U.S. Agency mortgage-backed securities
Available for Sale, Amortized Cost [Abstract]
Amortized Cost	90,746	$ 96,018
Held-to-maturity Securities, Amortized Cost [Abstract]
Amortized Cost	0
Held-to-maturity Securities, Fair Value [Abstract]
Fair Value	$ 0

INVESTMENT SECURITIES, NARRATIV

INVESTMENT SECURITIES, NARRATIVE (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Investments, Debt and Equity Securities [Abstract]
Debt Securities, Available-for-sale, Restricted	$ 166,412	$ 128,426

INVESTMENT SECURITIES, SALE (De

INVESTMENT SECURITIES, SALE (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Investments, Debt and Equity Securities [Abstract]
Proceeds from sales of debt securities, available-for-sale	$ 0	$ 21,235	$ 8,786
Debt Securities, Available-for-sale, Realized Gain	0	365	221
Debt Securities, Available-for-sale, Realized Loss	$ 0	$ 62	$ 0

INVESTMENT SECURITIES Equity Se

INVESTMENT SECURITIES Equity Securities With Readily Determinable Fair Values, Amortized Cost and Fair Value (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Debt Securities, Available-for-sale [Line Items]
Equity Securities, FV-NI, Gain (Loss)	$ (292)	$ 141	$ 675
Equity Securities, FV-NI, Cost	2,207	2,188
Equity Securities, FV-NI	2,273	2,546
Equity Securities, Realized Gain (Loss) From Sale	0	0	(658)
Equity Securities, FV-NI, Unrealized Gain (Loss)	(292)	141	$ 17
Equity securities
Debt Securities, Available-for-sale [Line Items]
Equity Securities, FV-NI, Cost	778	778
Equity Securities, FV-NI	1,039	1,167
Mutual funds
Debt Securities, Available-for-sale [Line Items]
Equity Securities, FV-NI, Cost	1,429	1,410
Equity Securities, FV-NI	$ 1,234	$ 1,379

LOANS, MAJOR CLASSIFICATION OF

LOANS, MAJOR CLASSIFICATION OF LOANS (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 1,401,278	$ 1,369,445
Less allowance for loan losses	5,646	5,506
Loans, net	1,395,632	1,363,939
Deferred origination fees, net of related costs	980	961
Commercial & industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	120,327	101,598
Commercial, secured by real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	936,255	887,679
Residential real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	306,128	335,106
Consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	28,414	34,291
Agricultural
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	10,073	10,649
Other loans, including deposit overdrafts
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	81	122
Paycheck Protection Program Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	40	6,935
Loans and Leases Receivable, Deferred Income	$ 4	$ 272

LOANS, PAST-DUE, AND ACCRUING R

LOANS, PAST-DUE, AND ACCRUING RESTRUCTURED LOANS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Financing receivables, non-accruals, past-due, and accruing restructured loans [Line Items]
Total non-accrual loans	$ 391	$ 1,481
Past-due 90 days or more and still accruing	39	56
Total non-accrual and past-due 90 days or more and still accruing	430	1,537
Accruing restructured loans	1,376	2,622
Total	$ 1,806	$ 4,159
Ratio of total non-accrual loans to total loans	0.03%	0.11%
Ratio of total non-accrual loans, past-due 90 days or more and still accruing, and accruing restructured loans to total loans	0.13%	0.30%
Interest income	$ 32	$ 31
Commercial & industrial
Financing receivables, non-accruals, past-due, and accruing restructured loans [Line Items]
Past-due 90 days or more and still accruing	0	0
Commercial, secured by real estate
Financing receivables, non-accruals, past-due, and accruing restructured loans [Line Items]
Total non-accrual loans	319	1,182
Past-due 90 days or more and still accruing	0	0
Agricultural
Financing receivables, non-accruals, past-due, and accruing restructured loans [Line Items]
Past-due 90 days or more and still accruing	0	0
Residential real estate
Financing receivables, non-accruals, past-due, and accruing restructured loans [Line Items]
Total non-accrual loans	72	299
Past-due 90 days or more and still accruing	$ 39	$ 51

LOANS, ALLOWANCES FOR CREDIT LO

LOANS, ALLOWANCES FOR CREDIT LOSSES (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Allowance for loan losses:
Balance, beginning of year	$ 5,506	$ 5,728	$ 4,045
Provision for (recovery of) loan losses	250	(269)	2,014
Losses charged off	(266)	(254)	(541)
Recoveries	156	301	210
Balance, end of year	5,646	5,506	5,728
Individually evaluated for impairment	21	25	52
Collectively evaluated for impairment	5,625	5,481	5,676
Acquired credit impaired loans	0	0
Balance, end of year	5,646	5,506	$ 5,728
Loans:
Individually evaluated for impairment	1,559	3,659
Collectively evaluated for impairment	1,397,705	1,362,923
Acquired credit impaired loans	2,014	2,863
Total loans	$ 1,401,278	$ 1,369,445
Ratio Of Net Charge-Offs To Average Loans	0.01%	0%	0.03%
Commercial & industrial
Allowance for loan losses:
Balance, beginning of year	$ 1,095	$ 816	$ 456
Provision for (recovery of) loan losses	205	279	342
Losses charged off	0	0	(13)
Recoveries	0	0	31
Balance, end of year	1,300	1,095	816
Individually evaluated for impairment	4	5	8
Collectively evaluated for impairment	1,296	1,090	808
Acquired credit impaired loans	0	0
Balance, end of year	1,300	1,095	$ 816
Loans:
Individually evaluated for impairment	114	155
Collectively evaluated for impairment	119,799	101,355
Total loans	$ 120,327	$ 101,598
Ratio Of Net Charge-Offs To Average Loans	0%	0%	(0.02%)
Commercial, secured by real estate
Allowance for loan losses:
Balance, beginning of year	$ 3,607	$ 3,903	$ 2,924
Provision for (recovery of) loan losses	69	(375)	1,332
Losses charged off	(67)	(112)	(353)
Recoveries	0	191	0
Balance, end of year	3,609	3,607	3,903
Individually evaluated for impairment	11	11	17
Collectively evaluated for impairment	3,598	3,596	3,886
Acquired credit impaired loans	0	0
Balance, end of year	3,609	3,607	$ 3,903
Loans:
Individually evaluated for impairment	963	2,945
Collectively evaluated for impairment	934,568	883,122
Total loans	$ 936,255	$ 887,679
Ratio Of Net Charge-Offs To Average Loans	0.01%	(0.01%)	0.04%
Residential real estate
Allowance for loan losses:
Balance, beginning of year	$ 665	$ 837	$ 528
Provision for (recovery of) loan losses	(81)	(190)	239
Losses charged off	(5)	(28)	(5)
Recoveries	45	46	75
Balance, end of year	624	665	837
Individually evaluated for impairment	6	9	27
Collectively evaluated for impairment	618	656	810
Acquired credit impaired loans	0	0
Balance, end of year	624	665	$ 837
Loans:
Individually evaluated for impairment	482	559
Collectively evaluated for impairment	304,770	333,384
Total loans	$ 306,128	$ 335,106
Ratio Of Net Charge-Offs To Average Loans	(0.01%)	(0.01%)	(0.02%)
Consumer
Allowance for loan losses:
Balance, beginning of year	$ 105	$ 153	$ 99
Provision for (recovery of) loan losses	(12)	(45)	62
Losses charged off	(37)	(9)	(30)
Recoveries	30	6	22
Balance, end of year	86	105	153
Individually evaluated for impairment	0	0	0
Collectively evaluated for impairment	86	105	153
Acquired credit impaired loans	0	0
Balance, end of year	86	105	$ 153
Loans:
Individually evaluated for impairment	0	0
Collectively evaluated for impairment	28,414	34,291
Total loans	$ 28,414	$ 34,291
Ratio Of Net Charge-Offs To Average Loans	0.02%	0.01%	0.02%
Agricultural
Allowance for loan losses:
Balance, beginning of year	$ 30	$ 28	$ 34
Provision for (recovery of) loan losses	(8)	2	(6)
Losses charged off	0	0	0
Recoveries	0	0	0
Balance, end of year	22	30	28
Individually evaluated for impairment	0	0	0
Collectively evaluated for impairment	22	30	28
Acquired credit impaired loans	0	0
Balance, end of year	22	30	$ 28
Loans:
Individually evaluated for impairment	0	0
Collectively evaluated for impairment	10,073	10,649
Total loans	$ 10,073	$ 10,649
Ratio Of Net Charge-Offs To Average Loans	0%	0%	0%
Other
Allowance for loan losses:
Balance, beginning of year	$ 4	$ (9)	$ 4
Provision for (recovery of) loan losses	77	60	45
Losses charged off	(157)	(105)	(140)
Recoveries	81	58	82
Balance, end of year	5	4	(9)
Individually evaluated for impairment	0	0	0
Collectively evaluated for impairment	5	4	(9)
Acquired credit impaired loans	0	0
Balance, end of year	5	4	$ (9)
Loans:
Individually evaluated for impairment	0	0
Collectively evaluated for impairment	81	122
Total loans	$ 81	$ 122
Ratio Of Net Charge-Offs To Average Loans	100%	16.24%	10.83%
Financial Receivable Acquired Credit Impaired
Loans:
Acquired credit impaired loans	$ 2,014	$ 2,863	$ 0
Financial Receivable Acquired Credit Impaired | Commercial & industrial
Loans:
Acquired credit impaired loans	414	88
Financial Receivable Acquired Credit Impaired | Commercial, secured by real estate
Loans:
Acquired credit impaired loans	724	1,612
Financial Receivable Acquired Credit Impaired | Residential real estate
Loans:
Acquired credit impaired loans	876	1,163
Financial Receivable Acquired Credit Impaired | Consumer
Loans:
Acquired credit impaired loans	0	0
Financial Receivable Acquired Credit Impaired | Agricultural
Loans:
Acquired credit impaired loans	0	0
Financial Receivable Acquired Credit Impaired | Other
Loans:
Acquired credit impaired loans	$ 0	$ 0

