Bridgewater Bancshares (BWB) 10-K 12 Mar 20 2019 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2019	Feb. 24, 2020	Jun. 28, 2019
Document and Entity Information
Document Type	10-K
Document Period End Date	Dec. 31, 2019
Entity Registrant Name	Bridgewater Bancshares Inc
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Interactive Data Current	Yes
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		28,973,572
Entity Public Float			$ 273,108,652
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	FY
Entity Central Index Key	0001341317
Amendment Flag	false
Entity Ex Transition Period	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
ASSETS
Cash and Cash Equivalents	$ 31,935	$ 28,444
Bank-Owned Certificates of Deposit	2,654	3,305
Securities Available for Sale, at Fair Value	289,877	253,378
Loans, Net of Allowance for Loan Losses of $22,526 at December 31, 2019 and $20,031 at December 31, 2018	1,884,000	1,640,385
Federal Home Loan Bank (FHLB) Stock, at Cost	7,824	7,614
Premises and Equipment, Net	27,628	13,074
Accrued Interest	6,775	6,589
Goodwill	2,626	2,626
Other Intangible Assets, Net	861	1,052
Other Assets	14,650	17,274
Total Assets	2,268,830	1,973,741
Deposits:
Noninterest Bearing	447,509	369,203
Interest Bearing	1,375,801	1,191,731
Total Deposits	1,823,310	1,560,934
Federal Funds Purchased		18,000
Notes Payable	13,000	15,000
FHLB Advances	136,500	124,000
Subordinated Debentures, Net of Issuance Costs	24,733	24,630
Accrued Interest Payable	1,982	1,806
Other Liabilities	24,511	8,373
Total Liabilities	2,024,036	1,752,743
SHAREHOLDERS' EQUITY
Preferred Stock- $0.01 par value Authorized 10,000,000; None Issued and Outstanding at December 31, 2019 and December 31, 2018
Common Stock- $0.01 par value Common Stock - Authorized 75,000,000; Issued and Outstanding 28,973,572 at December 31, 2019 and 30,097,274 at December 31, 2018	290	301
Additional Paid-In Capital	112,093	126,031
Retained Earnings	127,637	96,234
Accumulated Other Comprehensive Income (Loss)	4,774	(1,568)
Total Shareholders' Equity	244,794	220,998
Total Liabilities and Shareholders' Equity	$ 2,268,830	$ 1,973,741

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Consolidated Balance Sheets
Allowance of loan loss	$ 22,526	$ 20,031
Preferred shares, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common shares, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	75,000,000	75,000,000
Common stock, shares issued (in shares)	28,973,572	30,097,274
Common stock, shares outstanding (in shares)	28,973,572	30,097,274

Consolidated Statements of Inco

Consolidated Statements of Income - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
INTEREST INCOME
Loans, Including Fees	$ 94,852	$ 78,033	$ 60,024
Investment Securities	7,773	6,694	5,981
Other	1,153	499	341
Total Interest Income	103,778	85,226	66,346
INTEREST EXPENSE
Deposits	23,996	15,972	9,719
Notes Payable	501	594	656
FHLB Advances	3,407	1,718	880
Subordinated Debentures	1,556	1,568	749
Federal Funds Purchased	186	636	169
Total Interest Expense	29,646	20,488	12,173
NET INTEREST INCOME	74,132	64,738	54,173
Provision for Loan Losses	2,700	3,575	4,175
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES	71,432	61,163	49,998
NONINTEREST INCOME
Customer Service Fees	760	745	660
Net Gain (Loss) on Sales of Available for Sale Securities	516	(125)	(250)
Net Gain (Loss) on Sales of Foreclosed Assets	69	(225)	356
Other Income	2,481	2,148	1,770
Total Noninterest Income	3,826	2,543	2,536
NONINTEREST EXPENSE
Salaries and Employee Benefits	22,076	18,620	14,051
Occupancy and Equipment	3,085	2,351	2,192
Other Expense	11,771	10,591	9,253
Total Noninterest Expense	36,932	31,562	25,496
INCOME BEFORE INCOME TAXES	38,326	32,144	27,038
Provision for Income Taxes	6,923	5,224	10,149
NET INCOME	$ 31,403	$ 26,920	$ 16,889
EARNINGS PER SHARE
Basic (in dollars per share)	$ 1.07	$ 0.93	$ 0.69
Diluted (in dollars per share)	$ 1.05	$ 0.91	$ 0.68

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Consolidated Statements of Comprehensive Income
Net Income	$ 8,571	$ 7,805	$ 8,009	$ 7,018	$ 7,761	$ 6,463	$ 6,746	$ 5,950	$ 31,403	$ 26,920	$ 16,889
Other Comprehensive Income (Loss):
Unrealized Gains (Losses) on Available for Sale Securities									9,514	(3,804)	6,354
Unrealized Gains (Losses) on Cash Flow Hedges									(962)	9	121
Reclassification Adjustment for (Gains) Losses Realized in Income									(525)	125	250
Income Tax Impact									(1,685)	824	(2,366)
Total Other Comprehensive Income (Loss), Net of Tax									6,342	(2,846)	4,359
Comprehensive Income									$ 37,745	$ 24,074	$ 21,248

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands	Common StockVoting Common Stock	Common StockNonvoting Common Stock	Additional Paid In Capital	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Total
Balance at the beginning at Dec. 31, 2016	$ 207	$ 38	$ 65,777	$ 52,619	$ (3,275)	$ 115,366
Balance at the beginning (in shares) at Dec. 31, 2016	20,744,001	3,845,860
Stock-based Compensation			368			368
Comprehensive Income (Loss)				16,889	4,359	21,248
Stock Options Exercised	$ 1		179			180
Stock Options Exercised (in shares)	90,000
Balance at the end at Dec. 31, 2017	$ 208	$ 38	66,324	69,508	1,084	137,162
Balance at the end (in shares) at Dec. 31, 2017	20,834,001	3,845,860
Stock-based Compensation			799			799
Comprehensive Income (Loss)				26,920	(2,846)	24,074
Issuance of Common Stock, Net of Issuance Costs	$ 54		58,803			58,857
Issuance of Common Stock, Net of Issuance Costs (in shares)	5,379,513
Conversion of Non-voting Stock to Voting Stock	$ 38	$ (38)
Conversion of Non-voting Stock to Voting Stock (in shares)	3,845,860	(3,845,860)
Stock Options Exercised	$ 1		105			$ 106
Stock Options Exercised (in shares)	37,900					37,900
Reclassification of the Income Tax Effects of the Tax Cuts and Jobs Act to Retained Earnings				(194)	194
Balance at the end at Dec. 31, 2018	$ 301		126,031	96,234	(1,568)	$ 220,998
Balance at the end (in shares) at Dec. 31, 2018	30,097,274
Stock-based Compensation			752			752
Comprehensive Income (Loss)				31,403	6,342	37,745
Stock Options Exercised	$ 1		257			$ 258
Stock Options Exercised (in shares)	74,850					74,850
Stock Repurchases	$ (13)		(14,946)			$ (14,959)
Stock Repurchases (in shares)	(1,331,512)
Issuance of Restricted Stock Awards	$ 1		(1)
Issuance of Restricted Stock Awards (in shares)	132,960
Balance at the end at Dec. 31, 2019	$ 290		$ 112,093	$ 127,637	$ 4,774	$ 244,794
Balance at the end (in shares) at Dec. 31, 2019	28,973,572

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income	$ 31,403	$ 26,920	$ 16,889
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities
Net Amortization on Securities Available for Sale	2,523	3,028	2,779
Net (Gain) Loss on Sales of Securities Available for Sale	(516)	125	250
Provision for Loan Losses	2,700	3,575	4,175
Depreciation and Amortization of Premises and Equipment	1,008	761	694
Loss on Sale of Premises and Equipment	9
Amortization of Other Intangible Assets	191	191	191
Amortization of Subordinated Debt Issuance Costs	103	103	43
Net (Gain) Loss on Sale of Foreclosed Assets	(69)	225	(356)
Stock-based Compensation	752	799	368
Deferred Income Taxes	(747)	(1,298)	(2,062)
Changes in Operating Assets and Liabilities:
Accrued Interest Receivable and Other Assets	529	(7,627)	(122)
Accrued Interest Payable and Other Liabilities	1,641	2,606	2,053
Net Cash Provided by Operating Activities	39,527	29,408	24,902
CASH FLOWS FROM INVESTING ACTIVITIES
(Increase) Decrease in Bank-owned Certificates of Deposit	651	(233)	1,627
Proceeds from Sales of Securities Available for Sale	42,864	24,684	36,209
Proceeds from Maturities, Paydowns, Payups and Calls of Securities Available for Sale	41,118	22,965	23,411
Purchases of Securities Available for Sale	(98,817)	(78,368)	(68,453)
Proceeds from Sale of Premises and Equipment	1
Net Increase in Loans	(247,573)	(317,453)	(346,231)
Net Increase in FHLB Stock	(210)	(2,467)	(157)
Purchases of Premises and Equipment	(15,572)	(3,720)	(1,235)
Proceeds from Sales of Foreclosed Assets	1,327	356	4,647
Net Cash Used in Investing Activities	(276,211)	(354,236)	(350,182)
CASH FLOWS FROM FINANCING ACTIVITIES
Increase in Deposits	262,376	221,584	315,842
Net Decrease in Federal Funds Purchased	(18,000)	(5,000)	(21,000)
Principal Payments on Notes Payable	(2,000)	(2,000)	(2,000)
Proceeds from FHLB Advances	42,500	70,000	29,000
Principal Payments on FHLB Advances	(30,000)	(14,000)	(14,000)
Proceeds from Issuance of Subordinated Debentures			24,484
Stock Options Exercised	258	106	180
Issuance of Common Stock		58,857
Stock Repurchases	(14,959)
Net Cash Provided by Financing Activities	240,175	329,547	332,506
NET CHANGE IN CASH AND CASH EQUIVALENTS	3,491	4,719	7,226
Cash and Cash Equivalents Beginning	28,444	23,725	16,499
Cash and Cash Equivalents Ending	31,935	28,444	23,725
SUPPLEMENTAL CASH FLOW DISCLOSURE
Cash Paid for Interest	29,367	19,987	11,334
Cash Paid for Income Taxes	7,625	$ 7,865	12,110
Loans Transferred to Foreclosed Assets	1,258		$ 689
Investment Securities Purchased but Not Settled	$ 14,673

Description of the Business and

Description of the Business and Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2019
Description of the Business and Summary of Significant Accounting Policies
Description of the Business and Summary of Significant Accounting Policies	Note 1: Description of the Business and Summary of Significant Accounting Policies Organization Bridgewater Bancshares, Inc. (the “Company”) is a financial holding company whose operations consist of the ownership of its wholly-owned subsidiaries, Bridgewater Bank (the “Bank”) and Bridgewater Risk Management, Inc. The Bank commenced operations in 2005 and provides retail and commercial loan and deposit services, principally to customers within the Minneapolis-St. Paul-Bloomington, MN-WI Metropolitan Statistical Area. In 2008, the Bank formed BWB Holdings, LLC, a wholly owned subsidiary of the Bank, for the purpose of holding repossessed property. In 2018, the Bank formed Bridgewater Investment Management, Inc., a wholly owned subsidiary of the Bank, for the purpose of holding certain municipal securities and to engage in municipal lending activities. Bridgewater Risk Management, Inc. was incorporated in December 2016 as a wholly-owned insurance company subsidiary of the Company. It insures the Company and its subsidiaries against certain risks unique to the operations of the Company and for which insurance may not be currently available or economically feasible in today’s insurance marketplace. Bridgewater Risk Management pools resources with several other insurance company subsidiaries of financial institutions to spread a limited amount of risk among themselves. Principles of Consolidation The consolidated financial statements include the amounts of the Company, the Bank, with locations in Bloomington, Greenwood, Minneapolis (2), St. Louis Park, Orono, and St. Paul, Minnesota, BWB Holdings, LLC, Bridgewater Investment Management, Inc., and Bridgewater Risk Management, Inc. All significant intercompany balances and transactions have been eliminated in consolidation. Use of Estimates in Preparation of Financial Statements The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term include the valuation of securities, determination of the allowance for loan losses, calculation of deferred tax assets, and investment securities impairment. Emerging Growth Company The Company qualifies as an “emerging growth company” under the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”), and may take advantage of certain exemptions from various reporting requirements that are applicable to public companies that are not emerging growth companies, including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act, reduced disclosure obligations regarding executive compensation in periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved. In addition, even if the Company complies with the greater obligations of public companies that are not emerging growth companies, the Company may avail itself of the reduced requirements applicable to emerging growth companies from time to time in the future, so long as the Company is an emerging growth company. The Company will continue to be an emerging growth company until the earliest to occur of: (1) the end of the fiscal year following the fifth anniversary of the date of the first sale of common equity securities under the Company’s Registration Statement on Form S-1, which was declared effective by the SEC on March 13, 2018; (2) the last day of the fiscal year in which the Company has $1.07 billion or more in annual revenues; (3) the date on which the Company is deemed to be a “large accelerated filer” under the Securities Exchange Act of 1934, as amended, or the Exchange Act; or (4) the date on which the Company has, during the previous three-year period, issued publicly or privately, more than $1.0 billion in non-convertible debt securities. Management cannot predict if investors will find the Company’s common stock less attractive because it will rely on these exemptions. If some investors find the Company’s common stock less attractive as a result, there may be a less active trading market for its common stock and the Company’s stock price may be more volatile. Section 107 of the JOBS Act provides that an emerging growth company can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act of 1933 for complying with new or revised accounting standards. As an emerging growth company, the Company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. The Company elected to take advantage of the benefits of this extended transition period. Cash and Cash Equivalents For purpose of the consolidated statements of cash flows, cash and cash equivalents include cash, both interest bearing and noninterest bearing balances due from banks and federal funds sold, all of which mature within 90 days. Cash flows from loans and deposits are reported net. Bank-Owned Certificates of Deposit Bank -owned certificates of deposit mature within five years and are carried at cost. Securities Available for Sale Debt securities are classified as available for sale and are carried at fair value with unrealized gains and losses reported in other comprehensive income (loss). Realized gains and losses on securities available for sale are included in noninterest income and, when applicable, are reported as a reclassification adjustment, net of tax, in other comprehensive income (loss). Gains and losses on sales of securities are determined using the specific identification method on the trade date. The amortization of premiums and accretion of discounts are recognized in interest income using methods approximating the interest method over the period to maturity. Declines in the fair value of individual available for sale securities below their cost that are other than temporary result in write-downs of the individual securities to the fair value. The Company monitors the investment security portfolio for impairment on an individual security basis and has a process in place to identify securities that could potentially have a credit impairment that is other than temporary. This process involves analyzing the length of time and the extent to which the fair value has been less than the amortized cost basis, the market liquidity for the security, the financial condition and near-term prospects of the issuer, expected cash flows, and the Company’s intent and ability to hold the investment for a period of time sufficient to recover the temporary loss. The ability to hold is determined by whether it is more likely than not that the Company will be required to sell the security before its anticipated recovery. A decline in value due to a credit event that is considered other than temporary is recorded as a loss in noninterest income. Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off generally are reported at their outstanding unpaid balances adjusted for charge-offs, the allowance for loan losses, any deferred fees or costs on originated loans, and premiums or discounts on purchased loans. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, as well as premiums and discounts, are deferred and recognized as an adjustment of the related loan yield using the interest method. Amortization of deferred loan fees is discontinued when a loan is placed on nonaccrual status. The accrual of interest on all loans is discounted if the loan is 90 days past due unless the credit is well-secured and in process of collection. Past due status is based on contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued, but not collected for loans that are placed on nonaccrual or charged-off is reversed against interest income and amortization of related deferred loan fees or costs is suspended. The interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. The cash-basis is used when a determination has been made that the principal and interest of the loan is collectible. If collectability of the principal and interest is in doubt, payments are applied to loan principal. The determination of ultimate collectability is supported by a current, well documented credit evaluation of the borrower’s financial condition and prospects for repayment, including consideration of the borrower’s sustained historical repayment performance and other relevant factors. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current, the borrower has demonstrated a period of sustained performance, and future payments are reasonably assured. A sustained period of repayment performance generally would be a minimum of six months. Allowance for Loan Losses The allowance for loan losses (the “allowance”) is an estimate of loan losses inherent in the Company’s loan portfolio. The allowance is established through a provision for loan losses which is charged to expense. Additions to the allowance are expected to maintain the adequacy of the total allowance after loan losses and loan growth. Loan losses are charged-off against the allowance when the Company determines all or a portion of the loan balance to be uncollectible. Cash received on previously charged-off amounts is recorded as a recovery to the allowance. The allowance consists of three primary components, general reserves, specific reserves related to impaired loans, and unallocated reserves. The general component covers nonimpaired loans and is based on historical losses adjusted for current factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company over the most recent five years. This actual loss experience is adjusted for economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; trends in volume and terms of loans; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and effects of change in credit concentrations. These factors are inherently subjective and are driven by the repayment risk associated with each portfolio segment. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Loans determined to be impaired are individually evaluated for impairment. An impaired loan is measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate, or, as a practical expedient, at the loan’s observable market price, or the fair value of the underlying collateral. The fair value of collateral, reduced by costs to sell on a discounted basis, is used if a loan is collateral dependent. A loan is collateral dependent if the repayment is expected to be provided solely by the underlying collateral. Allowance allocations other than general and specific reserves are included in the unallocated portion. While allocations are made for loans and leases based upon historical loss analysis, the unallocated portion is designed to cover the uncertainty of how current economic conditions and other uncertainties may impact the existing loan portfolio. Factors to consider include global, national and state economic conditions such as changes in unemployment rates and productivity, geopolitical tensions, monetary and fiscal policy uncertainty, political gridlock, and real estate market trends. The unallocated reserve addresses inherent probable losses not included elsewhere in the allowance for loan losses. Under certain circumstances, the Company will provide borrowers relief through loan restructurings. A restructuring of debt constitutes a troubled debt restructuring (TDR) if the Company, for economic or legal reasons related to the borrower’s financial difficulties, grants a concession to the borrower that it would not otherwise consider. Restructured loans typically present an elevated level of credit risk as the borrowers are not able to perform according to the original contractual terms. Loans that are reported as TDRs are considered impaired and measured for impairment as described above in the calendar year of the restructuring. In subsequent years, a restructured loan may cease being classified as impaired if the loan was modified at a market rate and is performing according to the modified terms. TDR concessions can include reduction of interest rates, extension of maturity dates, forgiveness of principal or interest due, or acceptance of other assets in full or partial satisfaction of the debt. Restructured loans can involve loans remaining on nonaccrual, moving to nonaccrual, or continuing on accrual status, depending on the individual facts and circumstances of the borrower. Nonaccrual restructured loans are included with other nonaccrual loans. The Company assigns risk ratings to all loans and periodically performs detailed internal reviews of all such loans over a certain threshold to identify credit risks and to assess the overall collectability of the portfolio. These risk ratings are also subject to examination by the Company’s regulators. During the internal reviews, management monitors and analyzes the financial condition of borrowers and guarantors, trends in the industries in which the borrowers operate, and the fair values of collateral securing the loans. These credit quality indicators are used to assign a risk rating to each individual loan. The risk ratings can be grouped into five major categories defined as follows: Pass: A pass loan is a credit with no known or existing potential weaknesses deserving of management’s close attention. Watch: Loans classified as watch have a potential weakness that deserves management’s close attention. If left uncorrected, this potential weakness may result in deterioration of the repayment prospects for the loan or of the Company’s credit position at some future date. Watch loans are not adversely classified and do not expose the Company to sufficient risk to warrant adverse classification. Substandard: Loans classified as substandard are not adequately protected by the current net worth and paying capacity of the borrower or of the collateral pledged, if any. Loans classified as substandard have a well-defined weakness or weaknesses that jeopardize the repayment of the debt. Well defined weaknesses include a borrower’s lack of marketability, inadequate cash flow or collateral support, failure to complete construction on time, or the failure to fulfill economic expectations. They are characterized by the distinct possibility that the Company will sustain loss if the deficiencies are not corrected. Doubtful: Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or repayment in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Loss : Loans classified as loss are considered uncollectible and charged-off immediately. The Company maintains a separate general valuation allowance for each portfolio segment. These portfolio segments include commercial, construction and land development, 1-4 family mortgage, multifamily, CRE owner occupied, CRE non-owner occupied, and consumer and other with risk characteristics described as follows: Commercial: Commercial loans generally are loans to sole proprietorships, partnerships, corporations, and other business enterprises to finance accounts receivable or inventory, capital assets, or for other business related purposes. Commercial lending is not without risk as this asset class has generally exhibited higher loss rates compared to other loan types. The primary repayment sources for commercial and industrial loans are the existing cash flows of operating businesses which can be adversely affected by company, industry and economic business cycles. Economic trends influenced by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. The liquidation of collateral, typically accounts receivable, inventory, equipment, or other business assets, is the primary source of principal repayment if the borrower defaults. The value of these assets can be uncertain in a liquidation scenario. Construction and Land Development: Construction and land development loans generally possess a higher inherent risk of loss and have experienced the highest loss rates of any loan category based on statistics published by the FDIC. Risks associated with these loans often include the borrower’s ability to complete the project within specified costs and timelines and the reliance on the sale of the completed project as the primary repayment source for the loan. Trends in the commercial and residential construction industries can significantly impact the credit quality of these loans due to supply and demand imbalances. In addition, fluctuations in real estate values can significantly impact the credit quality of these loans, as property values may determine the economic viability of construction projects and adversely impact the value of the collateral securing the loan. 1-4 Family Mortgage: The degree of risk in residential mortgage lending involving owner occupied properties depends primarily on the borrower’s ability to repay in an orderly fashion and the loan amount in relation to collateral value. Economic trends determined by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. Weak economic trends indicate that the borrower’s capacity to repay their obligations may be deteriorating. Residential mortgage lending also includes the credits to finance nonowner occupied properties used as rentals. These loans can involve additional risks as the borrower’s ability to repay is based on the net operating income from the property which can be impacted by occupancy levels, rental rates, and operating expenses. Declines in net operating income can negatively impact the value of the property which increases the credit risk in the event of default. While 1-4 family mortgage loans have historically possessed a lower inherent risk of loss than other real estate portfolio segments, this loan class was significantly impacted during the last recession due in part to weak credit underwriting and speculative lending practices which led to higher default rates and deterioration in residential real estate values. Multifamily: Multifamily lending has historically had the lowest default rate of any loan class. Nonetheless, economic factors such as unemployment, wage growth and home affordability can impact vacancy rates and property cash flow. In addition, an overbuilt supply of multifamily units can increase competition amongst properties and could have an adverse effect on leasing rates and overall occupancy, which could result in higher default rates and possible loan losses. CRE Owner Occupied: Owner occupied commercial real estate loans are generally reliant on a single tenant as the repayment source for the loan. The underlying business can be affected by changes in industry and economic business cycles, unemployment and other key economic indicators, which could impact the cash flows of the business and their ability to make rental payments. Certain types of businesses also may require specialized facilities that can increase costs and may not be economically feasible to an alternative user, which could adversely impact the market value of the collateral. CRE Non-owner Occupied: Non-owner occupied commercial real estate loans can possess a higher inherent risk of loss as the primary repayment source for these loans is based on the net operating income from the underlying property. Changes in economic and market conditions can affect different segments of commercial real estate by impacting overall leasing rates, absorption timelines, vacancy rates, and operating expenses. Banks which are concentrated in commercial real estate lending are subject to additional regulatory scrutiny and must employ enhanced risk management practices. Consumer and Other: The consumer and other loan portfolio is usually comprised of a large number of small loans scheduled to be amortized over a specific period. Most loans are made directly for consumer purchases. Economic trends determined by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. Weak economic trends indicate the borrowers’ capacity to repay their obligations may be deteriorating. Although management believes the allowance to be adequate, ultimate losses may vary from its estimates. At least quarterly, the Board of Directors reviews the adequacy of the allowance, including consideration of the relevant risks in the portfolio, current economic conditions, and other factors. If the Board of Directors and management determine that changes are warranted based on those reviews, the allowance is adjusted. In addition, the Company’s regulators assess the adequacy of the allowance from time to time. The regulatory agencies may require adjustments to the allowance based on their judgement about information available at the time of their review and examinations. Off-Balance Sheet Instruments In the ordinary course of business, the Company has entered into off-balance sheet instruments including commitments to extend credit and unfunded commitments under lines of credit, standby letters of credit, and commercial letters of credit. Such financial instruments are recorded in the consolidated financial statements when they become payable. The Company maintains a separate allowance for off-balance sheet commitments. Management estimates anticipated losses using historical data and utilization assumptions. The allowance for off-balance sheet commitments is included in other liabilities. Federal Home Loan Bank Stock The Bank is a member of FHLB Des Moines. Members are required to own a certain amount of stock based on the level of borrowings and other factors, and may invest in additional amounts. Restricted stock is carried at cost and periodically evaluated for impairment. Because this stock is viewed as a long-term investment, impairment is based on ultimate recovery at par value. Both cash and stock dividends are reported as income. Premises and Equipment Land is stated at cost. Premises and equipment are stated at cost less accumulated depreciation on the straight-line method over the estimated useful lives of the assets. Leasehold improvements are depreciated over the shorter of the estimated useful life or lease term for leasehold improvements. Maintenance and repairs are expensed as incurred while major additions and improvements are capitalized. Gains and losses on dispositions are included in current operations. Foreclosed Assets Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less estimated selling cost at the date of foreclosure, establishing a new cost basis. Any write-downs based on the asset’s fair value at the date of acquisition are charged to the allowance. Subsequent to foreclosure, valuations are periodically performed by management and the assets held for sale are carried at the lower of the new cost basis or fair value less cost to sell. This evaluation is inherently subjective and requires estimates that are susceptible to significant revisions as more information becomes available. Impairment losses on assets to be held and used are measured at the amount by which the carrying amount of a property exceeds its fair value. Costs relating to holding and improving assets are expensed. Revenues and expenses from operations are included in other noninterest income and expense on the income statement. Goodwill and Intangible Assets Intangible assets attributed to the value of core deposits and favorable lease terms are stated at cost less accumulated amortization and reported in other intangible assets in the consolidated balance sheets. Intangible assets are amortized on a straight-line basis over the estimated lives of the assets. The excess of purchase price over fair value of net assets acquired is recorded as goodwill and is not amortized. The Company evaluates whether goodwill and other intangible assets may be impaired at least annually and whenever events or changes in circumstances indicate it is more likely than not the fair value of the reporting unit or asset is less than its carrying amount. Transfers of Financial Assets and Participating Interests Transfers of an entire financial asset or a participating interest in an entire financial asset are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before maturity. The transfer of a participating interest in an entire financial asset must also meet the definition of a participating interest. A participating interest in a financial asset has all of the following characteristics: (1) from the date of transfer, it must represent a proportionate (pro rata) ownership interest in the financial asset, (2) from the date of transfer, all cash flows received, except any cash flows allocated as any compensation for servicing or other services performed, must be divided proportionately among participating interest holders in the amount equal to their share ownership, (3) the rights of each participating interest holder must have the same priority, and (4) no party has the right to pledge or exchange the entire financial asset unless all participating interest holders agree to do so. Advertising Advertising costs are expensed as incurred. Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. These calculations are based on many factors including estimates of the timing of reversals of temporary differences, the interpretation of federal and state income tax laws, and a determination of the differences between the tax and the financial reporting basis of assets and liabilities. Actual results could differ significantly from the estimates and interpretations used in determining the current and deferred income tax liabilities. Under GAAP, a valuation allowance is required to be recognized if it is “more likely than not” that the deferred tax asset will not be realized. The determination of the realizability of the deferred tax assets is highly subjective and dependent upon judgment concerning management’s evaluation of both positive and negative evidence, the forecasts of future income, applicable tax planning strategies, and assessments of the current and future economic and business conditions. In preparation of the income tax returns, tax positions are taken based on interpretation of federal and state income tax laws. Management periodically reviews and evaluates the status of uncertain tax positions and makes estimates of amounts ultimately due or owed. The Company can recognize in financial statements the impact of a tax position taken, or expected to be taken, if it is more likely than not that the position will be sustained on audit based on the technical merit of the position. See Note 14 for additional disclosures. The Company recognizes both interest and penalties as a component of other noninterest expenses. The amount of the uncertain tax positions was not deemed to be material. It is not expected that the unrecognized tax benefit will be material within the next 12 months. The Company did not recognize any interest or penalties for the years ended December 31, 2019, 2018 and 2017. The Company is no longer subject to federal or state tax examination by tax authorities for years ending before December 31, 2016. Tax Credit Investments The Company invests in qualified affordable housing projects and federal historic projects for the purpose of community reinvestment and obtaining tax credits. These investments are included in other assets on the balance sheet, with any unfunded commitments included within other liabilities. The qualified affordable housing projects are accounted for under the proportional amortization method. Under the proportional amortization method, the initial cost of the investment is recognized over the period that the Company expects to receive the tax credits, with the expense included within income tax expense on the consolidated statements of income. The historic tax credits are accounted for under the equity method, with the expense included within noninterest expense on the consolidated statements of income. Management analyzes these investments for potential impairment when events or changes in circumstances indicate that it is more likely than not that the carrying amount of the investment will not be realized. An impairment loss is measured as the amount by which the carrying amount of an investment exceeds its fair value. Comprehensive Income (Loss) Recognized revenue, expenses, gains, and losses are included in net income. Certain changes in assets and liabilities, such as unrealized gains and losses on securities available for sale and changes in the fair value of derivative instruments designated as a cash flow hedge, are reported as a separate component of the equity section of the consolidated balance sheets, such items, along with net income, are components of comprehensive income (loss). Derivative Financial Instruments The Company uses derivative financial instruments, which consist of The Company enters into Cash flow hedges represent a hedge of a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability. The Company prepares written hedge documentation for all derivatives which are designed as hedges. The written hedge documentation includes identification of, among other items, the risk management objective, hedging instrument, hedged item and methodologies for assessing and measuring hedge effectiveness and ineffectiveness, along with support for management's assertion that the hedge will be highly effective. Assessments of hedge effectiveness and measurements of hedge ineffectiveness are performed at least quarterly. For a cash flow hedge that is effective, the gain or loss on the derivative is reported as a component in other comprehensive income and is reclassified into earnings in the same periods during which the hedged transaction affects earnings. The changes in the fair value of derivatives that are not highly effective in hedging the changes in expected cash flows of the hedged item are recognized immediately in cur

