First Northern Community Bancorp (FNRN) 10-Q 12 May 22 2022 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2022	May 06, 2022
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2022
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Document Transition Report	false
Entity File Number	000-30707
Entity Registrant Name	FIRST NORTHERN COMMUNITY BANCORP
Entity Central Index Key	0001114927
Entity Incorporation, State or Country Code	CA
Entity Tax Identification Number	68-0450397
Entity Address, Address Line One	195 N. First Street
Entity Address, City or Town	Dixon
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	95620
City Area Code	707
Local Phone Number	678-3041
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 Common Stock, Shares Outstanding		13,929,829

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Assets
Cash and cash equivalents	$ 274,750	$ 345,929
Certificates of deposit	11,067	13,272
Investment securities - available-for-sale	645,155	632,213
Loans, net of allowance for loan losses of $14,258 at March 31, 2022 and $13,952 at December 31, 2021	874,005	852,717
Loans held-for-sale	350	1,063
Stock in Federal Home Loan Bank and other equity securities, at cost	7,097	7,097
Premises and equipment, net	6,372	6,552
Interest receivable and other assets	48,873	40,244
Total Assets	1,867,669	1,899,087
Liabilities:
Demand deposits	789,397	820,412
Interest-bearing transaction deposits	434,188	432,479
Savings and MMDA's	443,711	426,026
Time, $250,000 or less	37,956	38,388
Time, over $250,000	10,744	10,997
Total deposits	1,715,996	1,728,302
Interest payable and other liabilities	17,543	19,874
Total Liabilities	1,733,539	1,748,176
Commitments and contingencies (Note 7)
Stockholders' Equity:
Common stock, no par value; 16,000,000 shares authorized; 13,929,829 shares issued and outstanding at March 31, 2022 and 13,848,904 shares issued and outstanding at December 31, 2021	110,308	109,793
Additional paid-in capital	977	977
Retained earnings	47,005	44,338
Accumulated other comprehensive loss, net	(24,160)	(4,197)
Total Stockholders' Equity	134,130	150,911
Total Liabilities and Stockholders' Equity	$ 1,867,669	$ 1,899,087

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Assets
Loans, allowance for loan losses	$ 14,258	$ 13,952
Stockholder's Equity:
Common stock, par value (in dollars per share)	$ 0	$ 0
Common stock, shares authorized (in shares)	16,000,000	16,000,000
Common stock, shares issued (in shares)	13,929,829	13,848,904
Common stock, shares outstanding (in shares)	13,929,829	13,848,904

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Interest and dividend income:
Loans	$ 9,657	$ 9,237
Due from banks interest bearing accounts	166	148
Investment securities
Taxable	1,728	1,486
Non-taxable	178	143
Other earning assets	118	82
Total interest and dividend income	11,847	11,096
Interest expense:
Deposits	209	224
Total interest expense	209	224
Net interest income	11,638	10,872
Provision for loan losses	300	300
Net interest income after provision for loan losses	11,338	10,572
Non-interest income:
Service charges on deposit accounts	443	360
Gains on sales of loans held-for-sale	68	639
Investment and brokerage services income	161	144
Loan servicing income	384	355
Debit card income	623	599
Losses on sales/calls of available-for-sale securities	0	(10)
Other income	239	203
Total non-interest income	1,918	2,290
Non-interest expenses:
Salaries and employee benefits	5,683	5,639
Occupancy and equipment	866	827
Data processing	839	791
Stationery and supplies	64	57
Advertising	103	66
Directors' fees	63	38
Other expense	1,484	1,083
Total non-interest expenses	9,102	8,501
Income before provision for income taxes	4,154	4,361
Provision for income taxes	1,113	1,183
Net income	$ 3,041	$ 3,178
Basic earnings per common share (in dollars per share)	$ 0.22	$ 0.22
Diluted earnings per common share (in dollars per share)	$ 0.22	$ 0.22

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (UNAUDITED) [Abstract]
Net income	$ 3,041	$ 3,178
Unrealized holding losses on securities:
Unrealized holding losses arising during the period, net of tax effect of $(8,054) and $(1,687) for the three-month periods ended March 31, 2022 and March 31, 2021, respectively	(19,963)	(4,179)
Less: reclassification adjustment due to losses realized on sales of securities, net of tax effect of $0 and $3 for the three-month periods ended March 31, 2022 and March 31, 2021, respectively	0	7
Other comprehensive loss	(19,963)	(4,172)
Comprehensive loss	$ (16,922)	$ (994)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (UNAUDITED) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Unrealized holding losses on securities:
Unrealized holding losses on securities arising during the period, tax	$ (8,054)	$ (1,687)
Reclassification adjustment due to losses realized on sales of securities, tax	$ 0	$ 3

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Total
Balance at Dec. 31, 2020	$ 107,527	$ 977	$ 37,115	$ 5,038	$ 150,657
Balance (in shares) at Dec. 31, 2020	13,634,463
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income			3,178		3,178
Other comprehensive loss, net of tax				(4,172)	(4,172)
Stock dividend adjustment	$ 329		(329)		0
Stock dividend adjustment (in shares)	1,282
Cash in lieu of fractional shares			(8)		(8)
Cash in lieu of fractional shares (in shares)	(168)
Stock-based compensation	$ 144				144
Common shares issued related to restricted stock grants	$ 0				0
Common shares issued related to restricted stock grants (in shares)	38,400
Stock options exercised, net of swapped shares	$ 0				0
Stock options exercised, net of swapped shares (in shares)	6,108
Balance at Mar. 31, 2021	$ 108,000	977	39,956	866	149,799
Balance (in shares) at Mar. 31, 2021	13,680,085
Balance at Dec. 31, 2021	$ 109,793	977	44,338	(4,197)	150,911
Balance (in shares) at Dec. 31, 2021	13,848,904
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income			3,041		3,041
Other comprehensive loss, net of tax				(19,963)	(19,963)
Stock dividend adjustment	$ 366		(366)		0
Stock dividend adjustment (in shares)	3,276
Cash in lieu of fractional shares			(8)		(8)
Cash in lieu of fractional shares (in shares)	(161)
Stock-based compensation	$ 164				164
Common shares issued related to restricted stock grants	$ 0				0
Common shares issued related to restricted stock grants (in shares)	67,596
Stock options exercised, net of swapped shares	$ 0				0
Stock options exercised, net of swapped shares (in shares)	11,615
Stock repurchase and retirement	$ (15)				(15)
Stock repurchase and retirement (in shares)	(1,401)
Balance at Mar. 31, 2022	$ 110,308	$ 977	$ 47,005	$ (24,160)	$ 134,130
Balance (in shares) at Mar. 31, 2022	13,929,829

CONDENSED CONSOLIDATED STATEM_5

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Cash Flows From Operating Activities
Net income	$ 3,041	$ 3,178
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	192	188
Accretion and amortization of investment securities premiums and discounts, net	1,292	845
Valuation adjustment on mortgage servicing rights	(276)	(123)
(Decrease) increase in deferred loan origination fees and costs, net	(801)	2,357
Provision for loan losses	300	300
Stock-based compensation	164	144
Losses on sales/calls of available-for-sale securities	0	10
Amortization of operating lease right-of-use asset	279	251
Gain on sales of loans held-for-sale	(68)	(639)
Proceeds from sales of loans held-for-sale	6,499	22,165
Originations of loans held-for-sale	(5,718)	(22,507)
Changes in assets and liabilities:
Decrease (increase) in interest receivable and other assets	129	(1,294)
Net decrease in interest payable and other liabilities	(3,038)	(3,412)
Net cash provided by operating activities	1,995	1,463
Cash Flows From Investing Activities
Proceeds from calls or maturities of available-for-sale securities	5,590	5,750
Proceeds from sales of available-for-sale securities	0	3,643
Principal repayments on available-for-sale securities	27,822	19,984
Purchase of available-for-sale securities	(75,663)	(67,054)
Proceeds from maturities of certificates of deposit	2,453	2,205
Purchase of certificates of deposit	(248)	0
Net increase in loans	(20,787)	(67,466)
Purchases of premises and equipment	(12)	(140)
Net cash used in investing activities	(60,845)	(103,078)
Cash Flows From Financing Activities
Net (decrease) increase in deposits	(12,306)	128,875
Cash dividends paid in lieu of fractional shares	(8)	(8)
Repurchases and retirements of common stock	(15)	0
Net cash (used in) provided by financing activities	(12,329)	128,867
Net (decrease) increase in Cash and Cash Equivalents	(71,179)	27,252
Cash and Cash Equivalents, beginning of period	345,929	267,177
Cash and Cash Equivalents, end of period	274,750	294,429
Cash paid during the period for:
Interest	192	219
Supplemental disclosures of non-cash investing and financing activities:
Stock dividend distributed	6,992	6,636
Unrealized holding losses on available for sale securities, net of taxes	(19,963)	(4,172)
Transfer of loans held-for-sale to loans held-for-investment	0	1,765
Market value of shares tendered in-lieu of cash to pay for exercise of options	$ 65	$ 32

BASIS OF PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Mar. 31, 2022
BASIS OF PRESENTATION [Abstract]
BASIS OF PRESENTATION	1. BASIS OF PRESENTATION The accompanying unaudited condensed consolidated financial statements of First Northern Community Bancorp (the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and with the instructions to Form 10-Q and Articles 9 and 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. The results of operations for any interim period are not necessarily indicative of results expected for the full year. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 as filed with the Securities and Exchange Commission. The preparation of financial statements in conformity with GAAP 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 financial statements as well as reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates. All material intercompany balances and transactions have been eliminated in consolidation.

ACCOUNTING POLICIES

ACCOUNTING POLICIES	3 Months Ended
	Mar. 31, 2022
ACCOUNTING POLICIES [Abstract]
ACCOUNTING POLICIES	2. ACCOUNTING POLICIES The most significant accounting policies followed by the Company are presented in Note 1 to the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. These policies, along with the disclosures presented in the other financial statement notes and in this discussion, provide information on how significant assets and liabilities are valued in the financial statements and how those values are determined. Based on the valuation techniques used and the sensitivity of financial statement amounts to the methods, assumptions, and estimates underlying those amounts, Management has identified the allowance for loan losses accounting to be the accounting area requiring the most subjective or complex judgments, and as such the accounting area that could be most subject to revision as new information becomes available. A discussion of the factors affecting accounting for the allowance for loan losses is included in the “Asset Quality” and “Allowance for Loan Losses” discussions below. Application of these principles requires the Company to make certain estimates, assumptions, and judgments that affect the amounts reported in the financial statements and accompanying notes. These estimates, assumptions, and judgments are based on information available as of the date of the financial statements; accordingly, as this information changes, the financial statements could reflect different estimates, assumptions, and judgments. Certain accounting policies inherently have a greater reliance on the use of estimates, assumptions and judgments and as such have a greater possibility of producing results that could be materially different than originally reported. Estimates, assumptions and judgments are necessary when assets and liabilities are required to be recorded at fair value, when a decline in the value of an asset not carried on the financial statements at fair value warrants an impairment writedown or valuation reserve to be established, or when an asset or liability needs to be recorded contingent upon a future event. Carrying assets and liabilities at fair value inherently results in more financial statement volatility. The fair values and the information used to record valuation adjustments for certain assets and liabilities are based either on quoted market prices or are provided by other third-party sources, when available. Recently Issued Accounting Pronouncements: The CARES Act was passed by Congress and signed into law on March 27, 2020. Section 4013 of the CARES Act provides that a financial institution may elect to not apply GAAP requirements to loan modifications related to the COVID-19 pandemic that would otherwise be categorized as a TDR, and suspends the determination of loan modifications related to the COVID-19 pandemic from being treated as TDRs. The relief from TDR guidance applies to modifications of loans that were not more than 30 days past due as of December 31, 2019, and modifications that occurred beginning on March 1, 2020 until the earlier of: sixty days after the date on which the national emergency related to the COVID-19 outbreak is terminated or December 31, 2020. The suspension of TDR accounting and reporting guidance may not be applied to any adverse impact on the credit of a borrower that is not related to the COVID-19 pandemic. In December 2020, the Consolidated Appropriations Act, 2021 was signed into law. Section 541 of this legislation, “Extension of Temporary Relief From Troubled Debt Restructurings and Insurer Clarification,” On April 3, 2020, the SEC Office of the Chief Accountant issued a public statement communicating that for eligible entities that elect to apply Section 4013 of the CARES Act, the SEC staff would not object that this is in accordance with GAAP for the periods for which such elections are available. In June 2020, the American Institute of Certified Public Accountants published Q&A Section 2130.41 regarding a technical question regarding the recognition of interest income on Section 4013 loans which provided multiple permitted policy elections regarding the recognition of interest on Section 4013 restructured loans. The Bank actively assisted its communities by providing temporary loan relief under Section 4013 of the CARES Act. This relief included loan modifications which include forbearance programs (both full payment deferrals and interest only payments) to customers who have been negatively impacted by the pandemic. For loans that have been provided temporary full payment deferrals, the Bank has made a policy election to cease recognition of interest income during the term of the payment deferrals (generally three In March 2020, the FASB issued ASU 2020-02, Financial Instruments—Credit Losses (Topic 326) and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 119 and Update to SEC Section on Effective Date Related to Accounting Standards Update No. 2016-02, Leases (Topic 842). This ASU adds an SEC paragraph pursuant to the issuance of SEC Staff Accounting Bulletin No. 119 on loan losses to the FASB Codification Topic 326. This ASU also updates the SEC section of the Codification for the change in the effective date of Topic 842. This ASU was effective upon addition to the FASB Codification. The Company adopted ASU 2016-02, Leases (Topic 842), on January 1, 2019. ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), is effective on January 1, 2023 for smaller reporting companies with less than $250 million in public float as defined in the SEC's rules. The Company is a smaller reporting company. The Company will apply the amendment's provisions as a cumulative-effect adjustment to retained earnings at the beginning of the first period the amendment is effective. The Company has formed a team that is working on an implementation plan to adopt the amendment. The implementation plan will include developing policies, procedures and internal controls over the model. The Company is also working with a software vendor to measure expected losses required by the amendment. The Company is currently evaluating the effects that the adoption of this amendment will have on its consolidated financial statements and expects that the portfolio composition and economic conditions at the time of adoption will influence the accounting adjustment made at the time the amendment is adopted. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848). This ASU was effective for all entities as of March 12, 2020 through December 31, 2022. As of January 1, 2022, the Company is no longer originating LIBOR-based loans and is originating new variable rate loans using the Secured Overnight Financing Rate (SOFR). For existing LIBOR based loans, the Company is monitoring the development and reporting of fallback indices. The Company does not expect this ASU to have a material impact on the Company’s consolidated financial statements. In March 2022, the FASB issued ASU 2022-02, Financial Instruments—Credit Losses (Topic 326 )