LOANS, ADDITIONAL INFORMATION (

LOANS, ADDITIONAL INFORMATION (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($) Bank_Loan	Dec. 31, 2020 USD ($) Bank_Loan
Accounts, Notes, Loans and Financing Receivable [Line Items]
Interest income	$ 32	$ 31
Total loans	1,401,278	1,369,445
Commercial & industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 120,327	101,598
Commercial & industrial | Minimum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Adjustable interest rate periods of loan products	1 year
Commercial & industrial | Maximum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Adjustable interest rate periods of loan products	10 years
Commercial, secured by real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 936,255	887,679
Commercial, secured by real estate | Minimum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Amortization period of loan products	5 years
Balloon payment terms of loan products	1 year
Adjustable interest rate periods of loan products	1 year
Loan to appraised value ratio of loan products	75%
Commercial, secured by real estate | Maximum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Amortization period of loan products	25 years
Balloon payment terms of loan products	10 years
Adjustable interest rate periods of loan products	10 years
Loan to appraised value ratio of loan products	85%
Residential real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Home equity lines of credit draw period of residential real estate loans	5 years
Total loans	$ 306,128	335,106
Residential real estate | Minimum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Amortization period of loan products	5 years
Adjustable interest rate periods of loan products	1 year
Loan to appraised value ratio of loan products	80%
Residential real estate | Maximum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Amortization period of loan products	30 years
Adjustable interest rate periods of loan products	15 years
Consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 28,414	$ 34,291
Consumer | Maximum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Amortization period of loan products	72 months
Paycheck Protection Program Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing Receivable, Number Of Contracts | Bank_Loan		358	316
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year			$ 45,500
Financing Receivable, Year One, Originated, Current Fiscal Year		$ 38,300
Total loans	$ 40	$ 6,935

LOANS, LOANS PORTFOLIO BY CREDI

LOANS, LOANS PORTFOLIO BY CREDIT QUALITY INDICATORS (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	$ 1,401,278	$ 1,369,445
Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	1,371,026	1,328,417
OAEM
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	19,088	25,093
Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	11,164	15,935
Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Commercial & industrial
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	120,327	101,598
Commercial & industrial | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	114,573	98,694
Commercial & industrial | OAEM
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	3,744	2,757
Commercial & industrial | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	2,010	147
Commercial & industrial | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Commercial, secured by real estate
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	936,255	887,679
Commercial, secured by real estate | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	913,375	851,709
Commercial, secured by real estate | OAEM
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	15,344	22,336
Commercial, secured by real estate | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	7,536	13,634
Commercial, secured by real estate | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Residential real estate
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	306,128	335,106
Residential real estate | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	304,513	332,962
Residential real estate | OAEM
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Residential real estate | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	1,615	2,144
Residential real estate | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	28,414	34,291
Consumer | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	28,411	34,281
Consumer | OAEM
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Consumer | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	3	10
Consumer | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Agricultural
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	10,073	10,649
Agricultural | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	10,073	10,649
Agricultural | OAEM
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Agricultural | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Agricultural | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Other
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	81	122
Other | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	81	122
Other | OAEM
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Other | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	0	0
Other | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	$ 0	$ 0

LOANS, LOANS PORTFOLIO AGING AN

LOANS, LOANS PORTFOLIO AGING ANALYSIS (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	$ 1,401,278	$ 1,369,445
Total Loans Greater Than 90 Days and Accruing	39	56
Commercial & industrial
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	120,327	101,598
Total Loans Greater Than 90 Days and Accruing	0	0
Commercial, secured by real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	936,255	887,679
Total Loans Greater Than 90 Days and Accruing	0	0
Residential real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	306,128	335,106
Total Loans Greater Than 90 Days and Accruing	39	51
Consumer
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	28,414	34,291
Total Loans Greater Than 90 Days and Accruing	0	5
Agricultural
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	10,073	10,649
Total Loans Greater Than 90 Days and Accruing	0	0
Other
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	81	122
Total Loans Greater Than 90 Days and Accruing	0	0
30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	279	1,455
30-59 Days Past Due | Commercial & industrial
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
30-59 Days Past Due | Commercial, secured by real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	181
30-59 Days Past Due | Residential real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	81	1,130
30-59 Days Past Due | Consumer
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	117	22
30-59 Days Past Due | Agricultural
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
30-59 Days Past Due | Other
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	81	122
60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	3	6
60-89 Days Past Due | Commercial & industrial
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
60-89 Days Past Due | Commercial, secured by real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
60-89 Days Past Due | Residential real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	1
60-89 Days Past Due | Consumer
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	3	5
60-89 Days Past Due | Agricultural
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
60-89 Days Past Due | Other
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
Greater Than 90 Days
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	79	898
Greater Than 90 Days | Commercial & industrial
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
Greater Than 90 Days | Commercial, secured by real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	784
Greater Than 90 Days | Residential real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	79	109
Greater Than 90 Days | Consumer
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	5
Greater Than 90 Days | Agricultural
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
Greater Than 90 Days | Other
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
Financial Asset, Past Due
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	361	2,359
Financial Asset, Past Due | Commercial & industrial
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
Financial Asset, Past Due | Commercial, secured by real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	965
Financial Asset, Past Due | Residential real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	160	1,240
Financial Asset, Past Due | Consumer
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	120	32
Financial Asset, Past Due | Agricultural
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	0	0
Financial Asset, Past Due | Other
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	81	122
Financial Asset, Not Past Due
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	1,400,917	1,367,086
Financial Asset, Not Past Due | Commercial & industrial
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	120,327	101,598
Financial Asset, Not Past Due | Commercial, secured by real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	936,255	886,714
Financial Asset, Not Past Due | Residential real estate
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	305,968	333,866
Financial Asset, Not Past Due | Consumer
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	28,294	34,259
Financial Asset, Not Past Due | Agricultural
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	10,073	10,649
Financial Asset, Not Past Due | Other
Financing Receivable, Past Due [Line Items]
Total Loans Receivable	$ 0	$ 0