Earnings Per Share

Earnings Per Share	12 Months Ended
	Dec. 31, 2019
Earnings Per Share
Earnings Per Share	Note 2: Earnings Per Share Basic earnings per common share are computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted earnings per common share are calculated by dividing net income by the weighted average number of shares adjusted for the dilutive effect of stock compensation. For the years ended December 31, 2019 and 2018, 303,000 and 130,000, respectively, of stock options were excluded from the calculation because they were deemed to be antidilutive. For the year ended December 31, 2017, no stock options were excluded from the calculation because none were considered antidilutive. The following table presents the numerators and denominators for basic and diluted earnings per share computations for the years ended December 31, 2019, 2018 and 2017: Year Ended December 31, 2019 2018 2017 Net Income Available to Common Shareholders $ 31,403 $ 26,920 $ 16,889 Weighted Average Common Stock Outstanding: Weighted Average Common Stock Outstanding (Basic) 29,358,644 29,001,393 24,604,464 Dilutive Effect of Stock Compensation 638,132 434,821 413,226 Weighted Average Common Stock Outstanding (Dilutive) 29,996,776 29,436,214 25,017,690 Basic Earnings per Common Share $ 1.07 $ 0.93 $ 0.69 Diluted Earnings per Common Share 1.05 0.91 0.68

Bank-Owned Certificates of Depo

Bank-Owned Certificates of Deposit	12 Months Ended
	Dec. 31, 2019
Bank-Owned Certificates of Deposit
Bank-Owned Certificates of Deposit	Note 3: Bank‑Owned Certificates of Deposit Certificates of deposit in other financial institutions by maturity are as follows: 2019 2018 Certificates of Deposit at Cost Maturing in: One Year or Less $ 1,229 $ 1,586 After One Year Through Five Years 1,425 1,719 $ 2,654 $ 3,305

Securities

Securities	12 Months Ended
	Dec. 31, 2019
Securities
Securities	Note 4: Securities The following tables present the amortized cost and estimated fair value of securities with gross unrealized gains and losses at December 31, 2019 and 2018: December 31, 2019 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value Securities Available for Sale: U.S. Treasury Securities $ 4,990 $ 8 $ — $ 4,998 Municipal Bonds 99,441 6,338 (36) 105,743 Mortgage-Backed Securities 64,312 697 (281) 64,728 Corporate Securities 49,674 633 (131) 50,176 SBA Securities 50,126 35 (602) 49,559 Asset-Backed Securities 14,673 — — 14,673 Total Securities Available for Sale $ 283,216 $ 7,711 $ (1,050) $ 289,877 December 31, 2018 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value Securities Available for Sale: U.S. Treasury Securities $ 17,862 $ 54 $ (19) $ 17,897 Municipal Bonds 117,991 1,257 (1,115) 118,133 Mortgage-Backed Securities 48,816 52 (1,692) 47,176 Corporate Securities 21,170 72 (124) 21,118 SBA Securities 49,876 13 (835) 49,054 Total Securities Available for Sale $ 255,715 $ 1,448 $ (3,785) $ 253,378 The following table presents the fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position: Less Than 12 Months 12 Months or Greater Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses December 31, 2019 Municipal Bonds $ 2,760 $ (23) $ 1,390 $ (13) $ 4,150 $ (36) Mortgage-Backed Securities 32,276 (242) 3,098 (39) 35,374 (281) Corporate Securities 8,350 (131) — — 8,350 (131) SBA Securities 11,907 (64) 31,036 (538) 42,943 (602) Total Securities Available for Sale $ 55,293 $ (460) $ 35,524 $ (590) $ 90,817 $ (1,050) Less Than 12 Months 12 Months or Greater Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses December 31, 2018 U.S. Treasury Securities $ 14,866 $ (19) $ — $ — $ 14,866 $ (19) Municipal Bonds 15,405 (199) 34,172 (916) 49,577 (1,115) Mortgage-Backed Securities 1,751 (21) 41,776 (1,671) 43,527 (1,692) Corporate Securities 9,063 (74) 1,996 (50) 11,059 (124) SBA Securities 28,186 (366) 15,878 (469) 44,064 (835) Total Securities Available for Sale $ 69,271 $ (679) $ 93,822 $ (3,106) $ 163,093 $ (3,785) At December 31, 2019, 110 debt securities had unrealized losses with aggregate depreciation of approximately 1.1% from the Company’s amortized cost basis. At December 31, 2018, 195 debt securities had unrealized losses with aggregate depreciation of approximately 2.3% from the Company’s amortized cost basis. These unrealized losses relate principally to changes in interest rates and are not due to changes in the financial condition of the issuer, the quality of any underlying assets, or applicable credit enhancements. In analyzing whether unrealized losses on debt securities are other than temporary, management considers whether the securities are issued by a government body or agency, whether a rating agency has downgraded the securities, industry analysts’ reports, the financial condition and performance of the issuer, and the quality of any underlying assets or credit enhancements. Since management has the ability and intent to hold debt securities for the foreseeable future, no declines were deemed to be other than temporary as of December 31, 2019 and 2018. The following presents a summary of amortized cost and estimated fair value of debt securities by the lesser of expected call date or contractual maturity as of December 31, 2019. Call date is used when a call of the debt security is expected, determined by the Company when the security has a market value above its amortized cost. Contractual maturities will differ from expected maturities for mortgage-backed, SBA securities and asset-backed securities because borrowers may have the right to call or prepay obligations without penalties. December 31, 2019 Amortized Cost Fair Value Due in One Year or Less $ 15,128 $ 15,201 Due After One Year Through Five Years 65,790 67,216 Due After Five Years Through 10 Years 62,287 65,816 Due After 10 Years 10,900 12,684 Subtotal 154,105 160,917 Mortgage-Backed Securities 64,312 64,728 SBA Securities 50,126 49,559 Asset-Backed Securities 14,673 14,673 Totals $ 283,216 $ 289,877 As of December 31, 2019 and 2018, the securities portfolio was completely unencumbered. The following presents a summary of the proceeds from sales of securities available for sale, as well as gross gains and losses, for the years ended December 31, 2019, 2018 and 2017: 2019 2018 2017 Proceeds From Sales of Securities $ 42,864 $ 24,684 $ 36,209 Gross Gains on Sales 774 290 405 Gross Losses on Sales (258) (415) (655)

Loans

Loans	12 Months Ended
	Dec. 31, 2019
Loans
Loans	Note 5: Loans The following table presents the components of loans at December 31, 2019 and 2018: December 31, December 31, 2019 2018 Commercial $ 276,035 $ 260,833 Construction and Land Development 196,776 210,041 Real Estate Mortgage: 1-4 Family Mortgage 260,611 226,773 Multifamily 515,014 407,934 CRE Owner Occupied 66,584 64,458 CRE Non-owner Occupied 592,545 490,632 Total Real Estate Mortgage Loans 1,434,754 1,189,797 Consumer and Other 4,473 4,260 Total Loans, Gross 1,912,038 1,664,931 Allowance for Loan Losses (22,526) (20,031) Net Deferred Loan Fees (5,512) (4,515) Total Loans, Net $ 1,884,000 $ 1,640,385 The following table presents the activity in the allowance for loan losses, by segment, for the years ended December 31, 2019, 2018 and 2017: Construction CRE CRE and Land 1-4 Family Owner Non-owner Consumer Commercial Development Mortgage Multifamily Occupied Occupied and Other Unallocated Total Balance at January 1, 2017 $ 1,315 $ 1,379 $ 2,410 $ 1,568 $ 1,160 $ 3,323 78 $ 1,100 $ 12,333 Provision for Loan Losses 1,116 488 (230) 1,602 (204) 1,875 43 (515) 4,175 Loans Charged-off (1) — — — — (111) (65) — (177) Recoveries of Loans 5 25 137 — — — 4 — 171 Balance at December 31, 2017 $ 2,435 $ 1,892 $ 2,317 $ 3,170 $ 956 $ 5,087 60 $ 585 $ 16,502 Provision for Loan Losses 448 632 242 1,474 (148) 785 31 111 3,575 Loans Charged-off (10) (358) (21) — — — (32) — (421) Recoveries of Loans 25 285 59 — — — 6 — 375 Balance at December 31, 2018 $ 2,898 $ 2,451 $ 2,597 $ 4,644 $ 808 $ 5,872 $ 65 $ 696 $ 20,031 Provision for Loan Losses 312 (250) 269 1,180 (16) 1,100 47 58 2,700 Loans Charged-off (160) — (195) — — — (33) — (388) Recoveries of Loans 8 1 168 — — — 6 — 183 Balance at December 31, 2019 $ 3,058 $ 2,202 $ 2,839 $ 5,824 $ 792 $ 6,972 $ 85 $ 754 $ 22,526 The following tables present the balance in the allowance for loan losses and the recorded investment in loans, by segment, based on impairment method as of December 31, 2019 and 2018: Construction CRE CRE and Land 1-‑4 Family Owner Non‑owner Consumer Allowance for Loan Losses at December 31, 2019 Commercial Development Mortgage Multifamily Occupied Occupied and Other Unallocated Total Individually Evaluated for Impairment $ 31 $ — $ — $ — $ — $ — $ 14 $ — $ 45 Collectively Evaluated for Impairment 3,027 2,202 2,839 5,824 792 6,972 71 754 22,481 Totals $ 3,058 $ 2,202 $ 2,839 $ 5,824 $ 792 $ 6,972 $ 85 $ 754 $ 22,526 Allowance for Loan Losses at December 31, 2018 Individually Evaluated for Impairment $ 8 $ — $ 17 $ — $ 22 $ — $ — $ — $ 47 Collectively Evaluated for Impairment 2,890 2,451 2,580 4,644 786 5,872 65 696 19,984 Totals $ 2,898 $ 2,451 $ 2,597 $ 4,644 $ 808 $ 5,872 $ 65 $ 696 $ 20,031 Construction CRE CRE and Land 1-‑4 Family Owner Non‑owner Consumer Loans at December 31, 2019 Commercial Development Mortgage Multifamily Occupied Occupied and Other Total Individually Evaluated for Impairment $ 273 $ 176 $ 1,059 $ — $ 236 $ — $ 14 $ 1,758 Collectively Evaluated for Impairment 275,762 196,600 259,552 515,014 66,348 592,545 4,459 1,910,280 Totals $ 276,035 $ 196,776 $ 260,611 $ 515,014 $ 66,584 $ 592,545 $ 4,473 $ 1,912,038 Loans at December 31, 2018 Individually Evaluated for Impairment $ 8 $ 198 $ 1,676 $ — $ 365 $ — $ 58 $ 2,305 Collectively Evaluated for Impairment 260,825 209,843 225,097 407,934 64,093 490,632 4,202 1,662,626 Totals $ 260,833 $ 210,041 $ 226,773 $ 407,934 $ 64,458 $ 490,632 $ 4,260 $ 1,664,931 The following table presents information regarding total carrying amounts and total unpaid principal balances of impaired loans by loan segment as of December 31, 2019 and 2018: December 31, 2019 December 31, 2018 Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance Loans With No Related Allowance for Loan Losses: Commercial $ 167 $ 167 $ — $ — $ — $ — Construction and Land Development 176 785 — 198 807 — Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 302 489 — 157 157 — 1st REM - 1-4 Family — — — 253 253 — 1st REM - Rentals 757 757 — 957 957 — CRE Owner Occupied 236 236 — 209 209 — Consumer and Other — — — 58 78 — Totals 1,638 2,434 — 1,832 2,461 — Loans With An Allowance for Loan Losses: Commercial 106 109 31 8 8 8 Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage — — — 309 336 17 CRE Owner Occupied — — — 156 156 22 Consumer and Other 14 14 14 — — — Totals 120 123 45 473 500 47 Grand Totals $ 1,758 $ 2,557 $ 45 $ 2,305 $ 2,961 $ 47 The following table presents information regarding the average balances and interest income recognized on impaired loans by loan segment for the years ended December 31, 2019, 2018 and 2017: Year Ended December 31, Year Ended December 31, Year Ended December 31, 2019 2018 2017 Average Interest Average Interest Average Interest Investment Recognized Investment Recognized Investment Recognized Loans With No Related Allowance for Loan Losses: Commercial $ 188 $ 13 $ — $ — $ — $ — Construction and Land Development 189 — 212 — 594 — Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 326 9 158 9 537 20 1st REM - 1-4 Family — — 255 10 130 — 1st REM - Rentals 789 41 976 48 739 34 CRE Owner Occupied 240 12 225 13 2,042 97 Consumer and Other — — 64 — 97 — Totals 1,732 75 1,890 80 4,139 151 Loans With An Allowance for Loan Losses: Commercial 109 1 8 — 14 — Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage — — 324 — — — LOCs and 2nd REM - Rentals — — — — 65 3 1st REM - Rentals — — — — 276 14 Multifamily — — 65 3 66 3 CRE Owner Occupied — — 158 7 161 7 Consumer and Other 44 2 — — — — Totals 153 3 555 10 582 27 Grand Totals $ 1,885 $ 78 $ 2,445 $ 90 $ 4,721 $ 178 The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information and current economic trends, among other factors. The process of analyzing loans for changes in risk ratings is ongoing through routine monitoring of the portfolio and annual internal credit reviews for credits meeting certain thresholds. The following tables present the risk category of loans by loan segment as of December 31, 2019 and 2018, based on the most recent analysis performed by management: December 31, 2019 Pass Watch Substandard Total Commercial $ 275,741 $ 21 $ 273 $ 276,035 Construction and Land Development 196,462 138 176 196,776 Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 28,483 138 — 28,621 1st REM - 1-4 Family 36,370 124 177 36,671 LOCs and 2nd REM - Rentals 17,890 479 302 18,671 1st REM - Rentals 174,781 1,287 580 176,648 Multifamily 515,014 — — 515,014 CRE Owner Occupied 65,411 — 1,173 66,584 CRE Non-owner Occupied 589,457 3,088 — 592,545 Consumer and Other 4,459 — 14 4,473 Totals $ 1,904,068 $ 5,275 $ 2,695 $ 1,912,038 December 31, 2018 Pass Watch Substandard Total Commercial $ 260,225 $ 600 $ 8 $ 260,833 Construction and Land Development 207,174 2,669 198 210,041 Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 30,669 587 — 31,256 1st REM - 1-4 Family 37,526 126 253 37,905 LOCs and 2nd REM - Rentals 11,341 628 474 12,443 1st REM - Rentals 142,357 1,854 958 145,169 Multifamily 407,934 — — 407,934 CRE Owner Occupied 62,223 — 2,235 64,458 CRE Non-owner Occupied 487,438 3,194 — 490,632 Consumer and Other 4,202 — 58 4,260 Totals $ 1,651,089 $ 9,658 $ 4,184 $ 1,664,931 The following tables present the aging of the recorded investment in past due loans by loan segment as of December 31, 2019 and 2018: Accruing Interest 30-89 Days 90 Days or December 31, 2019 Current Past Due More Past Due Nonaccrual Total Commercial $ 276,028 $ — $ — $ 7 $ 276,035 Construction and Land Development 196,600 — — 176 196,776 Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 28,621 — — — 28,621 1st REM - 1-4 Family 36,671 — — — 36,671 LOCs and 2nd REM - Rentals 18,527 — — 144 18,671 1st REM - Rentals 176,114 400 — 134 176,648 Multifamily 515,014 — — — 515,014 CRE Owner Occupied 66,584 — — — 66,584 CRE Non-owner Occupied 592,545 — — — 592,545 Consumer and Other 4,470 3 — — 4,473 Totals $ 1,911,174 $ 403 $ — $ 461 $ 1,912,038 Accruing Interest 30-89 Days 90 Days or December 31, 2018 Current Past Due More Past Due Nonaccrual Total Commercial $ 260,813 $ 12 $ — $ 8 $ 260,833 Construction and Land Development 209,843 — — 198 210,041 Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 30,939 — — 317 31,256 1st REM - 1-4 Family 37,705 200 — — 37,905 LOCs and 2nd REM - Rentals 12,443 — — — 12,443 1st REM - Rentals 145,169 — — — 145,169 Multifamily 407,934 — — — 407,934 CRE Owner Occupied 64,360 98 — — 64,458 CRE Non-owner Occupied 490,632 — — — 490,632 Consumer and Other 4,201 1 — 58 4,260 Totals $ 1,664,039 $ 311 $ — $ 581 $ 1,664,931 At December 31, 2019, there were three loans classified as troubled debt restructurings with a current outstanding balance of $452. In comparison, at December 31, 2018, there were three loans classified as troubled debt restructurings with an outstanding balance of $437. There was one new loan classified as a troubled debt restructuring during the year ended December 31, 2019, and no loans classified as troubled debt restructurings during the previous twelve months that subsequently defaulted during the year ended December 31, 2019.