INVESTMENT SECURITIES

INVESTMENT SECURITIES	3 Months Ended
	Mar. 31, 2022
INVESTMENT SECURITIES [Abstract]
INVESTMENT SECURITIES	3. INVESTMENT SECURITIES The amortized cost, unrealized gains and losses and estimated fair values of investments in debt and other securities at March 31, 2022 are summarized as follows: (in thousands) Amortized cost Unrealized gains Unrealized losses Estimated fair value Investment securities available-for-sale: U.S. Treasury securities $ 108,594 $ 126 $ (3,189 ) $ 105,531 Securities of U.S. government agencies and corporations 110,716 39 (5,453 ) 105,302 Obligations of states and political subdivisions 45,636 285 (2,800 ) 43,121 Collateralized mortgage obligations 129,553 22 (8,999 ) 120,576 Mortgage-backed securities 282,552 111 (12,038 ) 270,625 Total debt securities $ 677,051 $ 583 $ (32,479 ) $ 645,155 The amortized cost, unrealized gains and losses and estimated fair values of investments in debt and other securities at December 31, 2021 are summarized as follows: (in thousands) Amortized cost Unrealized gains Unrealized losses Estimated fair value Investment securities available-for-sale: U.S. Treasury securities $ 86,534 $ 388 $ (711 ) $ 86,211 Securities of U.S. government agencies and corporations 104,106 330 (1,826 ) 102,610 Obligations of states and political subdivisions 44,842 1,444 (301 ) 45,985 Collateralized mortgage obligations 137,872 665 (2,885 ) 135,652 Mortgage-backed securities 262,738 1,971 (2,954 ) 261,755 Total debt securities $ 636,092 $ 4,798 $ (8,677 ) $ 632,213 The Company had $— and $3,643,000 proceeds from sales of available-for-sale securities for the three months ended March 31, 2022 and March 31, 2021, respectively. Gross realized gains on sales/calls of available-for-sale securities were $0 and $25,000 for the three months ended March 31, 2022 and March 31, 2021, respectively. Gross realized losses on sales of available-for-sale securities were $0 and $35,000 for the three months ended March 31, 2022 and March 31, 2021, respectively. The amortized cost and estimated fair value of debt and other securities at March 31, 2022, by contractual maturity, are shown in the following table: (in thousands) Amortized cost Estimated fair value Maturity in years: Due in one year or less $ 22,255 $ 22,316 Due after one year through five years 171,580 165,608 Due after five years through ten years 44,081 41,114 Due after ten years 27,030 24,916 Subtotal 264,946 253,954 MBS & CMO 412,105 391,201 Total $ 677,051 $ 645,155 Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. In addition, factors such as prepayments and interest rates may affect the yield on the carrying value of mortgage-related securities. An analysis of gross unrealized losses of the available-for-sale investment securities portfolio as of March 31, 2022, follows: Less than 12 months 12 months or more Total (in thousands) Fair Value Unrealized losses Fair Value Unrealized losses Fair Value Unrealized losses U.S. Treasury securities $ 78,054 $ (2,725 ) $ 9,957 $ (464 ) $ 88,011 $ (3,189 ) Securities of U.S. government agencies and corporations 39,241 (1,180 ) 50,456 (4,273 ) 89,697 (5,453 ) Obligations of states and political subdivisions 28,790 (2,339 ) 2,848 (461 ) 31,638 (2,800 ) Collateralized mortgage obligations 110,237 (8,208 ) 7,892 (791 ) 118,129 (8,999 ) Mortgage-backed securities 172,065 (7,113 ) 66,549 (4,925 ) 238,614 (12,038 ) Total $ 428,387 $ (21,565 ) $ 137,702 $ (10,914 ) $ 566,089 $ (32,479 ) No decline in value was considered “other-than-temporary” during the first three months of 2022. Three hundred forty-seven securities, all considered investment grade, which had an aggregate fair value of $428,387,000 and a total unrealized loss of $21,565,000, have been in an unrealized loss position for less than twelve months as of March 31, 2022. Sixty-seven securities, all considered investment grade, have been in an unrealized loss position for more than twelve months as of March 31, 2022. The unrealized losses on the Company's investment securities were caused by market conditions for these types of investments, particularly changes in risk-free interest rates. The decline in fair value is attributable to changes in interest rates and not credit quality and the Company does not intend to sell the securities. The Company has concluded it is not more likely than not that the Company will be required to sell these securities prior to recovery of their anticipated cost basis. Therefore, the Company does not consider these investments to be other than temporarily impaired as of March 31, 2022. The fair value of investment securities could decline in the future if the general economy deteriorates, inflation increases, credit ratings decline, the issuer's financial condition deteriorates, or the liquidity for securities declines. As a result, other than temporary impairments may occur in the future. The coronavirus pandemic and the impact of governmental health measures in response thereto may increase the likelihood of such other than temporary impairments. An analysis of gross unrealized losses of the available-for-sale investment securities portfolio as of December 31, 2021, follows: Less than 12 months 12 months or more Total (in thousands) Fair Value Unrealized losses Fair Value Unrealized losses Fair Value Unrealized losses U.S. Treasury Securities $ 63,254 $ (673 ) $ 2,066 $ (38 ) $ 65,320 $ (711 ) Securities of U.S. government agencies and corporations 48,288 (942 ) 30,158 (884 ) 78,446 (1,826 ) Obligations of states and political subdivisions 11,680 (233 ) 934 (68 ) 12,614 (301 ) Collateralized Mortgage obligations 90,299 (2,850 ) 1,298 (35 ) 91,597 (2,885 ) Mortgage-backed securities 175,943 (2,816 ) 6,997 (138 ) 182,940 (2,954 ) Total $ 389,464 $ (7,514 ) $ 41,453 $ (1,163 ) $ 430,917 $ (8,677 ) Investment securities carried at $37,677,000 and $39,695,000 at March 31, 2022 and December 31, 2021, respectively, were pledged to secure public deposits or for other purposes as required or permitted by law.

LOANS

LOANS	3 Months Ended
	Mar. 31, 2022
LOANS [Abstract]
LOANS	4. LOANS The composition of the Company’s loan portfolio, by loan class, as of March 31, 2022 and December 31, 2021 was as follows: ($ in thousands) March 31, 2022 December 31, 2021 Commercial $ 123,462 $ 135,894 Commercial Real Estate 562,684 526,924 Agriculture 99,500 107,183 Residential Mortgage 77,761 76,160 Residential Construction 7,749 4,482 Consumer 17,538 17,258 888,694 867,901 Allowance for loan losses (14,258 ) (13,952 ) Net deferred origination fees and costs (431 ) (1,232 ) Loans, net $ 874,005 $ 852,717 The Company manages asset quality and credit risk by maintaining diversification in its loan portfolio and through review processes that include analysis of credit requests and ongoing examination of outstanding loans and delinquencies, with particular attention to portfolio dynamics and loan mix. The Company strives to identify loans experiencing difficulty early enough to correct the problems, to record charge-offs promptly based on realistic assessments of collectability and current collateral values and to maintain an adequate allowance for loan losses at all times. Asset quality reviews of loans and other non-performing assets are administered using credit risk rating standards and criteria similar to those employed by state and federal banking regulatory agencies. Commercial loans, whether secured or unsecured, generally are made to support the short-term operations and other needs of small businesses. These loans are generally secured by the receivables, equipment, and other real property of the business and are susceptible to the related risks described above. Problem commercial loans are generally identified by periodic review of financial information that may include financial statements, tax returns, and payment history of the borrower. Based on this information, the Company may decide to take any of several courses of action, including demand for repayment, requiring the borrower to provide a significant principal payment and/or additional collateral or requiring similar support from guarantors. Notwithstanding, when repayment becomes unlikely based on the borrower's income and cash flow, repossession or foreclosure of the underlying collateral may become necessary. Collateral values may be determined by appraisals obtained through Bank-approved, licensed appraisers, qualified independent third parties, purchase invoices, or other appropriate documentation. Paycheck Protection Program (“PPP”) loans outstanding included in Commercial loans totaled $15 million and $37 million as of March 31, 2022 and December 31, 2021, respectively. Commercial real estate loans generally fall into two categories, owner-occupied and non-owner occupied. Loans secured by owner-occupied real estate are primarily susceptible to changes in the market conditions of the related business. This may be driven by, among other things, industry changes, geographic business changes, changes in the individual financial capacity of the business owner, general economic conditions, and changes in business cycles. These same risks apply to commercial loans whether secured by equipment, receivables or other personal property or unsecured. Problem commercial real estate loans are generally identified by periodic review of financial information that may include financial statements, tax returns, payment history of the borrower, and site inspections. Based on this information, the Company may decide to take any of several courses of action, including demand for repayment, requiring the borrower to provide a significant principal payment and/or additional collateral or requiring similar support from guarantors. Notwithstanding, when repayment becomes unlikely based on the borrower's income and cash flow, repossession or foreclosure of the underlying collateral may become necessary. Losses on loans secured by owner occupied real estate, equipment, or other personal property generally are dictated by the value of underlying collateral at the time of default and liquidation of the collateral. When default is driven by issues related specifically to the business owner, collateral values tend to provide better repayment support and may result in little or no loss. Alternatively, when default is driven by more general economic conditions, underlying collateral generally has devalued more and results in larger losses due to default. Loans secured by non-owner occupied real estate are primarily susceptible to risks associated with swings in occupancy or vacancy and related shifts in lease rates, rental rates or room rates. Most often, these shifts are a result of changes in general economic or market conditions or overbuilding and resulting over-supply of space. Losses are dependent on the value of underlying collateral at the time of default. Values are generally driven by these same factors and influenced by interest rates and required rates of return as well as changes in occupancy costs. Collateral values may be determined by appraisals obtained through Bank-approved, licensed appraisers, qualified independent third parties, sales invoices, or other appropriate means. Agricultural loans, whether secured or unsecured, generally are made to producers and processors of crops and livestock. Repayment is primarily from the sale of an agricultural product or service. Agricultural loans are generally secured by inventory, receivables, equipment, and other real property. Agricultural loans primarily are susceptible to changes in market demand for specific commodities. This may be exacerbated by, among other things, industry changes, changes in the individual financial capacity of the business owner, general economic conditions and changes in business cycles, as well as adverse weather conditions such as drought or floods. Problem agricultural loans are generally identified by periodic review of financial information that may include financial statements, tax returns, crop budgets, payment history, and crop inspections. Based on this information, the Company may decide to take any of several courses of action, including demand for repayment, requiring the borrower to provide a significant principal payment and/or additional collateral or requiring similar support from guarantors. Notwithstanding, when repayment becomes unlikely based on the borrower's income and cash flow, repossession or foreclosure of the underlying collateral may become necessary. Construction loans, whether owner-occupied or non-owner occupied residential development loans, are not only susceptible to the related risks described above but the added risks of construction, including cost over-runs, mismanagement of the project, or lack of demand and market changes experienced at time of completion. Losses are primarily related to underlying collateral value and changes therein as described above. Problem construction loans are generally identified by periodic review of financial information that may include financial statements, tax returns and payment history of the borrower. Based on this information, the Company may decide to take any of several courses of action, including demand for repayment, requiring the borrower to provide a significant principal payment and/or additional collateral or requiring similar support from guarantors, or repossession or foreclosure of the underlying collateral. Collateral values may be determined by appraisals obtained through Bank-approved, licensed appraisers, qualified independent third parties, purchase invoices, or other appropriate documentation. Consumer loans, whether unsecured or secured, are primarily susceptible to four risks: non-payment due to diminished or lost income, over-extension of credit, a lack of borrower's cash flow to sustain payments, and shortfall in collateral value. In general, non-payment is usually due to loss of employment and will follow general economic trends in the economy, particularly the upward movements in the unemployment rate, loss of collateral value, inflation and demand shifts. Collateral values may be determined by appraisals obtained through Bank-approved, licensed appraisers, qualified independent third parties, purchase invoices, or other appropriate documentation. Collateral valuations are obtained at origination of the credit. Once repayment is questionable, and the loan has been deemed classified, collateral valuations are obtained periodically (generally annually but may be more frequent depending on the collateral type). As of March 31, 2022, approximately 14% in principal amount of the Company’s loans were for general commercial uses, including professional, retail and small businesses; approximately 63% in principal amount of the Company’s loans were secured by commercial real estate, consisting primarily of loans secured by commercial properties and construction and land development loans; approximately 11% in principal amount of the Company’s loans were for agriculture; approximately 9% in principal amount of the Company’s loans were residential mortgage loans; approximately 1% in principal amount of the Company’s loans were residential construction loans; approximately 2% in principal amount of the Company’s loans were consumer loans. Once a loan becomes delinquent or repayment becomes questionable, a Company collection officer will address collateral shortfalls with the borrower and attempt to obtain additional collateral or a principal payment. If this is not forthcoming and payment of principal and interest in accordance with the contractual terms of the loan agreement becomes unlikely, the Company will consider the loan to be impaired and will estimate its probable loss, using the present value of future cash flows discounted at the loan's effective interest rate, the loan's observable market price, or the fair value of the collateral if the loan is collateral dependent. For collateral dependent loans, the Company will utilize a recent valuation of the underlying collateral less estimated costs of sale, and charge-off the loan down to the estimated net realizable amount. Depending on the length of time until final collection, the Company may periodically revalue the estimated loss and take additional charge-offs or specific reserves as warranted. Revaluations may occur as often as every 3-12 months depending on the underlying collateral and volatility of values. Final charge-offs or recoveries are taken when the collateral is liquidated and the actual loss is confirmed. Unpaid balances on loans after or during collection and liquidation may also be pursued through legal action and attachment of wages or judgment liens on the borrower's other assets. At March 31, 2022 and December 31, 2021, all loans were pledged under a blanket collateral lien to secure actual and potential borrowings from the Federal Home Loan Bank (“FHLB”). Non-accrual and Past Due Loans The Company’s loans by delinquency and non-accrual status, as of March 31, 2022 and December 31, 2021, were as follows: ($ in thousands) Current & Accruing 30-59 Days Past Due & Accruing 60-89 Days Past Due & Accruing 90 Days or more Past Due & Accruing Nonaccrual Total Loans March 31 2022 Commercial $ 122,021 $ 1,408 $ — $ — $ 33 $ 123,462 Commercial Real Estate 562,684 — — — — 562,684 Agriculture 90,802 300 — — 8,398 99,500 Residential Mortgage 77,077 549 — — 135 77,761 Residential Construction 7,661 88 — — — 7,749 Consumer 16,771 50 — — 717 17,538 Total $ 877,016 $ 2,395 $ — $ — $ 9,283 $ 888,694 December 31, 2021 Commercial $ 134,890 $ 394 $ 477 $ — $ 133 $ 135,894 Commercial Real Estate 526,337 32 — — 555 526,924 Agriculture 98,471 — — — 8,712 107,183 Residential Mortgage 75,861 161 — — 138 76,160 Residential Construction 4,482 — — — — 4,482 Consumer 16,523 — 76 — 659 17,258 Total $ 856,564 $ 587 $ 553 $ — $ 10,197 $ 867,901 Non-accrual loans amounted to $9,283,000 at March 31, 2022 and were comprised of one commercial loan totaling $33,000, three agriculture loans totaling $8,398,000, one residential mortgage loan totaling $135,000 and four consumer loans totaling $717,000. Non-accrual loans amounted to $10,197,000 at December 31, 2021 and were comprised of two commercial loans totaling $133,000, one commercial real estate loan totaling $555,000, three agriculture loans totaling $8,712,000, one residential mortgage loan totaling $138,000 and four consumer loans totaling $659,000. There were no commitments to lend additional funds to borrowers whose loans were on non-accrual status at March 31, 2022. Loans with deferrals granted under Section 4013 of the CARES Act are not considered past due and/or reported as nonaccrual if deemed collectible during the deferral period. See Note 2 for discussion on policy election on loan modifications under Section 4013 of the CARES Act. Impaired Loans A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement, including scheduled interest payments. Loans to be considered for impairment include non-accrual loans, troubled debt restructurings and loans with a risk rating of 5 (special mention) or worse and an aggregate exposure of $500,000 or more. Once identified, impaired loans are measured individually for impairment using one of three methods: present value of expected cash flows discounted at the loan's effective interest rate; the loan's observable market price; or fair value of collateral if the loan is collateral dependent. If the measurement of a non-accrual loan is less than the recorded investment in the loan, an impairment is recognized through the establishment of a specific reserve sufficient to cover expected losses and/or a charge-off against the allowance for loan losses. In general, any portion of the recorded investment in a collateral dependent loan in excess of the fair value of the collateral that can be identified as uncollectible, and is, therefore, deemed a confirmed loss, is promptly charged-off against the allowance for loan losses. Impaired loans, segregated by loan class, as of March 31, 2022 and December 31, 2021 were as follows: ($ in thousands) Unpaid Contractual Principal Balance Recorded Investment with no Allowance Recorded Investment with Allowance Total Recorded Investment Related Allowance March 31 2022 Commercial $ 33 $ 33 $ — $ 33 $ — Commercial Real Estate — — — — — Agriculture 8,707 8,398 — 8,398 — Residential Mortgage 678 135 512 647 79 Residential Construction — — — — — Consumer 781 717 64 781 2 Total $ 10,199 $ 9,283 $ 576 $ 9,859 $ 81 December 31, 2021 Commercial $ 142 $ 133 $ — $ 133 $ — Commercial Real Estate 555 555 — 555 — Agriculture 10,680 8,712 — 8,712 — Residential Mortgage 701 138 517 655 81 Residential Construction 241 — 241 241 10 Consumer 815 659 64 723 2 Total $ 13,134 $ 10,197 $ 822 $ 11,019 $ 93 The average recorded investment in impaired loans and the amount of interest income recognized on impaired loans during the three months ended March 31, 2022 and March 31, 2021 was as follows: ($ in thousands) Three Months Ended March 31, 2022 Three Months Ended March 31, 2021 Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Commercial $ 83 $ 2 $ 654 $ 1 Commercial Real Estate 278 13 5,839 — Agriculture 8,555 — 9,130 — Residential Mortgage 651 5 1,030 8 Residential Construction 120 — 453 4 Consumer 752 2 753 1 Total $ 10,439 $ 22 $ 17,859 $ 14 Troubled Debt Restructurings The Company's loan portfolio includes certain loans that have been modified in a Troubled Debt Restructuring ("TDR"), which are loans on which concessions in terms have been granted because of the borrowers' financial difficulties and, as a result, the Company receives less than the current market-based compensation for the loan. These concessions may include reductions in the interest rate, payment extensions, forgiveness of principal, forbearance, or other actions. Certain TDRs are placed on non-accrual status at the time of restructure and may be returned to accruing status after considering the borrower's sustained repayment performance for a reasonable period, generally . When a loan is modified, it is measured based upon the present value of future cash flows discounted at the contractual interest rate of the original loan agreement, or the fair value of collateral less selling costs if the loan is collateral dependent. If the value of the modified loan is less than the recorded investment in the loan, impairment is recognized through a specific allowance or a charge-off of the loan. The Company had $9,602,000 and $10,103,000 in TDR loans as of March 31, 2022 and December 31, 2021, respectively. Specific reserves for TDR loans totaled $81,000 and $93,000 as of March 31, 2022 and December 31, 2021, respectively. TDR loans performing in compliance with modified terms totaled $9,431,000 and $10,006,000 as of March 31, 2022 and December 31, 2021, respectively. There were no commitments to advance additional funds on existing TDR loans as of March 31, 2022. On March 22, 2020, the Federal bank regulatory agencies issued joint guidance advising that the agencies have confirmed with the staff of the Financial Accounting Standards Board that short-term modifications due to COVID-19, made on a good faith basis to borrowers who were current prior to relief, are not TDRs. The CARES Act also provided relief from TDR classification for certain COVID-19 loan modifications. In December 2020, the Consolidated Appropriations Act, 2021 was signed into law. Section 541 of this legislation, “Extension of Temporary Relief From Troubled Debt Restructurings and Insurer Clarification,” Loans modified as TDRs during the three months ended March 31, 2022 were as follows: ($ in thousands) Three months ended March 31, 2022 Number of Contracts Pre- modification outstanding recorded investment Post- modification outstanding recorded investment Consumer 1 $ 75 $ 75 Total 1 $ 75 $ 75 There were no loans modified as TDRs during the three months ended March 31, 2021. Loan modifications generally involve reductions in the interest rate, payment extensions, forgiveness of principal, or forbearance. There were no loans modified as a TDR within the previous twelve months and for which there was a payment default during the three-month periods ended March 31, 2022 and March 31, 2021. Credit Quality Indicators All loans are rated using the credit risk ratings and criteria adopted by the Company. Risk ratings are adjusted as future circumstances warrant. All credits risk rated 1, 2, 3 or 4 equate to a Pass as indicated by Federal and State bank regulatory agencies; a 5 equates to a Special Mention; a 6 equates to Substandard; a 7 equates to Doubtful; and an 8 equates to a Loss. For the definitions of each risk rating, see Note 4 to our consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2021. The following table presents the risk ratings by loan class as of March 31, 2022 and December 31, 2021: ($ in thousands) Pass Special Mention Substandard Doubtful Loss Total March 31, 2022 Commercial $ 119,903 $ 2,376 $ 1,183 $ — $ — $ 123,462 Commercial Real Estate 553,159 6,473 3,052 — — 562,684 Agriculture 91,102 — 8,398 — — 99,500 Residential Mortgage 77,626 — 135 — — 77,761 Residential Construction 7,749 — — — — 7,749 Consumer 16,821 — 717 — — 17,538 Total $ 866,360 $ 8,849 $ 13,485 $ — $ — $ 888,694 December 31, 2021 Commercial $ 132,425 $ 2,376 $ 1,093 $ — $ — $ 135,894 Commercial Real Estate 516,120 6,524 4,280 — — 526,924 Agriculture 98,471 — 8,712 — — 107,183 Residential Mortgage 76,020 — 140 — — 76,160 Residential Construction 4,482 — — — — 4,482 Consumer 16,599 — 659 — — 17,258 Total $ 844,117 $ 8,900 $ 14,884 $ — $ — $ 867,901 Allowance for Loan Losses The following tables detail activity in the allowance for loan losses and the amount allocated to loans individually and collectively evaluated for impairment by loan class for the three months ended March 31, 2022 and March 31, 2021: Three months ended March 31, 2022 ($ in thousands) Commercial Commercial Real Estate Agriculture Residential Mortgage Residential Construction Consumer Unallocated Total Balance as of December 31, 2021 $ 1,604 $ 8,808 $ 1,482 $ 742 $ 74 $ 167 $ 1,075 $ 13,952 Provision for (reversal of) loan losses 136 572 125 12 61 25 (631 ) 300 Charge-offs — — — — — (4 ) — (4 ) Recoveries 7 — — — — 3 — 10 Net (charge-offs)/recoveries 7 — — — — (1 ) — 6 Balance as of March 31, 2022 $ 1,747 $ 9,380 $ 1,607 $ 754 $ 135 $ 191 $ 444 $ 14,258 Period-end amount allocated to: Loans individually evaluated for impairment — — — 79 — 2 — 81 Loans collectively evaluated for impairment 1,747 9,380 1,607 675 135 189 444 14,177 Balance as of March 31 2022 $ 1,747 $ 9,380 $ 1,607 $ 754 $ 135 $ 191 $ 444 $ 14,258 Three months ended March 31, 2021 ($ in thousands) Commercial Commercial Real Estate Agriculture Residential Mortgage Residential Construction Consumer Unallocated Total Balance as of December 31, 2020 $ 2,252 $ 7,915 $ 3,834 $ 635 $ 128 $ 214 $ 438 $ 15,416 Provision for (reversal of) loan losses (779 ) (354 ) 1,337 45 (91 ) (30 ) 172 300 Charge-offs (13 ) — — — — (3 ) — (16 ) Recoveries 8 — — — — 5 — 13 Net (charge-offs)/recoveries (5 ) — — — — 2 — (3 ) Balance as of March 31, 2021 $ 1,468 $ 7,561 $ 5,171 $ 680 $ 37 $ 186 $ 610 $ 15,713 Period-end amount allocated to: Loans individually evaluated for impairment — — 3,964 155 4 1 — 4,124 Loans collectively evaluated for impairment 1,468 7,561 1,207 525 33 185 610 11,589 Balance as of March 31, 2021 $ 1,468 $ 7,561 $ 5,171 $ 680 $ 37 $ 186 $ 610 $ 15,713 The Company’s investment in loans as of March 31, 2022, March 31, 2021, and December 31, 2021 related to each balance in the allowance for loan losses by loan class and disaggregated on the basis of the Company’s impairment methodology was as follows: ($ in thousands) Commercial Commercial Real Estate Agriculture Residential Mortgage Residential Construction Consumer Total March 31, 2022 Loans individually evaluated for impairment $ 33 $ — $ 8,398 $ 647 $ — $ 781 $ 9,859 Loans collectively evaluated for impairment 123,429 562,684 91,102 77,114 7,749 16,757 878,835 Ending Balance $ 123,462 $ 562,684 $ 99,500 $ 77,761 $ 7,749 $ 17,538 $ 888,694 March 31, 2021 Loans individually evaluated for impairment $ 284 $ 6,803 $ 9,130 $ 1,024 $ 255 $ 751 $ 18,247 Loans collectively evaluated for impairment 292,864 490,045 70,825 70,088 2,407 17,966 944,195 Ending Balance $ 293,148 $ 496,848 $ 79,955 $ 71,112 $ 2,662 $ 18,717 $ 962,442 December 31, 2021 Loans individually evaluated for impairment $ 133 $ 555 $ 8,712 $ 655 $ 241 $ 723 $ 11,019 Loans collectively evaluated for impairment 135,761 526,369 98,471 75,505 4,241 16,535 856,882 Ending Balance $ 135,894 $ 526,924 $ 107,183 $ 76,160 $ 4,482 $ 17,258 $ 867,901