LOANS, IMPAIRED LOANS (Details)

LOANS, IMPAIRED LOANS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Financing Receivable, Impaired [Line Items]
Financing Receivable, Modifications, with No Related Allowance, Recorded Investment	$ 0	$ 101
With no related allowance recorded [Abstract]
Recorded Investment	2,629	5,486
Unpaid Principal Balance	3,157	6,909
Average Recorded Investment	3,837	8,912	$ 11,648
Interest Income Recognized	736	848	1,419
With an allowance recorded [Abstract]
Recorded Investment	944	1,036
Unpaid Principal Balance	949	1,041
Related Allowance	21	25
Average Recorded Investment	992	1,079	2,136
Interest Income Recognized	62	59	48
Total [Abstract]
Recorded Investment	3,573	6,522
Unpaid Principal Balance	4,106	7,950
Average Recorded Investment	4,829	9,991	13,784
Interest Income Recognized	798	907	1,467
Interest income recognized on a cash basis	5	37	34
Financing Receivable, Modifications, with Related Allowance, Recorded Investment	0	0
Commercial & industrial
With no related allowance recorded [Abstract]
Recorded Investment	414	88
Unpaid Principal Balance	523	316
Average Recorded Investment	311	236	1,044
Interest Income Recognized	145	83	335
With an allowance recorded [Abstract]
Recorded Investment	114	155
Unpaid Principal Balance	119	160
Related Allowance	4	5
Average Recorded Investment	135	175	212
Interest Income Recognized	8	10	12
Total [Abstract]
Recorded Investment	528	243
Unpaid Principal Balance	642	476
Average Recorded Investment	446	411	1,256
Interest Income Recognized	153	93	347
Commercial, secured by real estate
With no related allowance recorded [Abstract]
Recorded Investment	1,042	3,897
Unpaid Principal Balance	1,255	4,736
Average Recorded Investment	2,220	5,978	7,070
Interest Income Recognized	357	411	731
With an allowance recorded [Abstract]
Recorded Investment	645	660
Unpaid Principal Balance	645	660
Related Allowance	11	11
Average Recorded Investment	663	674	1,517
Interest Income Recognized	43	36	18
Total [Abstract]
Recorded Investment	1,687	4,557
Unpaid Principal Balance	1,900	5,396
Average Recorded Investment	2,883	6,652	8,587
Interest Income Recognized	400	447	749
Residential real estate
With no related allowance recorded [Abstract]
Recorded Investment	1,173	1,501
Unpaid Principal Balance	1,379	1,857
Average Recorded Investment	1,306	2,553	3,290
Interest Income Recognized	234	227	316
With an allowance recorded [Abstract]
Recorded Investment	185	221
Unpaid Principal Balance	185	221
Related Allowance	6	9
Average Recorded Investment	194	230	404
Interest Income Recognized	11	13	18
Total [Abstract]
Recorded Investment	1,358	1,722
Unpaid Principal Balance	1,564	2,078
Average Recorded Investment	1,500	2,783	3,694
Interest Income Recognized	245	240	334
Consumer
With no related allowance recorded [Abstract]
Recorded Investment	0	0
Unpaid Principal Balance	0	0
Average Recorded Investment	0	1	10
Interest Income Recognized	0	0	1
With an allowance recorded [Abstract]
Recorded Investment	0	0
Unpaid Principal Balance	0	0
Related Allowance	0	0
Average Recorded Investment	0	0	3
Interest Income Recognized	0	0	0
Total [Abstract]
Recorded Investment	0	0
Unpaid Principal Balance	0	0
Average Recorded Investment	0	1	13
Interest Income Recognized	0	0	1
Agricultural
With no related allowance recorded [Abstract]
Recorded Investment	0	0
Unpaid Principal Balance	0	0
Average Recorded Investment	0	0	0
Interest Income Recognized	0	0	0
With an allowance recorded [Abstract]
Recorded Investment	0	0
Unpaid Principal Balance	0	0
Related Allowance	0	0
Average Recorded Investment	0	0	0
Interest Income Recognized	0	0	0
Total [Abstract]
Recorded Investment	0	0
Unpaid Principal Balance	0	0
Average Recorded Investment	0	0	0
Interest Income Recognized	0	0	0
Other
With no related allowance recorded [Abstract]
Recorded Investment	0	0
Unpaid Principal Balance	0	0
Average Recorded Investment	0	144	234
Interest Income Recognized	0	127	36
With an allowance recorded [Abstract]
Recorded Investment	0	0
Unpaid Principal Balance	0	0
Related Allowance	0	0
Average Recorded Investment	0	0	0
Interest Income Recognized	0	0	0
Total [Abstract]
Recorded Investment	0	0
Unpaid Principal Balance	0	0
Average Recorded Investment	0	144	234
Interest Income Recognized	$ 0	$ 127	$ 36

LOANS, TROUBLED DEBT RESTRUCTUR

LOANS, TROUBLED DEBT RESTRUCTURING (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($) Loan	Dec. 31, 2021 USD ($) Loan	Dec. 31, 2020 USD ($) Loan
Loan modifications classified as troubled debt restructurings [Abstract]
Number of Loans (in loan) | Loan	0	3	3
Pre-Modification Recorded Balance	$ 0	$ 97	$ 1,544
Post-Modification Recorded Balance	0	101	1,543
Loans modified that subsequently defaulted	0	0	$ 0
Modified impaired loans without a valuation allowance	0	101
Modified impaired loans with valuation allowance	0	0
Federal Home Loan Mortgage Corporation and Other Investors
Loan modifications classified as troubled debt restructurings [Abstract]
Unpaid principal balances of loans sold and serviced for the Federal Home Loan Mortgage Corporation	$ 148,412	$ 149,382
Commercial & industrial
Loan modifications classified as troubled debt restructurings [Abstract]
Number of Loans (in loan) | Loan	0	0	1
Pre-Modification Recorded Balance	$ 0	$ 0	$ 5
Post-Modification Recorded Balance	$ 0	$ 0	$ 4
Commercial, secured by real estate
Loan modifications classified as troubled debt restructurings [Abstract]
Number of Loans (in loan) | Loan	0	0	1
Pre-Modification Recorded Balance	$ 0	$ 0	$ 1,525
Post-Modification Recorded Balance	$ 0	$ 0	$ 1,525
Residential real estate
Loan modifications classified as troubled debt restructurings [Abstract]
Number of Loans (in loan) | Loan	0	3	1
Pre-Modification Recorded Balance	$ 0	$ 97	$ 14
Post-Modification Recorded Balance	$ 0	$ 101	$ 14
Consumer
Loan modifications classified as troubled debt restructurings [Abstract]
Number of Loans (in loan) | Loan	0	0	0
Pre-Modification Recorded Balance	$ 0	$ 0	$ 0
Post-Modification Recorded Balance	$ 0	$ 0	$ 0

LOANS, TROUBLED DEBT RESTRUCT_2

LOANS, TROUBLED DEBT RESTRUCTURINGS, MODIFICATION TYPE (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	$ 0	$ 101	$ 1,543
Commercial & industrial
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	4
Commercial, secured by real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	1,525
Residential real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	101	14
Consumer
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Term Modification
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	32	0
Term Modification | Commercial & industrial
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Term Modification | Commercial, secured by real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Term Modification | Residential real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	32	0
Term Modification | Consumer
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Rate Modification
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Rate Modification | Commercial & industrial
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Rate Modification | Commercial, secured by real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Rate Modification | Residential real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Rate Modification | Consumer
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Interest Only
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Interest Only | Commercial & industrial
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Interest Only | Commercial, secured by real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Interest Only | Residential real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Interest Only | Consumer
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Principal Forgiveness [Member]
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Principal Forgiveness [Member] | Commercial & industrial
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Principal Forgiveness [Member] | Commercial, secured by real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Principal Forgiveness [Member] | Residential real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Principal Forgiveness [Member] | Consumer
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	0
Combination
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	69	1,543
Combination | Commercial & industrial
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	4
Combination | Commercial, secured by real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	0	1,525
Combination | Residential real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	0	69	14
Combination | Consumer
Financing Receivable, Troubled Debt Restructuring [Line Items]
Post-Modification Recorded Balance	$ 0	$ 0	$ 0