Premises and Equipment

Premises and Equipment	12 Months Ended
	Dec. 31, 2019
Premises and Equipment
Premises and Equipment	Note 6: Premises and Equipment Premises and equipment are summarized as follows for the years ended December 31, 2019 and 2018: Rang of December 31, Useful Lives 2019 2018 Land N/A $ $ Building 15 - 39 Years Leasehold Improvements 3 ‑ 10 Years Furniture and Equipment 3 ‑ 5 Years Construction in Progress N/A Subtotal Accumulated Depreciation Totals $ $ Depreciation and amortization expense charged to noninterest expense for the years ended December 31, 2019, 2018 and 2017, totaled $1,008, $761 and $694, respectively. Construction in progress represents amounts paid for the construction of the Company’s new corporate headquarters building. Construction is expected to be completed in 2020. Pursuant to the terms of non‑cancelable lease agreements in effect at December 31, 2019, pertaining to banking premises in Bloomington, Downtown Minneapolis, St. Paul and Uptown Minneapolis (Drive‑Up) total future minimum rent commitments under various operating leases are as follows: 2019 2020 $ 776 2021 336 2022 327 2023 319 2024 324 Thereafter 1,130 Totals $ 3,212 Rent expense, including common area maintenance pertaining to banking premises for the years ended December 31, 2019, 2018 and 2017, totaled $1,264, $870 and $774, respectively. The Bloomington, Downtown Minneapolis and St. Paul leases each contain two consecutive options to extend the lease for a period of five years each. The Uptown Minneapolis (Drive‑Up) contains one option to extend the lease for a period of five years. The monthly minimum rent payable will be at a market rate as reasonably determined by the lessor. The Greenwood location is leased pursuant to the terms of a non‑cancelable lease agreement with Bridgewater Properties Greenwood, LLC, a related party through common ownership, in effect at December 31, 2019. The lease contains two consecutive options to extend the lease for a period of five years each. Future minimum rent commitments under the operating lease are listed below. 2019 2020 $ 2021 Totals $

Intangible Assets

Intangible Assets	12 Months Ended
	Dec. 31, 2019
Intangible Assets
Intangible Assets	Note 7: Intangible Assets The following table presents a summary of intangible assets at December 31, 2019 and 2018: December 31, 2019 2018 Core Deposit Intangible $ 1,093 $ Favorable Lease 445 Subtotal 1,538 Accumulated Amortization Totals $ 861 $ 1,052 Amortization expense of intangible assets was $191 for the years ended December 31, 2019, 2018 and 2017. The following table presents the estimated future amortization of the core deposit premium intangible and favorable lease asset for the next five years and thereafter. The projections of amortization expense are based on existing asset balances as of December 31, 2019. Core Deposit Favorable Intangible Lease 2020 $ 157 $ 34 2021 157 34 2022 157 34 2023 65 34 2024 — 34 Thereafter — 155 Totals $ 536 $ 325

Deposits

Deposits	12 Months Ended
	Dec. 31, 2019
Deposits.
Deposits	Note 8: Deposits The following table presents the composition of deposits at December 31, 2019 and 2018: December 31, 2019 2018 Transaction Deposits $ 712,136 $ 548,770 Savings and Money Market Deposits 516,785 402,639 Time Deposits 360,027 318,356 Brokered Deposits 234,362 291,169 Totals $ 1,823,310 $ 1,560,934 Brokered deposits contain brokered money market accounts of $2,443 and $26,990 as of December 31, 2019 and 2018, respectively. The following table presents the scheduled maturities of brokered and customer time deposits at December 31, 2019: 2019 Less than 1 Year $ 336,684 1 to 2 Years 133,771 2 to 3 Years 43,259 3 to 4 Years 67,913 4 to 5 Years 10,319 Totals $ 591,946 The aggregate amount of time deposits greater than $250 was approximately $118,318 and $111,297 at December 31, 2019 and 2018, respectively.

Notes Payable

Notes Payable	12 Months Ended
	Dec. 31, 2019
Notes Payable.
Notes Payable	Note 9: Notes Payable During 2016, the Company entered into a note payable with an unaffiliated financial institution that is secured by 100% of the stock of the Bank. The proceeds of the note were partially used to payoff existing notes payable. The note requires interest payments monthly and principal payments of $500 quarterly. Interest is accrued at a variable rate equal to 1‑month LIBOR plus 2.40% and matures in February 2021. The interest rate at December 31, 2019 and 2018, was 4.09% and 4.75%, respectively. The note contains several financial and reporting covenants. As of December 31, 2019 and 2018, the Company believes it was in compliance with all covenants. The unpaid principal balance of the note at December 31, 2019 and 2018, was $13,000 and $15,000, respectively.

Derivative Instruments and Hedg

Derivative Instruments and Hedging Activities	12 Months Ended
	Dec. 31, 2019
Derivative Instruments and Hedging Activities
Derivative Instruments and Hedging Activities	Note 10: Derivative Instruments and Hedging Activities The Company uses derivative financial instruments, which consist of interest rate swaps, to assist in its interest rate risk management. The notional amount does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual agreements. Derivative financial instruments are reported at fair value in other assets or other liabilities. The accounting for changes in the fair value of a derivative depends on whether it has been designated and qualifies as part of a hedging relationship. For derivatives not designated as hedges, the gain or loss is recognized in current earnings. Non-hedge Derivatives The Company enters into interest rate swaps to facilitate client transactions and meet their financing needs. Upon entering into these instruments to meet client needs, the Company enters into offsetting positions with large U.S. financial institutions in order to minimize the risk to the Company. These swaps are derivatives, but are not designated as hedging instruments. Interest The following table presents a summary of the Company’s interest rate swaps to facilitate customer transactions as of December 31, 2019: December 31, 2019 Notional Estimated Amount Fair Value Interest rate swap agreements: Assets $ 7,140 $ 150 Liabilities 7,140 (150) Total $ 14,280 $ — The Company had no interest rate swaps to facilitate customer transactions outstanding as of December 31, 2018. Cash Flow Hedging Derivatives For derivative instruments that are designated and qualify as a cash flow hedge, the aggregate fair value of the derivative instrument is recorded in other assets or other liabilities with any gain or loss related to changes in fair value recorded in accumulated other comprehensive income, net of tax. The gain or loss is reclassified into earnings in the same period during which the hedged asset or liability affects earnings and is presented in the same income statement line item as the earnings effect of the hedged asset or liability. The Company utilizes cash flow hedges to manage interest rate exposure for the brokered certificate of deposit, wholesale borrowing, and notes payable portfolios. During the next 12 months, the Company estimates that $146 will be reclassified to interest expense. The following tables present a summary of the Company’s interest rate swaps designated as cash flow hedges as of December 31, 2019 and 2018: 2019 2018 Notional Amount $ 48,000 $ 15,000 Weighted Average Pay Rate 1.89 % 1.21 % Weighted Average Receive Rate 2.25 % 1.97 % Weighted Average Maturity (Years) 3.53 2.16 Net Unrealized Gain (Loss) $ (618) $ 352 December 31, 2019 December 31, 2018 Notional Estimated Notional Estimated Amount Fair Value Amount Fair Value Interest rate swap agreements: Assets $ 18,000 $ 134 $ 15,000 $ 352 Liabilities 30,000 (752) — — The following table presents the effect of derivative instruments in cash flow hedging relationships on the consolidated statements of income for the year ended December 31, 2019, 2018 and 2017: Year Ended December 31, (dollars in thousands) 2019 2018 2017 Derivatives in Location of Gain or Gain (Loss) Cash Flow Hedging (Loss) Reclassified Reclassified from Relationships from AOCI into Income AOCI into Earnings Interest rate swaps Interest expense $ 9 $ — $ — No amounts were reclassified from accumulated other comprehensive income into net income related to hedge ineffectiveness for these derivatives during the years ended December 31, 2019, 2018 and 2017, and no amounts are expected to be reclassified from accumulated other comprehensive income into net income related to hedge ineffectiveness over the next twelve months.

Federal Home Loan Bank Advances

Federal Home Loan Bank Advances and Other Borrowings	12 Months Ended
	Dec. 31, 2019
Federal Home Loan Bank Advances and Other Borrowings
Federal Home Loan Bank Advances and Other Borrowings	Note 11: Federal Home Loan Bank Advances and Other Borrowings Federal Home Loan Bank Advances. The Company has entered into an Advances, Pledge, and Security Agreement with the FHLB whereby specific mortgage loans of the Bank’s with principal balances of $690,609 and $577,241 at December 31, 2019 and 2018, respectively, were pledged to the FHLB as collateral. FHLB advances are also secured with FHLB stock owned by the Company. Total remaining available borrowings were $209,840 and $122,120 at December 31, 2019 and 2018, respectively. The following table presents FHLB advances, by maturity, at December 31, 2019 and 2018: 2019 2018 Weighted Weighted Average Total Average Total Rate Outstanding Rate Outstanding 2019 N/A $ — 1.47 % $ 2020 1.76 % 1.65 2021 1.99 1.99 2022 2.50 2.50 2023 2.93 3.03 2024 2.20 3.17 2025 3.29 3.29 Totals $ $ Federal Reserve Discount Window. At December 31, 2019 and 2018, the Company had the ability to draw additional borrowings of $113,164 and $114,051, respectively, from the Federal Reserve Bank of Minneapolis. The ability to draw borrowings is based on loan collateral pledged with principal balances of $159,568 and $159,616 as of December 31, 2019 and 2018, subject to the approval from the Board of Governors of the Federal Reserve System. Federal Funds Purchased. Federal funds purchased mature one business day from the transaction date. There were no federal funds purchased outstanding as of December 31, 2019 and $18,000 of federal funds purchased outstanding as of December 31, 2018. The interest rate as of December 31, 2018 was 2.63%.

Subordinated Debentures

Subordinated Debentures	12 Months Ended
	Dec. 31, 2019
Subordinated Debentures
Subordinated Debentures	Note 12: Subordinated Debentures On July 12, 2017, the Company entered into a Subordinated Note Purchase Agreement with certain institutional accredited investors (the “Purchasers”) whereby the Company sold and issued $25,000 in aggregate principal amount of fixed-to-floating subordinated notes due 2027 (the “Notes”). The Notes were issued by the Company to the Purchasers at a price equal to 100% of their face amount. Issuance costs were $516 and have been netted against Subordinated Debt on the consolidated balance sheets. These costs are being amortized over five years, which represents the period from issuance to the first redemption date of July 15, 2022. Total amortization expense for the year ended December 31, 2019 was $103, with $267 remaining to be amortized as of December 31, 2019. Total amortization expense for the year ended December 31, 2018 was $103, with $370 remaining to be amortized as of December 31, 2018. Total amortization expense for the year ended December 31, 2017 was $43, with $473 remaining to be amortized as of December 31, 2017. The Notes mature on July 15, 2027, with a fixed interest rate of 5.875% payable semiannually in arrears for five years until July 15, 2022. Thereafter, the Company will be obligated to pay interest at a rate equal to 3‑month LIBOR plus 388 basis points quarterly in arrears until either the early redemption date or the maturity date. The Notes are not convertible into or exchangeable for any other securities or assets of the Company or any of its subsidiaries. The Notes are redeemable by the Company, in whole or in part, on or after July 15, 2022, and at any time upon the occurrence of certain events. Any redemption by the Company would be at a redemption price equal to 100% of the outstanding principal amount of the Notes being redeemed, including any accrued and unpaid interest thereon.

Related-Party Transactions

Related-Party Transactions	12 Months Ended
	Dec. 31, 2019
Related-Party Transactions
Related-Party Transactions	Note 13: Related‑Party Transactions In the ordinary course of business, the Company has granted loans to executive officers, directors, principal shareholders, and their affiliates (related parties). The following table presents the activity associated with loans made between related parties for the years ended December 31, 2019 and 2018: 2019 2018 Beginning Balance $ 39,454 $ 11,344 New Loans and Advances 13,298 35,761 Repayments Changes to Related Parties - 2 Totals $ 37,483 $ 39,454 Deposits from related parties held by the Company at December 31, 2019 and 2018 were $11,223 and $8,856, respectively. The Company has a related party lease which is disclosed in Note 6. A member of the Company’s board of directors, David J. Volk, is a principal at Castle Creek Capital, LLC, which is the sole general partner of Castle Creek Capital Partners V, LP. During 2018, the Company entered into an Exchange Agreement with Castle Creek Capital Partners V, LP providing for the exchange of 1,431,796 shares of the Company’s non-voting common stock for 1,431,796 shares of the Company’s voting common stock.

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2019
Income Taxes
Income Taxes	Note 14: Income Taxes On December 22, 2017, the President of the United States signed into law Public Law 115‑97, commonly known as the Tax Cuts and Jobs Act, which amended the Internal Revenue Code to reduce tax rates and modify policies, credits, and deductions for individuals and businesses. For businesses, the Tax Cuts and Jobs Act reduced the federal corporate tax rate from a maximum of 35% to a flat rate of 21%. The rate reduction was effective January 1, 2018. The lower corporate income tax rate reduces the future net tax benefits of timing differences between book and taxable income recorded by the Company as a net deferred tax asset. As of December 31, 2017, the Company revalued its net deferred tax assets and recorded a one‑time additional income tax expense of $2,005 related to the write‑down of deferred tax assets for tax benefits that the Company does not expect to realize. The following table presents the allocation of federal and state income taxes between current and deferred portions as of December 31, 2019, 2018 and 2017: 2019 2018 2017 Current Tax Provision $ 7,670 $ 6,522 $ 10,206 Deferred Tax Benefit Change in Deferred Taxes Due to Enacted Changes in Tax Law — — 2,005 Total Income Tax Provision $ 6,923 $ 5,224 $ 10,149 The reasons for the differences between the statutory federal income tax rate and the effective tax rates are summarized as follows as of December 31, 2019, 2018 and 2017: 2019 2018 2017 Amount Percent Amount Percent Amount Percent Amount of Statutory Rate $ % $ % $ % State Income Taxes (Net of Federal Income Tax Benefit) Interest on Investment Securities and Loans Exempt From Federal Income Tax Tax Credits Deferred Tax Asset Revaluation — — — — Other Differences Totals $ % $ % $ % The Company’s effective tax rate may fluctuate as it is impacted by the level and timing of the Company’s utilization of historic tax credits, low‑income housing tax credits, the level of tax‑exempt investments and loans, and the overall level of pre‑tax income. In 2017, the negative impact of the deferred tax asset revaluation was offset primarily by the effects of certain federal historic tax credits utilized in the period. The following table presents the components of the net deferred tax asset included in other assets, as of December 31, 2019 and 2018: 2019 2018 Depreciation $ $ Allowance for Loan Losses Unrealized (Gain) Loss on Securities Available for Sale Unrealized (Gain) Loss on Cash Flow Hedge Prepaid Expenses Deferred Compensation Deferred Loan Fees — Other Totals $ $

Tax Credit Investments

Tax Credit Investments	12 Months Ended
	Dec. 31, 2019
Tax Credit Investments
Tax Credit Investments	Note 15: Tax Credit Investments The Company invests in qualified affordable housing projects and federal historic projects for the purpose of community reinvestment and obtaining tax credits. The Company’s tax credit investments are limited to existing lending relationships with well-known developers and projects within the Company’s market area. The following table presents a summary of the Company’s investments in qualified affordable housing projects and other tax credit investments at December 31, 2019 and 2018: December 31, 2019 December 31, 2018 Investment Accounting Method Investment Unfunded Commitment (1) Investment Unfunded Commitment Low Income Housing Tax Credit (LIHTC) Proportional Amortization $ 2,148 — $ 2,436 $ — Federal Historic Tax Credit (FHTC) Equity 2,262 3,395 1,814 3,226 Total $ 4,410 $ 3,395 $ 4,250 $ 3,226 (1) All commitments are expected to be paid by the Company by December 31, 2020. The following table presents a summary of the amortization expense and tax benefit recognized for the Company’s qualified affordable housing projects and other tax credit investments during 2019, 2018 and 2017. Amortization Tax Benefit Expense (1) Recognized (2) Year Ended December 31, 2019 LIHTC $ 289 $ (330) FHTC 3,225 (3,687) Total $ 3,514 $ (4,017) Year Ended December 31, 2018 LIHTC $ 310 $ (346) FHTC 3,293 (3,782) Total $ 3,603 $ (4,128) Year Ended December 31, 2017 LIHTC $ — $ — FHTC 1,916 (2,225) Total $ 1,916 $ (2,225) (1) The amortization expense for the LIHTC investments are included in income tax expense. The amortization for the FHTC tax credits are included in noninterest expense. (2) All of the tax benefits recognized are included in income tax expense. The tax benefit recognized for the FHTC investments primarily reflects the tax credits generated from the investments, and excludes the net tax expense/benefit of the investments’ income/loss.

Commitments, Contingencies and

Commitments, Contingencies and Credit Risk	12 Months Ended
	Dec. 31, 2019
Commitments, Contingencies and Credit Risk
Commitments, Contingencies and Credit Risk	Note 16: Commitments, Contingencies and Credit Risk Financial Instruments with Off-Balance Sheet Credit 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 instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the consolidated balance sheets. The Company’s exposure to credit loss is represented by the contractual, or notional, amount of these commitments. The Company follows the same credit policies in making commitments as it does for on-balance sheet instruments. Since some of the commitments are expected to expire without being drawn upon and some of the commitments may not be drawn upon to the total extent of the commitment, the notional amount of these commitments does not necessarily represent future cash requirements. The following commitments were outstanding at December 31, 2019 and 2018: December 31, December 31, 2019 2018 Unfunded Commitments Under Lines of Credit $ 500,962 $ 395,032 Letters of Credit 79,225 81,053 Totals $ 580,187 $ 476,085 Commitments to extend credit are agreements to lend to a customer at fixed or variable rates 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. The amount of collateral obtained upon extension of credit is based on management’s credit evaluation of the customer. Collateral held varies but may include accounts receivable; inventory; property, plant, and equipment; real estate; and stocks and bonds. Unfunded commitments under commercial lines of credit, home equity lines of credit, and overdraft protection agreements are commitments for possible future extensions of credit to existing customers. These lines of credit may or may not require collateral and may or may not contain a specific maturity date. Standby letters of credit are conditional lending commitments issued by the Company to guarantee the performance of a customer to a third party. Generally, all standby letters of credit issued have expiration dates within two years. The credit risk involved in issuing standby letters of credit is essentially the same as that involved in extending loan facilities to customers. The Company generally holds collateral supporting these commitments. The Company had outstanding letters of credit with the FHLB in the amount of $108,502 and $129,152 at December 31, 2019 and 2018, respectively, on behalf of customers and to secure public deposits. On August 27, 2018, the Bank and Reuter Walton Commercial, LLC (the “Contractor”) entered into a Standard Form of Agreement Between Owner and Contractor and the corresponding General Conditions of the Contract for Construction (collectively, the “Construction Contract”). Under the Construction Contract, the Contractor will construct the core and shell of a new headquarters building for the Bank in St. Louis Park, Minnesota, and the Bank will pay the Contractor a contract price consisting of the cost of work plus a fee equal to 3.75% of the cost of work, subject to a guaranteed maximum price of $23,000, with anticipated construction completed in 2020. As of December 31, 2019, $15,189 has been paid under this Construction Contract. On December 3, 2019, the Bank entered into a separate contract with a third party relating to the construction of the build-out of the new headquarters building for the Bank. The total amount to be paid by the Bank under the contract is $6,321, with anticipated construction to be completed in 2020. As of December 31, 2019, no payments had been made under this contract. Legal Contingencies Various legal claims arise from time to time in the normal course of business. In the opinion of management, any liability resulting from such proceedings would not have a material impact on the consolidated financial statements.