MORTGAGE OPERATIONS

MORTGAGE OPERATIONS	3 Months Ended
	Mar. 31, 2022
MORTGAGE OPERATIONS [Abstract]
MORTGAGE OPERATIONS	5. MORTGAGE OPERATIONS Transfers and servicing of financial assets and extinguishments of liabilities are accounted for and reported based on consistent application of a financial-components approach that focuses on control. Transfers of financial assets that are sales are distinguished from transfers that are secured borrowings. Retained servicing rights on loans sold are measured by allocating the previous carrying amount of the transferred assets between the loans sold and retained interest, if any, based on their relative fair value at the date of transfer. Fair values are estimated using discounted cash flows based on a current market interest rate. The Company recognizes a gain and a related asset for the fair value of the rights to service loans for others when loans are sold and servicing is retained. The Company sold a substantial portion of its portfolio of conforming long-term residential mortgage loans originated during the three months ended March 31, 2022 on a servicing retained basis, for cash proceeds equal to the fair value of the loans. At March 31, 2022, and December 31, 2021, the Company serviced real estate mortgage loans for others totaling $206,758,000 and $208,169,000, respectively. The recorded value of mortgage servicing rights is amortized in proportion to, and over the period of, estimated net servicing revenues. The Company assesses capitalized mortgage servicing rights for impairment based upon the fair value of those rights at each reporting date. For purposes of measuring impairment, the rights are stratified based upon the product type, term and interest rates. Fair value is determined by discounting estimated net future cash flows from mortgage servicing activities using discount rates that approximate current market rates and estimated prepayment rates, among other assumptions. The amount of impairment recognized, if any, is the amount by which the capitalized mortgage servicing rights for a stratum exceeds their fair value. Impairment, if any, is recognized through a valuation allowance for each individual stratum. Changes in the carrying amount of mortgage servicing rights are reported in earnings under other operating income on the condensed consolidated statements of income. Key assumptions used in measuring the fair value of mortgage servicing rights as of March 31, 2022 and December 31, 2021 were as follows: March 31, 2022 December 31, 2021 Constant prepayment rate 10.16 % 15.73 % Discount rate 9.50 % 9.50 % Weighted average life (years) 6.31 4.95 The following table summarizes the Company’s mortgage servicing rights assets as of March 31, 2022 and December 31, (in thousands) December 31, 2021 Additions Reductions March 31, 2022 Mortgage servicing rights $ 1,807 $ 60 $ (82 ) $ 1,785 Valuation allowance (276 ) — 276 — Mortgage servicing rights, net of valuation allowance $ 1,531 $ 60 $ 194 $ 1,785 At March 31, 2022 and December 31, 2021, the estimated fair market value of the Company’s mortgage servicing rights asset was $1,885,000 and $1,531,000, respectively. The changes in fair value of mortgage servicing rights during 2022 was primarily due to changes in prepayment speeds. The Company received contractually specified servicing fees of $130,000 and $134,000 for the three months ended March 31, 2022 and March 31, 2021, respectively. Loan servicing income on the condensed consolidated statements of income include contractually specified servicing fees, mortgage servicing rights additions, amortization and changes in the valuation allowance.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
	Mar. 31, 2022
FAIR VALUE MEASUREMENTS [Abstract]
FAIR VALUE MEASUREMENTS	6. FAIR VALUE MEASUREMENTS The Company utilizes fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. Securities available-for-sale and trading securities are recorded at fair value on a recurring basis. Additionally, from time to time, the Company may be required to record at fair value other assets on a non-recurring basis, such as loans held-for-sale, loans held-for-investment and certain other assets. These non-recurring fair value adjustments typically involve application of lower of cost or market accounting or write-downs of individual assets. Transfers between levels of the fair value hierarchy are recognized on the actual date of the event or circumstances that caused the transfer, which generally corresponds with the Company’s quarterly valuation process. Assets Recorded at Fair Value on a Recurring Basis The tables below present the recorded amount of assets and liabilities measured at fair value on a recurring basis as of March 31, 2022 and December 31, 2021. (in thousands) March 31 2022 Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. Treasury securities $ 105,531 $ 105,531 $ — $ — Securities of U.S. government agencies and corporations 105,302 — 105,302 — Obligations of states and political subdivisions 43,121 — 43,121 — Collateralized mortgage obligations 120,576 — 120,576 — Mortgage-backed securities 270,625 — 270,625 — Total investments at fair value $ 645,155 $ 105,531 $ 539,624 $ — (in thousands) December 31, 2021 Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. Treasury securities $ 86,211 $ 86,211 $ — $ — Securities of U.S. government agencies and corporations 102,610 — 102,610 — Obligations of states and political subdivisions 45,985 — 45,985 — Collateralized mortgage obligations 135,652 — 135,652 — Mortgage-backed securities 261,755 — 261,755 — Total investments at fair value $ 632,213 $ 86,211 $ 546,002 $ — Assets Recorded at Fair Value on a Non-Recurring Basis There were no assets measured at fair value on a non-recurring basis as of March 31, 2022. Assets measured at fair value on a non-recurring basis are included in the table below by level within the fair value hierarchy as of December 31, 2021: (in thousands) December 31, 2021 Carrying Value Level 1 Level 2 Level 3 Impaired loans $ 33 $ — $ — $ 33 Mortgage servicing rights 1,531 — — 1,531 Total assets at fair value $ 1,564 $ — $ — $ 1,564 There were no liabilities measured at fair value on a recurring or non-recurring basis as of March 31, 2022 and December 31, 2021. Key methods and assumptions used in measuring the fair value of impaired loans and mortgage servicing rights as of December 31, 2021 were as follows: Method Assumption Inputs Impaired loans Collateral, market, income, enterprise, liquidation, and discounted cash flows External appraised values, management assumptions regarding market trends or other relevant factors, selling costs generally ranging from 6% to 10%, or the amount and timing of cash flows based on the loan's effective interest rate. Mortgage servicing rights Discounted cash flows Present value of expected future cash flows was estimated using a weighted average discount rate factor of 9.50% as of December 31, 2021. A weighted average constant prepayment rate of 15.73% as of December 31, 2021 was utilized. The following section describes the valuation methodologies used for assets and liabilities recorded at fair value. Investment Securities Available-for-Sale Investment securities available-for-sale are recorded at fair value on a recurring basis. Fair value measurement is based upon quoted market prices, if available. If quoted market prices are not available, fair values are measured using independent pricing models or other model-based valuation techniques such as the present value of future cash flows, adjusted for the security’s credit rating, prepayment assumptions, and other factors such as credit loss assumptions. Level 1 securities include those traded on an active exchange, such as the New York Stock Exchange, U.S. Treasury securities that are traded by dealers or brokers in active over-the-counter markets and money market funds. Level 2 securities include mortgage-backed securities issued by government sponsored entities, municipal bonds and corporate debt securities. Securities classified as Level 3 include asset-backed securities in less liquid markets where valuations include significant unobservable assumptions. Impaired Loans The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, the Company measures impairment. The fair value of impaired loans is estimated using one of several methods, including the present value of expected cash flows discounted at the loan's effective interest rate, the loan's observable market price, or the fair value of the collateral if the loan is collateral dependent. Those impaired loans not requiring charge-off or specific allowance represent loans for which the fair value of the expected repayments or collateral exceed the recorded investments in such loans. Certain impaired loans were considered collateral dependent and were evaluated based on the fair value of the underlying collateral securing the loan. Impaired loans where a charge-off is recorded based on the fair value of collateral require classification in the fair value hierarchy. When a loan is evaluated based on the fair value of the underlying collateral securing the loan, the Company records the impaired loan as non-recurring Level 3 given the valuation includes significant unobservable assumptions. Mortgage Servicing Rights Mortgage servicing rights (MSRs) are subject to impairment testing. All mortgage servicing rights are initially measured and recorded at fair value at the time loans are sold. The fair value of MSRs is determined based on the price that would be received to sell the MSRs in an orderly transaction between market participants at the measurement date. Subsequent fair value measurements are determined using a discounted cash flow model. In order to determine the fair value of the mortgage servicing rights, the present value of expected future cash flows is estimated. Assumptions used include market discount rates, anticipated prepayment speeds, delinquency and foreclosure rates, and ancillary fee income. The model used to calculate the fair value of the Company’s MSRs is periodically validated. The model assumptions and the MSRs fair value estimates are also compared to observable trades of similar portfolios as well as to MSR broker valuations and industry surveys, as available. If the valuation model reflects a value less than the carrying value, MSRs are adjusted to fair value through a valuation allowance as determined by the model. As such, the Company classifies MSRs subjected to non-recurring fair value adjustments as Level 3. Disclosures about Fair Value of Financial Instruments The estimated fair values of the Company’s financial instruments for the periods ended March 31, 2022 and December 31, 2021 were approximately as follows: March 31, 2022 December 31, 2021 Level Carrying amount Fair value Carrying amount Fair value Financial assets: Cash and cash equivalents 1 $ 274,750 $ 274,750 $ 345,929 $ 345,929 Certificates of deposit 2 11,067 10,988 13,272 13,443 Stock in Federal Home Loan Bank and other equity securities 3 7,097 7,097 7,097 7,097 Loans receivable: Net loans 3 874,005 847,164 852,717 830,967 Loans held-for-sale 2 350 345 1,063 1,089 Interest receivable 2 4,938 4,938 4,571 4,571 Mortgage servicing rights 3 1,785 1,885 1,531 1,531 Financial liabilities: Deposits 3 1,715,996 1,553,130 1,728,302 1,678,658 Interest payable 2 59 59 42 42 Limitations Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument and expected exit prices. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument. Because no market exists for a significant portion of the Company’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. Fair value estimates are based on existing on- and off-balance sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Other significant assets and liabilities that are not considered financial assets or liabilities include deferred tax liabilities and premises and equipment. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in many of the estimates.