LOANS, ACTIVITY IN MORTGAGE SER

LOANS, ACTIVITY IN MORTGAGE SERVICING RIGHTS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Receivables [Abstract]
Servicing Asset at Amortized Cost	$ 871	$ 1,039	$ 976	$ 483
Servicing Asset at Amortized Cost, Additions	100	409	719
Amortization of Mortgage Servicing Rights (MSRs)	$ (268)	$ (346)	$ (226)

ACQUIRED CREDIT IMPAIRED LOAN_2

ACQUIRED CREDIT IMPAIRED LOANS (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net	$ 1,395,632	$ 1,363,939
Financial Receivable Acquired Credit Impaired
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net	2,014	2,863
Financial Receivable Acquired Credit Impaired | Commercial & industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	414	88
Financial Receivable Acquired Credit Impaired | Commercial, secured by real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	724	1,612
Financial Receivable Acquired Credit Impaired | Residential real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	876	1,163
Eaton National Bank & Trust Co. [Member] | Financial Receivable Acquired Credit Impaired
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net	808	773
Eaton National Bank & Trust Co. [Member] | Financial Receivable Acquired Credit Impaired | Commercial & industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	284	0
Eaton National Bank & Trust Co. [Member] | Financial Receivable Acquired Credit Impaired | Commercial, secured by real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	68	310
Eaton National Bank & Trust Co. [Member] | Financial Receivable Acquired Credit Impaired | Residential real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	456	463
BNB Bancorp, Inc [Member] | Financial Receivable Acquired Credit Impaired
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net	684	739
BNB Bancorp, Inc [Member] | Financial Receivable Acquired Credit Impaired | Commercial & industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	0	0
BNB Bancorp, Inc [Member] | Financial Receivable Acquired Credit Impaired | Commercial, secured by real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	623	688
BNB Bancorp, Inc [Member] | Financial Receivable Acquired Credit Impaired | Residential real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	61	51
Columbus First Bancorp, Inc. | Financial Receivable Acquired Credit Impaired
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net	192	952
Columbus First Bancorp, Inc. | Financial Receivable Acquired Credit Impaired | Commercial & industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	62	87
Columbus First Bancorp, Inc. | Financial Receivable Acquired Credit Impaired | Commercial, secured by real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	33	614
Columbus First Bancorp, Inc. | Financial Receivable Acquired Credit Impaired | Residential real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	97	251
First Capital Bancshares, Inc. [Member] | Financial Receivable Acquired Credit Impaired
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net	330	399
First Capital Bancshares, Inc. [Member] | Financial Receivable Acquired Credit Impaired | Commercial & industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	68	1
First Capital Bancshares, Inc. [Member] | Financial Receivable Acquired Credit Impaired | Commercial, secured by real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	0	0
First Capital Bancshares, Inc. [Member] | Financial Receivable Acquired Credit Impaired | Residential real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired	$ 262	$ 398

ACQUIRED CREDIT IMPAIRED LOANS,

ACQUIRED CREDIT IMPAIRED LOANS, OUTSTANDING BALANCE AND CARRYING AMOUNT (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Outstanding balance	$ 2,396	$ 3,769
Carrying amount	2,014	2,863
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield	$ 33	$ 116	$ 182

ACQUIRED CREDIT IMPAIRED LOAN_3

ACQUIRED CREDIT IMPAIRED LOANS, ACCRETABLE DISCOUNT RELATED TO ACQUIRED IMPAIRED LOANS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield	$ 33	$ 116	$ 182
Reclass from nonaccretable discount to accretable discount	407	266
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Accretion	$ (490)	$ (332)

OTHER REAL ESTATE OWNED (Detail

OTHER REAL ESTATE OWNED (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Other Real Estate [Roll Forward]
Balance, beginning of year	$ 0	$ 197
Additions	717	0
Reductions due to sales	(717)	(197)
Balance, end of year	0	$ 0
Residential real estate in the process of foreclosure	$ 0

PREMISES AND EQUIPMENT (Details

PREMISES AND EQUIPMENT (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Premises and equipment [Abstract]
Premises and equipment, gross	$ 60,194,000	$ 61,180,000
Less accumulated depreciation	27,152,000	25,795,000
Premises and equipment, net	33,042,000	35,385,000
Depreciation, Nonproduction	1,897,000	1,931,000	$ 1,834,000
Land
Premises and equipment [Abstract]
Premises and equipment, gross	8,222,000	8,512,000
Buildings
Premises and equipment [Abstract]
Premises and equipment, gross	30,148,000	31,296,000
Equipment
Premises and equipment [Abstract]
Premises and equipment, gross	17,266,000	17,272,000
Construction in progress
Premises and equipment [Abstract]
Premises and equipment, gross	$ 4,558,000	$ 4,100,000

LEASES (Details)

LEASES (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
Operating Leased Assets [Line Items]
Operating Lease, Cost	$ 616	$ 840
Short-term Lease, Cost	243	48
Variable Lease, Cost	4	4
Other Lease Expense	11	10
Lease, Cost	874	902	$ 731
Operating Lease, Payments	623
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability	$ 370	801	$ 1,388
Operating Lease, Weighted Average Remaining Lease Term	33 years 4 months 24 days
Operating Lease, Weighted Average Discount Rate, Percent	3.46%
Minimum annual rentals payment [Abstract]
2017	$ 665
2018	675
2019	471
2020	333
2021	311
Thereafter	9,966
Lessee, Operating Lease, Liability, Payments, Due	12,421
Lessee, Operating Lease, Liability, Undiscounted Excess Amount	6,051
Operating Lease, Liability	$ 6,370	$ 6,473
Oakwood Lease [Member]
Operating Leased Assets [Line Items]
Lessee, Operating Lease, Remaining Lease Term	15 years
Lessee, Operating Lease, Renewal Term	5 years
Lessee, Operating Lease, Number Of Renewal Options	6
Oxford Lease [Member]
Operating Leased Assets [Line Items]
Lessee, Operating Lease, Remaining Lease Term	38 years
Lessee, Operating Lease, Number Of Renewal Options	0
Other Leases [Member]
Operating Leased Assets [Line Items]
Lessee, Operating Lease, Renewal Term	5 years
Minimum | Other Leases [Member]
Operating Leased Assets [Line Items]
Lessee, Operating Lease, Remaining Lease Term	1 year
Maximum [Member] | Other Leases [Member]
Operating Leased Assets [Line Items]
Lessee, Operating Lease, Remaining Lease Term	9 years

GOODWILL AND OTHER INTANGIBLE_3

GOODWILL AND OTHER INTANGIBLE ASSETS, CHANGES IN GOODWILL (Details) $ in Thousands	Dec. 31, 2022 USD ($)
Goodwill [Roll Forward]
Balance, beginning of year	$ 59,221
Balance, end of year	$ 59,221

GOODWILL AND OTHER INTANGIBLE_4

GOODWILL AND OTHER INTANGIBLE ASSETS, OTHER INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Other intangible assets included in other assets [Abstract]
Gross Intangible Assets	$ 10,952	$ 10,867
Accumulated Amortization	9,125	8,394
Net Intangible Assets	1,827	2,473
Servicing Asset at Amortized Cost	871	1,039	$ 976	$ 483
Core deposit intangibles
Other intangible assets included in other assets [Abstract]
Gross Intangible Assets	8,544	8,544
Accumulated Amortization	7,588	7,110
Net Intangible Assets	956	1,434
Mortgage servicing rights
Other intangible assets included in other assets [Abstract]
Gross Intangible Assets	2,408	2,323
Accumulated Amortization	1,537	1,284
Net Intangible Assets	$ 871	$ 1,039