Stock Options and Restricted St

Stock Options and Restricted Stock Awards	12 Months Ended
	Dec. 31, 2019
Stock Options and Restricted Stock Awards
Stock Options and Restricted Stock Awards	Note 17: Stock Options and Restricted Stock Awards The Company established the Bridgewater Bancshares, Inc. 2012 Combined Incentive and Non-Statutory Stock Option Plan (the “2012 Plan”) under which the Company may grant options to its directors, officers, and employees for up to 750,000 shares of common stock. Both incentive stock options and nonqualified stock options may be granted under the 2012 Plan. The exercise price of each option equals the fair market value of the Company’s stock on the date of grant and the maximum term of each outstanding option is ten years. All outstanding options have been granted with a vesting period of five years. As of December 31, 2019 and 2018, there were no remaining shares of the Company’s common stock reserved for future option grants under the 2012 Plan. In 2017, the Company adopted the Bridgewater Bancshares, Inc. 2017 Combined Incentive and Non-Statutory Stock Option Plan (the “2017 Plan”). Under the 2017 Plan, the Company may grant options to its directors, officers, and employees and consultants for up to 1,500,000 shares of common stock. Both incentive stock options and nonqualified stock options may be granted under the 2017 Plan. The exercise price of each option equals the fair market value of the Company’s stock on the date of grant and the maximum term of each outstanding option is ten years. All outstanding options have been granted with vesting periods of four or five years. As of December 31, 2019 and 2018, there were 310,600 and 540,000, respectively, remaining shares of the Company’s common stock reserved for future option grants under the 2017 Plan. In 2019, the Company adopted the Bridgewater Bancshares, Inc. 2019 Equity Incentive Plan (the “2019 EIP”). The types of awards which may be granted under the 2019 EIP include incentive and nonqualified stock options, stock appreciation rights, stock awards, restricted stock units, restricted stock and cash incentive awards. The Company may grant these awards to its directors, officers, employees and certain other service providers for up to 1,000,000 shares of common stock. The exercise price of each option equals the fair market value of the Company’s stock on the date of grant and the maximum term of each award is ten years. All outstanding awards have been granted with a vesting period of four years. As of December 31, 2019, there were 867,040 of remaining shares of the Company’s common stock reserved for future grants under the 2019 EIP. Stock Options The fair value of each option award is estimated on the date of grant using a closed form option valuation (Black-Scholes) model that uses the assumptions noted in the table below. Expected volatilities are based on an industry index as described below. The expected term of options granted is based on historical data and represents the period of time that options granted are expected to be outstanding, which takes into account that the options are not transferable. The risk-free interest rate for the expected term of the option is based on the U.S. Treasury yield curve in effect at the time of the grant. Historically, the Company has not paid a dividend on its common stock and does not expect to do so in the near future. The Company used the S&P 600 CM Bank Index as its historical volatility index. The S&P 600 CM Bank Index is an index of publicly traded small capitalization, regional, commercial banks located throughout the United States. There were 54 banks in the index ranging in market capitalization from $500 million up to $4.5 billion. The weighted average assumptions used in the model for valuing stock option grants in 2019 is as follows: December 31, 2019 Dividend Yield — % Expected Life 7 Years Expected Volatility 21.93 % Risk-Free Interest Rate 1.75 % The following table presents a summary of the status of the Company’s outstanding stock options for the years ended December 31, 2019 and 2018: December 31, 2019 December 31, 2018 Weighted Weighted Average Average Shares Exercise Price Shares Exercise Price Outstanding at Beginning of Year 1,807,100 $ 6.24 1,721,000 $ 5.68 Granted 238,000 12.47 135,000 12.52 Exercised (74,850) 3.45 (37,900) 2.78 Forfeitures (8,600) 10.65 (11,000) 7.61 Outstanding at End of Year 1,961,650 $ 7.08 1,807,100 $ 6.24 Options Exercisable at End of Year 992,050 $ 5.01 721,100 $ 4.19 For the years ended December 31, 2019, 2018 and 2017, the Company recognized compensation expense for stock options of $721, $799 and $368, respectively. The following table presents information pertaining to options outstanding at December 31, 2019: Options Outstanding Options Exercisable Number Remaining Number Exercise Price Outstanding Contractual Life Exercise Price Outstanding $ 2.13 74,750 3.3 Years $ 2.13 74,750 3.00 455,000 4.0 Years 3.00 455,000 3.58 45,000 5.0 Years 3.58 35,000 7.47 1,023,900 7.8 Years 7.47 402,300 13.22 25,000 8.4 Years 13.22 5,000 12.86 45,000 8.7 Years 12.86 9,000 12.94 30,000 8.8 Years 12.94 6,000 11.59 25,000 8.8 Years 11.59 5,000 11.15 10,000 9.2 Years 11.15 — 11.13 50,000 9.7 Years 11.13 — 12.92 178,000 9.9 Years 12.92 — Totals 1,961,650 7.0 Years $ 7.08 992,050 As of December 31, 2019, there was $2,738 of total unrecognized compensation cost related to nonvested stock options granted under the 2017 Plan, 2012 Plan and 2019 EIP that is expected to be recognized over a weighted-average period of 4.9 years. The following presents an analysis of nonvested options to purchase shares of the Company’s stock issued and outstanding for the year ended December 31, 2019: Weighted Number of Average Grant Shares Date Fair Value Nonvested Options at December 31, 2018 1,086,000 $ 2.78 Granted 238,000 3.46 Vested (346,200) 2.41 Forfeited (8,200) 3.40 Nonvested Options at December 31, 2019 969,600 $ 3.08 Restricted Stock Awards In 2019, the Company granted 132,960 restricted stock awards with a grant date fair value of $12.92. These awards were granted out of the 2019 EIP and vest in equal annual installments on the first four anniversaries of the date of the grant. Nonvested restricted stock awards are classified as outstanding shares with voting and forefeitable dividend rights. Compensation expense associated with the restricted stock awards is recognized on a straight-line basis over the period that the restrictions associated with the awards lapse based on the total cost of the award at the grant date. For the year ended December 31, 2019, the Company recognized compensation expense for restricted stock awards of $31. No compensation expense was recognized for restricted stock awards for the years ended December 31, 2018 and 2017. As of December 31, 2019, there was $1,687 of total unrecognized compensation cost related to nonvested restricted stock awards granted under the 2019 EIP that is expected to be recognized over a period of four years. No restricted stock awards vested during 2019.

Profit Sharing Plan

Profit Sharing Plan	12 Months Ended
	Dec. 31, 2019
Profit Sharing Plan
Profit Sharing Plan	Note 18: Profit Sharing Plan The Company has a combined profit sharing 401(k) plan which provides that an annual contribution, up to 100% of each participating employee’s total pay, may be contributed to the plan. Employees are eligible to participate after meeting certain eligibility requirements as defined in the plan and are allowed to make pre‑tax contributions up to the maximum amount allowed by the Internal Revenue Service. The terms of the 401(k) plan require employer match contributions equal to 100% of the employee contributions up to 4% of pay. In addition, the terms of the plan allow for discretionary contributions as determined by the Company and approved by the Board of Directors. The employer match contributions for the 401(k) plan were $603, $483, and $304 for the years ended December 31, 2019, 2018 and 2017, respectively. The total employer profit sharing contributions to the plan were $473, $328, and $250 for the years ended December 31, 2019, 2018 and 2017, respectively.

Deferred Compensation Plan

Deferred Compensation Plan	12 Months Ended
	Dec. 31, 2019
Deferred Compensation Plan
Deferred Compensation Plan	Note 19: Deferred Compensation Plan In 2013, the Company implemented a deferred compensation plan for certain employees which allows the Company to make a discretionary contribution to the account of any employee designated as a participant in the plan based upon the participant’s performance for the calendar year. Company contributions to the plan vest on the fourth anniversary of the last day of the calendar year for which the contribution was made to the plan and accrue interest at a rate equal to the Bank’s return on average equity for the immediately preceding calendar year. Distribution of amounts contributed under the plan, including accrued interest, is made in a lump sum cash payment within 75 days following the date such amounts become vested. As of December 31, 2019 and 2018, the Company had a liability of $3,546 and $2,914, respectively, recorded on the consolidated balance sheets. There were no new contributions made to the plan during the year ended December 31, 2019.

Regulatory Capital

Regulatory Capital	12 Months Ended
	Dec. 31, 2019
Regulatory Capital
Regulatory Capital	Note 20: Regulatory Capital Effective January 1, 2015, the capital requirements of the Company and the Bank were changed to implement the regulatory requirements of the Basel III capital reforms. The Basel III requirements, among other things, (i) apply a strengthened set of capital requirements to the Company and Bank, including requirements related to common equity as a component of core capital, (ii) implement a “capital conservation buffer” against risk and higher minimum tier 1 capital requirement, and (iii) revise the rules for calculating risk-weighted assets for purposes of such requirements. The rules made corresponding revisions to the prompt corrective action framework and include the new capital ratios and buffer requirements which were phased in incrementally, with full implementation on January 1, 2019. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classifications are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Quantitative measures established by regulation to ensure capital adequacy require the Company and Bank to maintain minimum amounts and ratios (set forth in the table and defined in the regulation) of Total Capital to Risk Weighted Assets, Tier 1 Capital to Risk Weighted Assets, Common Equity Tier 1 Capital to Risk Weighted Assets, and Tier 1 Capital to Average Assets. The following tables present the Company and the Bank’s capital amounts and ratios as of December 31, 2019 and 2018: Minimum Required For Capital Adequacy To be Well Capitalized For Capital Adequacy Purposes Plus Capital Under Prompt Corrective Actual Purposes Conservation Buffer Action Regulations December 31, 2019 Amount Ratio Amount Ratio Amount Ratio Amount Ratio (dollars in thousands) Company (Consolidated): Total Risk-Based Capital $ 269,613 12.98 % $ 166,163 8.00 % $ 218,089 10.50 % N/A N/A Tier 1 Risk-Based Capital 236,533 11.39 124,623 6.00 176,549 8.50 N/A N/A Common Equity Tier 1 Capital 236,533 11.39 93,467 4.50 145,393 7.00 N/A N/A Tier 1 Leverage Ratio 236,533 10.69 88,498 4.00 88,498 4.00 N/A N/A Bank: Total Risk-Based Capital $ 252,501 12.16 % $ 166,137 8.00 % $ 218,055 10.50 % $ 207,671 10.00 % Tier 1 Risk-Based Capital 243,461 11.72 124,603 6.00 176,521 8.50 166,137 8.00 Common Equity Tier 1 Capital 243,461 11.72 93,452 4.50 145,370 7.00 134,986 6.50 Tier 1 Leverage Ratio 243,461 11.01 88,455 4.00 88,455 4.00 110,569 5.00 Minimum Required For Capital Adequacy To be Well Capitalized For Capital Adequacy Purposes Plus Capital Under Prompt Corrective Actual Purposes Conservation Buffer Action Regulations December 31, 2018 Amount Ratio Amount Ratio Amount Ratio Amount Ratio (dollars in thousands) Company (Consolidated): Total Risk-Based Capital $ 263,909 14.55 % $ 145,111 8.00 % $ 179,121 9.875 % N/A N/A Tier 1 Risk-Based Capital 218,888 12.07 108,833 6.00 142,844 7.875 N/A N/A Common Equity Tier 1 Capital 218,888 12.07 81,625 4.50 115,635 6.375 N/A N/A Tier 1 Leverage Ratio 218,888 11.23 77,971 4.00 77,971 4.00 N/A N/A Bank: Total Risk-Based Capital $ 230,865 12.76 % $ 144,776 8.00 % $ 178,707 9.875 % $ 180,970 10.00 % Tier 1 Risk-Based Capital 210,474 11.63 108,582 6.00 142,514 7.875 144,776 8.00 Common Equity Tier 1 Capital 210,474 11.63 81,436 4.50 115,368 6.375 117,630 6.50 Tier 1 Leverage Ratio 210,474 10.82 77,795 4.00 77,795 4.00 97,244 5.00 The Company and the Bank must maintain a capital conservation buffer as defined by Basel III regulatory capital guidelines, in order to avoid limitations on capital distributions, including dividend payments and certain discretionary bonus payments to executive officers. The capital conservation buffer was fully phased-in on January 1, 2019 at 2.5%. The required phase-in capital conservation buffer during 2018 was 1.875%. Management believes that, as of December 31, 2019 and 2018, the Company and the Bank’s capital ratios were in excess of the quantitative capital ratio standards applicable on those dates. However, there can be no assurance that the Company and the Bank will continue to maintain such status in the future.

Fair Value Measurement

Fair Value Measurement	12 Months Ended
	Dec. 31, 2019
Fair Value Measurement
Fair Value Measurement	Note 21: Fair Value Measurement The Company categorizes its assets and liabilities measured at fair value into a three-level hierarchy based on the priority of the inputs to the valuation technique used to determine fair value. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). If the inputs used in the determination of the fair value measurement fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the fair value measurement. Assets and liabilities valued at fair value are categorized based on the inputs to the valuation techniques as follows: Level 1 – Inputs that utilized quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access. Level 2 – Inputs that include quoted prices for similar assets and liabilities in active markets and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instruments. Fair values for these instruments are estimated using pricing models, quoted prices of securities with similar characteristics, or discounted cash flows. Level 3 – Inputs that are unobservable for the asset or liability, which are typically based on an entity’s own assumptions, as there is little, if any, related market activity. Subsequent to initial recognition, the Company may re-measure the carrying value of assets and liabilities measured on a nonrecurring basis to fair value. Adjustments to fair value usually result when certain assets are impaired. Such assets are written down from their carrying amounts to their fair value. Professional standards allow entities the irrevocable option to elect to measure certain financial instruments and other items at fair value for the initial and subsequent measurement on an instrument-by-instrument basis. The Company adopted the policy to value certain financial instruments at fair value. The Company has not elected to measure any existing financial instruments at fair value; however, it may elect to measure newly acquired financial instruments at fair value in the future. Recurring Basis The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. The following table presents the balances of the assets and liabilities measured at fair value on a recurring basis as of December 31, 2019 and 2018: December 31, 2019 Level 1 Level 2 Level 3 Total Fair Value of Financial Assets: Securities Available for Sale: U.S. Treasury Securities $ 4,998 $ — $ — $ 4,998 Municipal Bonds — 105,743 — 105,743 Mortgage-Backed Securities — 64,728 — 64,728 Corporate Securities — 50,176 — 50,176 SBA Securities — 49,559 — 49,559 Asset-Backed Securities — 14,673 — 14,673 Interest Rate Swaps — 284 — 284 Total Fair Value of Financial Assets $ 4,998 $ 285,163 $ — $ 290,161 Fair Value of Financial Liabilities: Interest Rate Swaps $ — $ 902 $ — $ 902 Total Fair Value of Financial Liabilities $ — $ 902 $ — $ 902 December 31, 2018 Level 1 Level 2 Level 3 Total Fair Value of Financial Assets: Securities Available for Sale: U.S. Treasury Securities $ 17,897 $ — $ — $ 17,897 Municipal Bonds — 118,133 — 118,133 Mortgage-Backed Securities — 47,176 — 47,176 Corporate Securities — 21,118 — 21,118 SBA Securities — 49,054 — 49,054 Interest Rate Swaps — 352 — 352 Total Fair Value of Financial Assets $ 17,897 $ 235,833 $ — $ 253,730 Investment Securities When available, the Company uses quoted market prices to determine the fair value of investment securities; such items are classified in Level 1 of the fair value hierarchy. For the Company’s investments, when quoted prices are not available for identical securities in an active market, the Company determines fair value utilizing vendors who apply matrix pricing for similar bonds where no price is observable or may compile prices from various sources. These models are primarily industry-standard models that consider various assumptions, including time value, yield curve, volatility factors, prepayment speeds, default rates, loss severity, current market, and contractual prices for the underlying financial instruments, as well as other relevant economic measures. Substantially, all of these assumptions are observable in the marketplace and can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace. Fair values from these models are verified, where possible, against quoted market prices for recent trading activity of assets with similar characteristics to the security being valued. Such methods are generally classified as Level 2. However, when prices from independent sources vary, or cannot be obtained or corroborated, a security is generally classified as Level 3. Interest Rate Swaps Interest rate swaps are traded in over-the-counter markets where quoted market prices are not readily available. For those interest rate swaps, fair value is determined using internally developed models of a third party that uses primarily market observable inputs, such as yield curves and option volatilities, and accordingly are valued using Level 2 inputs. Nonrecurring Basis Certain assets are measured at fair value on a nonrecurring basis. These assets are not measured at fair value on an ongoing basis; however, they are subject to fair value adjustments in certain circumstances, such as when there is evidence of impairment or a change in the amount of previously recognized impairment. The following tables present net impairment losses related to nonrecurring fair value measurements of certain assets for the periods ended December 31, 2019, 2018 and 2017: December 31, 2019 Level 1 Level 2 Level 3 Loss Impaired Loans $ — $ 75 $ — $ 206 Totals $ — $ 75 $ — $ 206 December 31, 2018 Level 1 Level 2 Level 3 Loss Impaired Loans $ — $ 426 $ — $ 396 Totals $ — $ 426 $ — $ 396 December 31, 2017 Level 1 Level 2 Level 3 Loss Impaired Loans $ — $ 464 $ — $ 109 Totals $ — $ 464 $ — $ 109 Impaired Loans In accordance with the provisions of the loan impairment guidance, impairment is measured on loans when it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement. The fair value of impaired loans is estimated using one of several methods, including collateral value, market value of similar debt, or discounted cash flows. Those impaired loans not requiring an allowance represent loans for which the fair value of the expected repayments or collateral exceeds the recorded investments in such loans. Impaired loans for which an allowance is established based on the fair value of collateral require classification in the fair value hierarchy. Collateral values are estimated using Level 2 inputs based on customized discounting criteria. Impairment amounts on impaired loans represent specific valuation allowance and write-downs during the period presented on impaired loans that were individually evaluated for impairment based on the estimated fair value of the collateral less estimated selling costs, excluding impaired loans fully charged-off. Fair Value Disclosure of fair value information about financial instruments, for which it is practicable to estimate that value, is required whether or not recognized in the consolidated balance sheets. In cases where quoted market prices are not available, fair values are based on estimates using present value of cash flow or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimate of future cash flows. In that regard, the derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases could not be realized in immediate settlement of the instruments. Certain financial instruments with a fair value that is not practicable to estimate and all non-financial instruments are excluded from the disclosure requirements. Accordingly, the aggregate fair value amounts presented do not necessarily represent the underlying value of the Company. Fair value estimates are made at a specific point in time based on relevant market information and information about the financial instrument. 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 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 that could 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. Deposits with no stated maturities are defined as having a fair value equivalent to the amount payable on demand. This prohibits adjusting fair value derived from retaining those deposits for an expected future period of time. This component, commonly referred to as a deposit base intangible, is neither considered in the below amounts nor is it recorded as an intangible asset on the balance sheet. 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 the estimates. The following tables present the carrying amount and estimated fair values of financial instruments at December 31, 2019 and 2018: December 31, 2019 Fair Value Hierarchy Carrying Estimated Amount Level 1 Level 2 Level 3 Fair Value Financial Assets: Cash and Due From Banks $ 31,935 $ 31,935 $ — $ — $ 31,935 Bank-Owned Certificates of Deposit 2,654 — 2,677 — 2,677 Securities Available for Sale 289,877 4,998 284,879 — 289,877 FHLB Stock, at Cost 7,824 — 7,824 — 7,824 Loans, Net 1,884,000 — 1,891,987 — 1,891,987 Accrued Interest Receivable 6,775 — 6,775 — 6,775 Interest Rate Swaps 284 — 284 — 284 Financial Liabilities: Deposits $ 1,823,310 $ — $ 1,821,915 $ — $ 1,821,915 Notes Payable 13,000 — 13,022 — 13,022 FHLB Advances 136,500 — 141,152 — 141,152 Subordinated Debentures 24,733 — 25,309 — 25,309 Accrued Interest Payable 1,982 — 1,982 — 1,982 Interest Rate Swaps 902 — 902 — 902 December 31, 2018 Fair Value Hierarchy Carrying Estimated Amount Level 1 Level 2 Level 3 Fair Value Financial Assets: Cash and Due From Banks $ 28,444 $ 28,444 $ — $ — $ 28,444 Bank-Owned Certificates of Deposit 3,305 — 3,292 — 3,292 Securities Available for Sale 253,378 17,897 235,481 — 253,378 FHLB Stock, at Cost 7,614 — 7,614 — 7,614 Loans, Net 1,640,385 — 1,634,196 — 1,634,196 Accrued Interest Receivable 6,589 — 6,589 — 6,589 Interest Rate Swap 352 — 352 — 352 Financial Liabilities: Deposits $ 1,560,934 $ — $ 1,560,488 $ — $ 1,560,488 Federal Funds Purchased 18,000 — 18,000 — 18,000 Notes Payable 15,000 — 15,551 — 15,551 FHLB Advances 124,000 — 124,952 — 124,952 Subordinated Debentures 24,630 — 25,365 — 25,365 Accrued Interest Payable 1,806 — 1,806 — 1,806 The following methods and assumptions were used by the Company to estimate fair value of consolidated financial statements not previously discussed. Cash and due from banks – The carrying amount of cash and cash equivalents approximates their fair value. Bank-owned certificates of deposit – Fair values of bank-owned certificates of deposit are estimated using the discounted cash flow analysis based on current rates for similar types of deposits. FHLB stock – The carrying amount of FHLB stock approximates its fair value. Loans, Net – Fair values for loans are estimated based on discounted cash flows, using interest rates currently being offered for loans with similar terms to borrowers with similar credit quality. Accrued interest receivable – The carrying amount of accrued interest receivable approximates its fair value since it is short term in nature and does not present anticipated credit concerns. Deposits – The fair values disclosed for demand deposits without stated maturities (interest and noninterest transaction, savings, and money market accounts) are equal to the amount payable on demand at the reporting date (their carrying amounts). Fair values for the fixed-rate certificates of deposit are estimated using a discounted cash flow calculation that applies interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities on time deposits. Federal funds purchased – The carrying amount of federal funds purchased approximates the fair value. Notes payable and subordinated debentures – The fair values of the Company’s notes payable and subordinated debentures are estimated using a discounted cash flow analysis, based on the Company’s current incremental borrowing rate for similar types of borrowing arrangements. FHLB advances – The fair values of the Company’s FHLB advances are estimated using discounted cash flow analysis based on the Company’s current incremental borrowing rates for similar types of borrowing agreements. Accrued interest payable – The carrying amount of accrued interest payable approximates its fair value since it is short term in nature. Off-balance sheet instruments – Fair values of the Company’s off-balance sheet instruments (lending commitments and unused lines of credit) are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements, the counterparties’ credit standing and discounted cash flow analysis. The fair value of these off-balance sheet items approximates the recorded amounts of the related fees and was not material at December 31, 2019 and 2018. Limitations – The fair value of a financial instrument is the current amount that would be exchanged between market participants, other than in a forced liquidation. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. Consequently, the aggregate fair value amounts presented may not necessarily represent the underlying fair value of the Company.