FINANCIAL INSTRUMENTS WITH OFF-

FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK	3 Months Ended
	Mar. 31, 2022
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK [Abstract]
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK	7. FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK The Company 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 in the form of loans or through standby letters of credit in addition to entering into commitments to sell loans in conjunction with our mortgage banking activities. These instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amounts recognized in the balance sheet. The contract amounts of those instruments reflect the extent of involvement the Company has in particular classes of financial instruments. The Bank’s exposure to credit loss in the event of non-performance by the other party to the financial instrument for commitments to extend credit and standby letters of credit is represented by the contractual notional amount of those instruments. The Bank 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 credit risk at the indicated periods, were as follows: (in thousands) March 31, 2022 December 31, 2021 Undisbursed loan commitments $ 208,071 $ 192,874 Standby letters of credit 1,812 2,305 Commitments to sell loans 630 1,500 $ 210,513 $ 196,679 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. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Bank evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Bank upon extension of credit, is based on management’s credit evaluation. Collateral held varies but may include accounts receivable, inventory, property, plant and equipment, and income-producing commercial properties. Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. The Bank issues both financial and performance standby letters of credit. The financial standby letters of credit are primarily to guarantee payment to third parties. At March 31, 2022 and December 31, 2021, there were no financial standby letters of credit outstanding. The performance standby letters of credit are typically issued to municipalities as specific performance bonds. Performance standby letters of credit totaled $1,812,000 and $2,305,000 at March 31, 2022 and December 31, 2021, respectively. The Bank has experienced no draws on outstanding letters of credit, resulting in no related liability included on its balance sheet; however, should a triggering event occur, the Bank either has collateral in excess of the letter of credit or imbedded agreements of recourse from the customer. The Bank has set aside a reserve for unfunded commitments in the amount of $700,000 and $650,000 at March 31, 2022 and December 31, 2021, respectively, which is recorded in “interest payable and other liabilities” on the condensed consolidated balance sheets. Commitments to extend credit and standby letters of credit bear similar credit risk characteristics as outstanding loans. As of March 31, 2022 and December 31, 2021, the Company had no off-balance sheet derivatives requiring additional disclosure. The Company may enter into interest rate lock commitments in connection with its mortgage banking activities to fund residential mortgage loans within specified times in the future. These commitments expose the Company to the risk that the price of the loan underlying the interest rate lock commitment might decline from the inception of the interest rate lock to the funding of the mortgage loan. To protect against this risk, the Company may enter into commitments to sell loans to economically hedge the risk of potential changes in the value of the loans that would result from the commitment. These commitments totaled $630,000 and $1,500,000 at March 31, 2022 and 2021, respectively. Mortgage loans sold to investors may be sold with servicing rights retained, for which the Company makes only standard legal representations and warranties as to meeting certain underwriting and collateral documentation standards. In the past two years, the Company has not had to repurchase any loans due to deficiencies in underwriting or loan documentation. Management believes that any liabilities that may result from such recourse provisions are not significant.

STOCK PLANS

STOCK PLANS	3 Months Ended
	Mar. 31, 2022
STOCK PLANS [Abstract]
STOCK PLANS	8. STOCK PLANS On January 27, 2022, the Board of Directors of the Company declared a 5% stock dividend paid on March 25, 2022 to shareholders of record as of February 28, 2022. All stock options and restricted stock outstanding have been adjusted to give retroactive effect to stock dividends. The following table presents the activity related to stock options for the three months ended March 31, 2022: Number of Shares Weighted Average Exercise Price Aggregate Intrinsic Value Weighted Average Remaining Contractual Term (in years) Options outstanding at Beginning of Period 627,814 $ 8.58 Granted 42,965 10.25 Expired — — Cancelled / Forfeited — — Exercised (18,524 ) 3.51 Options outstanding at End of Period 652,255 8.83 $ 939,896 6.03 Exercisable (vested) at End of Period 488,666 $ 8.41 $ 916,565 5.27 The intrinsic value of options exercised was $125,000 and $63,000 during the three months ended March 31, 2022 and March 31, 2021, respectively. The fair value of awards vested was $142,000 and $182,000 during the three months ended March 31, 2022 and March 31, 2021, respectively. As of March 31, 2022, there was $250,000 of total unrecognized compensation cost related to non-vested stock options. This cost is expected to be recognized over a weighted average period of approximately 2.59 years. There was $28,000 of recognized compensation cost related to stock options granted for the three months ended March 31, 2022. A summary of the weighted average assumptions used in valuing stock options during the three months ended March 31, 2022 is presented below: Three Months Ended March 31, 2022 Risk Free Interest Rate 2.54 % Expected Dividend Yield 0.00 % Expected Life in Years 5 Expected Price Volatility 19.70 % The following table presents the activity related to non-vested restricted stock for the three months ended March 31, 2022: Number of Shares Weighted Average Grant-Date Fair Value Aggregate Intrinsic Value Weighted Average Remaining Contractual Term (in years) Non-vested Restricted stock outstanding at Beginning of Period 167,397 $ 9.97 Granted 70,973 10.33 Cancelled/Forfeited — — Exercised/Released/Vested (30,145 ) 10.68 $ Non-vested restricted stock outstanding at End of Period 208,225 $ 9.99 $ 2,123,895 3.11 The weighted average fair value of restricted stock granted during the three months ended March 31, 2022 was $10.33 per share. As of March 31, 2022, there was $1,352,000 of total unrecognized compensation cost related to non-vested restricted stock. This cost is expected to be recognized over a weighted average period of approximately 3.11 years. There was $128,000 of recognized compensation cost related to restricted stock awards for the three months ended March 31, 2022. The Company has an Employee Stock Purchase Plan (“ESPP”). There are 341,820 shares authorized under the ESPP. The total number of shares authorized has been adjusted to give retroactive effect to stock dividends and stock splits, including the 5% stock dividend declared on January 27, 2022, payable March 25, 2022 to shareholders of record as of February 28, 2022. The ESPP will expire on March 16, 2026. The ESPP is implemented by participation periods of not more than twenty-seven months each. The Board of Directors determines the commencement date and duration of each participation period. The Board of Directors approved the current participation period of November 24, 2021 to November 23, 2022. An eligible employee is one who has been continually employed for at least 90 days prior to commencement of a participation period. Under the terms of the ESPP, employees can choose to have up to 10 percent of their compensation withheld to purchase the Company’s common stock each participation period. The purchase price of the stock is 85 percent of the lower of the fair value on the last trading day before the date of participation or the fair value on the last trading day during the participation period. As of March 31, 2022, there was $26,000 of unrecognized compensation cost related to ESPP issuances. This cost is expected to be recognized over a weighted average period of approximately 0.75 years. There was $8,000 of recognized compensation cost related to ESPP issuances for the three months ended March 31, 2022. The weighted average fair value at issuance date during the three months ended March 31, 2022 was $2.50. A summary of the weighted average assumptions used in valuing ESPP issuances during the three months ended March 31, 2022 is presented below: Three Months Ended March 31, 2022 Risk Free Interest Rate 0.21 % Expected Dividend Yield 0.00 % Expected Life in Years 1.00 Expected Price Volatility 25.73 %

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	3 Months Ended
	Mar. 31, 2022
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) [Abstract]
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	9. ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following table details activity in accumulated other comprehensive loss for the three months ended March 31, 2022: ($ in thousands) Unrealized gains (losses) on securities Officers’ retirement plan Directors’ retirement plan Accumulated other comprehensive loss Balance as of December 31, 2021 $ (2,764 ) $ (1,420 ) $ (13 ) $ (4,197 ) Current period other comprehensive loss (19,963 ) — — (19,963 ) Balance as of March 31 2022 $ (22,727 ) $ (1,420 ) $ (13 ) $ (24,160 ) The following table details activity in accumulated other comprehensive income for the three months ended March 31, 2021: ($ in thousands) Unrealized gains (losses) on securities Officers’ retirement plan Directors’ retirement plan Accumulated other comprehensive income Balance as of December 31, 2020 $ 7,196 $ (2,105 ) $ (53 ) $ 5,038 Current period other comprehensive loss (4,172 ) — — (4,172 ) Balance as of March 31 2021 $ 3,024 $ (2,105 ) $ (53 ) $ 866

OUTSTANDING SHARES AND EARNINGS

OUTSTANDING SHARES AND EARNINGS PER SHARE	3 Months Ended
	Mar. 31, 2022
OUTSTANDING SHARES AND EARNINGS PER SHARE [Abstract]
OUTSTANDING SHARES AND EARNINGS PER SHARE	10. OUTSTANDING SHARES AND EARNINGS PER SHARE On January 27, 2022, the Board of Directors of the Company declared a 5% stock dividend payable on March 25, 2022 to shareholders of record as of February 28, 2022. All income per share amounts have been adjusted to give retroactive effect to stock dividends. Earnings Per Share (EPS) Basic EPS includes no dilution and is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding for the respective period. Diluted EPS is computed by dividing net income available to common shareholders by the weighted average number of shares outstanding plus dilutive shares for the quarter. Diluted shares include all common stock equivalents (“in-the-money” stock options, unvested restricted stock, stock units, warrants and rights, convertible bonds and preferred stock), which reflects the potential dilution of securities that could share in the earnings of the Company. The following table presents a reconciliation of basic and diluted EPS for the three months ended March 31, 2022 and 2021 (dollars in thousands except per share amounts): Three months ended March 31, 2022 2021 Basic earnings per share: Net income $ 3,041 $ 3,178 Weighted average common shares outstanding 13,682,699 14,150,388 Basic EPS $ 0.22 $ 0.22 Diluted earnings per share: Net income $ 3,041 $ 3,178 Weighted average common shares outstanding 13,682,699 14,150,388 Effect of dilutive shares 174,543 160,583 Adjusted weighted average common shares outstanding 13,857,242 14,310,971 Diluted EPS $ 0.22 $ 0.22 Stock options which were not included in the computation of diluted earnings per share because they would have had an anti-dilutive effect amounted to 298,338 shares and 361,415 shares for the three months ended March 31, 2022 and March 31, 2021, respectively. Restricted stock which were not included in the computation of diluted earnings per share because they would have had an anti-dilutive effect amounted to 34,698 shares and 42,336 shares for the three months ended March 31, 2022 and March 31, 2021, respectively.

LEASES

LEASES	3 Months Ended
	Mar. 31, 2022
LEASES [Abstract]
LEASES	11. LEASES The Company leases eleven branch and administrative locations under operating leases expiring on various dates through 2031. Leases with an initial term of 12 months or less are not recorded on the balance sheet and lease expense is recognized on a straight-line basis over the lease term. For lease agreements entered into or reassessed after the adoption of Topic 842, the Company combines lease and nonlease components. The Company had no financing leases as of March 31, 2022. Most leases include options to renew, with renewal terms that can extend the lease term from 3 to 10 years. The exercise of lease renewal options is at the Company’s sole discretion. Most leases are currently in the extension period. For the remaining leases with options to renew, the Company has not included the extended lease terms in the calculation of lease liabilities as the options are not reasonably certain of being exercised. Certain lease agreements include rental payments that are adjusted periodically for inflation. The Company's lease agreements do not contain any residual value guarantees or restrictive covenants. The Company uses its FHLB advance fixed rates, which are its incremental borrowing rates for secured borrowings, as the discount rates to calculate lease liabilities. The Company had right-of-use assets totaling $5,566,000 and $5,138,000 as of March 31, 2022 and December 31, 2021, respectively. The Company had lease liabilities totaling $6,109,000 and $5,664,000 as of March 31, 2022 and December 31, 2021, respectively. The Company recognized lease expenses totaling $294,000 and $293,000 for the three months ended March 31, 2022 and March 31, 2021, respectively. Lease expenses include expenses related to short-term leases. The table below summarizes the maturity of remaining lease liabilities: (in thousands) March 31, 2022 2022 (remaining 9 months) $ 879 2023 1,063 2024 977 2025 907 2026 663 2027 2,131 Total lease payments 6,620 Less: interest (511 ) Present value of lease liabilities $ 6,109 The following table presents supplemental cash flow information related to leases for the three months ended March 31, 2022 and March 31, 2021: (in thousands) Three Months Ended March 31, 2022 Three Months Ended March 31 2021 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 299 $ 290 Right-of-use assets obtained in exchange for new operating lease liabilities $ 707 $ — The following table presents the weighted average operating lease term and discount rate as of March 31, 2022 and December 31, 2021: (in thousands) March 31, 2022 December 31, 2021 Weighted-average remaining lease term – operating leases, in years $ 6.67 $ 6.32 Weighted-average discount rate – operating leases $ 2.32 % $ 2.36 %

BASIS OF PRESENTATION (Policies

BASIS OF PRESENTATION (Policies)	3 Months Ended
	Mar. 31, 2022
BASIS OF PRESENTATION [Abstract]
Basis of Presentation	The accompanying unaudited condensed consolidated financial statements of First Northern Community Bancorp (the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and with the instructions to Form 10-Q and Articles 9 and 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. The results of operations for any interim period are not necessarily indicative of results expected for the full year. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 as filed with the Securities and Exchange Commission. The preparation of financial statements in conformity with GAAP 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 financial statements as well as reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates. All material intercompany balances and transactions have been eliminated in consolidation.

ACCOUNTING POLICIES (Policies)

ACCOUNTING POLICIES (Policies)	3 Months Ended
	Mar. 31, 2022
ACCOUNTING POLICIES [Abstract]
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements: The CARES Act was passed by Congress and signed into law on March 27, 2020. Section 4013 of the CARES Act provides that a financial institution may elect to not apply GAAP requirements to loan modifications related to the COVID-19 pandemic that would otherwise be categorized as a TDR, and suspends the determination of loan modifications related to the COVID-19 pandemic from being treated as TDRs. The relief from TDR guidance applies to modifications of loans that were not more than 30 days past due as of December 31, 2019, and modifications that occurred beginning on March 1, 2020 until the earlier of: sixty days after the date on which the national emergency related to the COVID-19 outbreak is terminated or December 31, 2020. The suspension of TDR accounting and reporting guidance may not be applied to any adverse impact on the credit of a borrower that is not related to the COVID-19 pandemic. In December 2020, the Consolidated Appropriations Act, 2021 was signed into law. Section 541 of this legislation, “Extension of Temporary Relief From Troubled Debt Restructurings and Insurer Clarification,” On April 3, 2020, the SEC Office of the Chief Accountant issued a public statement communicating that for eligible entities that elect to apply Section 4013 of the CARES Act, the SEC staff would not object that this is in accordance with GAAP for the periods for which such elections are available. In June 2020, the American Institute of Certified Public Accountants published Q&A Section 2130.41 regarding a technical question regarding the recognition of interest income on Section 4013 loans which provided multiple permitted policy elections regarding the recognition of interest on Section 4013 restructured loans. The Bank actively assisted its communities by providing temporary loan relief under Section 4013 of the CARES Act. This relief included loan modifications which include forbearance programs (both full payment deferrals and interest only payments) to customers who have been negatively impacted by the pandemic. For loans that have been provided temporary full payment deferrals, the Bank has made a policy election to cease recognition of interest income during the term of the payment deferrals (generally three In March 2020, the FASB issued ASU 2020-02, Financial Instruments—Credit Losses (Topic 326) and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 119 and Update to SEC Section on Effective Date Related to Accounting Standards Update No. 2016-02, Leases (Topic 842). This ASU adds an SEC paragraph pursuant to the issuance of SEC Staff Accounting Bulletin No. 119 on loan losses to the FASB Codification Topic 326. This ASU also updates the SEC section of the Codification for the change in the effective date of Topic 842. This ASU was effective upon addition to the FASB Codification. The Company adopted ASU 2016-02, Leases (Topic 842), on January 1, 2019. ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), is effective on January 1, 2023 for smaller reporting companies with less than $250 million in public float as defined in the SEC's rules. The Company is a smaller reporting company. The Company will apply the amendment's provisions as a cumulative-effect adjustment to retained earnings at the beginning of the first period the amendment is effective. The Company has formed a team that is working on an implementation plan to adopt the amendment. The implementation plan will include developing policies, procedures and internal controls over the model. The Company is also working with a software vendor to measure expected losses required by the amendment. The Company is currently evaluating the effects that the adoption of this amendment will have on its consolidated financial statements and expects that the portfolio composition and economic conditions at the time of adoption will influence the accounting adjustment made at the time the amendment is adopted. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848). This ASU was effective for all entities as of March 12, 2020 through December 31, 2022. As of January 1, 2022, the Company is no longer originating LIBOR-based loans and is originating new variable rate loans using the Secured Overnight Financing Rate (SOFR). For existing LIBOR based loans, the Company is monitoring the development and reporting of fallback indices. The Company does not expect this ASU to have a material impact on the Company’s consolidated financial statements. In March 2022, the FASB issued ASU 2022-02, Financial Instruments—Credit Losses (Topic 326 )