GOODWILL AND OTHER INTANGIBLE_5

GOODWILL AND OTHER INTANGIBLE ASSETS, ESTIMATED AGGREGATE FUTURE AMORTIZATION EXPENSE (Details) $ in Thousands	Dec. 31, 2022 USD ($)
Estimated aggregate future amortization expense [Abstract]
2017	$ 647
2018	514
2019	302
2020	113
2021	$ 86

AFFORDABLE HOUSING TAX CREDIT_3

AFFORDABLE HOUSING TAX CREDIT LIMITED PARTNERSHIP (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Equity Method Investments and Joint Ventures [Abstract]
Affordable housing tax credit investment	$ 16,950	$ 14,950
Less amortization	3,268	2,126
Net affordable housing tax credit investment	13,682	12,824
Unfunded commitment	$ 7,185	8,655
Funding period for unfunded commitment	10 years
Tax credits and other tax benefits recognized	$ 1,394	995	$ 612
Tax credit amortization expense included in provision for income taxes	$ 1,142	$ 806	$ 510

CERTIFICATES OF DEPOSIT (Detail

CERTIFICATES OF DEPOSIT (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Contractual maturities of time deposits [Abstract]
2017	$ 80,283
2018	51,886
2019	8,108
2020	9,028
2021	5,683
Thereafter	1,512
Time deposits	156,500
Time deposits of $250,000 or more	$ 16,139	$ 25,123

BORROWINGS, FUNDS BORROWED FROM

BORROWINGS, FUNDS BORROWED FROM FHLB (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Funds borrowed from the FHLB at December 31 by year of maturity
Due in year two	$ 6,918	$ 5,000
Long-Term Debt, Maturity, Year Two	2,001	5,000
Due in year three	10,153	0
Long-term debt	$ 19,072	$ 10,000

BORROWINGS, NARRATIVE (Details)

BORROWINGS, NARRATIVE (Details) $ in Millions	12 Months Ended
	Dec. 31, 2022 USD ($)
Correspondent Bank Number One [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 25
Correspondent Bank Number Two [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 30
Debt Instrument, Basis Spread on Variable Rate	0.50%

BORROWINGS, SHORT TERM DEBT (De

BORROWINGS, SHORT TERM DEBT (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Short-term Debt [Line Items]
Short-term borrowings	$ 71,455,000	$ 0
Rate	4.67%
FHLB short-term advances
Short-term Debt [Line Items]
Short-term borrowings	$ 50,000,000
Rate	4.40%
Revolving Credit Facility
Short-term Debt [Line Items]
Short-term borrowings	$ 3,000,000
Rate	7.25%
Lines of credit
Short-term Debt [Line Items]
Short-term borrowings	$ 18,455,000
Rate	5%
Correspondent Bank Number One [Member]
Short-term Debt [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 25,000,000
Line of Credit Facility, Fair Value of Amount Outstanding	0
Correspondent Bank Number Two [Member]
Short-term Debt [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 30,000,000
Debt Instrument, Basis Spread on Variable Rate	0.50%
Line of Credit Facility, Fair Value of Amount Outstanding	$ 18,500,000	$ 0
Debt Instrument, Reference Rate	4.50%
Federal Home Loan Bank, REPO Based Advance Program [Member]
Short-term Debt [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 87,100,000
Short-Term Debt, Minimum Term	1 day
Short-Term Debt, Maximum Term	1 year
Line of Credit Facility, Expiration Date	Feb. 08, 2023
Federal Home Loan Bank, Cash Management Program
Short-term Debt [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 87,100,000
Correspondent Bank Number Three
Short-term Debt [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 5,000,000
Debt Instrument, Basis Spread on Variable Rate	0.25%
Line of Credit Facility, Expiration Date	Jun. 15, 2023

BORROWINGS, OTHER LONG-TERM DEB

BORROWINGS, OTHER LONG-TERM DEBT (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Long-Term Debt	$ 19,072	$ 10,000

BORROWINGS LONG-TERM DEBT (Deta

BORROWINGS LONG-TERM DEBT (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Long-Term Debt	$ 19,072	$ 10,000
Long-Term Federal Home Loan Bank Advances	5,000	10,000
Other Long-Term Debt	14,072	0
Line of Credit Facility, Remaining Borrowing Capacity	160,600
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged	$ 270,000	$ 303,000
Long-Term Debt, Percentage Bearing Fixed Interest, Percentage Rate	4.25%
Weighted average interest rate (as a percent)	3.02%	3%

INCOME TAXES, PROVISION FOR FED

INCOME TAXES, PROVISION FOR FEDERAL INCOME TAXES (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Provision for federal income taxes [Abstract]
Income taxes currently payable	$ 5,162	$ 4,317	$ 3,951
Deferred income tax provision (benefit)	(344)	294	134
Provision for income taxes	$ 4,818	$ 4,611	$ 4,085

INCOME TAXES, EFFECTIVE INCOME

INCOME TAXES, EFFECTIVE INCOME TAX RATE RECONCILIATION (Details)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Reconciliation between the statutory income tax and effective tax rate [Abstract]
Statutory tax rate	21%	21%	21%
Increase (decrease) resulting from -
Tax exempt interest	(0.60%)	(0.70%)	(0.90%)
Tax exempt income on bank owned life insurance	(0.80%)	(0.90%)	(1.30%)
Captive insurance premium income	(0.90%)	(0.80%)	(0.80%)
Effective Income Tax Rate Reconciliation, Tax Credit, Percent	(0.80%)	(0.60%)	(0.40%)
Effective Income Tax Rate Reconciliation, Prior Year Income Taxes, Percent	0%	0%	(0.80%)
Other – net	0%	0%	1%
Effective tax rate	17.90%	18%	17.80%

INCOME TAXES, DEFERRED TAX ASSE

INCOME TAXES, DEFERRED TAX ASSETS AND DEFERRED TAX LIABILITIES (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Deferred tax assets:
Allowance for loan losses	$ 1,186	$ 1,156
Net unrealized losses on investment securities available-for-sale	7,955	408
Fair value adjustment on loans acquired from mergers	40	103
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Employee Compensation	602	630
Deferred compensation	7	73
Operating Lease, Right-of-Use Asset	1,338	1,359
Other	165	96
Deferred tax assets, gross	11,293	3,825
Deferred tax liabilities:
Depreciation of premises and equipment	(1,174)	(1,595)
Amortization of intangibles	(1,643)	(1,518)
Deferred Tax Liabilities, Prepaid Expenses	316	323
FHLB stock dividends	(183)	(216)
Deferred Tax Liabilities Operating Lease Liabilities	(1,338)	(1,359)
Deferred tax liabilities, gross	(4,654)	(5,011)
Net deferred tax assets (liabilities)	$ 6,639	$ (1,186)

INCOME TAXES, NARRATIVE (Detail

INCOME TAXES, NARRATIVE (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income Tax Disclosure [Abstract]
Unrecognized tax benefits	$ 0	$ 0
Unrecognized interest and penalties	$ 0	$ 0	$ 0

COMMITMENTS AND CONTINGENT LI_3

COMMITMENTS AND CONTINGENT LIABILITIES (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance sheet risks, liability	$ 321,441	$ 290,675
Commitments outstanding for capital expenditures	419
Commercial loans
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance sheet risks, liability	22,823	82,578
Other loans | Fixed rate
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance sheet risks, liability	191	5,196
Other loans | Adjustable rate
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance sheet risks, liability	1,422	2,784
Unused lines of credit | Fixed rate
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance sheet risks, liability	41,558	32,655
Unused lines of credit | Adjustable rate
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance sheet risks, liability	238,876	150,746
Unused overdraft protection amounts on demand and NOW accounts
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance sheet risks, liability	16,566	16,711
Standby letters of credit
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance sheet risks, liability	$ 5	$ 5