Revenue Recognition

Revenue Recognition	12 Months Ended
	Dec. 31, 2019
Revenue Recognition
Revenue Recognition	Note 22: Revenue Recognition On January 1, 2019, the Company adopted ASU 2014-09, Revenue from Contracts with Customers (Topic 606) using the modified retrospective approach. The adoption of the guidance had no material impact on the measurement, timing or recognition of revenue. However, additional disclosures have been added in accordance with the new standard. Substantially all of the Company’s revenue is generated from financial instruments, including interest income related to loans and investment securities, letters of credit, and derivatives, which are not within the scope of Topic 606 as these activities are subject to other GAAP discussed elsewhere within the Company’s disclosures. The following is a summary of revenue-generating activities that are within the scope of Topic 606, which are presented in the Company’s income statements as components of noninterest income: Service charges on deposit accounts . These represent general service fees for monthly account maintenance and activity and transaction-based fees such as wire transfer fees, check cashing fees, check printing fees, stop payment fees and ATM and card replacement fees. Revenue is recognized when the Company’s performance obligation is completed, which is generally monthly for account maintenance services or when a transaction has been completed. Payments for these performance obligations are generally received at the time the performance obligations are satisfied. The adoption of Topic 606 had no impact on the Company’s revenue recognition practice for these services. Debit card interchange fees . When a debit card issued by the Company is used to purchase goods or services from a merchant, the Company earns an interchange fee. The performance obligation is completed and the fees are recognized as the service is provided (i.e., when the customer uses the debit card). The adoption of Topic 606 has no impact on the Company’s revenue recognition related to debit card interchange fees. Gain on sales of other real estate . ASU 2014-09 also created Topic 610-20, under which a gain on sale should be recognized when a contract for sale exists and control of the asset has been transferred to the buyer. Topic 606 list several criteria which must exist to conclude that a contract for sale exists, including a determination that the institution will collect substantially all of the consideration to which it is entitled. This presents a key difference between the current and new guidance related to the recognition of the gain when the institution finances the sale of the property. Rather than basing recognition on the amount of the buyer's initial investment, which was the primary consideration under prior guidance, the analysis is now based on various factors including not only the loan to value, but also the credit quality of the borrower, the structure of the loan, and any other factors that may affect collectability. The new requirements could result in earlier revenue recognition; however, such sales are infrequent, and the impact of this change is not considered material to the Company’s consolidated financial statements.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	12 Months Ended
	Dec. 31, 2019
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)	Note 23: Accumulated Other Comprehensive Income (Loss) The following table presents the components of other comprehensive income (loss) for the years ended December 31, 2019, 2018 and 2017. Before Tax Tax Effect Net of Tax Year Ended December 31, 2019 Net Unrealized Gain on Available for Sale Securities $ 9,514 $ (1,998) $ 7,516 Less: Reclassification Adjustment for Net Gains Included in Net Income (516) 109 (407) Total Unrealized Gain 8,998 (1,889) 7,109 Net Unrealized Loss on Cash Flow Hedge (962) 202 (760) Less: Reclassification Adjustment for Gains Included in Net Income (9) 2 (7) Total Unrealized Loss (971) 204 (767) Other Comprehensive Gain $ 8,027 $ (1,685) $ 6,342 Year Ended December 31, 2018 Net Unrealized Loss on Available for Sale Securities $ (3,804) $ 852 $ (2,952) Less: Reclassification Adjustment for Net Losses Included in Net Income 125 (26) 99 Total Unrealized Loss (3,679) 826 (2,853) Net Unrealized Gain on Cash Flow Hedge 9 (2) 7 Less: Reclassification Adjustment for Gains Included in Net Income — — — Total Unrealized Gain 9 (2) 7 Other Comprehensive Loss $ (3,670) $ 824 $ (2,846) Year Ended December 31, 2017 Net Unrealized Gain on Available for Sale Securities $ 6,354 $ (2,236) $ 4,118 Less: Reclassification Adjustment for Net Losses Included in Net Income 250 (88) 162 Total Unrealized Gain 6,604 (2,324) 4,280 Net Unrealized Gain on Cash Flow Hedge 121 (42) 79 Less: Reclassification Adjustment for Gains Included in Net Income — — — Total Unrealized Gain 121 (42) 79 Other Comprehensive Income $ 6,725 $ (2,366) $ 4,359 The following table presents the changes in each component of accumulated other comprehensive income (loss), net of tax, for the years ended December 31, 2019, 2018 and 2017. Accumulated Available For Other Comprehensive Sale Securities Cash Flow Hedge Income (Loss) Year Ended December 31, 2019 Balance at Beginning of Year $ (1,846) $ 278 $ (1,568) Other Comprehensive Income (Loss) Before Reclassifications 7,516 (760) 6,756 Amounts Reclassified from Accumulated Other Comprehensive Income (407) (7) (414) Net Other Comprehensive Income During Period 7,109 (767) 6,342 Balance at End of Year $ 5,263 $ (489) $ 4,774 Year Ended December 31, 2018 Balance at Beginning of Year $ 860 $ 224 $ 1,084 Reclassification of the Income Tax Effects of the Tax Cuts and Jobs Act 147 47 194 Other Comprehensive Income (Loss) Before Reclassifications (2,952) 7 (2,945) Amounts Reclassified from Accumulated Other Comprehensive Income 99 — 99 Net Other Comprehensive Income During Period (2,853) 7 (2,846) Balance at End of Year $ (1,846) $ 278 $ (1,568) Year Ended December 31, 2017 Balance at Beginning of Year $ (3,420) $ 145 $ (3,275) Other Comprehensive Income (Loss) Before Reclassifications 4,118 79 4,197 Amounts Reclassified from Accumulated Other Comprehensive Income 162 — 162 Net Other Comprehensive Income During Period 4,280 79 4,359 Balance at End of Year $ 860 $ 224 $ 1,084

Parent Company Financial Inform

Parent Company Financial Information	12 Months Ended
	Dec. 31, 2019
Parent Company Financial Information
Parent Company Financial Information	Note 24: Parent Company Financial Information The following information presents the condensed balance sheets of the Company as of December 31, 2019 and 2018, and the condensed statements of income and cash flows of the Company for the years ended December 31, 2019, 2018 and 2017: Condensed Balance Sheets ddddddddd December 31, December 31, 2019 2018 ASSETS Cash and Cash Equivalents $ $ Investment in Subsidiaries Premises and Equipment, Net Other Assets Total Assets $ $ LIABILITIES AND EQUITY LIABILITIES Notes Payable $ $ Subordinated Debentures, Net of Issuance Costs Accrued Interest Payable Other Liabilities Total Liabilities SHAREHOLDERS’ EQUITY Preferred Stock—$0.01 par value Preferred Stock—Authorized 10,000,000 — — Common Stock—$0.01 par value Voting Common Stock—Authorized 75,000,000 Additional Paid‑In Capital Retained Earnings Accumulated Other Comprehensive Income (Loss) Total Shareholders’ Equity Total Liabilities and Shareholders' Equity $ $ Condensed Statements of Income December 31, December 31, December 31, 2019 2018 2017 INCOME Dividend Income $ $ $ — Interest Income Other Income Total Income EXPENSE Interest Expense Other Expenses Total Interest Expense LOSS BEFORE INCOME TAX BENEFIT AND EQUITY IN UNDISTRIBUTED EARNINGS Income Tax Benefit LOSS BEFORE EQUITY IN UNDISTRIBUTED EARNINGS Equity in Undistributed Earnings NET INCOME $ $ $ Condensed Statements of Cash Flows December 31, December 31, December 31, 2019 2018 2017 CASH FLOWS FROM OPERATING ACTIVITIES Net Income $ $ $ Adjustments to Reconcile Net Income to Net Cash Provided (Used) by Operating Activities: Equity in Undistributed Earnings of Subsidiaries Changes in Other Assets and Liabilities Net Cash Used by Operating Activities CASH FLOWS FROM INVESTING ACTIVITIES Net Increase in Loans — — Investment in Subsidiaries — (25,000) Net Cash Used in Investing Activities (742) CASH FLOWS FROM FINANCING ACTIVITIES Principal Payments on Notes Payable (2,000) (2,000) Proceeds from Issuance of Subordinated Debt — — Stock Options Exercised Stock Repurchases — — Issuance of Common Stock — — Net Cash Provided (Used) by Financing Activities NET CHANGE IN CASH AND CASH EQUIVALENTS Cash and Cash Equivalents Beginning Cash and Cash Equivalents Ending $ $ $

Quarterly Condensed Financial I

Quarterly Condensed Financial Information (Unaudited)	12 Months Ended
	Dec. 31, 2019
Quarterly Condensed Financial Information (Unaudited)
Quarterly Condensed Financial Information (Unaudited)	Note 25: Quarterly Condensed Financial Information (Unaudited) The following tables present the unaudited quarterly condensed financial information for the years ended December 31, 2019 and 2018: 2019 Quarter Ended March 31 June 30 September 30 December 31 (dollars in thousands) Interest Income $ 24,267 $ 25,520 $ 26,572 $ 27,419 Interest Expense 7,136 7,382 7,637 7,491 Net Interest Income 17,131 18,138 18,935 19,928 Provision for Loan Losses 600 600 900 600 Net Interest Income after Provision for Loan Losses 16,531 17,538 18,035 19,328 Noninterest Income 634 1,134 946 1,112 Noninterest Expense 7,885 9,474 9,084 10,489 Income Before Income Taxes 9,280 9,198 9,897 9,951 Provision for Income Taxes 2,262 1,189 2,092 1,380 Net Income $ 7,018 $ 8,009 $ 7,805 $ 8,571 Earnings per share Basic $ $ $ $ Diluted $ $ $ $ 2018 Quarter Ended March 31 June 30 September 30 December 31 (dollars in thousands) Interest Income $ 18,710 $ 20,392 $ 22,136 $ 23,988 Interest Expense 3,947 4,493 5,502 6,546 Net Interest Income 14,763 15,899 16,634 17,442 Provision for Loan Losses 600 900 1,275 800 Net Interest Income after Provision for Loan Losses 14,163 14,999 15,359 16,642 Noninterest Income 387 485 814 857 Noninterest Expense 6,532 6,464 7,526 11,040 Income Before Income Taxes 8,018 9,020 8,647 6,459 Provision (Benefit) for Income Taxes 2,068 2,274 2,184 (1,302) Net Income $ 5,950 $ 6,746 $ 6,463 $ 7,761 Earnings per share Basic $ $ $ $ Diluted $ $ $ $