INVESTMENT SECURITIES (Tables)

INVESTMENT SECURITIES (Tables)	3 Months Ended
	Mar. 31, 2022
INVESTMENT SECURITIES [Abstract]
Amortized Cost, Unrealized Gains and Losses and Estimated Fair Values of Investments in Debt and Other Securities	The amortized cost, unrealized gains and losses and estimated fair values of investments in debt and other securities at March 31, 2022 are summarized as follows: (in thousands) Amortized cost Unrealized gains Unrealized losses Estimated fair value Investment securities available-for-sale: U.S. Treasury securities $ 108,594 $ 126 $ (3,189 ) $ 105,531 Securities of U.S. government agencies and corporations 110,716 39 (5,453 ) 105,302 Obligations of states and political subdivisions 45,636 285 (2,800 ) 43,121 Collateralized mortgage obligations 129,553 22 (8,999 ) 120,576 Mortgage-backed securities 282,552 111 (12,038 ) 270,625 Total debt securities $ 677,051 $ 583 $ (32,479 ) $ 645,155 The amortized cost, unrealized gains and losses and estimated fair values of investments in debt and other securities at December 31, 2021 are summarized as follows: (in thousands) Amortized cost Unrealized gains Unrealized losses Estimated fair value Investment securities available-for-sale: U.S. Treasury securities $ 86,534 $ 388 $ (711 ) $ 86,211 Securities of U.S. government agencies and corporations 104,106 330 (1,826 ) 102,610 Obligations of states and political subdivisions 44,842 1,444 (301 ) 45,985 Collateralized mortgage obligations 137,872 665 (2,885 ) 135,652 Mortgage-backed securities 262,738 1,971 (2,954 ) 261,755 Total debt securities $ 636,092 $ 4,798 $ (8,677 ) $ 632,213
Amortized Cost and Estimated Fair Value of Debt and Other Securities by Contractual or Expected Maturity	The amortized cost and estimated fair value of debt and other securities at March 31, 2022, by contractual maturity, are shown in the following table: (in thousands) Amortized cost Estimated fair value Maturity in years: Due in one year or less $ 22,255 $ 22,316 Due after one year through five years 171,580 165,608 Due after five years through ten years 44,081 41,114 Due after ten years 27,030 24,916 Subtotal 264,946 253,954 MBS & CMO 412,105 391,201 Total $ 677,051 $ 645,155
Analysis of Gross Unrealized Losses of the Available-for-sale Investment Securities Portfolio	An analysis of gross unrealized losses of the available-for-sale investment securities portfolio as of March 31, 2022, follows: Less than 12 months 12 months or more Total (in thousands) Fair Value Unrealized losses Fair Value Unrealized losses Fair Value Unrealized losses U.S. Treasury securities $ 78,054 $ (2,725 ) $ 9,957 $ (464 ) $ 88,011 $ (3,189 ) Securities of U.S. government agencies and corporations 39,241 (1,180 ) 50,456 (4,273 ) 89,697 (5,453 ) Obligations of states and political subdivisions 28,790 (2,339 ) 2,848 (461 ) 31,638 (2,800 ) Collateralized mortgage obligations 110,237 (8,208 ) 7,892 (791 ) 118,129 (8,999 ) Mortgage-backed securities 172,065 (7,113 ) 66,549 (4,925 ) 238,614 (12,038 ) Total $ 428,387 $ (21,565 ) $ 137,702 $ (10,914 ) $ 566,089 $ (32,479 ) An analysis of gross unrealized losses of the available-for-sale investment securities portfolio as of December 31, 2021, follows: Less than 12 months 12 months or more Total (in thousands) Fair Value Unrealized losses Fair Value Unrealized losses Fair Value Unrealized losses U.S. Treasury Securities $ 63,254 $ (673 ) $ 2,066 $ (38 ) $ 65,320 $ (711 ) Securities of U.S. government agencies and corporations 48,288 (942 ) 30,158 (884 ) 78,446 (1,826 ) Obligations of states and political subdivisions 11,680 (233 ) 934 (68 ) 12,614 (301 ) Collateralized Mortgage obligations 90,299 (2,850 ) 1,298 (35 ) 91,597 (2,885 ) Mortgage-backed securities 175,943 (2,816 ) 6,997 (138 ) 182,940 (2,954 ) Total $ 389,464 $ (7,514 ) $ 41,453 $ (1,163 ) $ 430,917 $ (8,677 )

LOANS (Tables)

LOANS (Tables)	3 Months Ended
	Mar. 31, 2022
LOANS [Abstract]
Loan Portfolio, by Loan Class	The composition of the Company’s loan portfolio, by loan class, as of March 31, 2022 and December 31, 2021 was as follows: ($ in thousands) March 31, 2022 December 31, 2021 Commercial $ 123,462 $ 135,894 Commercial Real Estate 562,684 526,924 Agriculture 99,500 107,183 Residential Mortgage 77,761 76,160 Residential Construction 7,749 4,482 Consumer 17,538 17,258 888,694 867,901 Allowance for loan losses (14,258 ) (13,952 ) Net deferred origination fees and costs (431 ) (1,232 ) Loans, net $ 874,005 $ 852,717
Loans by Delinquency and Non-Accrual Status	The Company’s loans by delinquency and non-accrual status, as of March 31, 2022 and December 31, 2021, were as follows: ($ in thousands) Current & Accruing 30-59 Days Past Due & Accruing 60-89 Days Past Due & Accruing 90 Days or more Past Due & Accruing Nonaccrual Total Loans March 31 2022 Commercial $ 122,021 $ 1,408 $ — $ — $ 33 $ 123,462 Commercial Real Estate 562,684 — — — — 562,684 Agriculture 90,802 300 — — 8,398 99,500 Residential Mortgage 77,077 549 — — 135 77,761 Residential Construction 7,661 88 — — — 7,749 Consumer 16,771 50 — — 717 17,538 Total $ 877,016 $ 2,395 $ — $ — $ 9,283 $ 888,694 December 31, 2021 Commercial $ 134,890 $ 394 $ 477 $ — $ 133 $ 135,894 Commercial Real Estate 526,337 32 — — 555 526,924 Agriculture 98,471 — — — 8,712 107,183 Residential Mortgage 75,861 161 — — 138 76,160 Residential Construction 4,482 — — — — 4,482 Consumer 16,523 — 76 — 659 17,258 Total $ 856,564 $ 587 $ 553 $ — $ 10,197 $ 867,901
Impaired Loans, Segregated by Loan Class	Impaired loans, segregated by loan class, as of March 31, 2022 and December 31, 2021 were as follows: ($ in thousands) Unpaid Contractual Principal Balance Recorded Investment with no Allowance Recorded Investment with Allowance Total Recorded Investment Related Allowance March 31 2022 Commercial $ 33 $ 33 $ — $ 33 $ — Commercial Real Estate — — — — — Agriculture 8,707 8,398 — 8,398 — Residential Mortgage 678 135 512 647 79 Residential Construction — — — — — Consumer 781 717 64 781 2 Total $ 10,199 $ 9,283 $ 576 $ 9,859 $ 81 December 31, 2021 Commercial $ 142 $ 133 $ — $ 133 $ — Commercial Real Estate 555 555 — 555 — Agriculture 10,680 8,712 — 8,712 — Residential Mortgage 701 138 517 655 81 Residential Construction 241 — 241 241 10 Consumer 815 659 64 723 2 Total $ 13,134 $ 10,197 $ 822 $ 11,019 $ 93
Average Recorded Investment and Interest Income in Impaired Loans Recognized Using Accrual Basis Method of Accounting	The average recorded investment in impaired loans and the amount of interest income recognized on impaired loans during the three months ended March 31, 2022 and March 31, 2021 was as follows: ($ in thousands) Three Months Ended March 31, 2022 Three Months Ended March 31, 2021 Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Commercial $ 83 $ 2 $ 654 $ 1 Commercial Real Estate 278 13 5,839 — Agriculture 8,555 — 9,130 — Residential Mortgage 651 5 1,030 8 Residential Construction 120 — 453 4 Consumer 752 2 753 1 Total $ 10,439 $ 22 $ 17,859 $ 14
Loans Modified as TDRs	Loans modified as TDRs during the three months ended March 31, 2022 were as follows: ($ in thousands) Three months ended March 31, 2022 Number of Contracts Pre- modification outstanding recorded investment Post- modification outstanding recorded investment Consumer 1 $ 75 $ 75 Total 1 $ 75 $ 75
Risk Ratings by Loan Class	The following table presents the risk ratings by loan class as of March 31, 2022 and December 31, 2021: ($ in thousands) Pass Special Mention Substandard Doubtful Loss Total March 31, 2022 Commercial $ 119,903 $ 2,376 $ 1,183 $ — $ — $ 123,462 Commercial Real Estate 553,159 6,473 3,052 — — 562,684 Agriculture 91,102 — 8,398 — — 99,500 Residential Mortgage 77,626 — 135 — — 77,761 Residential Construction 7,749 — — — — 7,749 Consumer 16,821 — 717 — — 17,538 Total $ 866,360 $ 8,849 $ 13,485 $ — $ — $ 888,694 December 31, 2021 Commercial $ 132,425 $ 2,376 $ 1,093 $ — $ — $ 135,894 Commercial Real Estate 516,120 6,524 4,280 — — 526,924 Agriculture 98,471 — 8,712 — — 107,183 Residential Mortgage 76,020 — 140 — — 76,160 Residential Construction 4,482 — — — — 4,482 Consumer 16,599 — 659 — — 17,258 Total $ 844,117 $ 8,900 $ 14,884 $ — $ — $ 867,901
Allowance for Loan Losses	The following tables detail activity in the allowance for loan losses and the amount allocated to loans individually and collectively evaluated for impairment by loan class for the three months ended March 31, 2022 and March 31, 2021: Three months ended March 31, 2022 ($ in thousands) Commercial Commercial Real Estate Agriculture Residential Mortgage Residential Construction Consumer Unallocated Total Balance as of December 31, 2021 $ 1,604 $ 8,808 $ 1,482 $ 742 $ 74 $ 167 $ 1,075 $ 13,952 Provision for (reversal of) loan losses 136 572 125 12 61 25 (631 ) 300 Charge-offs — — — — — (4 ) — (4 ) Recoveries 7 — — — — 3 — 10 Net (charge-offs)/recoveries 7 — — — — (1 ) — 6 Balance as of March 31, 2022 $ 1,747 $ 9,380 $ 1,607 $ 754 $ 135 $ 191 $ 444 $ 14,258 Period-end amount allocated to: Loans individually evaluated for impairment — — — 79 — 2 — 81 Loans collectively evaluated for impairment 1,747 9,380 1,607 675 135 189 444 14,177 Balance as of March 31 2022 $ 1,747 $ 9,380 $ 1,607 $ 754 $ 135 $ 191 $ 444 $ 14,258 Three months ended March 31, 2021 ($ in thousands) Commercial Commercial Real Estate Agriculture Residential Mortgage Residential Construction Consumer Unallocated Total Balance as of December 31, 2020 $ 2,252 $ 7,915 $ 3,834 $ 635 $ 128 $ 214 $ 438 $ 15,416 Provision for (reversal of) loan losses (779 ) (354 ) 1,337 45 (91 ) (30 ) 172 300 Charge-offs (13 ) — — — — (3 ) — (16 ) Recoveries 8 — — — — 5 — 13 Net (charge-offs)/recoveries (5 ) — — — — 2 — (3 ) Balance as of March 31, 2021 $ 1,468 $ 7,561 $ 5,171 $ 680 $ 37 $ 186 $ 610 $ 15,713 Period-end amount allocated to: Loans individually evaluated for impairment — — 3,964 155 4 1 — 4,124 Loans collectively evaluated for impairment 1,468 7,561 1,207 525 33 185 610 11,589 Balance as of March 31, 2021 $ 1,468 $ 7,561 $ 5,171 $ 680 $ 37 $ 186 $ 610 $ 15,713 The Company’s investment in loans as of March 31, 2022, March 31, 2021, and December 31, 2021 related to each balance in the allowance for loan losses by loan class and disaggregated on the basis of the Company’s impairment methodology was as follows: ($ in thousands) Commercial Commercial Real Estate Agriculture Residential Mortgage Residential Construction Consumer Total March 31, 2022 Loans individually evaluated for impairment $ 33 $ — $ 8,398 $ 647 $ — $ 781 $ 9,859 Loans collectively evaluated for impairment 123,429 562,684 91,102 77,114 7,749 16,757 878,835 Ending Balance $ 123,462 $ 562,684 $ 99,500 $ 77,761 $ 7,749 $ 17,538 $ 888,694 March 31, 2021 Loans individually evaluated for impairment $ 284 $ 6,803 $ 9,130 $ 1,024 $ 255 $ 751 $ 18,247 Loans collectively evaluated for impairment 292,864 490,045 70,825 70,088 2,407 17,966 944,195 Ending Balance $ 293,148 $ 496,848 $ 79,955 $ 71,112 $ 2,662 $ 18,717 $ 962,442 December 31, 2021 Loans individually evaluated for impairment $ 133 $ 555 $ 8,712 $ 655 $ 241 $ 723 $ 11,019 Loans collectively evaluated for impairment 135,761 526,369 98,471 75,505 4,241 16,535 856,882 Ending Balance $ 135,894 $ 526,924 $ 107,183 $ 76,160 $ 4,482 $ 17,258 $ 867,901

MORTGAGE OPERATIONS (Tables)

MORTGAGE OPERATIONS (Tables)	3 Months Ended
	Mar. 31, 2022
MORTGAGE OPERATIONS [Abstract]
Key Assumptions Used in Measuring the Fair Value of Mortgage Servicing Rights	Key assumptions used in measuring the fair value of mortgage servicing rights as of March 31, 2022 and December 31, 2021 were as follows: March 31, 2022 December 31, 2021 Constant prepayment rate 10.16 % 15.73 % Discount rate 9.50 % 9.50 % Weighted average life (years) 6.31 4.95
Mortgage Servicing Rights Assets	The following table summarizes the Company’s mortgage servicing rights assets as of March 31, 2022 and December 31, (in thousands) December 31, 2021 Additions Reductions March 31, 2022 Mortgage servicing rights $ 1,807 $ 60 $ (82 ) $ 1,785 Valuation allowance (276 ) — 276 — Mortgage servicing rights, net of valuation allowance $ 1,531 $ 60 $ 194 $ 1,785