REGULATORY MATTERS, NARRATIVE (

REGULATORY MATTERS, NARRATIVE (Details) $ in Thousands	Dec. 31, 2022 USD ($)
Regulatory Assets and Liabilities, Other Disclosure [Abstract]
Dividend payable from retained earnings without affecting capital position	$ 12,947
Capital Conservation Buffer, Fully Implimented	2.50%

REGULATORY MATTERS (Details)

REGULATORY MATTERS (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Ratio of Common Equity Tier 1 Capital to risk-weighted assets
Minimum Requirement	4.50%
Minimum Requirement with Capital Conservation Buffer	7%
To Be Considered Well-Capitalized	6.50%
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets	0.060
Tier One Risk Based Capital Required For Capital Adequacy To Risk Weighted Assets With Capital Conservation Buffer	8.50%
Ratio of total capital (tier 1 capital plus tier 2 capital) to risk-weighted assets	0.080
Ratio of total capital (tier 1 capital plus tier 2 capital) to risk-weighted assets
Minimum Requirement	0.080
Minimum Requirement with Capital Conservation Buffer	10.50%
To Be Considered Well-Capitalized	0.100
Leverage ratio (tier 1 capital to adjusted quarterly average total assets)
Minimum Requirement	0.040
To Be Considered Well-Capitalized	0.050
Regulatory Capital:
Shareholders' equity	$ 200,675	$ 238,604	$ 240,825	$ 228,048
2022
Regulatory Capital:
Shareholders' equity	213,052	234,451
Goodwill and other intangible assets	(60,177)	(60,655)
Accumulated other comprehensive (income) loss	29,945	1,809
Tier 1 risk-based capital	182,820	175,605
Eligible allowance for loan losses	5,646	5,506
Total risk-based capital	$ 188,466	$ 181,111
Capital Ratios:
Common Equity Tier 1 Capital to risk-weighted assets	11.94%	12.25%
Tier 1 capital to risk-weighted assets	0.1194	0.1225
Total capital (tier 1 capital plus tier 2 capital) to risk-weighted assets	0.1231	0.1264
Leverage ratio (tier 1 capital to adjusted quarterly average total assets)	0.0972	0.0958

ACCUMULATED OTHER COMPREHENSI_3

ACCUMULATED OTHER COMPREHENSIVE INCOME, CHANGES IN AOCI (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of year	$ 238,604	$ 240,825
Before reclassifications	(28,145)	(5,613)
Reclassifications	0	(239)
Balance at end of year	200,675	238,604
Unrealized Gains and Losses on Available-for-Sale Securities
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of year	(1,536)	4,348
Before reclassifications	(28,391)	(5,645)
Reclassifications	0	(239)
Balance at end of year	(29,927)	(1,536)
Changes in Pension Plan Assets and Benefit Obligations
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of year	(273)	(305)
Before reclassifications	246	32
Reclassifications	0	0
Balance at end of year	(27)	(273)
Accumulated Other Comprehensive Income (Loss)
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of year	(1,809)	4,043
Balance at end of year	$ (29,954)	$ (1,809)

ACCUMULATED OTHER COMPREHENSI_4

ACCUMULATED OTHER COMPREHENSIVE INCOME, RECLASSIFICATION OF AOCI (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Less provision for income taxes	$ (4,818)	$ (4,611)	$ (4,085)
Reclassification adjustment, net of taxes	0	239
Unrealized Gains and Losses on Available-for-Sale Securities
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Reclassification adjustment, net of taxes	0	239
Unrealized Gains and Losses on Available-for-Sale Securities | Reclassification out of Accumulated Other Comprehensive Income
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Net gains on sales of debt securities	0	303
Less provision for income taxes	0	64
Reclassification adjustment, net of taxes	$ 0	$ 239

RETIREMENT PLANS, NARRATIVE (De

RETIREMENT PLANS, NARRATIVE (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Jul. 01, 2020	Jul. 01, 2019	Feb. 01, 2009 age_and_service
Defined Contribution Plan [Abstract]
Age plus vesting service (less than, in years) | age_and_service						65
Employer's matching contribution to 401(k) of employees hired on or after January 1, 2009	50%
Maximum annual contribution per employee, percent	3%
Minimum annual contribution for employees who received a benefit reduction under plan amendments	5%
Maximum annual contribution for employees who received a benefit reduction under plan amendments	7%
Defined benefit plan, minimum funded percentage				80%	80%
Deferred Compensation Arrangements
Deferred Compensation Arrangements [Abstract]
Accrued interest on deferred compensation	8%
Deferred compensation liability	$ 2,867	$ 3,002
Qualified noncontributory defined benefit retirement plan
Defined Contribution Plan [Abstract]
Expected contribution by employer to noncontributory defined benefit plan	184
Supplemental Employee Retirement Plan
Supplemental income plan [Abstract]
Projected benefit obligation	$ 689	$ 798
Discount rate	5.10%	5%
Service cost	$ 0	$ 0	$ 0
Interest cost	$ 36	$ 42	$ 48
Qualified noncontributory defined benefit retirement plan
Supplemental income plan [Abstract]
Discount rate	5.02%	2.83%	2.52%
Service cost	$ 0	$ 0	$ 0
Interest cost	54	52	$ 63
Accumulated benefit obligation under nonqualified defined benefit retirement plan	1,606	1,999
Future amortization of prior service cost	0
Citizens National Bank
Defined Contribution Plan [Abstract]
Qualified noncontributory defined benefit pension plan liability	$ 128	$ 128

RETIREMENT PLANS, COSTS OF RETI

RETIREMENT PLANS, COSTS OF RETIREMENT PLANS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Defined Benefit Plan Disclosure [Line Items]
401(k) plan expense	$ 636	$ 610	$ 590
Qualified noncontributory defined benefit retirement plan
Defined Benefit Plan Disclosure [Line Items]
Plan expense	$ 1,298	$ 1,178	$ 1,111

RETIREMENT PLANS, NET PERIODIC

RETIREMENT PLANS, NET PERIODIC BENEFIT COSTS (Details) - Qualified noncontributory defined benefit retirement plan - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract]
Service cost	$ 0	$ 0	$ 0
Interest cost	54	52	63
Amortization of unrecognized (gain) loss	8	8	2
Net periodic pension cost	$ 62	$ 60	$ 65

RETIREMENT PLANS, CHANGES IN PR

RETIREMENT PLANS, CHANGES IN PROJECTED BENEFIT OBLIGATION (Details) - Qualified noncontributory defined benefit retirement plan - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Reconciliation of changes in projected benefit obligation [Abstract]
Projected benefit obligation at beginning of year	$ 1,999	$ 2,124	$ 2,045
Service cost	0	0	0
Interest cost	54	52	63
Actuarial (gain) or loss	(303)	(33)	155
Benefits paid	(144)	(144)	(139)
Projected benefit obligation at end of year	$ 1,606	$ 1,999	$ 2,124

RETIREMENT PLANS, AMOUNTS RECOG

RETIREMENT PLANS, AMOUNTS RECOGNIZED IN AOCI (Details) - Qualified noncontributory defined benefit retirement plan - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), after Tax [Abstract]
Net actuarial (gain)/loss	$ 246	$ 32	$ (122)
Accumulated benefit obligation under nonqualified defined benefit retirement plan	1,606	1,999
Accumulated Other Comprehensive (Income) Loss, Defined Benefit Plan, after Tax	$ 27	$ 273

RETIREMENT PLANS, ASSUMPTIONS U

RETIREMENT PLANS, ASSUMPTIONS USED (Details) - Qualified noncontributory defined benefit retirement plan	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Benefit obligation:
Discount rate	5.02%	2.83%	2.52%
Salary increase rate	0%	0%	0%
Net periodic pension cost:
Discount rate	2.83%	2.52%	3.22%
Salary increase rate	0%	0%	0%
Amortization period in years	19 years 4 months 28 days	20 years 1 month 28 days	21 years 2 months 26 days