Description of the Business a_2

Description of the Business and Summary of Significant Accounting Policies (Policies )	12 Months Ended
	Dec. 31, 2019
Description of the Business and Summary of Significant Accounting Policies
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the amounts of the Company, the Bank, with locations in Bloomington, Greenwood, Minneapolis (2), St. Louis Park, Orono, and St. Paul, Minnesota, BWB Holdings, LLC, Bridgewater Investment Management, Inc., and Bridgewater Risk Management, Inc. All significant intercompany balances and transactions have been eliminated in consolidation.
Use of Estimates in Preparation of Financial Statements	Use of Estimates in Preparation of Financial Statements The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term include the valuation of securities, determination of the allowance for loan losses, calculation of deferred tax assets, and investment securities impairment.
Cash and Cash Equivalents	Cash and Cash Equivalents For purpose of the consolidated statements of cash flows, cash and cash equivalents include cash, both interest bearing and noninterest bearing balances due from banks and federal funds sold, all of which mature within 90 days. Cash flows from loans and deposits are reported net.
Bank-Owned Certificates of Deposit	Bank-Owned Certificates of Deposit Bank -owned certificates of deposit mature within five years and are carried at cost.
Securities Available for Sale	Securities Available for Sale Debt securities are classified as available for sale and are carried at fair value with unrealized gains and losses reported in other comprehensive income (loss). Realized gains and losses on securities available for sale are included in noninterest income and, when applicable, are reported as a reclassification adjustment, net of tax, in other comprehensive income (loss). Gains and losses on sales of securities are determined using the specific identification method on the trade date. The amortization of premiums and accretion of discounts are recognized in interest income using methods approximating the interest method over the period to maturity. Declines in the fair value of individual available for sale securities below their cost that are other than temporary result in write-downs of the individual securities to the fair value. The Company monitors the investment security portfolio for impairment on an individual security basis and has a process in place to identify securities that could potentially have a credit impairment that is other than temporary. This process involves analyzing the length of time and the extent to which the fair value has been less than the amortized cost basis, the market liquidity for the security, the financial condition and near-term prospects of the issuer, expected cash flows, and the Company’s intent and ability to hold the investment for a period of time sufficient to recover the temporary loss. The ability to hold is determined by whether it is more likely than not that the Company will be required to sell the security before its anticipated recovery. A decline in value due to a credit event that is considered other than temporary is recorded as a loss in noninterest income.
Loans	Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off generally are reported at their outstanding unpaid balances adjusted for charge-offs, the allowance for loan losses, any deferred fees or costs on originated loans, and premiums or discounts on purchased loans. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, as well as premiums and discounts, are deferred and recognized as an adjustment of the related loan yield using the interest method. Amortization of deferred loan fees is discontinued when a loan is placed on nonaccrual status. The accrual of interest on all loans is discounted if the loan is 90 days past due unless the credit is well-secured and in process of collection. Past due status is based on contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued, but not collected for loans that are placed on nonaccrual or charged-off is reversed against interest income and amortization of related deferred loan fees or costs is suspended. The interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. The cash-basis is used when a determination has been made that the principal and interest of the loan is collectible. If collectability of the principal and interest is in doubt, payments are applied to loan principal. The determination of ultimate collectability is supported by a current, well documented credit evaluation of the borrower’s financial condition and prospects for repayment, including consideration of the borrower’s sustained historical repayment performance and other relevant factors. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current, the borrower has demonstrated a period of sustained performance, and future payments are reasonably assured. A sustained period of repayment performance generally would be a minimum of six months.
Allowance for Loan Losses	Allowance for Loan Losses The allowance for loan losses (the “allowance”) is an estimate of loan losses inherent in the Company’s loan portfolio. The allowance is established through a provision for loan losses which is charged to expense. Additions to the allowance are expected to maintain the adequacy of the total allowance after loan losses and loan growth. Loan losses are charged-off against the allowance when the Company determines all or a portion of the loan balance to be uncollectible. Cash received on previously charged-off amounts is recorded as a recovery to the allowance. The allowance consists of three primary components, general reserves, specific reserves related to impaired loans, and unallocated reserves. The general component covers nonimpaired loans and is based on historical losses adjusted for current factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company over the most recent five years. This actual loss experience is adjusted for economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; trends in volume and terms of loans; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and effects of change in credit concentrations. These factors are inherently subjective and are driven by the repayment risk associated with each portfolio segment. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Loans determined to be impaired are individually evaluated for impairment. An impaired loan is measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate, or, as a practical expedient, at the loan’s observable market price, or the fair value of the underlying collateral. The fair value of collateral, reduced by costs to sell on a discounted basis, is used if a loan is collateral dependent. A loan is collateral dependent if the repayment is expected to be provided solely by the underlying collateral. Allowance allocations other than general and specific reserves are included in the unallocated portion. While allocations are made for loans and leases based upon historical loss analysis, the unallocated portion is designed to cover the uncertainty of how current economic conditions and other uncertainties may impact the existing loan portfolio. Factors to consider include global, national and state economic conditions such as changes in unemployment rates and productivity, geopolitical tensions, monetary and fiscal policy uncertainty, political gridlock, and real estate market trends. The unallocated reserve addresses inherent probable losses not included elsewhere in the allowance for loan losses. Under certain circumstances, the Company will provide borrowers relief through loan restructurings. A restructuring of debt constitutes a troubled debt restructuring (TDR) if the Company, for economic or legal reasons related to the borrower’s financial difficulties, grants a concession to the borrower that it would not otherwise consider. Restructured loans typically present an elevated level of credit risk as the borrowers are not able to perform according to the original contractual terms. Loans that are reported as TDRs are considered impaired and measured for impairment as described above in the calendar year of the restructuring. In subsequent years, a restructured loan may cease being classified as impaired if the loan was modified at a market rate and is performing according to the modified terms. TDR concessions can include reduction of interest rates, extension of maturity dates, forgiveness of principal or interest due, or acceptance of other assets in full or partial satisfaction of the debt. Restructured loans can involve loans remaining on nonaccrual, moving to nonaccrual, or continuing on accrual status, depending on the individual facts and circumstances of the borrower. Nonaccrual restructured loans are included with other nonaccrual loans. The Company assigns risk ratings to all loans and periodically performs detailed internal reviews of all such loans over a certain threshold to identify credit risks and to assess the overall collectability of the portfolio. These risk ratings are also subject to examination by the Company’s regulators. During the internal reviews, management monitors and analyzes the financial condition of borrowers and guarantors, trends in the industries in which the borrowers operate, and the fair values of collateral securing the loans. These credit quality indicators are used to assign a risk rating to each individual loan. The risk ratings can be grouped into five major categories defined as follows: Pass: A pass loan is a credit with no known or existing potential weaknesses deserving of management’s close attention. Watch: Loans classified as watch have a potential weakness that deserves management’s close attention. If left uncorrected, this potential weakness may result in deterioration of the repayment prospects for the loan or of the Company’s credit position at some future date. Watch loans are not adversely classified and do not expose the Company to sufficient risk to warrant adverse classification. Substandard: Loans classified as substandard are not adequately protected by the current net worth and paying capacity of the borrower or of the collateral pledged, if any. Loans classified as substandard have a well-defined weakness or weaknesses that jeopardize the repayment of the debt. Well defined weaknesses include a borrower’s lack of marketability, inadequate cash flow or collateral support, failure to complete construction on time, or the failure to fulfill economic expectations. They are characterized by the distinct possibility that the Company will sustain loss if the deficiencies are not corrected. Doubtful: Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or repayment in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Loss : Loans classified as loss are considered uncollectible and charged-off immediately. The Company maintains a separate general valuation allowance for each portfolio segment. These portfolio segments include commercial, construction and land development, 1-4 family mortgage, multifamily, CRE owner occupied, CRE non-owner occupied, and consumer and other with risk characteristics described as follows: Commercial: Commercial loans generally are loans to sole proprietorships, partnerships, corporations, and other business enterprises to finance accounts receivable or inventory, capital assets, or for other business related purposes. Commercial lending is not without risk as this asset class has generally exhibited higher loss rates compared to other loan types. The primary repayment sources for commercial and industrial loans are the existing cash flows of operating businesses which can be adversely affected by company, industry and economic business cycles. Economic trends influenced by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. The liquidation of collateral, typically accounts receivable, inventory, equipment, or other business assets, is the primary source of principal repayment if the borrower defaults. The value of these assets can be uncertain in a liquidation scenario. Construction and Land Development: Construction and land development loans generally possess a higher inherent risk of loss and have experienced the highest loss rates of any loan category based on statistics published by the FDIC. Risks associated with these loans often include the borrower’s ability to complete the project within specified costs and timelines and the reliance on the sale of the completed project as the primary repayment source for the loan. Trends in the commercial and residential construction industries can significantly impact the credit quality of these loans due to supply and demand imbalances. In addition, fluctuations in real estate values can significantly impact the credit quality of these loans, as property values may determine the economic viability of construction projects and adversely impact the value of the collateral securing the loan. 1-4 Family Mortgage: The degree of risk in residential mortgage lending involving owner occupied properties depends primarily on the borrower’s ability to repay in an orderly fashion and the loan amount in relation to collateral value. Economic trends determined by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. Weak economic trends indicate that the borrower’s capacity to repay their obligations may be deteriorating. Residential mortgage lending also includes the credits to finance nonowner occupied properties used as rentals. These loans can involve additional risks as the borrower’s ability to repay is based on the net operating income from the property which can be impacted by occupancy levels, rental rates, and operating expenses. Declines in net operating income can negatively impact the value of the property which increases the credit risk in the event of default. While 1-4 family mortgage loans have historically possessed a lower inherent risk of loss than other real estate portfolio segments, this loan class was significantly impacted during the last recession due in part to weak credit underwriting and speculative lending practices which led to higher default rates and deterioration in residential real estate values. Multifamily: Multifamily lending has historically had the lowest default rate of any loan class. Nonetheless, economic factors such as unemployment, wage growth and home affordability can impact vacancy rates and property cash flow. In addition, an overbuilt supply of multifamily units can increase competition amongst properties and could have an adverse effect on leasing rates and overall occupancy, which could result in higher default rates and possible loan losses. CRE Owner Occupied: Owner occupied commercial real estate loans are generally reliant on a single tenant as the repayment source for the loan. The underlying business can be affected by changes in industry and economic business cycles, unemployment and other key economic indicators, which could impact the cash flows of the business and their ability to make rental payments. Certain types of businesses also may require specialized facilities that can increase costs and may not be economically feasible to an alternative user, which could adversely impact the market value of the collateral. CRE Non-owner Occupied: Non-owner occupied commercial real estate loans can possess a higher inherent risk of loss as the primary repayment source for these loans is based on the net operating income from the underlying property. Changes in economic and market conditions can affect different segments of commercial real estate by impacting overall leasing rates, absorption timelines, vacancy rates, and operating expenses. Banks which are concentrated in commercial real estate lending are subject to additional regulatory scrutiny and must employ enhanced risk management practices. Consumer and Other: The consumer and other loan portfolio is usually comprised of a large number of small loans scheduled to be amortized over a specific period. Most loans are made directly for consumer purchases. Economic trends determined by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. Weak economic trends indicate the borrowers’ capacity to repay their obligations may be deteriorating. Although management believes the allowance to be adequate, ultimate losses may vary from its estimates. At least quarterly, the Board of Directors reviews the adequacy of the allowance, including consideration of the relevant risks in the portfolio, current economic conditions, and other factors. If the Board of Directors and management determine that changes are warranted based on those reviews, the allowance is adjusted. In addition, the Company’s regulators assess the adequacy of the allowance from time to time. The regulatory agencies may require adjustments to the allowance based on their judgement about information available at the time of their review and examinations.
Off-Balance-Sheet Instruments	Off-Balance Sheet Instruments In the ordinary course of business, the Company has entered into off-balance sheet instruments including commitments to extend credit and unfunded commitments under lines of credit, standby letters of credit, and commercial letters of credit. Such financial instruments are recorded in the consolidated financial statements when they become payable. The Company maintains a separate allowance for off-balance sheet commitments. Management estimates anticipated losses using historical data and utilization assumptions. The allowance for off-balance sheet commitments is included in other liabilities.
Federal Home Loan Bank Stock	Federal Home Loan Bank Stock The Bank is a member of FHLB Des Moines. Members are required to own a certain amount of stock based on the level of borrowings and other factors, and may invest in additional amounts. Restricted stock is carried at cost and periodically evaluated for impairment. Because this stock is viewed as a long-term investment, impairment is based on ultimate recovery at par value. Both cash and stock dividends are reported as income.
Premises and Equipment	Premises and Equipment Land is stated at cost. Premises and equipment are stated at cost less accumulated depreciation on the straight-line method over the estimated useful lives of the assets. Leasehold improvements are depreciated over the shorter of the estimated useful life or lease term for leasehold improvements. Maintenance and repairs are expensed as incurred while major additions and improvements are capitalized. Gains and losses on dispositions are included in current operations.
Foreclosed Assets	Foreclosed Assets Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less estimated selling cost at the date of foreclosure, establishing a new cost basis. Any write-downs based on the asset’s fair value at the date of acquisition are charged to the allowance. Subsequent to foreclosure, valuations are periodically performed by management and the assets held for sale are carried at the lower of the new cost basis or fair value less cost to sell. This evaluation is inherently subjective and requires estimates that are susceptible to significant revisions as more information becomes available. Impairment losses on assets to be held and used are measured at the amount by which the carrying amount of a property exceeds its fair value. Costs relating to holding and improving assets are expensed. Revenues and expenses from operations are included in other noninterest income and expense on the income statement.
Goodwill and Intangible Assets	Goodwill and Intangible Assets Intangible assets attributed to the value of core deposits and favorable lease terms are stated at cost less accumulated amortization and reported in other intangible assets in the consolidated balance sheets. Intangible assets are amortized on a straight-line basis over the estimated lives of the assets. The excess of purchase price over fair value of net assets acquired is recorded as goodwill and is not amortized. The Company evaluates whether goodwill and other intangible assets may be impaired at least annually and whenever events or changes in circumstances indicate it is more likely than not the fair value of the reporting unit or asset is less than its carrying amount.
Transfers of Financial Assets and Participating Interests	Transfers of Financial Assets and Participating Interests Transfers of an entire financial asset or a participating interest in an entire financial asset are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before maturity. The transfer of a participating interest in an entire financial asset must also meet the definition of a participating interest. A participating interest in a financial asset has all of the following characteristics: (1) from the date of transfer, it must represent a proportionate (pro rata) ownership interest in the financial asset, (2) from the date of transfer, all cash flows received, except any cash flows allocated as any compensation for servicing or other services performed, must be divided proportionately among participating interest holders in the amount equal to their share ownership, (3) the rights of each participating interest holder must have the same priority, and (4) no party has the right to pledge or exchange the entire financial asset unless all participating interest holders agree to do so.
Advertising	Advertising Advertising costs are expensed as incurred.
Income Taxes	Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. These calculations are based on many factors including estimates of the timing of reversals of temporary differences, the interpretation of federal and state income tax laws, and a determination of the differences between the tax and the financial reporting basis of assets and liabilities. Actual results could differ significantly from the estimates and interpretations used in determining the current and deferred income tax liabilities. Under GAAP, a valuation allowance is required to be recognized if it is “more likely than not” that the deferred tax asset will not be realized. The determination of the realizability of the deferred tax assets is highly subjective and dependent upon judgment concerning management’s evaluation of both positive and negative evidence, the forecasts of future income, applicable tax planning strategies, and assessments of the current and future economic and business conditions. In preparation of the income tax returns, tax positions are taken based on interpretation of federal and state income tax laws. Management periodically reviews and evaluates the status of uncertain tax positions and makes estimates of amounts ultimately due or owed. The Company can recognize in financial statements the impact of a tax position taken, or expected to be taken, if it is more likely than not that the position will be sustained on audit based on the technical merit of the position. See Note 14 for additional disclosures. The Company recognizes both interest and penalties as a component of other noninterest expenses. The amount of the uncertain tax positions was not deemed to be material. It is not expected that the unrecognized tax benefit will be material within the next 12 months. The Company did not recognize any interest or penalties for the years ended December 31, 2019, 2018 and 2017. The Company is no longer subject to federal or state tax examination by tax authorities for years ending before December 31, 2016.
Tax Credit Investments	Tax Credit Investments The Company invests in qualified affordable housing projects and federal historic projects for the purpose of community reinvestment and obtaining tax credits. These investments are included in other assets on the balance sheet, with any unfunded commitments included within other liabilities. The qualified affordable housing projects are accounted for under the proportional amortization method. Under the proportional amortization method, the initial cost of the investment is recognized over the period that the Company expects to receive the tax credits, with the expense included within income tax expense on the consolidated statements of income. The historic tax credits are accounted for under the equity method, with the expense included within noninterest expense on the consolidated statements of income. Management analyzes these investments for potential impairment when events or changes in circumstances indicate that it is more likely than not that the carrying amount of the investment will not be realized. An impairment loss is measured as the amount by which the carrying amount of an investment exceeds its fair value.
Comprehensive Income (Loss)	Comprehensive Income (Loss) Recognized revenue, expenses, gains, and losses are included in net income. Certain changes in assets and liabilities, such as unrealized gains and losses on securities available for sale and changes in the fair value of derivative instruments designated as a cash flow hedge, are reported as a separate component of the equity section of the consolidated balance sheets, such items, along with net income, are components of comprehensive income (loss).
Derivative Financial Instruments	Derivative Financial Instruments The Company uses derivative financial instruments, which consist of The Company enters into Cash flow hedges represent a hedge of a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability. The Company prepares written hedge documentation for all derivatives which are designed as hedges. The written hedge documentation includes identification of, among other items, the risk management objective, hedging instrument, hedged item and methodologies for assessing and measuring hedge effectiveness and ineffectiveness, along with support for management's assertion that the hedge will be highly effective. Assessments of hedge effectiveness and measurements of hedge ineffectiveness are performed at least quarterly. For a cash flow hedge that is effective, the gain or loss on the derivative is reported as a component in other comprehensive income and is reclassified into earnings in the same periods during which the hedged transaction affects earnings. The changes in the fair value of derivatives that are not highly effective in hedging the changes in expected cash flows of the hedged item are recognized immediately in current earnings. To determine fair value, the Company uses third party pricing models that incorporate assumptions about market conditions and risks that are current at the reporting date. The Company does not use derivative instruments for trading or speculative purposes. Net cash settlements on derivatives that qualify for hedge accounting are recorded in interest income or interest expense, based on the item being hedged. Net cash settlements on derivatives that do not qualify for hedge accounting are reported in noninterest income. Hedge accounting discontinues on transactions that are no longer deemed effective, or for which the derivative has been terminated or de-designated. When hedge accounting is discontinued, subsequent changes in fair value of the derivative are recorded as noninterest income. When a cash flow hedge is discontinued but the hedged cash flows or forecasted transaction is still expected to occur, changes in value that were accumulated in other comprehensive income are amortized or accreted into earnings over the same periods which the hedged transactions will affect earnings.
Stock-based Compensation	Stock-based Compensation The Company’s stock-based compensation plans provide for awards of stock options and restricted stock to directors, officers and employees. The cost of employee services received in exchange for awards of equity instruments is based on the grant-date fair value of those awards. Compensation cost is recognized over the requisite service period as a component of compensation expense. Compensation cost is recognized on a straight-line basis over the requisite service period for the entire award. Forfeitures are recognized as they occur. The Company uses the Black-Scholes model to estimate the fair value of stock options , while the market price of the Company’s common stock at the date of grant is used for restricted stock awards.
Compensating Balances	Compensating Balances The Bank is required to maintain average balances with the Federal Reserve Bank. The Bank has implemented a deposit reclassification program which allows the Bank to reclassify a portion of transaction accounts to nontransaction accounts for reserve purposes. The deposit reclassification program was provided by a third-party vendor, and has been approved by the Federal Reserve Bank. At December 31, 2019, the Bank was subject to maintaining an average balance of $776. As of December 31, 2019, the Company pledged cash collateral for the Company’s derivative contracts of $1,404. No cash collateral was pledged on any derivative contracts for the year ended December 31, 2018.
Earnings per Share	Earnings per Share Basic earnings per share are calculated by dividing the sum of distributed earnings to common shareholders and undistributed earnings allocated to common shareholders by the weighted average number of common shares outstanding. Diluted earnings per share are calculated by dividing the sum of distributed earnings to common shareholders and undistributed earnings allocated to common shareholders by the weighted average number of shares adjusted for the dilutive effect of stock compensation using the treasury stock method.
Segment Reporting	Segment Reporting All of the Company’s operations are considered by management to be one operating segment.
Reclassifications	Reclassifications Certain reclassifications have been made to the 2018 consolidated financial statements to conform to the 2019 classifications.
Impact of Recent Accounting Standards	Impact of Recently Adopted Accounting Standards In May 2014, the FASB issued ASU 2014‑09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014‑09”). ASU 2014‑09 implements a common revenue standard that clarifies the principles for recognizing revenue. The core principle of ASU 2014‑09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To achieve that core principle, an entity should apply the following steps: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract and (v) recognize revenue when (or as) the entity satisfies a performance obligation. ASU 2015‑14, Revenue from Contracts with Customers (Topic 606) (“ASU 2015‑14”) was issued in August 2015 which defers adoption to annual reporting periods beginning after December 15, 2018 and interim reporting periods beginning after December 15, 2019. The Company adopted ASU 2014-09 and its related amendments using the modified retrospective approach effective January 1, 2019, with no material impact on its consolidated financial statements. See Note 22 for the new disclosures related to Topic 606. In January 2016, the FASB issued ASU 2016‑01, Financial Instruments—Overall (Subtopic 825‑10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016‑01”). This guidance changes how entities account for equity investments that do not result in consolidation and are not accounted for under the equity method of accounting. Entities will be required to measure these investments at fair value at the end of each reporting period and recognize changes in fair value in net income. A practicability exception will be available for equity investments that do not have readily determinable fair values; however, the exception requires the Company to adjust the carrying amount for impairment and observable price changes in orderly transactions for the identical or a similar investment of the same issuer. This guidance also changes certain disclosure requirements and other aspects of current GAAP. This ASU became effective for the Company on January 1, 2019 and did not have a material impact on the Company’s consolidated financial statements. In July 2019, the FASB issued ASU No Codification Updates to SEC Sections , which amends certain SEC sections or paragraphs within the Accounting Standards Codification to reflect changes in SEC Final Rule Releases No. 33-10532, “Disclosure Update and Simplification,” and 33-10231 and 33-10442, “Investment Company Reporting Modernization.” Other revisions in ASU No. update language in the codification to match the electronic Code of Federal Regulations. The amendments became effective upon addition to the FASB Codification and there is no impact on the consolidated financial statements. Impact of Recently Issued Accounting Standards The following ASUs have been issued by FASB and may impact the Company’s consolidated financial statements in future reporting periods. In February 2016, the FASB issued ASU 2016‑02, Leases (Topic 842) (“ASU 2016‑02”). The new guidance establishes the principles to report transparent and economically neutral information about the assets and liabilities that arise from leases. Entities will be required to recognize the lease assets and lease liabilities that arise from leases in the statement of financial position and to disclose qualitative and quantitative information about lease transactions, such as information about variable lease payments and options to renew and terminate leases. Also, in July 2018, the FASB issued ASU 2018-11, Leases (Topic 842): Targeted Improvements which provides an optional transition method to adopt the new requirements of ASU 2016-02 as of the adoption date with no adjustment to the presentation or disclosure of comparative prior periods included in the financial statement in the period of adoption. The guidance is effective for fiscal years beginning after December 15, 2019 and interim reporting periods beginning after December 15, 2020. In March 2019, the FASB issued ASU No. 2019-01, Leases (Topic 842): Codification Improvements . This ASU provides clarifications to increase transparency and comparability among organizations by recognizing lease assets and liabilities on the balance sheet and disclosing essential information about leasing transactions. Specifically, this ASU (i) states that for lessors that are not manufacturers or dealers, the fair value of the underlying asset is its cost, less any volume or trade discounts, as long as there isn’t a significant amount of time between acquisition of the asset and lease commencement, (ii) allows for the cash flows received for sales-type and direct financing leases to continue to be presented as results from investing, and (iii) clarifies the transition guidance related to certain interim disclosures provided in the year of adoption. In November 2019, the FASB issued ASU 2019-10, Financial Instruments — Credit Losses (Topic 326), Derivatives and Hedging (815), and Leases (Topic 842) – Effective Dates. This ASU amended the effective date of ASU 2016-02, ASU 2018-11 and ASU 2019-01 for smaller reporting companies and non-SEC reporting entities. The amendment delays the effective date to fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. As an emerging growth company, the Company can take advantage of this delay. The Company continues to assess and implement changes to its accounting processes for leases to help ensure that it meets the reporting and disclosure requirements of this ASU. The Company’s assets and liabilities will increase based on the present value of the remaining lease payments for leases in place at the adoption date; however, this is not expected to be significant to the Company’s consolidated financial statements. In June 2016, the FASB issued ASU 2016‑13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (modified by ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses, ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments Credit Losses , ASU 2019-05, Financial Instruments Credit Losses – Targeted Transition Relief , and ASU 2019-11, Codification Improvements to Topic 326, Financial Instruments – Credit Losses. ) The amendments in this ASU affect all entities that measure credit losses on financial instruments including loans, debt securities, trade receivables, net investments in leases, off-balance sheet credit exposures, reinsurance receivables, and any other financial asset that has a contractual right to receive cash that is not specifically excluded. The main objective of this ASU is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. To achieve this objective, the amendments in this ASU replace the incurred loss impairment methodology required in current GAAP with a methodology that reflects expected credit losses that requires consideration of a broader range of reasonable and supportable information to estimate credit losses. The amendments in this ASU will affect entities to varying degrees depending on the credit quality of the assets held by the entity, the duration of the assets held, and how the entity applies the current incurred loss methodology. In November 2019, the FASB issued ASU 2019-10, Financial Instruments — Credit Losses (Topic 326), Derivatives and Hedging (815), and Leases (Topic 842) – Effective Dates. This ASU amended the effective date of ASU 2016-13 for smaller reporting companies and non-SEC reporting entities. The amendment delays the effective date to fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. As an emerging growth company, the Company can take advantage of this delay. All entities may adopt the amendments in the ASU as early as of the fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Amendments should be applied using a modified retrospective transition method by means of a cumulative-effect adjustment to equity as of the beginning of the period in which the guidance is adopted. The Company has contracted with a third party to develop a model to comply with CECL requirements. The Company has established a steering committee with representation from various departments across the enterprise. The Company is currently evaluating the impact the new standard will have on the its consolidated financial statements. In January 2017, the FASB issued ASU 2017‑04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. The amendments in this ASU were issued to address concerns over the cost and complexity of the two-step goodwill impairment test and resulted in the removal of the second step of the test. The amendments require an entity to apply a one-step quantitative test and record the amount of goodwill impairment as the excess of a reporting unit’s carrying amount over its fair value, not to exceed the total amount of goodwill allocated to the reporting unit. The new guidance does not amend the optional qualitative assessment of goodwill impairment. This ASU is intended to reduce the cost and complexity of the two-step goodwill impairment test and is effective for annual and interim goodwill impairment tests in fiscal years beginning after December 15, 2021, with early adoption permitted for testing performed after January 1, 2017. Upon adoption, the amendments should be applied on a prospective basis and the entity is required to disclose the nature of and reason for the change in accounting principle upon transition. The Company will early adopt this ASU on January 1, 2020. The adoption of this guidance is not expected to have a material impact on the Company's financial statements. In March 2017, the FASB issued ASU 2017‑08, Receivables – Nonrefundable Fees and Other Costs (Subtopic 310‑20): Premium Amortization on Purchased Callable Debt Securities. The amendments in this ASU shorten the amortization period for certain callable debt securities held at a premium. Specifically, the amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount as discounts continue to be accreted to maturity. This ASU is intended to more closely align the amortization period of premiums and discounts to expectations incorporated in market pricing on the underlying securities. In most cases, market participants price securities to the call date that produces the worst yield when the coupon is above current market rates and prices securities to maturity when the coupon is below market rates. As a result, the amendments more closely align interest income recorded on bonds held at a premium or a discount with the economics of the underlying instrument. This ASU is intended to reduce diversity in practice and is effective for fiscal years beginning after December 15, 2019, with early adoption permitted. Upon adoption, the amendments should be applied using a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. Additionally, in the period of adoption, an entity should provide disclosures about a change in accounting principles. The adoption of this guidance is not expected to have a significant impact on the Company’s consolidated financial statements. In August 2017, the FASB issued ASU 2017‑12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities. The amendments of this ASU better align an entity’s accounting and financial reporting for hedging activities with the economic objectives of those activities. The ASU is effective for fiscal years beginning after December 15, 2019 and interim reporting periods beginning after December 15, 2020, with early adoption permitted. The Company is evaluating the impact this new standard with have on its consolidated financial statements. In August 2018, the FASB issued ASU 2018‑13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement. The amendments of this ASU modify the disclosure requirements for fair value measurements by removing, modifying, or adding certain disclosures. The ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019, with early adoption permitted. The adoption of this guidance is not expected to have a significant impact on the Company’s consolidated financial statements. In August 2018, the FASB issued ASU 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40). The amendments in this ASU align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal use software license). The accounting for the service element of a hosting arrangement that is a service contract is not affected by these amendments. The ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The adoption of this guidance is not expected to have a significant impact on the Company’s consolidated financial statements. In December 2019, the FASB issued ASU ncome Taxes (Topic 740): Simplifying the Accounting for Income Taxes . This ASU aims to simplify the accounting for income taxes by removing certain exceptions to the general principles and also simplification of areas such as franchise taxes, step-up in tax basis goodwill, separate entity financial statements and interim recognition of enactment of tax laws or rate changes. The ASU will be effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020, with early adoption permitted. The Company is currently evaluating the potential impact this guidance will have on the consolidated financial statements. In January 2020, the FASB issued ASU 2020-01, Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815): Clarifying the Interactions between Topic 321, Topic 323 and Topic 815 . This ASU clarifies that an entity should consider observable transactions that require it to either apply or discontinue the equity method of accounting for the purposes of applying the fair value measurement alternative. The ASU will be effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020, with early adoption permitted. The Company does not expect adoption to have a material impact on the consolidated financial statements.
Subsequent Events	Subsequent Events Subsequent events have been evaluated through March 11, 2020, which is the date the consolidated financial statements were available to be issued.
Revenue Recognition	Substantially all of the Company’s revenue is generated from financial instruments, including interest income related to loans and investment securities, letters of credit, and derivatives, which are not within the scope of Topic 606 as these activities are subject to other GAAP discussed elsewhere within the Company’s disclosures. The following is a summary of revenue-generating activities that are within the scope of Topic 606, which are presented in the Company’s income statements as components of noninterest income: Service charges on deposit accounts . These represent general service fees for monthly account maintenance and activity and transaction-based fees such as wire transfer fees, check cashing fees, check printing fees, stop payment fees and ATM and card replacement fees. Revenue is recognized when the Company’s performance obligation is completed, which is generally monthly for account maintenance services or when a transaction has been completed. Payments for these performance obligations are generally received at the time the performance obligations are satisfied. The adoption of Topic 606 had no impact on the Company’s revenue recognition practice for these services. Debit card interchange fees . When a debit card issued by the Company is used to purchase goods or services from a merchant, the Company earns an interchange fee. The performance obligation is completed and the fees are recognized as the service is provided (i.e., when the customer uses the debit card). The adoption of Topic 606 has no impact on the Company’s revenue recognition related to debit card interchange fees. Gain on sales of other real estate . ASU 2014-09 also created Topic 610-20, under which a gain on sale should be recognized when a contract for sale exists and control of the asset has been transferred to the buyer. Topic 606 list several criteria which must exist to conclude that a contract for sale exists, including a determination that the institution will collect substantially all of the consideration to which it is entitled. This presents a key difference between the current and new guidance related to the recognition of the gain when the institution finances the sale of the property. Rather than basing recognition on the amount of the buyer's initial investment, which was the primary consideration under prior guidance, the analysis is now based on various factors including not only the loan to value, but also the credit quality of the borrower, the structure of the loan, and any other factors that may affect collectability. The new requirements could result in earlier revenue recognition; however, such sales are infrequent, and the impact of this change is not considered material to the Company’s consolidated financial statements.

Earnings Per Share (Tables)

Earnings Per Share (Tables)	12 Months Ended
	Dec. 31, 2019
Earnings Per Share
Schedule of numerators and denominators for basic and diluted earnings per share computations	The following table presents the numerators and denominators for basic and diluted earnings per share computations for the years ended December 31, 2019, 2018 and 2017: Year Ended December 31, 2019 2018 2017 Net Income Available to Common Shareholders $ 31,403 $ 26,920 $ 16,889 Weighted Average Common Stock Outstanding: Weighted Average Common Stock Outstanding (Basic) 29,358,644 29,001,393 24,604,464 Dilutive Effect of Stock Compensation 638,132 434,821 413,226 Weighted Average Common Stock Outstanding (Dilutive) 29,996,776 29,436,214 25,017,690 Basic Earnings per Common Share $ 1.07 $ 0.93 $ 0.69 Diluted Earnings per Common Share 1.05 0.91 0.68

Bank-Owned Certificates of De_2

Bank-Owned Certificates of Deposit (Tables)	12 Months Ended
	Dec. 31, 2019
Bank-Owned Certificates of Deposit
Summary of certificates of deposit in other financial institutions by maturity	Certificates of deposit in other financial institutions by maturity are as follows: 2019 2018 Certificates of Deposit at Cost Maturing in: One Year or Less $ 1,229 $ 1,586 After One Year Through Five Years 1,425 1,719

Securities (Tables)

Securities (Tables)	12 Months Ended
	Dec. 31, 2019
Securities
Summary of the amortized cost and estimated fair value of securities with gross unrealized gains and losses	The following tables present the amortized cost and estimated fair value of securities with gross unrealized gains and losses at December 31, 2019 and 2018: December 31, 2019 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value Securities Available for Sale: U.S. Treasury Securities $ 4,990 $ 8 $ — $ 4,998 Municipal Bonds 99,441 6,338 (36) 105,743 Mortgage-Backed Securities 64,312 697 (281) 64,728 Corporate Securities 49,674 633 (131) 50,176 SBA Securities 50,126 35 (602) 49,559 Asset-Backed Securities 14,673 — — 14,673 Total Securities Available for Sale $ 283,216 $ 7,711 $ (1,050) $ 289,877 December 31, 2018 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value Securities Available for Sale: U.S. Treasury Securities $ 17,862 $ 54 $ (19) $ 17,897 Municipal Bonds 117,991 1,257 (1,115) 118,133 Mortgage-Backed Securities 48,816 52 (1,692) 47,176 Corporate Securities 21,170 72 (124) 21,118 SBA Securities 49,876 13 (835) 49,054 Total Securities Available for Sale $ 255,715 $ 1,448 $ (3,785) $ 253,378
Summary of fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position	The following table presents the fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position: Less Than 12 Months 12 Months or Greater Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses December 31, 2019 Municipal Bonds $ 2,760 $ (23) $ 1,390 $ (13) $ 4,150 $ (36) Mortgage-Backed Securities 32,276 (242) 3,098 (39) 35,374 (281) Corporate Securities 8,350 (131) — — 8,350 (131) SBA Securities 11,907 (64) 31,036 (538) 42,943 (602) Total Securities Available for Sale $ 55,293 $ (460) $ 35,524 $ (590) $ 90,817 $ (1,050) Less Than 12 Months 12 Months or Greater Total Unrealized Unrealized Unrealized Fair Value Losses Fair Value Losses Fair Value Losses December 31, 2018 U.S. Treasury Securities $ 14,866 $ (19) $ — $ — $ 14,866 $ (19) Municipal Bonds 15,405 (199) 34,172 (916) 49,577 (1,115) Mortgage-Backed Securities 1,751 (21) 41,776 (1,671) 43,527 (1,692) Corporate Securities 9,063 (74) 1,996 (50) 11,059 (124) SBA Securities 28,186 (366) 15,878 (469) 44,064 (835) Total Securities Available for Sale $ 69,271 $ (679) $ 93,822 $ (3,106) $ 163,093 $ (3,785)
Schedule of contractual maturities of debt	The following presents a summary of amortized cost and estimated fair value of debt securities by the lesser of expected call date or contractual maturity as of December 31, 2019. Call date is used when a call of the debt security is expected, determined by the Company when the security has a market value above its amortized cost. Contractual maturities will differ from expected maturities for mortgage-backed, SBA securities and asset-backed securities because borrowers may have the right to call or prepay obligations without penalties. December 31, 2019 Amortized Cost Fair Value Due in One Year or Less $ 15,128 $ 15,201 Due After One Year Through Five Years 65,790 67,216 Due After Five Years Through 10 Years 62,287 65,816 Due After 10 Years 10,900 12,684 Subtotal 154,105 160,917 Mortgage-Backed Securities 64,312 64,728 SBA Securities 50,126 49,559 Asset-Backed Securities 14,673 14,673 Totals $ 283,216 $ 289,877
Summary of the proceeds from sales of securities available for sale, as well as gross gains and losses	The following presents a summary of the proceeds from sales of securities available for sale, as well as gross gains and losses, for the years ended December 31, 2019, 2018 and 2017: 2019 2018 2017 Proceeds From Sales of Securities $ 42,864 $ 24,684 $ 36,209 Gross Gains on Sales 774 290 405 Gross Losses on Sales (258) (415) (655)