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	3 Months Ended
	Mar. 31, 2022
FAIR VALUE MEASUREMENTS [Abstract]
Assets and Liabilities Measured at Fair Value on a Recurring Basis	The tables below present the recorded amount of assets and liabilities measured at fair value on a recurring basis as of March 31, 2022 and December 31, 2021. (in thousands) March 31 2022 Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. Treasury securities $ 105,531 $ 105,531 $ — $ — Securities of U.S. government agencies and corporations 105,302 — 105,302 — Obligations of states and political subdivisions 43,121 — 43,121 — Collateralized mortgage obligations 120,576 — 120,576 — Mortgage-backed securities 270,625 — 270,625 — Total investments at fair value $ 645,155 $ 105,531 $ 539,624 $ — (in thousands) December 31, 2021 Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. Treasury securities $ 86,211 $ 86,211 $ — $ — Securities of U.S. government agencies and corporations 102,610 — 102,610 — Obligations of states and political subdivisions 45,985 — 45,985 — Collateralized mortgage obligations 135,652 — 135,652 — Mortgage-backed securities 261,755 — 261,755 — Total investments at fair value $ 632,213 $ 86,211 $ 546,002 $ —
Assets Measured at Fair Value on a Non-recurring Basis	Assets measured at fair value on a non-recurring basis are included in the table below by level within the fair value hierarchy as of December 31, 2021: (in thousands) December 31, 2021 Carrying Value Level 1 Level 2 Level 3 Impaired loans $ 33 $ — $ — $ 33 Mortgage servicing rights 1,531 — — 1,531 Total assets at fair value $ 1,564 $ — $ — $ 1,564
Key Methods and Assumptions Used in Measuring Fair Value	Key methods and assumptions used in measuring the fair value of impaired loans and mortgage servicing rights as of December 31, 2021 were as follows: Method Assumption Inputs Impaired loans Collateral, market, income, enterprise, liquidation, and discounted cash flows External appraised values, management assumptions regarding market trends or other relevant factors, selling costs generally ranging from 6% to 10%, or the amount and timing of cash flows based on the loan's effective interest rate. Mortgage servicing rights Discounted cash flows Present value of expected future cash flows was estimated using a weighted average discount rate factor of 9.50% as of December 31, 2021. A weighted average constant prepayment rate of 15.73% as of December 31, 2021 was utilized.
Estimated Fair Value of Financial Instruments	The estimated fair values of the Company’s financial instruments for the periods ended March 31, 2022 and December 31, 2021 were approximately as follows: March 31, 2022 December 31, 2021 Level Carrying amount Fair value Carrying amount Fair value Financial assets: Cash and cash equivalents 1 $ 274,750 $ 274,750 $ 345,929 $ 345,929 Certificates of deposit 2 11,067 10,988 13,272 13,443 Stock in Federal Home Loan Bank and other equity securities 3 7,097 7,097 7,097 7,097 Loans receivable: Net loans 3 874,005 847,164 852,717 830,967 Loans held-for-sale 2 350 345 1,063 1,089 Interest receivable 2 4,938 4,938 4,571 4,571 Mortgage servicing rights 3 1,785 1,885 1,531 1,531 Financial liabilities: Deposits 3 1,715,996 1,553,130 1,728,302 1,678,658 Interest payable 2 59 59 42 42

FINANCIAL INSTRUMENTS WITH OF_2

FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK (Tables)	3 Months Ended
	Mar. 31, 2022
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK [Abstract]
Financial Instruments Whose Contract Amount Represent Credit Risk	Financial instruments, whose contract amounts represent credit risk at the indicated periods, were as follows: (in thousands) March 31, 2022 December 31, 2021 Undisbursed loan commitments $ 208,071 $ 192,874 Standby letters of credit 1,812 2,305 Commitments to sell loans 630 1,500 $ 210,513 $ 196,679

STOCK PLANS (Tables)

STOCK PLANS (Tables)	3 Months Ended
	Mar. 31, 2022
STOCK PLANS [Abstract]
Stock Option Activity	The following table presents the activity related to stock options for the three months ended March 31, 2022: Number of Shares Weighted Average Exercise Price Aggregate Intrinsic Value Weighted Average Remaining Contractual Term (in years) Options outstanding at Beginning of Period 627,814 $ 8.58 Granted 42,965 10.25 Expired — — Cancelled / Forfeited — — Exercised (18,524 ) 3.51 Options outstanding at End of Period 652,255 8.83 $ 939,896 6.03 Exercisable (vested) at End of Period 488,666 $ 8.41 $ 916,565 5.27
Weighted Average Assumptions Used in Valuing Stock Options	A summary of the weighted average assumptions used in valuing stock options during the three months ended March 31, 2022 is presented below: Three Months Ended March 31, 2022 Risk Free Interest Rate 2.54 % Expected Dividend Yield 0.00 % Expected Life in Years 5 Expected Price Volatility 19.70 %
Activity Related to Restricted Stock	The following table presents the activity related to non-vested restricted stock for the three months ended March 31, 2022: Number of Shares Weighted Average Grant-Date Fair Value Aggregate Intrinsic Value Weighted Average Remaining Contractual Term (in years) Non-vested Restricted stock outstanding at Beginning of Period 167,397 $ 9.97 Granted 70,973 10.33 Cancelled/Forfeited — — Exercised/Released/Vested (30,145 ) 10.68 $ Non-vested restricted stock outstanding at End of Period 208,225 $ 9.99 $ 2,123,895 3.11
Weighted Average Assumptions Used in Valuing ESPP	A summary of the weighted average assumptions used in valuing ESPP issuances during the three months ended March 31, 2022 is presented below: Three Months Ended March 31, 2022 Risk Free Interest Rate 0.21 % Expected Dividend Yield 0.00 % Expected Life in Years 1.00 Expected Price Volatility 25.73 %

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	3 Months Ended
	Mar. 31, 2022
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) [Abstract]
Activity in Accumulated Other Comprehensive Income (Loss)	The following table details activity in accumulated other comprehensive loss for the three months ended March 31, 2022: ($ in thousands) Unrealized gains (losses) on securities Officers’ retirement plan Directors’ retirement plan Accumulated other comprehensive loss Balance as of December 31, 2021 $ (2,764 ) $ (1,420 ) $ (13 ) $ (4,197 ) Current period other comprehensive loss (19,963 ) — — (19,963 ) Balance as of March 31 2022 $ (22,727 ) $ (1,420 ) $ (13 ) $ (24,160 ) The following table details activity in accumulated other comprehensive income for the three months ended March 31, 2021: ($ in thousands) Unrealized gains (losses) on securities Officers’ retirement plan Directors’ retirement plan Accumulated other comprehensive income Balance as of December 31, 2020 $ 7,196 $ (2,105 ) $ (53 ) $ 5,038 Current period other comprehensive loss (4,172 ) — — (4,172 ) Balance as of March 31 2021 $ 3,024 $ (2,105 ) $ (53 ) $ 866

OUTSTANDING SHARES AND EARNIN_2

OUTSTANDING SHARES AND EARNINGS PER SHARE (Tables)	3 Months Ended
	Mar. 31, 2022
OUTSTANDING SHARES AND EARNINGS PER SHARE [Abstract]
Reconciliation of Basic and Diluted EPS	The following table presents a reconciliation of basic and diluted EPS for the three months ended March 31, 2022 and 2021 (dollars in thousands except per share amounts): Three months ended March 31, 2022 2021 Basic earnings per share: Net income $ 3,041 $ 3,178 Weighted average common shares outstanding 13,682,699 14,150,388 Basic EPS $ 0.22 $ 0.22 Diluted earnings per share: Net income $ 3,041 $ 3,178 Weighted average common shares outstanding 13,682,699 14,150,388 Effect of dilutive shares 174,543 160,583 Adjusted weighted average common shares outstanding 13,857,242 14,310,971 Diluted EPS $ 0.22 $ 0.22

LEASES (Tables)

LEASES (Tables)	3 Months Ended
	Mar. 31, 2022
LEASES [Abstract]
Maturities of Remaining Lease Liabilities	The table below summarizes the maturity of remaining lease liabilities: (in thousands) March 31, 2022 2022 (remaining 9 months) $ 879 2023 1,063 2024 977 2025 907 2026 663 2027 2,131 Total lease payments 6,620 Less: interest (511 ) Present value of lease liabilities $ 6,109
Supplemental Cash Flow Information Related to Leases	The following table presents supplemental cash flow information related to leases for the three months ended March 31, 2022 and March 31, 2021: (in thousands) Three Months Ended March 31, 2022 Three Months Ended March 31 2021 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 299 $ 290 Right-of-use assets obtained in exchange for new operating lease liabilities $ 707 $ —
Weighted Average Operating Lease Term and Discount Rate	The following table presents the weighted average operating lease term and discount rate as of March 31, 2022 and December 31, 2021: (in thousands) March 31, 2022 December 31, 2021 Weighted-average remaining lease term – operating leases, in years $ 6.67 $ 6.32 Weighted-average discount rate – operating leases $ 2.32 % $ 2.36 %

ACCOUNTING POLICIES (Details)

ACCOUNTING POLICIES (Details)	3 Months Ended
	Mar. 31, 2022
Recently Issued Accounting Pronouncements [Abstract]
Contractually past due period for loans to be determined to be non-accrual	90 days
CARES Act [Member] | Minimum [Member]
Recently Issued Accounting Pronouncements [Abstract]
Term of payment deferrals	3 months
CARES Act [Member] | Maximum [Member]
Recently Issued Accounting Pronouncements [Abstract]
Term of payment deferrals	6 months

INVESTMENT SECURITIES, Amortize

INVESTMENT SECURITIES, Amortized Cost, Unrealized Gains and Losses and Estimated Fair Values of Investments in Debt and Other Securities (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Investment securities available-for-sale [Abstract]
Amortized cost	$ 677,051		$ 636,092
Unrealized gains	583		4,798
Unrealized losses	(32,479)		(8,677)
Estimated fair value	645,155		632,213
Proceeds from sales of available-for-sale securities	0	$ 3,643
Gross realized gains from sales/calls of available-for-sale securities	0	25
Gross realized losses from sales/calls of available-for-sale securities	0	$ 35
U.S. Treasury Securities [Member]
Investment securities available-for-sale [Abstract]
Amortized cost	108,594		86,534
Unrealized gains	126		388
Unrealized losses	(3,189)		(711)
Estimated fair value	105,531		86,211
Securities of U.S. Government Agencies and Corporations [Member]
Investment securities available-for-sale [Abstract]
Amortized cost	110,716		104,106
Unrealized gains	39		330
Unrealized losses	(5,453)		(1,826)
Estimated fair value	105,302		102,610
Obligations of States and Political Subdivisions [Member]
Investment securities available-for-sale [Abstract]
Amortized cost	45,636		44,842
Unrealized gains	285		1,444
Unrealized losses	(2,800)		(301)
Estimated fair value	43,121		45,985
Collateralized Mortgage Obligations [Member]
Investment securities available-for-sale [Abstract]
Amortized cost	129,553		137,872
Unrealized gains	22		665
Unrealized losses	(8,999)		(2,885)
Estimated fair value	120,576		135,652
Mortgage-backed Securities [Member]
Investment securities available-for-sale [Abstract]
Amortized cost	282,552		262,738
Unrealized gains	111		1,971
Unrealized losses	(12,038)		(2,954)
Estimated fair value	$ 270,625		$ 261,755

INVESTMENT SECURITIES, Contract

INVESTMENT SECURITIES, Contractual or Expected Maturity (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Maturity in years [Abstract]
Due in one year or less	$ 22,255
Due after one year through five years	171,580
Due after five years through ten years	44,081
Due after ten years	27,030
Subtotal	264,946
MBS & CMO	412,105
Amortized cost	677,051	$ 636,092
Maturity in years [Abstract]
Due in one year or less	22,316
Due after one year through five years	165,608
Due after five years through ten years	41,114
Due after ten years	24,916
Subtotal	253,954
MBS & CMO	391,201
Estimated fair value	$ 645,155	$ 632,213

INVESTMENT SECURITIES, Analysis

INVESTMENT SECURITIES, Analysis of Gross Unrealized Losses (Details) $ in Thousands	Mar. 31, 2022USD ($)Security	Dec. 31, 2021USD ($)
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less than 12 months, fair value	$ 428,387	$ 389,464
12 months or more, fair value	137,702	41,453
Total fair value	566,089	430,917
Less than 12 months, unrealized losses	(21,565)	(7,514)
12 Months or more, unrealized losses	(10,914)	(1,163)
Total unrealized losses	$ (32,479)	(8,677)
Investment securities in an unrealized loss position less than 12 months | Security	347
Investment securities in an unrealized loss position more than 12 months | Security	67
Asset Pledged as Collateral [Member] | Public Deposits or Other Purposes [Member]
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Investment securities	$ 37,677	39,695
U.S. Treasury Securities [Member]
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less than 12 months, fair value	78,054	63,254
12 months or more, fair value	9,957	2,066
Total fair value	88,011	65,320
Less than 12 months, unrealized losses	(2,725)	(673)
12 Months or more, unrealized losses	(464)	(38)
Total unrealized losses	(3,189)	(711)
Securities of U.S. Government Agencies and Corporations [Member]
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less than 12 months, fair value	39,241	48,288
12 months or more, fair value	50,456	30,158
Total fair value	89,697	78,446
Less than 12 months, unrealized losses	(1,180)	(942)
12 Months or more, unrealized losses	(4,273)	(884)
Total unrealized losses	(5,453)	(1,826)
Obligations of States and Political Subdivisions [Member]
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less than 12 months, fair value	28,790	11,680
12 months or more, fair value	2,848	934
Total fair value	31,638	12,614
Less than 12 months, unrealized losses	(2,339)	(233)
12 Months or more, unrealized losses	(461)	(68)
Total unrealized losses	(2,800)	(301)
Collateralized Mortgage Obligations [Member]
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less than 12 months, fair value	110,237	90,299
12 months or more, fair value	7,892	1,298
Total fair value	118,129	91,597
Less than 12 months, unrealized losses	(8,208)	(2,850)
12 Months or more, unrealized losses	(791)	(35)
Total unrealized losses	(8,999)	(2,885)
Mortgage-backed Securities [Member]
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less than 12 months, fair value	172,065	175,943
12 months or more, fair value	66,549	6,997
Total fair value	238,614	182,940
Less than 12 months, unrealized losses	(7,113)	(2,816)
12 Months or more, unrealized losses	(4,925)	(138)
Total unrealized losses	$ (12,038)	$ (2,954)

LOANS, Loan Portfolio by Loan C

LOANS, Loan Portfolio by Loan Class (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2022USD ($)Category	Dec. 31, 2021USD ($)	Mar. 31, 2021USD ($)	Dec. 31, 2020USD ($)
Loan Portfolio by Loan Class [Abstract]
Loans	$ 888,694	$ 867,901	$ 962,442
Allowance for loan losses	(14,258)	(13,952)	(15,713)	$ (15,416)
Net deferred origination fees and costs	(431)	(1,232)
Loans, net	$ 874,005	852,717
Minimum [Member]
Loan Portfolio by Loan Class [Abstract]
Delinquent loans revaluation period	3 months
Maximum [Member]
Loan Portfolio by Loan Class [Abstract]
Delinquent loans revaluation period	12 months
Commercial [Member]
Loan Portfolio by Loan Class [Abstract]
Loans	$ 123,462	135,894	293,148
Allowance for loan losses	$ (1,747)	(1,604)	(1,468)	(2,252)
Loan portfolio by segment	14.00%
Commercial [Member] | Paycheck Protection Program [Member]
Loan Portfolio by Loan Class [Abstract]
Loans	$ 15,000	37,000
Commercial Real Estate [Member]
Loan Portfolio by Loan Class [Abstract]
Loans	562,684	526,924	496,848
Allowance for loan losses	$ (9,380)	(8,808)	(7,561)	(7,915)
Number of categories of loans | Category	2
Loan portfolio by segment	63.00%
Agriculture [Member]
Loan Portfolio by Loan Class [Abstract]
Loans	$ 99,500	107,183	79,955
Allowance for loan losses	$ (1,607)	(1,482)	(5,171)	(3,834)
Loan portfolio by segment	11.00%
Residential Mortgage [Member]
Loan Portfolio by Loan Class [Abstract]
Loans	$ 77,761	76,160	71,112
Allowance for loan losses	$ (754)	(742)	(680)	(635)
Loan portfolio by segment	9.00%
Residential Construction [Member]
Loan Portfolio by Loan Class [Abstract]
Loans	$ 7,749	4,482	2,662
Allowance for loan losses	$ (135)	(74)	(37)	(128)
Loan portfolio by segment	1.00%
Consumer [Member]
Loan Portfolio by Loan Class [Abstract]
Loans	$ 17,538	17,258	18,717
Allowance for loan losses	$ (191)	$ (167)	$ (186)	$ (214)
Loan portfolio by segment	2.00%