RETIREMENT PLANS, ESTIMATED FUT

RETIREMENT PLANS, ESTIMATED FUTURE BENEFIT PAYMENTS (Details) - Qualified noncontributory defined benefit retirement plan	Dec. 31, 2022 USD ($)
Defined Benefit Plan Disclosure [Line Items]
Contributions, next fiscal year	$ 0
Defined Benefit Plan, Expected Future Benefit Payment [Abstract]
2018	144,000
2019	144,000
2020	144,000
2021	143,000
2022	142,000
2023-2026	$ 648,000

STOCK-BASED COMPENSATION, NARRA

STOCK-BASED COMPENSATION, NARRATIVE (Details)	12 Months Ended
	Dec. 31, 2022 shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Period options granted to date vest ratably	5 years
Ownership Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized for issuance (in shares)	200,000
Ownership Incentive Plan 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized for issuance (in shares)	450,000

STOCK-BASED COMPENSATION, STOCK

STOCK-BASED COMPENSATION, STOCK OPTION ACTIVITY (Details) - Stock Options - $ / shares	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Options
Outstanding at beginning of period (in shares)	311	9,904
Exercised (in shares)	(311)	(9,593)
Expired (in shares)	0	0
Outstanding at end of period (in shares)	0	311
Exercisable at end of period (in shares)	0	311
Weighted Average Exercise Price
Outstanding at beginning of period (in dollars per share)	$ 12.60	$ 11.96
Exercised (in dollars per share)	12.60	11.94
Expired (in dollars per share)	0	0
Outstanding at end of period (in dollars per share)	0	12.60
Exercisable at end of period (in dollars per share)	$ 0	$ 12.60

STOCK-BASED COMPENSATION, INFOR

STOCK-BASED COMPENSATION, INFORMATION RELATED TO STOCK OPTIONS EXERCISED (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Share-Based Payment Arrangement [Abstract]
Intrinsic value of options exercised		$ 1	$ 46
Cash received from options exercised	$ 0	4	114
Tax benefit realized from options exercised		$ 0	$ 5

STOCK-BASED COMPENSATION, RESTR

STOCK-BASED COMPENSATION, RESTRICTED STOCK ACTIVITY (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Weighted Average Grant Date Fair Value
Compensation expense relating to restricted stock	$ 531	$ 249	$ 137
Restricted Stock Awards
Shares
Beginning of period (in shares)	44,512	28,596	17,752
Granted (in shares)	32,554	26,321	19,211
Vested (in shares)	(18,752)	(9,649)	(4,817)
Forfeited (in shares)	0	(756)	(3,550)
End of period (in shares)	58,314	44,512	28,596
Weighted Average Grant Date Fair Value
Beginning of period (usd per share)	$ 17.08	$ 17.42	$ 18.03
Granted (usd per share)	19.25	16.85	16.87
Vested (usd per share)	18.01	17.49	17.83
Forfeited (usd per share)	0	16.86	16.9
End of period (usd per share)	$ 17.99	$ 17.08	$ 17.42
Compensation expense relating to restricted stock	$ 531	$ 249	$ 137
Tax benefit from compensation expense	111	$ 52	$ 29
Restricted stock compensation costs not yet recognized	$ 701
Compensation costs not yet recognized, period for recognition	4 years 2 months 12 days

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Earnings Per Share [Abstract]
Net income	$ 22,128	$ 20,974	$ 20,075
Less allocation of earnings and dividends to participating securities	114	75	45
Net income allocated to common shareholders	$ 22,014	$ 20,899	$ 20,030
Weighted average common shares outstanding, gross (in shares)	11,469,676	12,635,013	12,943,622
Less average participating securities (in shares)	58,695	45,408	29,345
Weighted average number of shares outstanding used in the calculation of basic earnings per common share (in shares)	11,410,981	12,589,605	12,914,277
Add dilutive effect of:
Stock options (in shares)	0	8	307
Adjusted weighted average number of shares outstanding used in the calculation of diluted earnings per common share (in shares)	11,410,981	12,589,613	12,914,584

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Related parties transaction [Roll Forward]
Beginning balances	$ 2,125,000	$ 2,929,000
Additions	317,000	250,000
Reductions	(250,000)	(641,000)
Ending Balance	2,192,000	2,125,000
Deposits from related parties	2,163,000	3,373,000
Change in composition of related parties	$ 0	$ (413,000)

FAIR VALUE OF FINANCIAL INSTR_3

FAIR VALUE OF FINANCIAL INSTRUMENTS, AT FAIR VALUE (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	$ 289,850	$ 308,177
Other real estate owned and repossessed assets	0	0	$ 197
Total Loans Receivable	1,401,278	1,369,445
Equity securities with a readily determinable fair value, at fair value	2,273	2,546
30-59 Days Past Due
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Loans Receivable	279	1,455
60-89 Days Past Due
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Loans Receivable	3	6
Greater Than 90 Days
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Loans Receivable	79	898
Financial Asset, Past Due
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Loans Receivable	361	2,359
Financial Asset, Not Past Due
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Loans Receivable	1,400,917	1,367,086
Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	292,123	310,723
Recurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	78,720	77,290
Recurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	213,403	233,433
Recurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	0	0
Nonrecurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	923	1,011
Impaired loans	923	1,011
Nonrecurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	0	0
Impaired loans	0	0
Nonrecurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	0	0
Impaired loans	0	0
Nonrecurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	923	1,011
Impaired loans	923	1,011
U.S. Treasury notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	76,447	74,744
U.S. Treasury notes | Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	76,447	74,744
U.S. Treasury notes | Recurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	76,447	74,744
U.S. Treasury notes | Recurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
U.S. Treasury notes | Recurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
U.S. Agency notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	77,976	87,246
U.S. Agency notes | Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	77,976	87,246
U.S. Agency notes | Recurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
U.S. Agency notes | Recurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	77,976	87,246
U.S. Agency notes | Recurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
U.S. Agency mortgage-backed securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	79,440	96,676
U.S. Agency mortgage-backed securities | Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	79,440	96,676
U.S. Agency mortgage-backed securities | Recurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
U.S. Agency mortgage-backed securities | Recurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	79,440	96,676
U.S. Agency mortgage-backed securities | Recurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
Non-taxable municipal securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	8,524	9,066
Non-taxable municipal securities | Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	8,524	9,066
Non-taxable municipal securities | Recurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
Non-taxable municipal securities | Recurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	8,524	9,066
Non-taxable municipal securities | Recurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
Taxable municipal securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	40,778	35,293
Taxable municipal securities | Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	40,778	35,293
Taxable municipal securities | Recurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
Taxable municipal securities | Recurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	40,778	35,293
Taxable municipal securities | Recurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
Mutual funds | Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	41	51
Mutual funds | Recurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	41	51
Mutual funds | Recurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	0	0
Mutual funds | Recurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	0	0
Mutual Funds Measured At Net Asset Value [Member] [Domain] | Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value		1,328
Mutual funds measured at net asset value | Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	1,193
Mutual funds measured at net asset value | Recurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	1,193	1,328
Mutual funds measured at net asset value | Recurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	0	0
Mutual funds measured at net asset value | Recurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	0	0
Equity securities | Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	1,039	1,167
Equity securities | Recurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	1,039	1,167
Equity securities | Recurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	0	0
Equity securities | Recurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities with a readily determinable fair value, at fair value	0	0
Corporate Bond Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	6,685	5,152
Corporate Bond Securities | Recurring fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	6,685	5,152
Corporate Bond Securities | Recurring fair value measurements | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	0	0
Corporate Bond Securities | Recurring fair value measurements | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	6,685	5,152
Corporate Bond Securities | Recurring fair value measurements | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities, available-for-sale, at fair value	$ 0	$ 0