Loans (Tables)

Loans (Tables)	12 Months Ended
	Dec. 31, 2019
Loans
Summary of components of loans	The following table presents the components of loans at December 31, 2019 and 2018: December 31, December 31, 2019 2018 Commercial $ 276,035 $ 260,833 Construction and Land Development 196,776 210,041 Real Estate Mortgage: 1-4 Family Mortgage 260,611 226,773 Multifamily 515,014 407,934 CRE Owner Occupied 66,584 64,458 CRE Non-owner Occupied 592,545 490,632 Total Real Estate Mortgage Loans 1,434,754 1,189,797 Consumer and Other 4,473 4,260 Total Loans, Gross 1,912,038 1,664,931 Allowance for Loan Losses (22,526) (20,031) Net Deferred Loan Fees (5,512) (4,515) Total Loans, Net $ 1,884,000 $ 1,640,385
Summary of the activity in the allowance for loan losses by segment	The following table presents the activity in the allowance for loan losses, by segment, for the years ended December 31, 2019, 2018 and 2017: Construction CRE CRE and Land 1-4 Family Owner Non-owner Consumer Commercial Development Mortgage Multifamily Occupied Occupied and Other Unallocated Total Balance at January 1, 2017 $ 1,315 $ 1,379 $ 2,410 $ 1,568 $ 1,160 $ 3,323 78 $ 1,100 $ 12,333 Provision for Loan Losses 1,116 488 (230) 1,602 (204) 1,875 43 (515) 4,175 Loans Charged-off (1) — — — — (111) (65) — (177) Recoveries of Loans 5 25 137 — — — 4 — 171 Balance at December 31, 2017 $ 2,435 $ 1,892 $ 2,317 $ 3,170 $ 956 $ 5,087 60 $ 585 $ 16,502 Provision for Loan Losses 448 632 242 1,474 (148) 785 31 111 3,575 Loans Charged-off (10) (358) (21) — — — (32) — (421) Recoveries of Loans 25 285 59 — — — 6 — 375 Balance at December 31, 2018 $ 2,898 $ 2,451 $ 2,597 $ 4,644 $ 808 $ 5,872 $ 65 $ 696 $ 20,031 Provision for Loan Losses 312 (250) 269 1,180 (16) 1,100 47 58 2,700 Loans Charged-off (160) — (195) — — — (33) — (388) Recoveries of Loans 8 1 168 — — — 6 — 183 Balance at December 31, 2019 $ 3,058 $ 2,202 $ 2,839 $ 5,824 $ 792 $ 6,972 $ 85 $ 754 $ 22,526 The following tables present the balance in the allowance for loan losses and the recorded investment in loans, by segment, based on impairment method as of December 31, 2019 and 2018: Construction CRE CRE and Land 1-‑4 Family Owner Non‑owner Consumer Allowance for Loan Losses at December 31, 2019 Commercial Development Mortgage Multifamily Occupied Occupied and Other Unallocated Total Individually Evaluated for Impairment $ 31 $ — $ — $ — $ — $ — $ 14 $ — $ 45 Collectively Evaluated for Impairment 3,027 2,202 2,839 5,824 792 6,972 71 754 22,481 Totals $ 3,058 $ 2,202 $ 2,839 $ 5,824 $ 792 $ 6,972 $ 85 $ 754 $ 22,526 Allowance for Loan Losses at December 31, 2018 Individually Evaluated for Impairment $ 8 $ — $ 17 $ — $ 22 $ — $ — $ — $ 47 Collectively Evaluated for Impairment 2,890 2,451 2,580 4,644 786 5,872 65 696 19,984 Totals $ 2,898 $ 2,451 $ 2,597 $ 4,644 $ 808 $ 5,872 $ 65 $ 696 $ 20,031 Construction CRE CRE and Land 1-‑4 Family Owner Non‑owner Consumer Loans at December 31, 2019 Commercial Development Mortgage Multifamily Occupied Occupied and Other Total Individually Evaluated for Impairment $ 273 $ 176 $ 1,059 $ — $ 236 $ — $ 14 $ 1,758 Collectively Evaluated for Impairment 275,762 196,600 259,552 515,014 66,348 592,545 4,459 1,910,280 Totals $ 276,035 $ 196,776 $ 260,611 $ 515,014 $ 66,584 $ 592,545 $ 4,473 $ 1,912,038 Loans at December 31, 2018 Individually Evaluated for Impairment $ 8 $ 198 $ 1,676 $ — $ 365 $ — $ 58 $ 2,305 Collectively Evaluated for Impairment 260,825 209,843 225,097 407,934 64,093 490,632 4,202 1,662,626 Totals $ 260,833 $ 210,041 $ 226,773 $ 407,934 $ 64,458 $ 490,632 $ 4,260 $ 1,664,931
Summary of impaired loans by loan segment	The following table presents information regarding total carrying amounts and total unpaid principal balances of impaired loans by loan segment as of December 31, 2019 and 2018: December 31, 2019 December 31, 2018 Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance Loans With No Related Allowance for Loan Losses: Commercial $ 167 $ 167 $ — $ — $ — $ — Construction and Land Development 176 785 — 198 807 — Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 302 489 — 157 157 — 1st REM - 1-4 Family — — — 253 253 — 1st REM - Rentals 757 757 — 957 957 — CRE Owner Occupied 236 236 — 209 209 — Consumer and Other — — — 58 78 — Totals 1,638 2,434 — 1,832 2,461 — Loans With An Allowance for Loan Losses: Commercial 106 109 31 8 8 8 Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage — — — 309 336 17 CRE Owner Occupied — — — 156 156 22 Consumer and Other 14 14 14 — — — Totals 120 123 45 473 500 47 Grand Totals $ 1,758 $ 2,557 $ 45 $ 2,305 $ 2,961 $ 47 The following table presents information regarding the average balances and interest income recognized on impaired loans by loan segment for the years ended December 31, 2019, 2018 and 2017: Year Ended December 31, Year Ended December 31, Year Ended December 31, 2019 2018 2017 Average Interest Average Interest Average Interest Investment Recognized Investment Recognized Investment Recognized Loans With No Related Allowance for Loan Losses: Commercial $ 188 $ 13 $ — $ — $ — $ — Construction and Land Development 189 — 212 — 594 — Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 326 9 158 9 537 20 1st REM - 1-4 Family — — 255 10 130 — 1st REM - Rentals 789 41 976 48 739 34 CRE Owner Occupied 240 12 225 13 2,042 97 Consumer and Other — — 64 — 97 — Totals 1,732 75 1,890 80 4,139 151 Loans With An Allowance for Loan Losses: Commercial 109 1 8 — 14 — Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage — — 324 — — — LOCs and 2nd REM - Rentals — — — — 65 3 1st REM - Rentals — — — — 276 14 Multifamily — — 65 3 66 3 CRE Owner Occupied — — 158 7 161 7 Consumer and Other 44 2 — — — — Totals 153 3 555 10 582 27 Grand Totals $ 1,885 $ 78 $ 2,445 $ 90 $ 4,721 $ 178
Summary of risk category of loans by loan segment, based on the most recent analysis performed by management	The following tables present the risk category of loans by loan segment as of December 31, 2019 and 2018, based on the most recent analysis performed by management: December 31, 2019 Pass Watch Substandard Total Commercial $ 275,741 $ 21 $ 273 $ 276,035 Construction and Land Development 196,462 138 176 196,776 Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 28,483 138 — 28,621 1st REM - 1-4 Family 36,370 124 177 36,671 LOCs and 2nd REM - Rentals 17,890 479 302 18,671 1st REM - Rentals 174,781 1,287 580 176,648 Multifamily 515,014 — — 515,014 CRE Owner Occupied 65,411 — 1,173 66,584 CRE Non-owner Occupied 589,457 3,088 — 592,545 Consumer and Other 4,459 — 14 4,473 Totals $ 1,904,068 $ 5,275 $ 2,695 $ 1,912,038 December 31, 2018 Pass Watch Substandard Total Commercial $ 260,225 $ 600 $ 8 $ 260,833 Construction and Land Development 207,174 2,669 198 210,041 Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 30,669 587 — 31,256 1st REM - 1-4 Family 37,526 126 253 37,905 LOCs and 2nd REM - Rentals 11,341 628 474 12,443 1st REM - Rentals 142,357 1,854 958 145,169 Multifamily 407,934 — — 407,934 CRE Owner Occupied 62,223 — 2,235 64,458 CRE Non-owner Occupied 487,438 3,194 — 490,632 Consumer and Other 4,202 — 58 4,260 Totals $ 1,651,089 $ 9,658 $ 4,184 $ 1,664,931
Summary of aging of the recorded investment in past due loans by loan segment	The following tables present the aging of the recorded investment in past due loans by loan segment as of December 31, 2019 and 2018: Accruing Interest 30-89 Days 90 Days or December 31, 2019 Current Past Due More Past Due Nonaccrual Total Commercial $ 276,028 $ — $ — $ 7 $ 276,035 Construction and Land Development 196,600 — — 176 196,776 Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 28,621 — — — 28,621 1st REM - 1-4 Family 36,671 — — — 36,671 LOCs and 2nd REM - Rentals 18,527 — — 144 18,671 1st REM - Rentals 176,114 400 — 134 176,648 Multifamily 515,014 — — — 515,014 CRE Owner Occupied 66,584 — — — 66,584 CRE Non-owner Occupied 592,545 — — — 592,545 Consumer and Other 4,470 3 — — 4,473 Totals $ 1,911,174 $ 403 $ — $ 461 $ 1,912,038 Accruing Interest 30-89 Days 90 Days or December 31, 2018 Current Past Due More Past Due Nonaccrual Total Commercial $ 260,813 $ 12 $ — $ 8 $ 260,833 Construction and Land Development 209,843 — — 198 210,041 Real Estate Mortgage: HELOC and 1-4 Family Junior Mortgage 30,939 — — 317 31,256 1st REM - 1-4 Family 37,705 200 — — 37,905 LOCs and 2nd REM - Rentals 12,443 — — — 12,443 1st REM - Rentals 145,169 — — — 145,169 Multifamily 407,934 — — — 407,934 CRE Owner Occupied 64,360 98 — — 64,458 CRE Non-owner Occupied 490,632 — — — 490,632 Consumer and Other 4,201 1 — 58 4,260 Totals $ 1,664,039 $ 311 $ — $ 581 $ 1,664,931

Premises and Equipment (Tables)

Premises and Equipment (Tables)	12 Months Ended
	Dec. 31, 2019
Premises and Equipment
Schedule of Premises and equipment	Premises and equipment are summarized as follows for the years ended December 31, 2019 and 2018: Rang of December 31, Useful Lives 2019 2018 Land N/A $ $ Building 15 - 39 Years Leasehold Improvements 3 ‑ 10 Years Furniture and Equipment 3 ‑ 5 Years Construction in Progress N/A Subtotal Accumulated Depreciation Totals $ $
Bloomington Downtown Minneapolis St Paul And Uptown Minneapolis
Premises and Equipment
Schedule of future minimum rent commitments	Pursuant to the terms of non‑cancelable lease agreements in effect at December 31, 2019, pertaining to banking premises in Bloomington, Downtown Minneapolis, St. Paul and Uptown Minneapolis (Drive‑Up) total future minimum rent commitments under various operating leases are as follows: 2019 2020 $ 776 2021 336 2022 327 2023 319 2024 324 Thereafter 1,130 Totals $ 3,212
Greenwood Location
Premises and Equipment
Schedule of future minimum rent commitments	The Greenwood location is leased pursuant to the terms of a non‑cancelable lease agreement with Bridgewater Properties Greenwood, LLC, a related party through common ownership, in effect at December 31, 2019. The lease contains two consecutive options to extend the lease for a period of five years each. Future minimum rent commitments under the operating lease are listed below. 2019 2020 $ 2021 Totals $

Intangible Assets (Tables)

Intangible Assets (Tables)	12 Months Ended
	Dec. 31, 2019
Intangible Assets
Summary of analysis of intangible assets	The following table presents a summary of intangible assets at December 31, 2019 and 2018: December 31, 2019 2018 Core Deposit Intangible $ 1,093 $ Favorable Lease 445 Subtotal 1,538 Accumulated Amortization Totals $ 861 $ 1,052
Summary of estimated future amortization of the core deposit premium intangible and favorable lease asset	The following table presents the estimated future amortization of the core deposit premium intangible and favorable lease asset for the next five years and thereafter. The projections of amortization expense are based on existing asset balances as of December 31, 2019. Core Deposit Favorable Intangible Lease 2020 $ 157 $ 34 2021 157 34 2022 157 34 2023 65 34 2024 — 34 Thereafter — 155 Totals $ 536 $ 325

Deposits (Tables)

Deposits (Tables)	12 Months Ended
	Dec. 31, 2019
Deposits.
Schedule of composition of deposits	The following table presents the composition of deposits at December 31, 2019 and 2018: December 31, 2019 2018 Transaction Deposits $ 712,136 $ 548,770 Savings and Money Market Deposits 516,785 402,639 Time Deposits 360,027 318,356 Brokered Deposits 234,362 291,169 Totals $ 1,823,310 $ 1,560,934
Summary of scheduled maturities of brokered and customer time deposits	The following table presents the scheduled maturities of brokered and customer time deposits at December 31, 2019: 2019 Less than 1 Year $ 336,684 1 to 2 Years 133,771 2 to 3 Years 43,259 3 to 4 Years 67,913 4 to 5 Years 10,319 Totals $ 591,946

Derivative Instruments and He_2

Derivative Instruments and Hedging Activities (Tables)	12 Months Ended
	Dec. 31, 2019
Derivative Instruments, Gain (Loss) [Line Items]
Summary of interest rate swaps	The following table presents a summary of the Company’s interest rate swaps to facilitate customer transactions as of December 31, 2019: December 31, 2019 Notional Estimated Amount Fair Value Interest rate swap agreements: Assets $ 7,140 $ 150 Liabilities 7,140 (150) Total $ 14,280 $ —
Derivative Instruments and Hedging Activities	The following tables present a summary of the Company’s interest rate swaps designated as cash flow hedges as of December 31, 2019 and 2018: 2019 2018 Notional Amount $ 48,000 $ 15,000 Weighted Average Pay Rate 1.89 % 1.21 % Weighted Average Receive Rate 2.25 % 1.97 % Weighted Average Maturity (Years) 3.53 2.16 Net Unrealized Gain (Loss) $ (618) $ 352
Effect of derivative instruments in cash flow hedging relationships	The following table presents the effect of derivative instruments in cash flow hedging relationships on the consolidated statements of income for the year ended December 31, 2019, 2018 and 2017: Year Ended December 31, (dollars in thousands) 2019 2018 2017 Derivatives in Location of Gain or Gain (Loss) Cash Flow Hedging (Loss) Reclassified Reclassified from Relationships from AOCI into Income AOCI into Earnings Interest rate swaps Interest expense $ 9 $ — $ —
Cash flow hedge
Derivative Instruments, Gain (Loss) [Line Items]
Summary of interest rate swaps	December 31, 2019 December 31, 2018 Notional Estimated Notional Estimated Amount Fair Value Amount Fair Value Interest rate swap agreements: Assets $ 18,000 $ 134 $ 15,000 $ 352 Liabilities 30,000 (752) — —

Federal Home Loan Bank Advanc_2

Federal Home Loan Bank Advances and Other Borrowings (Tables)	12 Months Ended
	Dec. 31, 2019
Federal Home Loan Bank Advances and Other Borrowings
Schedule of FHLB advances, by maturity	The following table presents FHLB advances, by maturity, at December 31, 2019 and 2018: 2019 2018 Weighted Weighted Average Total Average Total Rate Outstanding Rate Outstanding 2019 N/A $ — 1.47 % $ 2020 1.76 % 1.65 2021 1.99 1.99 2022 2.50 2.50 2023 2.93 3.03 2024 2.20 3.17 2025 3.29 3.29 Totals $ $

Related Party Transactions (Tab

Related Party Transactions (Tables)	12 Months Ended
	Dec. 31, 2019
Related-Party Transactions
Schedule of loans made between related parties	In the ordinary course of business, the Company has granted loans to executive officers, directors, principal shareholders, and their affiliates (related parties). The following table presents the activity associated with loans made between related parties for the years ended December 31, 2019 and 2018: 2019 2018 Beginning Balance $ 39,454 $ 11,344 New Loans and Advances 13,298 35,761 Repayments Changes to Related Parties - 2 Totals $ 37,483 $ 39,454

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2019
Income Taxes
Summary of allocation of federal and state income taxes	The following table presents the allocation of federal and state income taxes between current and deferred portions as of December 31, 2019, 2018 and 2017: 2019 2018 2017 Current Tax Provision $ 7,670 $ 6,522 $ 10,206 Deferred Tax Benefit Change in Deferred Taxes Due to Enacted Changes in Tax Law — — 2,005 Total Income Tax Provision $ 6,923 $ 5,224 $ 10,149
Statutory federal income tax rate and the effective tax rates	The reasons for the differences between the statutory federal income tax rate and the effective tax rates are summarized as follows as of December 31, 2019, 2018 and 2017: 2019 2018 2017 Amount Percent Amount Percent Amount Percent Amount of Statutory Rate $ % $ % $ % State Income Taxes (Net of Federal Income Tax Benefit) Interest on Investment Securities and Loans Exempt From Federal Income Tax Tax Credits Deferred Tax Asset Revaluation — — — — Other Differences Totals $ % $ % $ %
Summary of components of the net deferred tax asset	The following table presents the components of the net deferred tax asset included in other assets, as of December 31, 2019 and 2018: 2019 2018 Depreciation $ $ Allowance for Loan Losses Unrealized (Gain) Loss on Securities Available for Sale Unrealized (Gain) Loss on Cash Flow Hedge Prepaid Expenses Deferred Compensation Deferred Loan Fees — Other Totals $ $

Tax Credit Investments (Tables)

Tax Credit Investments (Tables)	12 Months Ended
	Dec. 31, 2019
Tax Credit Investments
Summary of investments in qualified affordable housing projects and other tax credit investments	The following table presents a summary of the Company’s investments in qualified affordable housing projects and other tax credit investments at December 31, 2019 and 2018: December 31, 2019 December 31, 2018 Investment Accounting Method Investment Unfunded Commitment (1) Investment Unfunded Commitment Low Income Housing Tax Credit (LIHTC) Proportional Amortization $ 2,148 — $ 2,436 $ — Federal Historic Tax Credit (FHTC) Equity 2,262 3,395 1,814 3,226 Total $ 4,410 $ 3,395 $ 4,250 $ 3,226 (1) All commitments are expected to be paid by the Company by December 31, 2020.
Schedule of amortization expense and tax benefit for qualified affordable housing projects and other tax credit investments	The following table presents a summary of the amortization expense and tax benefit recognized for the Company’s qualified affordable housing projects and other tax credit investments during 2019, 2018 and 2017. Amortization Tax Benefit Expense (1) Recognized (2) Year Ended December 31, 2019 LIHTC $ 289 $ (330) FHTC 3,225 (3,687) Total $ 3,514 $ (4,017) Year Ended December 31, 2018 LIHTC $ 310 $ (346) FHTC 3,293 (3,782) Total $ 3,603 $ (4,128) Year Ended December 31, 2017 LIHTC $ — $ — FHTC 1,916 (2,225) Total $ 1,916 $ (2,225) (1) The amortization expense for the LIHTC investments are included in income tax expense. The amortization for the FHTC tax credits are included in noninterest expense. (2) All of the tax benefits recognized are included in income tax expense. The tax benefit recognized for the FHTC investments primarily reflects the tax credits generated from the investments, and excludes the net tax expense/benefit of the investments’ income/loss.