LOANS, Non-accrual and Past Due

LOANS, Non-accrual and Past Due Loans (Details)	Mar. 31, 2022USD ($)Loan	Dec. 31, 2021USD ($)Loan	Mar. 31, 2021USD ($)
Non-accrual and Past Due Loans [Abstract]
Total Loans	$ 888,694,000	$ 867,901,000	$ 962,442,000
Nonaccrual	9,283,000	10,197,000
Commitments to lend additional funds to borrower whose loan was on non-accrual status	0
Current & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	877,016,000	856,564,000
30-59 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	2,395,000	587,000
60-89 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	553,000
90 Days or More Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	0
Commercial [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	123,462,000	135,894,000	293,148,000
Nonaccrual	$ 33,000	$ 133,000
Number of nonaccrual loans | Loan	1	2
Commercial [Member] | Current & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	$ 122,021,000	$ 134,890,000
Commercial [Member] | 30-59 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	1,408,000	394,000
Commercial [Member] | 60-89 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	477,000
Commercial [Member] | 90 Days or More Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	0
Commercial Real Estate [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	562,684,000	526,924,000	496,848,000
Nonaccrual	0	$ 555,000
Number of nonaccrual loans | Loan		1
Commercial Real Estate [Member] | Current & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	562,684,000	$ 526,337,000
Commercial Real Estate [Member] | 30-59 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	32,000
Commercial Real Estate [Member] | 60-89 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	0
Commercial Real Estate [Member] | 90 Days or More Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	0
Agriculture [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	99,500,000	107,183,000	79,955,000
Nonaccrual	$ 8,398,000	$ 8,712,000
Number of nonaccrual loans | Loan	3	3
Agriculture [Member] | Current & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	$ 90,802,000	$ 98,471,000
Agriculture [Member] | 30-59 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	300,000	0
Agriculture [Member] | 60-89 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	0
Agriculture [Member] | 90 Days or More Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	0
Residential Mortgage [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	77,761,000	76,160,000	71,112,000
Nonaccrual	$ 135,000	$ 138,000
Number of nonaccrual loans | Loan	1	1
Residential Mortgage [Member] | Current & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	$ 77,077,000	$ 75,861,000
Residential Mortgage [Member] | 30-59 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	549,000	161,000
Residential Mortgage [Member] | 60-89 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	0
Residential Mortgage [Member] | 90 Days or More Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	0
Residential Construction [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	7,749,000	4,482,000	2,662,000
Nonaccrual	0	0
Residential Construction [Member] | Current & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	7,661,000	4,482,000
Residential Construction [Member] | 30-59 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	88,000	0
Residential Construction [Member] | 60-89 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	0
Residential Construction [Member] | 90 Days or More Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	0
Consumer [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	17,538,000	17,258,000	$ 18,717,000
Nonaccrual	$ 717,000	$ 659,000
Number of nonaccrual loans | Loan	4	4
Consumer [Member] | Current & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	$ 16,771,000	$ 16,523,000
Consumer [Member] | 30-59 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	50,000	0
Consumer [Member] | 60-89 Days Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	0	76,000
Consumer [Member] | 90 Days or More Past Due & Accruing [Member]
Non-accrual and Past Due Loans [Abstract]
Total Loans	$ 0	$ 0

LOANS, Impaired Loans (Details)

LOANS, Impaired Loans (Details) - USD ($)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Impaired loans [Abstract]
Unpaid contractual principal balance	$ 10,199,000		$ 13,134,000
Recorded investment [Abstract]
Recorded investment with no allowance	9,283,000		10,197,000
Recorded investment with allowance	576,000		822,000
Total recorded investment	9,859,000		11,019,000
Related allowance	81,000		93,000
Interest income on impaired loans recognized using an accrual method of accounting [Abstract]
Average recorded investment	10,439,000	$ 17,859,000
Interest income recognized	22,000	14,000
Risk Rating of 5 (Special Mention) or Worse [Member]
Impaired loans [Abstract]
Threshold aggregate exposure for loan to be considered impaired	500,000
Commercial [Member]
Impaired loans [Abstract]
Unpaid contractual principal balance	33,000		142,000
Recorded investment [Abstract]
Recorded investment with no allowance	33,000		133,000
Recorded investment with allowance	0		0
Total recorded investment	33,000		133,000
Related allowance	0		0
Interest income on impaired loans recognized using an accrual method of accounting [Abstract]
Average recorded investment	83,000	654,000
Interest income recognized	2,000	1,000
Commercial Real Estate [Member]
Impaired loans [Abstract]
Unpaid contractual principal balance	0		555,000
Recorded investment [Abstract]
Recorded investment with no allowance	0		555,000
Recorded investment with allowance	0		0
Total recorded investment	0		555,000
Related allowance	0		0
Interest income on impaired loans recognized using an accrual method of accounting [Abstract]
Average recorded investment	278,000	5,839,000
Interest income recognized	13,000	0
Agriculture [Member]
Impaired loans [Abstract]
Unpaid contractual principal balance	8,707,000		10,680,000
Recorded investment [Abstract]
Recorded investment with no allowance	8,398,000		8,712,000
Recorded investment with allowance	0		0
Total recorded investment	8,398,000		8,712,000
Related allowance	0		0
Interest income on impaired loans recognized using an accrual method of accounting [Abstract]
Average recorded investment	8,555,000	9,130,000
Interest income recognized	0	0
Residential Mortgage [Member]
Impaired loans [Abstract]
Unpaid contractual principal balance	678,000		701,000
Recorded investment [Abstract]
Recorded investment with no allowance	135,000		138,000
Recorded investment with allowance	512,000		517,000
Total recorded investment	647,000		655,000
Related allowance	79,000		81,000
Interest income on impaired loans recognized using an accrual method of accounting [Abstract]
Average recorded investment	651,000	1,030,000
Interest income recognized	5,000	8,000
Residential Construction [Member]
Impaired loans [Abstract]
Unpaid contractual principal balance	0		241,000
Recorded investment [Abstract]
Recorded investment with no allowance	0		0
Recorded investment with allowance	0		241,000
Total recorded investment	0		241,000
Related allowance	0		10,000
Interest income on impaired loans recognized using an accrual method of accounting [Abstract]
Average recorded investment	120,000	453,000
Interest income recognized	0	4,000
Consumer [Member]
Impaired loans [Abstract]
Unpaid contractual principal balance	781,000		815,000
Recorded investment [Abstract]
Recorded investment with no allowance	717,000		659,000
Recorded investment with allowance	64,000		64,000
Total recorded investment	781,000		723,000
Related allowance	2,000		$ 2,000
Interest income on impaired loans recognized using an accrual method of accounting [Abstract]
Average recorded investment	752,000	753,000
Interest income recognized	$ 2,000	$ 1,000

LOANS, Troubled Debt Restructur

LOANS, Troubled Debt Restructurings (Details)	3 Months Ended
	Mar. 31, 2022USD ($)ContractLoan	Mar. 31, 2021ContractLoan	Dec. 31, 2021USD ($)
Troubled Debt Restructurings [Abstract]
Period of continuous payment for reclassification of nonaccrual loans to accruing status	6 months
TDR loans	$ 9,602,000		$ 10,103,000
Specific reserves for TDR loans	81,000		93,000
TDR loans performing in compliance with modified terms	9,431,000		$ 10,006,000
Commitments to advance existing TDR loans	$ 0
Loans Modified as TDR's [Abstract]
Number of contracts | Contract	1	0
Pre-modification outstanding recorded investment	$ 75,000
Post-modification outstanding recorded investment	$ 75,000
Number of TDR loans defaulted within 12 months of modification date | Loan	0	0
Consumer [Member]
Loans Modified as TDR's [Abstract]
Number of contracts | Contract	1
Pre-modification outstanding recorded investment	$ 75,000
Post-modification outstanding recorded investment	$ 75,000

LOANS, Financing Receivables by

LOANS, Financing Receivables by Credit Quality Indicator (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021	Mar. 31, 2021
Risk Rating by Loan Class [Abstract]
Loans	$ 888,694	$ 867,901	$ 962,442
Pass [Member]
Risk Rating by Loan Class [Abstract]
Loans	866,360	844,117
Special Mention [Member]
Risk Rating by Loan Class [Abstract]
Loans	8,849	8,900
Substandard [Member]
Risk Rating by Loan Class [Abstract]
Loans	13,485	14,884
Doubtful [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Loss [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Commercial [Member]
Risk Rating by Loan Class [Abstract]
Loans	123,462	135,894	293,148
Commercial [Member] | Pass [Member]
Risk Rating by Loan Class [Abstract]
Loans	119,903	132,425
Commercial [Member] | Special Mention [Member]
Risk Rating by Loan Class [Abstract]
Loans	2,376	2,376
Commercial [Member] | Substandard [Member]
Risk Rating by Loan Class [Abstract]
Loans	1,183	1,093
Commercial [Member] | Doubtful [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Commercial [Member] | Loss [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Commercial Real Estate [Member]
Risk Rating by Loan Class [Abstract]
Loans	562,684	526,924	496,848
Commercial Real Estate [Member] | Pass [Member]
Risk Rating by Loan Class [Abstract]
Loans	553,159	516,120
Commercial Real Estate [Member] | Special Mention [Member]
Risk Rating by Loan Class [Abstract]
Loans	6,473	6,524
Commercial Real Estate [Member] | Substandard [Member]
Risk Rating by Loan Class [Abstract]
Loans	3,052	4,280
Commercial Real Estate [Member] | Doubtful [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Commercial Real Estate [Member] | Loss [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Agriculture [Member]
Risk Rating by Loan Class [Abstract]
Loans	99,500	107,183	79,955
Agriculture [Member] | Pass [Member]
Risk Rating by Loan Class [Abstract]
Loans	91,102	98,471
Agriculture [Member] | Special Mention [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Agriculture [Member] | Substandard [Member]
Risk Rating by Loan Class [Abstract]
Loans	8,398	8,712
Agriculture [Member] | Doubtful [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Agriculture [Member] | Loss [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Residential Mortgage [Member]
Risk Rating by Loan Class [Abstract]
Loans	77,761	76,160	71,112
Residential Mortgage [Member] | Pass [Member]
Risk Rating by Loan Class [Abstract]
Loans	77,626	76,020
Residential Mortgage [Member] | Special Mention [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Residential Mortgage [Member] | Substandard [Member]
Risk Rating by Loan Class [Abstract]
Loans	135	140
Residential Mortgage [Member] | Doubtful [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Residential Mortgage [Member] | Loss [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Residential Construction [Member]
Risk Rating by Loan Class [Abstract]
Loans	7,749	4,482	2,662
Residential Construction [Member] | Pass [Member]
Risk Rating by Loan Class [Abstract]
Loans	7,749	4,482
Residential Construction [Member] | Special Mention [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Residential Construction [Member] | Substandard [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Residential Construction [Member] | Doubtful [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Residential Construction [Member] | Loss [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Consumer [Member]
Risk Rating by Loan Class [Abstract]
Loans	17,538	17,258	$ 18,717
Consumer [Member] | Pass [Member]
Risk Rating by Loan Class [Abstract]
Loans	16,821	16,599
Consumer [Member] | Special Mention [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Consumer [Member] | Substandard [Member]
Risk Rating by Loan Class [Abstract]
Loans	717	659
Consumer [Member] | Doubtful [Member]
Risk Rating by Loan Class [Abstract]
Loans	0	0
Consumer [Member] | Loss [Member]
Risk Rating by Loan Class [Abstract]
Loans	$ 0	$ 0

LOANS, Allowance for Loan Losse

LOANS, Allowance for Loan Losses (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Allowance for credit losses [Roll Forward]
Beginning balance	$ 13,952	$ 15,416
Provision for (reversal of) loan losses	300	300
Charge-offs	(4)	(16)
Recoveries	10	13
Net (charge-offs)/ recoveries	6	(3)
Ending balance	14,258	15,713
Period-end amount allocated to [Abstract]
Loans individually evaluated for impairment	81	4,124
Loans collectively evaluated for impairment	14,177	11,589
Ending balance	14,258	15,713
Loans individually and collectively evaluated for impairment [Abstract]
Loans individually evaluated for impairment	9,859	18,247	$ 11,019
Loans collectively evaluated for impairment	878,835	944,195	856,882
Ending balance	888,694	962,442	867,901
Commercial [Member]
Allowance for credit losses [Roll Forward]
Beginning balance	1,604	2,252
Provision for (reversal of) loan losses	136	(779)
Charge-offs	0	(13)
Recoveries	7	8
Net (charge-offs)/ recoveries	7	(5)
Ending balance	1,747	1,468
Period-end amount allocated to [Abstract]
Loans individually evaluated for impairment	0	0
Loans collectively evaluated for impairment	1,747	1,468
Ending balance	1,747	1,468
Loans individually and collectively evaluated for impairment [Abstract]
Loans individually evaluated for impairment	33	284	133
Loans collectively evaluated for impairment	123,429	292,864	135,761
Ending balance	123,462	293,148	135,894
Commercial Real Estate [Member]
Allowance for credit losses [Roll Forward]
Beginning balance	8,808	7,915
Provision for (reversal of) loan losses	572	(354)
Charge-offs	0	0
Recoveries	0	0
Net (charge-offs)/ recoveries	0	0
Ending balance	9,380	7,561
Period-end amount allocated to [Abstract]
Loans individually evaluated for impairment	0	0
Loans collectively evaluated for impairment	9,380	7,561
Ending balance	9,380	7,561
Loans individually and collectively evaluated for impairment [Abstract]
Loans individually evaluated for impairment	0	6,803	555
Loans collectively evaluated for impairment	562,684	490,045	526,369
Ending balance	562,684	496,848	526,924
Agriculture [Member]
Allowance for credit losses [Roll Forward]
Beginning balance	1,482	3,834
Provision for (reversal of) loan losses	125	1,337
Charge-offs	0	0
Recoveries	0	0
Net (charge-offs)/ recoveries	0	0
Ending balance	1,607	5,171
Period-end amount allocated to [Abstract]
Loans individually evaluated for impairment	0	3,964
Loans collectively evaluated for impairment	1,607	1,207
Ending balance	1,607	5,171
Loans individually and collectively evaluated for impairment [Abstract]
Loans individually evaluated for impairment	8,398	9,130	8,712
Loans collectively evaluated for impairment	91,102	70,825	98,471
Ending balance	99,500	79,955	107,183
Residential Mortgage [Member]
Allowance for credit losses [Roll Forward]
Beginning balance	742	635
Provision for (reversal of) loan losses	12	45
Charge-offs	0	0
Recoveries	0	0
Net (charge-offs)/ recoveries	0	0
Ending balance	754	680
Period-end amount allocated to [Abstract]
Loans individually evaluated for impairment	79	155
Loans collectively evaluated for impairment	675	525
Ending balance	754	680
Loans individually and collectively evaluated for impairment [Abstract]
Loans individually evaluated for impairment	647	1,024	655
Loans collectively evaluated for impairment	77,114	70,088	75,505
Ending balance	77,761	71,112	76,160
Residential Construction [Member]
Allowance for credit losses [Roll Forward]
Beginning balance	74	128
Provision for (reversal of) loan losses	61	(91)
Charge-offs	0	0
Recoveries	0	0
Net (charge-offs)/ recoveries	0	0
Ending balance	135	37
Period-end amount allocated to [Abstract]
Loans individually evaluated for impairment	0	4
Loans collectively evaluated for impairment	135	33
Ending balance	135	37
Loans individually and collectively evaluated for impairment [Abstract]
Loans individually evaluated for impairment	0	255	241
Loans collectively evaluated for impairment	7,749	2,407	4,241
Ending balance	7,749	2,662	4,482
Consumer [Member]
Allowance for credit losses [Roll Forward]
Beginning balance	167	214
Provision for (reversal of) loan losses	25	(30)
Charge-offs	(4)	(3)
Recoveries	3	5
Net (charge-offs)/ recoveries	(1)	2
Ending balance	191	186
Period-end amount allocated to [Abstract]
Loans individually evaluated for impairment	2	1
Loans collectively evaluated for impairment	189	185
Ending balance	191	186
Loans individually and collectively evaluated for impairment [Abstract]
Loans individually evaluated for impairment	781	751	723
Loans collectively evaluated for impairment	16,757	17,966	16,535
Ending balance	17,538	18,717	$ 17,258
Unallocated [Member]
Allowance for credit losses [Roll Forward]
Beginning balance	1,075	438
Provision for (reversal of) loan losses	(631)	172
Charge-offs	0	0
Recoveries	0	0
Net (charge-offs)/ recoveries	0	0
Ending balance	444	610
Period-end amount allocated to [Abstract]
Loans individually evaluated for impairment	0	0
Loans collectively evaluated for impairment	444	610
Ending balance	$ 444	$ 610

MORTGAGE OPERATIONS (Details)

MORTGAGE OPERATIONS (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
MORTGAGE OPERATIONS [Abstract]
Real estate mortgage loans serviced	$ 206,758		$ 208,169
Key assumptions used in measuring the fair value of mortgage servicing rights [Abstract]
Constant prepayment rate	10.16%		15.73%
Discount rate	9.50%		9.50%
Weighted average life	6 years 3 months 21 days		4 years 11 months 12 days
Mortgage servicing rights [Roll Forward]
Beginning balance	$ 1,807
Additions	60
Reductions	(82)
Ending balance	1,785		$ 1,807
Valuation allowance [Roll Forward]
Beginning balance	(276)
Additions	0
Reductions	276
Ending balance	0		(276)
Mortgage servicing rights, net of valuation allowance [Roll Forward]
Beginning balance	1,531
Additions	60
Reductions	194
Ending balance	1,785
Fair value of mortgage servicing rights assets	1,885		$ 1,531
Contractually specified servicing fees	$ 130	$ 134