FAIR VALUE OF FINANCIAL INSTR_4

FAIR VALUE OF FINANCIAL INSTRUMENTS, QUANTITATIVE INFORMATION ABOUT UNOBSERVABLE INPUTS USED IN RECURRING AND NONRECURRING LEVEL 3 INPUTS (Details) - Nonrecurring fair value measurements $ in Thousands	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 923	$ 1,011
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	923	1,011
Impaired Loans, Fair Value Calculated Using Estimated Sales Price [Member] | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	0	0
Impaired Loans, Fair Value Calculated Using Disounted Cash Flows [Member] | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 923	$ 1,011
Measurement Input, Discount Rate [Member] | Valuation, Income Approach [Member] | Impaired Loans [Member] | Maximum | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans Held-for-sale, Measurement Input	0.0813	0.0825
Measurement Input, Discount Rate [Member] | Valuation, Income Approach [Member] | Impaired Loans [Member] | Minimum | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans Held-for-sale, Measurement Input	0.0463	0.0400
Measurement Input, Discount Rate [Member] | Valuation, Income Approach [Member] | Impaired Loans [Member] | Weighted Average | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans Held-for-sale, Measurement Input	0.0604	0.0607

FAIR VALUE OF FINANCIAL INSTR_5

FAIR VALUE OF FINANCIAL INSTRUMENTS, BY BALANCE SHEET GROUPING (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
FINANCIAL ASSETS:
Debt securities, held-to-maturity	$ 18,885	$ 23,087
Accrued interest receivable	7,482	7,999
Carrying Amount
FINANCIAL ASSETS:
Cash and cash equivalents	22,701	18,136
Debt securities, held-to-maturity	19,878	22,972
Loans, net	1,395,632	1,363,939
Accrued interest receivable	7,482	7,999
FINANCIAL LIABILITIES:
Deposits	1,604,970	1,628,819
Long-term debt	19,072	10,000
Accrued interest payable	311	277
Fair Value
FINANCIAL ASSETS:
Cash and cash equivalents	22,701	18,136
Debt securities, held-to-maturity	18,885	23,087
Loans, net	1,219,112	1,333,840
Accrued interest receivable	7,482	7,999
FINANCIAL LIABILITIES:
Deposits	1,604,380	1,630,158
Long-term debt	18,573	10,292
Accrued interest payable	311	277
Quoted Prices in Active Markets for Identical Assets (Level 1)
FINANCIAL ASSETS:
Cash and cash equivalents	22,701	18,136
Debt securities, held-to-maturity	0	0
Loans, net	0	0
Accrued interest receivable	0	0
FINANCIAL LIABILITIES:
Deposits	1,448,470	1,435,487
Long-term debt	0	0
Accrued interest payable	0	0
Significant Other Observable Inputs (Level 2)
FINANCIAL ASSETS:
Cash and cash equivalents	0	0
Debt securities, held-to-maturity	0	0
Loans, net	0	0
Accrued interest receivable	7,482	7,999
FINANCIAL LIABILITIES:
Deposits	155,910	194,671
Long-term debt	18,573	10,292
Accrued interest payable	311	277
Significant Unobservable Inputs (Level 3)
FINANCIAL ASSETS:
Cash and cash equivalents	0	0
Debt securities, held-to-maturity	18,885	23,087
Loans, net	1,219,112	1,333,840
Accrued interest receivable	0	0
FINANCIAL LIABILITIES:
Deposits	0	0
Long-term debt	0	0
Accrued interest payable	$ 0	$ 0

PARENT COMPANY FINANCIAL INFO_3

PARENT COMPANY FINANCIAL INFORMATION - CONDENSED BALANCE SHEETS (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
ASSETS:
Equity securities with a readily determinable fair value, at fair value	$ 2,273	$ 2,546
Other assets, net	25,503	21,246
TOTAL ASSETS	1,919,121	1,903,629
Total liabilities	1,718,446	1,665,025
Shareholders' equity	200,675	238,604	$ 240,825	$ 228,048
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	1,919,121	1,903,629
Long-Term Debt	19,072	10,000
Accrued interest and other liabilities	16,579	19,733
Parent Company
ASSETS:
Cash on deposit with subsidiary	916	657
Cash	620	451
Equity securities with a readily determinable fair value, at fair value	1,024	1,156
Investment in subsidiaries	215,222	236,401
Other assets, net	59	180
TOTAL ASSETS	217,841	238,845
Other Short-term Borrowings	3,000	0
Total liabilities	17,166	241
Shareholders' equity	200,675	238,604
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	217,841	238,845
Long-Term Debt	14,072	0
Accrued interest and other liabilities	$ 94	$ 241

PARENT COMPANY FINANCIAL INFO_4

PARENT COMPANY FINANCIAL INFORMATION - CONDENSED STATEMENTS OF INCOME (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income:
Interest and dividends	$ 65,753	$ 61,177	$ 63,780
Net gain on sales of securities	0	303	221
INCOME BEFORE INCOME TAXES	26,946	25,585	24,160
PROVISION FOR INCOME TAXES	4,818	4,611	4,085
NET INCOME	22,128	20,974	20,075
Parent Company
Income:
Dividends from subsidiaries	17,850	15,820	12,070
Interest and dividends	35	34	29
Other Income	(123)	155	147
Total income	17,762	16,009	12,246
Total expenses	3,305	1,764	1,326
INCOME BEFORE INCOME TAXES	14,457	14,245	10,920
PROVISION FOR INCOME TAXES	(705)	(333)	(404)
Equity in undistributed income of subsidiaries	6,966	6,396	8,751
NET INCOME	$ 22,128	$ 20,974	$ 20,075

PARENT COMPANY FINANCIAL INFO_5

PARENT COMPANY FINANCIAL INFORMATION - CONDENSED STATEMENTS OF CASH FLOWS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Cash flows from operating activities:
Net income	$ 22,128	$ 20,974	$ 20,075
Adjustments for non-cash items -
NET CASH FLOWS PROVIDED BY OPERATING ACTIVITIES	25,242	17,821	13,678
Cash flows from investing activities:
Purchases of equity securities	19	16	369
Proceeds from sales of equity securities	0	0	967
NET CASH FLOWS USED IN INVESTING ACTIVITIES	(44,912)	(175,219)	(80,051)
Cash flows from financing activities:
Net increase in short-term borrowings	71,455	0	0
Proceeds from long-term debt	15,000	0	0
Principal payments on long-term debt	(5,928)	(12,000)	(19,000)
Proceeds from issuance of common stock	408	434	401
Payments to repurchase common stock	(23,660)	(8,310)	(1,872)
Cash dividends paid on common stock	(9,191)	(9,720)	(9,448)
NET CASH FLOWS PROVIDED BY FINANCING ACTIVITIES	24,235	143,804	77,338
Net change in cash	4,565	(13,594)	10,965
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR	18,136
CASH AND CASH EQUIVALENTS AT END OF YEAR	22,701	18,136
Parent Company
Cash flows from operating activities:
Net income	22,128	20,974	20,075
Adjustments for non-cash items -
Increase in undistributed income of subsidiaries	(6,966)	(6,396)	(8,751)
Other, net	636	299	(88)
NET CASH FLOWS PROVIDED BY OPERATING ACTIVITIES	15,798	14,877	11,236
Cash flows from investing activities:
Purchases of equity securities	0	0	346
Proceeds from sales of equity securities	0	0	463
NET CASH FLOWS USED IN INVESTING ACTIVITIES	0	0	117
Cash flows from financing activities:
Net increase in short-term borrowings	3,000	0	0
Proceeds from long-term debt	15,000	0	0
Principal payments on long-term debt	(928)	0	0
Proceeds from issuance of common stock	409	434	401
Payments to repurchase common stock	(23,660)	(8,310)	(1,872)
Cash dividends paid on common stock	(9,191)	(9,720)	(9,448)
Other	0	4	114
NET CASH FLOWS PROVIDED BY FINANCING ACTIVITIES	(15,370)	(17,592)	(10,805)
Net change in cash	428	(2,715)	548
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR	1,108	3,823	3,275
CASH AND CASH EQUIVALENTS AT END OF YEAR	$ 1,536	$ 1,108	$ 3,823