FAIR VALUE MEASUREMENTS, Assets

FAIR VALUE MEASUREMENTS, Assets and Liabilities Measured at Fair Value (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	$ 645,155	$ 632,213
Assets Recorded at Fair Value on a Non-Recurring Basis [Abstract]
Mortgage servicing rights	1,885	1,531
Recurring [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	645,155	632,213
Liabilities Recorded at Fair Value [Abstract]
Liabilities	0	0
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	105,531	86,211
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	539,624	546,002
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	0	0
Non-recurring [Member]
Assets Recorded at Fair Value on a Non-Recurring Basis [Abstract]
Impaired loans		33
Mortgage servicing rights		1,531
Total assets at fair value	0	1,564
Liabilities Recorded at Fair Value [Abstract]
Liabilities	0	0
Non-recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets Recorded at Fair Value on a Non-Recurring Basis [Abstract]
Impaired loans		0
Mortgage servicing rights		0
Total assets at fair value		0
Non-recurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets Recorded at Fair Value on a Non-Recurring Basis [Abstract]
Impaired loans		0
Mortgage servicing rights		0
Total assets at fair value		0
Non-recurring [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets Recorded at Fair Value on a Non-Recurring Basis [Abstract]
Impaired loans		33
Mortgage servicing rights		1,531
Total assets at fair value		1,564
U.S. Treasury Securities [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	105,531	86,211
U.S. Treasury Securities [Member] | Recurring [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	105,531	86,211
U.S. Treasury Securities [Member] | Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	105,531	86,211
U.S. Treasury Securities [Member] | Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	0	0
U.S. Treasury Securities [Member] | Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	0	0
Securities of U.S. Government Agencies and Corporations [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	105,302	102,610
Securities of U.S. Government Agencies and Corporations [Member] | Recurring [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	105,302	102,610
Securities of U.S. Government Agencies and Corporations [Member] | Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	0	0
Securities of U.S. Government Agencies and Corporations [Member] | Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	105,302	102,610
Securities of U.S. Government Agencies and Corporations [Member] | Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	0	0
Obligations of States and Political Subdivisions [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	43,121	45,985
Obligations of States and Political Subdivisions [Member] | Recurring [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	43,121	45,985
Obligations of States and Political Subdivisions [Member] | Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	0	0
Obligations of States and Political Subdivisions [Member] | Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	43,121	45,985
Obligations of States and Political Subdivisions [Member] | Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	0	0
Collateralized Mortgage Obligations [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	120,576	135,652
Collateralized Mortgage Obligations [Member] | Recurring [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	120,576	135,652
Collateralized Mortgage Obligations [Member] | Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	0	0
Collateralized Mortgage Obligations [Member] | Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	120,576	135,652
Collateralized Mortgage Obligations [Member] | Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	0	0
Mortgage-backed Securities [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	270,625	261,755
Mortgage-backed Securities [Member] | Recurring [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	270,625	261,755
Mortgage-backed Securities [Member] | Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	0	0
Mortgage-backed Securities [Member] | Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	270,625	261,755
Mortgage-backed Securities [Member] | Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets Recorded at Fair Value on a Recurring Basis [Abstract]
Total investments at fair value	$ 0	$ 0

FAIR VALUE MEASUREMENTS, Key Me

FAIR VALUE MEASUREMENTS, Key Methods and Assumptions Used (Details)	Dec. 31, 2021
Collateral, Market, Income, Enterprise, Liquidation, and Discounted Cash Flows [Member] | Selling Costs [Member] | Minimum [Member]
Key methods and assumptions used in measuring fair value [Abstract]
Impaired loans, measurement input	0.06
Collateral, Market, Income, Enterprise, Liquidation, and Discounted Cash Flows [Member] | Selling Costs [Member] | Maximum [Member]
Key methods and assumptions used in measuring fair value [Abstract]
Impaired loans, measurement input	0.10
Discounted Cash Flows [Member] | Weighted Average Discount Rate Factor [Member]
Key methods and assumptions used in measuring fair value [Abstract]
Mortgage servicing rights, measurement input	0.0950
Discounted Cash Flows [Member] | Weighted Average Constant Prepayment Rate [Member]
Key methods and assumptions used in measuring fair value [Abstract]
Mortgage servicing rights, measurement input	0.1573

FAIR VALUE MEASUREMENTS, Fair V

FAIR VALUE MEASUREMENTS, Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Loans receivable [Abstract]
Mortgage servicing rights	$ 1,885	$ 1,531
Carrying Amount [Member] | Level 1 [Member]
Financial assets [Abstract]
Cash and cash equivalents	274,750	345,929
Carrying Amount [Member] | Level 2 [Member]
Financial assets [Abstract]
Certificates of deposit	11,067	13,272
Loans receivable [Abstract]
Loans held-for-sale	350	1,063
Interest receivable	4,938	4,571
Financial liabilities [Abstract]
Interest payable	59	42
Carrying Amount [Member] | Level 3 [Member]
Financial assets [Abstract]
Stock in Federal Home Loan Bank and other equity securities	7,097	7,097
Loans receivable [Abstract]
Net loans	874,005	852,717
Mortgage servicing rights	1,785	1,531
Financial liabilities [Abstract]
Deposits	1,715,996	1,728,302
Fair Value [Member] | Level 1 [Member]
Financial assets [Abstract]
Cash and cash equivalents	274,750	345,929
Fair Value [Member] | Level 2 [Member]
Financial assets [Abstract]
Certificates of deposit	10,988	13,443
Loans receivable [Abstract]
Loans held-for-sale	345	1,089
Interest receivable	4,938	4,571
Financial liabilities [Abstract]
Interest payable	59	42
Fair Value [Member] | Level 3 [Member]
Financial assets [Abstract]
Stock in Federal Home Loan Bank and other equity securities	7,097	7,097
Loans receivable [Abstract]
Net loans	847,164	830,967
Mortgage servicing rights	1,885	1,531
Financial liabilities [Abstract]
Deposits	$ 1,553,130	$ 1,678,658

FINANCIAL INSTRUMENTS WITH OF_3

FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2022	Dec. 31, 2021
Financial Instruments with Off-Balance Sheet Risk [Abstract]
Off-balance sheet credit risks	$ 210,513	$ 196,679
Undisbursed Loan Commitments [Member]
Financial Instruments with Off-Balance Sheet Risk [Abstract]
Off-balance sheet credit risks	208,071	192,874
Standby Letters of Credit [Member]
Financial Instruments with Off-Balance Sheet Risk [Abstract]
Off-balance sheet credit risks	1,812	2,305
Financial Standby Letter of Credit [Member]
Financial Instruments with Off-Balance Sheet Risk [Abstract]
Off-balance sheet credit risks	0	0
Draw on outstanding letters of credit	0	0
Performance Standby Letters of Credit [Member]
Financial Instruments with Off-Balance Sheet Risk [Abstract]
Off-balance sheet credit risks	1,812	2,305
Draw on outstanding letters of credit	0	0
Commitments to Sell Loans [Member]
Financial Instruments with Off-Balance Sheet Risk [Abstract]
Off-balance sheet credit risks	630	1,500
Reserve for Off-balance Sheet Activity [Member]
Financial Instruments with Off-Balance Sheet Risk [Abstract]
Reserve for unfunded commitments	700	650
Derivatives [Member]
Financial Instruments with Off-Balance Sheet Risk [Abstract]
Off-balance sheet credit risks	$ 0	$ 0

STOCK PLANS, Dividends (Details

STOCK PLANS, Dividends (Details)	Jan. 27, 2022	Mar. 31, 2022
Dividends [Abstract]
Stock dividend percentage	5.00%
Dividends, date declared		Jan. 27, 2022
Dividends, date to be paid		Mar. 25, 2022
Dividends, date of record		Feb. 28, 2022

STOCK PLANS, Stock Options (Det

STOCK PLANS, Stock Options (Details) - Stock Options [Member] - USD ($)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Stock options, number of shares [Roll Forward]
Balance, beginning of period (in shares)	627,814
Granted (in shares)	42,965
Expired (in shares)	0
Cancelled / Forfeited (in shares)	0
Exercised (in shares)	(18,524)
Balance, end of period (in shares)	652,255
Exercisable (vested) at end of period (in shares)	488,666
Stock options, weighted average exercise price [Roll Forward]
Balance, beginning of period (in dollars per share)	$ 8.58
Granted (in dollars per share)	10.25
Expired (in dollars per share)	0
Cancelled / Forfeited (in dollars per share)	0
Exercised (in dollars per share)	3.51
Balance, end of period (in dollars per share)	8.83
Exercisable (vested) at end of period (in dollars per share)	$ 8.41
Stock options, additional disclosures [Abstract]
Outstanding, aggregate intrinsic value	$ 939,896
Exercisable (vested), aggregate intrinsic value	$ 916,565
Outstanding, weighted average remaining contractual term	6 years 10 days
Exercisable (vested), weighted average remaining contractual term	5 years 3 months 7 days
Intrinsic value of options exercised	$ 125,000	$ 63,000
Fair value of awards vested	142,000	$ 182,000
Unrecognized compensation related to non-vested stock options	$ 250,000
Unrecognized compensation cost, period for recognition	2 years 7 months 2 days
Recognized compensation cost	$ 28,000

STOCK PLANS, Weighted Average A

STOCK PLANS, Weighted Average Assumptions Used in Valuing Stock Options (Details) - Stock Options [Member]	3 Months Ended
	Mar. 31, 2022
Weighted average assumptions used in valuing stock options [Abstract]
Risk free interest rate	2.54%
Expected dividend yield	0.00%
Expected life	5 years
Expected price volatility	19.70%

STOCK PLANS, Restricted Stock (

STOCK PLANS, Restricted Stock (Details) - Restricted Stock [Member]	3 Months Ended
	Mar. 31, 2022USD ($)$ / sharesshares
Non-vested restricted stock awards, number of shares [Roll Forward]
Outstanding at beginning of period (in shares) | shares	167,397
Granted (in shares) | shares	70,973
Cancelled / Forfeited (in shares) | shares	0
Exercised / Released / Vested (in shares) | shares	(30,145)
Outstanding at end of period (in shares) | shares	208,225
Non-vested restricted stock awards, weighted average grant-date fair value [Roll Forward]
Outstanding at beginning of period (in dollars per share) | $ / shares	$ 9.97
Granted (in dollars per share) | $ / shares	10.33
Cancelled/Forfeited (in dollars per share) | $ / shares	0
Exercised / Released / Vested (in dollars per share) | $ / shares	10.68
Outstanding at end of period (in dollars per share) | $ / shares	$ 9.99
Non-vested restricted stock awards, additional disclosures [Abstract]
Outstanding, aggregate intrinsic value | $	$ 2,123,895
Outstanding, weighted average remaining contractual term	3 years 1 month 9 days
Unrecognized compensation related to restricted stock | $	$ 1,352,000
Unrecognized compensation cost, period for recognition	3 years 1 month 9 days
Recognized compensation cost | $	$ 128,000

STOCK PLANS, Employee Stock Pur

STOCK PLANS, Employee Stock Purchase Plan ("ESPP") (Details) - USD ($)	Jan. 27, 2022	Mar. 31, 2022
Employee Stock Purchase Plan [Abstract]
Stock dividend percentage	5.00%
Dividends, date declared		Jan. 27, 2022
Dividends, date to be paid		Mar. 25, 2022
Dividends, date of record		Feb. 28, 2022
Employee Stock Purchase Plan [Member]
Employee Stock Purchase Plan [Abstract]
Unrecognized compensation cost		$ 26,000
Weighted average period to recognize the unrecognized compensation		9 months
Recognized compensation cost		$ 8,000
Weighted average fair value option at issuance date (in dollars per share)		$ 2.50
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
Risk free interest rate		0.21%
Expected dividend yield		0.00%
Expected life		1 year
Expected price volatility		25.73%
2016 Amended Employee Stock Purchase Plan [Member]
Employee Stock Purchase Plan [Abstract]
Shares authorized for issuance under plan (in shares)		341,820
Purchase price of stock in percentage for participation		85.00%
2016 Amended Employee Stock Purchase Plan [Member] | Minimum [Member]
Employee Stock Purchase Plan [Abstract]
Eligibility employment period required for plan participation		90 days
2016 Amended Employee Stock Purchase Plan [Member] | Maximum [Member]
Employee Stock Purchase Plan [Abstract]
Plan participation period		27 months
Percentage of employee compensation that can be withheld to purchase common stock		10.00%

ACCUMULATED OTHER COMPREHENSI_3

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Activity in accumulated other comprehensive income (loss) [Roll Forward]
Balance	$ 150,911	$ 150,657
Current period other comprehensive loss	(19,963)	(4,172)
Balance	134,130	149,799
Accumulated Other Comprehensive Income (Loss) [Member]
Activity in accumulated other comprehensive income (loss) [Roll Forward]
Balance	(4,197)	5,038
Current period other comprehensive loss	(19,963)	(4,172)
Balance	(24,160)	866
Unrealized Gains (Losses) on Securities [Member]
Activity in accumulated other comprehensive income (loss) [Roll Forward]
Balance	(2,764)	7,196
Current period other comprehensive loss	(19,963)	(4,172)
Balance	(22,727)	3,024
Officers' Retirement Plan [Member]
Activity in accumulated other comprehensive income (loss) [Roll Forward]
Balance	(1,420)	(2,105)
Current period other comprehensive loss	0	0
Balance	(1,420)	(2,105)
Directors' Retirement Plan [Member]
Activity in accumulated other comprehensive income (loss) [Roll Forward]
Balance	(13)	(53)
Current period other comprehensive loss	0	0
Balance	$ (13)	$ (53)

OUTSTANDING SHARES AND EARNIN_3

OUTSTANDING SHARES AND EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	Jan. 27, 2022	Mar. 31, 2022	Mar. 31, 2021
OUTSTANDING SHARES AND EARNINGS PER SHARE [Abstract]
Stock dividend percentage	5.00%
Dividends, date declared		Jan. 27, 2022
Dividends, date to be paid		Mar. 25, 2022
Dividends, date of record		Feb. 28, 2022
Basic earnings per share [Abstract]
Net income		$ 3,041	$ 3,178
Weighted average common shares outstanding (in shares)		13,682,699	14,150,388
Basic EPS (in dollars per share)		$ 0.22	$ 0.22
Diluted earnings per share [Abstract]
Net income		$ 3,041	$ 3,178
Weighted average common shares outstanding (in shares)		13,682,699	14,150,388
Effect of dilutive shares (in shares)		174,543	160,583
Adjusted weighted average common shares outstanding (in shares)		13,857,242	14,310,971
Diluted EPS (in dollars per share)		$ 0.22	$ 0.22
Stock Options [Member]
Antidilutive Securities [Abstract]
Antidilutive securities excluded from EPS computation (in shares)		298,338	361,415
Restricted Stock [Member]
Antidilutive Securities [Abstract]
Antidilutive securities excluded from EPS computation (in shares)		34,698	42,336

LEASES (Details)

LEASES (Details)	3 Months Ended
	Mar. 31, 2022USD ($)Location	Mar. 31, 2021USD ($)	Dec. 31, 2021USD ($)
Lessee, Operating Lease, Description [Abstract]
Number of branch and administrative locations leased | Location	11
Lease right-of-use assets	$ 5,566,000		$ 5,138,000
Lease liabilities	6,109,000		5,664,000
Lease expenses	294,000	$ 293,000
Maturities of Remaining Lease Liabilities [Abstract]
2022 (remaining 9 months)	879,000
2023	1,063,000
2024	977,000
2025	907,000
2026	663,000
2027 and thereafter	2,131,000
Total lease payments	6,620,000
Less: interest	(511,000)
Present value of lease liabilities	6,109,000		$ 5,664,000
Cash paid for amounts included in the measurement of lease liabilities [Abstract]
Operating cash flows from operating leases	299,000	290,000
Right-of-use assets obtained in exchange for new operating lease liabilities	$ 707,000	$ 0
Weighted Average Operating Lease Term and Discount Rate [Abstract]
Weighted-average remaining lease term - operating leases, in years	6 years 8 months 1 day		6 years 3 months 25 days
Weighted-average discount rate - operating leases	2.32%		2.36%
Minimum [Member]
Lessee, Operating Lease, Description [Abstract]
Renewal lease term	3 years
Maximum [Member]
Lessee, Operating Lease, Description [Abstract]
Renewal lease term	10 years