Commitments, Contingencies an_2

Commitments, Contingencies and Credit Risk (Tables)	12 Months Ended
	Dec. 31, 2019
Commitments, Contingencies and Credit Risk
Schedule of commitments outstanding	The following commitments were outstanding at December 31, 2019 and 2018: December 31, December 31, 2019 2018 Unfunded Commitments Under Lines of Credit $ 500,962 $ 395,032 Letters of Credit 79,225 81,053 Totals $ 580,187 $ 476,085

Stock Options and Restricted _2

Stock Options and Restricted Stock Awards (Tables)	12 Months Ended
	Dec. 31, 2019
Stock Options and Restricted Stock Awards
Summary of valuation assumptions used to determine the fair value of option award	The weighted average assumptions used in the model for valuing stock option grants in 2019 is as follows: December 31, 2019 Dividend Yield — % Expected Life 7 Years Expected Volatility 21.93 % Risk-Free Interest Rate 1.75 %
Summary of the status of the Company’s outstanding stock options	The following table presents a summary of the status of the Company’s outstanding stock options for the years ended December 31, 2019 and 2018: December 31, 2019 December 31, 2018 Weighted Weighted Average Average Shares Exercise Price Shares Exercise Price Outstanding at Beginning of Year 1,807,100 $ 6.24 1,721,000 $ 5.68 Granted 238,000 12.47 135,000 12.52 Exercised (74,850) 3.45 (37,900) 2.78 Forfeitures (8,600) 10.65 (11,000) 7.61 Outstanding at End of Year 1,961,650 $ 7.08 1,807,100 $ 6.24 Options Exercisable at End of Year 992,050 $ 5.01 721,100 $ 4.19
Summary of information pertaining to options outstanding based on range of exercise price	The following table presents information pertaining to options outstanding at December 31, 2019: Options Outstanding Options Exercisable Number Remaining Number Exercise Price Outstanding Contractual Life Exercise Price Outstanding $ 2.13 74,750 3.3 Years $ 2.13 74,750 3.00 455,000 4.0 Years 3.00 455,000 3.58 45,000 5.0 Years 3.58 35,000 7.47 1,023,900 7.8 Years 7.47 402,300 13.22 25,000 8.4 Years 13.22 5,000 12.86 45,000 8.7 Years 12.86 9,000 12.94 30,000 8.8 Years 12.94 6,000 11.59 25,000 8.8 Years 11.59 5,000 11.15 10,000 9.2 Years 11.15 — 11.13 50,000 9.7 Years 11.13 — 12.92 178,000 9.9 Years 12.92 — Totals 1,961,650 7.0 Years $ 7.08 992,050
Summary of analysis of nonvested options to purchase shares of the Company’s stock issued and outstanding	The following presents an analysis of nonvested options to purchase shares of the Company’s stock issued and outstanding for the year ended December 31, 2019: Weighted Number of Average Grant Shares Date Fair Value Nonvested Options at December 31, 2018 1,086,000 $ 2.78 Granted 238,000 3.46 Vested (346,200) 2.41 Forfeited (8,200) 3.40 Nonvested Options at December 31, 2019 969,600 $ 3.08

Regulatory Capital (Tables)

Regulatory Capital (Tables)	12 Months Ended
	Dec. 31, 2019
Regulatory Capital
Summary of company and the Bank’s capital amounts and ratios	The following tables present the Company and the Bank’s capital amounts and ratios as of December 31, 2019 and 2018: Minimum Required For Capital Adequacy To be Well Capitalized For Capital Adequacy Purposes Plus Capital Under Prompt Corrective Actual Purposes Conservation Buffer Action Regulations December 31, 2019 Amount Ratio Amount Ratio Amount Ratio Amount Ratio (dollars in thousands) Company (Consolidated): Total Risk-Based Capital $ 269,613 12.98 % $ 166,163 8.00 % $ 218,089 10.50 % N/A N/A Tier 1 Risk-Based Capital 236,533 11.39 124,623 6.00 176,549 8.50 N/A N/A Common Equity Tier 1 Capital 236,533 11.39 93,467 4.50 145,393 7.00 N/A N/A Tier 1 Leverage Ratio 236,533 10.69 88,498 4.00 88,498 4.00 N/A N/A Bank: Total Risk-Based Capital $ 252,501 12.16 % $ 166,137 8.00 % $ 218,055 10.50 % $ 207,671 10.00 % Tier 1 Risk-Based Capital 243,461 11.72 124,603 6.00 176,521 8.50 166,137 8.00 Common Equity Tier 1 Capital 243,461 11.72 93,452 4.50 145,370 7.00 134,986 6.50 Tier 1 Leverage Ratio 243,461 11.01 88,455 4.00 88,455 4.00 110,569 5.00 Minimum Required For Capital Adequacy To be Well Capitalized For Capital Adequacy Purposes Plus Capital Under Prompt Corrective Actual Purposes Conservation Buffer Action Regulations December 31, 2018 Amount Ratio Amount Ratio Amount Ratio Amount Ratio (dollars in thousands) Company (Consolidated): Total Risk-Based Capital $ 263,909 14.55 % $ 145,111 8.00 % $ 179,121 9.875 % N/A N/A Tier 1 Risk-Based Capital 218,888 12.07 108,833 6.00 142,844 7.875 N/A N/A Common Equity Tier 1 Capital 218,888 12.07 81,625 4.50 115,635 6.375 N/A N/A Tier 1 Leverage Ratio 218,888 11.23 77,971 4.00 77,971 4.00 N/A N/A Bank: Total Risk-Based Capital $ 230,865 12.76 % $ 144,776 8.00 % $ 178,707 9.875 % $ 180,970 10.00 % Tier 1 Risk-Based Capital 210,474 11.63 108,582 6.00 142,514 7.875 144,776 8.00 Common Equity Tier 1 Capital 210,474 11.63 81,436 4.50 115,368 6.375 117,630 6.50 Tier 1 Leverage Ratio 210,474 10.82 77,795 4.00 77,795 4.00 97,244 5.00

Fair Value Measurement (Tables)

Fair Value Measurement (Tables)	12 Months Ended
	Dec. 31, 2019
Fair Value Measurement
Summary of balances of the assets and liabilities measured at fair value on a recurring basis	The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. The following table presents the balances of the assets and liabilities measured at fair value on a recurring basis as of December 31, 2019 and 2018: December 31, 2019 Level 1 Level 2 Level 3 Total Fair Value of Financial Assets: Securities Available for Sale: U.S. Treasury Securities $ 4,998 $ — $ — $ 4,998 Municipal Bonds — 105,743 — 105,743 Mortgage-Backed Securities — 64,728 — 64,728 Corporate Securities — 50,176 — 50,176 SBA Securities — 49,559 — 49,559 Asset-Backed Securities — 14,673 — 14,673 Interest Rate Swaps — 284 — 284 Total Fair Value of Financial Assets $ 4,998 $ 285,163 $ — $ 290,161 Fair Value of Financial Liabilities: Interest Rate Swaps $ — $ 902 $ — $ 902 Total Fair Value of Financial Liabilities $ — $ 902 $ — $ 902 December 31, 2018 Level 1 Level 2 Level 3 Total Fair Value of Financial Assets: Securities Available for Sale: U.S. Treasury Securities $ 17,897 $ — $ — $ 17,897 Municipal Bonds — 118,133 — 118,133 Mortgage-Backed Securities — 47,176 — 47,176 Corporate Securities — 21,118 — 21,118 SBA Securities — 49,054 — 49,054 Interest Rate Swaps — 352 — 352 Total Fair Value of Financial Assets $ 17,897 $ 235,833 $ — $ 253,730
Summary of net impairment losses related to nonrecurring fair value measurements of certain asset	The following tables present net impairment losses related to nonrecurring fair value measurements of certain assets for the periods ended December 31, 2019, 2018 and 2017: December 31, 2019 Level 1 Level 2 Level 3 Loss Impaired Loans $ — $ 75 $ — $ 206 Totals $ — $ 75 $ — $ 206 December 31, 2018 Level 1 Level 2 Level 3 Loss Impaired Loans $ — $ 426 $ — $ 396 Totals $ — $ 426 $ — $ 396 December 31, 2017 Level 1 Level 2 Level 3 Loss Impaired Loans $ — $ 464 $ — $ 109 Totals $ — $ 464 $ — $ 109
Summary of carrying amount and estimated fair values of financial instruments	The following tables present the carrying amount and estimated fair values of financial instruments at December 31, 2019 and 2018: December 31, 2019 Fair Value Hierarchy Carrying Estimated Amount Level 1 Level 2 Level 3 Fair Value Financial Assets: Cash and Due From Banks $ 31,935 $ 31,935 $ — $ — $ 31,935 Bank-Owned Certificates of Deposit 2,654 — 2,677 — 2,677 Securities Available for Sale 289,877 4,998 284,879 — 289,877 FHLB Stock, at Cost 7,824 — 7,824 — 7,824 Loans, Net 1,884,000 — 1,891,987 — 1,891,987 Accrued Interest Receivable 6,775 — 6,775 — 6,775 Interest Rate Swaps 284 — 284 — 284 Financial Liabilities: Deposits $ 1,823,310 $ — $ 1,821,915 $ — $ 1,821,915 Notes Payable 13,000 — 13,022 — 13,022 FHLB Advances 136,500 — 141,152 — 141,152 Subordinated Debentures 24,733 — 25,309 — 25,309 Accrued Interest Payable 1,982 — 1,982 — 1,982 Interest Rate Swaps 902 — 902 — 902 December 31, 2018 Fair Value Hierarchy Carrying Estimated Amount Level 1 Level 2 Level 3 Fair Value Financial Assets: Cash and Due From Banks $ 28,444 $ 28,444 $ — $ — $ 28,444 Bank-Owned Certificates of Deposit 3,305 — 3,292 — 3,292 Securities Available for Sale 253,378 17,897 235,481 — 253,378 FHLB Stock, at Cost 7,614 — 7,614 — 7,614 Loans, Net 1,640,385 — 1,634,196 — 1,634,196 Accrued Interest Receivable 6,589 — 6,589 — 6,589 Interest Rate Swap 352 — 352 — 352 Financial Liabilities: Deposits $ 1,560,934 $ — $ 1,560,488 $ — $ 1,560,488 Federal Funds Purchased 18,000 — 18,000 — 18,000 Notes Payable 15,000 — 15,551 — 15,551 FHLB Advances 124,000 — 124,952 — 124,952 Subordinated Debentures 24,630 — 25,365 — 25,365 Accrued Interest Payable 1,806 — 1,806 — 1,806

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Loss) (Tables)	12 Months Ended
	Dec. 31, 2019
Accumulated Other Comprehensive Income (Loss)
Summary of components of other comprehensive income (loss)	The following table presents the components of other comprehensive income (loss) for the years ended December 31, 2019, 2018 and 2017. Before Tax Tax Effect Net of Tax Year Ended December 31, 2019 Net Unrealized Gain on Available for Sale Securities $ 9,514 $ (1,998) $ 7,516 Less: Reclassification Adjustment for Net Gains Included in Net Income (516) 109 (407) Total Unrealized Gain 8,998 (1,889) 7,109 Net Unrealized Loss on Cash Flow Hedge (962) 202 (760) Less: Reclassification Adjustment for Gains Included in Net Income (9) 2 (7) Total Unrealized Loss (971) 204 (767) Other Comprehensive Gain $ 8,027 $ (1,685) $ 6,342 Year Ended December 31, 2018 Net Unrealized Loss on Available for Sale Securities $ (3,804) $ 852 $ (2,952) Less: Reclassification Adjustment for Net Losses Included in Net Income 125 (26) 99 Total Unrealized Loss (3,679) 826 (2,853) Net Unrealized Gain on Cash Flow Hedge 9 (2) 7 Less: Reclassification Adjustment for Gains Included in Net Income — — — Total Unrealized Gain 9 (2) 7 Other Comprehensive Loss $ (3,670) $ 824 $ (2,846) Year Ended December 31, 2017 Net Unrealized Gain on Available for Sale Securities $ 6,354 $ (2,236) $ 4,118 Less: Reclassification Adjustment for Net Losses Included in Net Income 250 (88) 162 Total Unrealized Gain 6,604 (2,324) 4,280 Net Unrealized Gain on Cash Flow Hedge 121 (42) 79 Less: Reclassification Adjustment for Gains Included in Net Income — — — Total Unrealized Gain 121 (42) 79 Other Comprehensive Income $ 6,725 $ (2,366) $ 4,359
Summary of changes in each component of accumulated other comprehensive income (loss), net of tax	The following table presents the changes in each component of accumulated other comprehensive income (loss), net of tax, for the years ended December 31, 2019, 2018 and 2017. Accumulated Available For Other Comprehensive Sale Securities Cash Flow Hedge Income (Loss) Year Ended December 31, 2019 Balance at Beginning of Year $ (1,846) $ 278 $ (1,568) Other Comprehensive Income (Loss) Before Reclassifications 7,516 (760) 6,756 Amounts Reclassified from Accumulated Other Comprehensive Income (407) (7) (414) Net Other Comprehensive Income During Period 7,109 (767) 6,342 Balance at End of Year $ 5,263 $ (489) $ 4,774 Year Ended December 31, 2018 Balance at Beginning of Year $ 860 $ 224 $ 1,084 Reclassification of the Income Tax Effects of the Tax Cuts and Jobs Act 147 47 194 Other Comprehensive Income (Loss) Before Reclassifications (2,952) 7 (2,945) Amounts Reclassified from Accumulated Other Comprehensive Income 99 — 99 Net Other Comprehensive Income During Period (2,853) 7 (2,846) Balance at End of Year $ (1,846) $ 278 $ (1,568) Year Ended December 31, 2017 Balance at Beginning of Year $ (3,420) $ 145 $ (3,275) Other Comprehensive Income (Loss) Before Reclassifications 4,118 79 4,197 Amounts Reclassified from Accumulated Other Comprehensive Income 162 — 162 Net Other Comprehensive Income During Period 4,280 79 4,359 Balance at End of Year $ 860 $ 224 $ 1,084

Parent Company Financial Info_2

Parent Company Financial Information (Tables)	12 Months Ended
	Dec. 31, 2019
Parent Company Financial Information
Schedule of Condensed Balance Sheets	ddddddddd December 31, December 31, 2019 2018 ASSETS Cash and Cash Equivalents $ $ Investment in Subsidiaries Premises and Equipment, Net Other Assets Total Assets $ $ LIABILITIES AND EQUITY LIABILITIES Notes Payable $ $ Subordinated Debentures, Net of Issuance Costs Accrued Interest Payable Other Liabilities Total Liabilities SHAREHOLDERS’ EQUITY Preferred Stock—$0.01 par value Preferred Stock—Authorized 10,000,000 — — Common Stock—$0.01 par value Voting Common Stock—Authorized 75,000,000 Additional Paid‑In Capital Retained Earnings Accumulated Other Comprehensive Income (Loss) Total Shareholders’ Equity Total Liabilities and Shareholders' Equity $ $
Schedule of Condensed Statements of Income	December 31, December 31, December 31, 2019 2018 2017 INCOME Dividend Income $ $ $ — Interest Income Other Income Total Income EXPENSE Interest Expense Other Expenses Total Interest Expense LOSS BEFORE INCOME TAX BENEFIT AND EQUITY IN UNDISTRIBUTED EARNINGS Income Tax Benefit LOSS BEFORE EQUITY IN UNDISTRIBUTED EARNINGS Equity in Undistributed Earnings NET INCOME $ $ $
Schedule of Condensed Statements of Cash Flows	December 31, December 31, December 31, 2019 2018 2017 CASH FLOWS FROM OPERATING ACTIVITIES Net Income $ $ $ Adjustments to Reconcile Net Income to Net Cash Provided (Used) by Operating Activities: Equity in Undistributed Earnings of Subsidiaries Changes in Other Assets and Liabilities Net Cash Used by Operating Activities CASH FLOWS FROM INVESTING ACTIVITIES Net Increase in Loans — — Investment in Subsidiaries — (25,000) Net Cash Used in Investing Activities (742) CASH FLOWS FROM FINANCING ACTIVITIES Principal Payments on Notes Payable (2,000) (2,000) Proceeds from Issuance of Subordinated Debt — — Stock Options Exercised Stock Repurchases — — Issuance of Common Stock — — Net Cash Provided (Used) by Financing Activities NET CHANGE IN CASH AND CASH EQUIVALENTS Cash and Cash Equivalents Beginning Cash and Cash Equivalents Ending $ $ $

Quarterly Condensed Financial_2

Quarterly Condensed Financial Information (Unaudited) (Tables)	12 Months Ended
	Dec. 31, 2019
Quarterly Condensed Financial Information (Unaudited)
Schedule of unaudited quarterly condensed financial information	The following tables present the unaudited quarterly condensed financial information for the years ended December 31, 2019 and 2018: 2019 Quarter Ended March 31 June 30 September 30 December 31 (dollars in thousands) Interest Income $ 24,267 $ 25,520 $ 26,572 $ 27,419 Interest Expense 7,136 7,382 7,637 7,491 Net Interest Income 17,131 18,138 18,935 19,928 Provision for Loan Losses 600 600 900 600 Net Interest Income after Provision for Loan Losses 16,531 17,538 18,035 19,328 Noninterest Income 634 1,134 946 1,112 Noninterest Expense 7,885 9,474 9,084 10,489 Income Before Income Taxes 9,280 9,198 9,897 9,951 Provision for Income Taxes 2,262 1,189 2,092 1,380 Net Income $ 7,018 $ 8,009 $ 7,805 $ 8,571 Earnings per share Basic $ $ $ $ Diluted $ $ $ $ 2018 Quarter Ended March 31 June 30 September 30 December 31 (dollars in thousands) Interest Income $ 18,710 $ 20,392 $ 22,136 $ 23,988 Interest Expense 3,947 4,493 5,502 6,546 Net Interest Income 14,763 15,899 16,634 17,442 Provision for Loan Losses 600 900 1,275 800 Net Interest Income after Provision for Loan Losses 14,163 14,999 15,359 16,642 Noninterest Income 387 485 814 857 Noninterest Expense 6,532 6,464 7,526 11,040 Income Before Income Taxes 8,018 9,020 8,647 6,459 Provision (Benefit) for Income Taxes 2,068 2,274 2,184 (1,302) Net Income $ 5,950 $ 6,746 $ 6,463 $ 7,761 Earnings per share Basic $ $ $ $ Diluted $ $ $ $

Description of the Business a_3

Description of the Business and Summary of Significant Accounting Policies (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2019USD ($)segment	Dec. 31, 2018USD ($)
Description of the Business and Summary of Significant Accounting Policies
Bank-owned certificates of deposit mature	5 years
Average balance required to be maintained by bank	$ 776
Pledged cash collateral	$ 1,404	$ 0
Number of Operating Segments | segment	1

Earnings Per Share (Details)

Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Earnings Per Share
Anti dilutive securities excluded from the calculation of EPS									303,000	130,000	0
Net Income Available to Common Shareholders	$ 8,571	$ 7,805	$ 8,009	$ 7,018	$ 7,761	$ 6,463	$ 6,746	$ 5,950	$ 31,403	$ 26,920	$ 16,889
Weighted Average Common Stock Outstanding:
Weighted Average Common Stock Outstanding (Basic)									29,358,644	29,001,393	24,604,464
Dilutive Effect of Stock Compensation									638,132	434,821	413,226
Weighted Average Common Stock Outstanding (Dilutive)									29,996,776	29,436,214	25,017,690
Basic Earnings per Common Share (in dollars per share)	$ 0.30	$ 0.27	$ 0.27	$ 0.23	$ 0.26	$ 0.22	$ 0.22	$ 0.23	$ 1.07	$ 0.93	$ 0.69
Diluted Earnings per Common Share (in dollars per share)	$ 0.29	$ 0.27	$ 0.26	$ 0.23	$ 0.25	$ 0.21	$ 0.22	$ 0.23	$ 1.05	$ 0.91	$ 0.68

Bank-Owned Certificates of De_3

Bank-Owned Certificates of Deposit (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Certificates of deposit in other financial institutions by maturity
One Year or Less	$ 1,229	$ 1,586
After One Year Through Five Years	1,425	1,719
Certificates of deposit in other financial institutions	$ 2,654	$ 3,305

Securities - Securities Availab

Securities - Securities Available for Sale (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
The amortized cost and estimated fair value of securities with gross unrealized gains and losses
Amortized Cost	$ 283,216	$ 255,715
Gross Unrealized Gains	7,711	1,448
Gross Unrealized Losses	(1,050)	(3,785)
Fair Value	289,877	253,378
U.S. Treasury Securities
The amortized cost and estimated fair value of securities with gross unrealized gains and losses
Amortized Cost	4,990	17,862
Gross Unrealized Gains	8	54
Gross Unrealized Losses		(19)
Fair Value	4,998	17,897
Municipal Bonds
The amortized cost and estimated fair value of securities with gross unrealized gains and losses
Amortized Cost	99,441	117,991
Gross Unrealized Gains	6,338	1,257
Gross Unrealized Losses	(36)	(1,115)
Fair Value	105,743	118,133
Mortgage-Backed Securities
The amortized cost and estimated fair value of securities with gross unrealized gains and losses
Amortized Cost	64,312	48,816
Gross Unrealized Gains	697	52
Gross Unrealized Losses	(281)	(1,692)
Fair Value	64,728	47,176
Corporate Securities
The amortized cost and estimated fair value of securities with gross unrealized gains and losses
Amortized Cost	49,674	21,170
Gross Unrealized Gains	633	72
Gross Unrealized Losses	(131)	(124)
Fair Value	50,176	21,118
SBA Securities
The amortized cost and estimated fair value of securities with gross unrealized gains and losses
Amortized Cost	50,126	49,876
Gross Unrealized Gains	35	13
Gross Unrealized Losses	(602)	(835)
Fair Value	49,559	$ 49,054
Asset-Backed Securities
The amortized cost and estimated fair value of securities with gross unrealized gains and losses
Amortized Cost	14,673
Fair Value	$ 14,673

Securities - Continuous Unreali

Securities - Continuous Unrealized Loss Position (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2019USD ($)security	Dec. 31, 2018USD ($)security
Fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position
Less Than 12 Months, Fair Value	$ 55,293	$ 69,271
Less Than 12 Months, Unrealized Losses	(460)	(679)
12 Months or Greater, Fair Value	35,524	93,822
12 Months or Greater, Unrealized Losses	(590)	(3,106)
Fair Value	90,817	163,093
Unrealized Losses	$ (1,050)	$ (3,785)
Number of debt securities with unrealized losses | security	110	195
Percentage of aggregate depreciation from amortized cost basis	1.10%	2.30%
U.S. Treasury Securities
Fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position
Less Than 12 Months, Fair Value		$ 14,866
Less Than 12 Months, Unrealized Losses		(19)
Fair Value		14,866
Unrealized Losses		(19)
Municipal Bonds
Fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position
Less Than 12 Months, Fair Value	$ 2,760	15,405
Less Than 12 Months, Unrealized Losses	(23)	(199)
12 Months or Greater, Fair Value	1,390	34,172
12 Months or Greater, Unrealized Losses	(13)	(916)
Fair Value	4,150	49,577
Unrealized Losses	(36)	(1,115)
Mortgage-Backed Securities
Fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position
Less Than 12 Months, Fair Value	32,276	1,751
Less Than 12 Months, Unrealized Losses	(242)	(21)
12 Months or Greater, Fair Value	3,098	41,776
12 Months or Greater, Unrealized Losses	(39)	(1,671)
Fair Value	35,374	43,527
Unrealized Losses	(281)	(1,692)
Corporate Securities
Fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position
Less Than 12 Months, Fair Value	8,350	9,063
Less Than 12 Months, Unrealized Losses	(131)	(74)
12 Months or Greater, Fair Value		1,996
12 Months or Greater, Unrealized Losses		(50)
Fair Value	8,350	11,059
Unrealized Losses	(131)	(124)
SBA Securities
Fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position
Less Than 12 Months, Fair Value	11,907	28,186
Less Than 12 Months, Unrealized Losses	(64)	(366)
12 Months or Greater, Fair Value	31,036	15,878
12 Months or Greater, Unrealized Losses	(538)	(469)
Fair Value	42,943	44,064
Unrealized Losses	$ (602)	$ (835)

Securities - Contractual Maturi

Securities - Contractual Maturities (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Contractual maturities, amortized cost
Due in One Year or Less	$ 15,128
Due After One Year Through Five Years	65,790
Due After Five Years Through 10 Years	62,287
Due After 10 Years	10,900
Subtotal	154,105
Totals	283,216	$ 255,715
Contractual maturities, fair value
Due in One Year or Less	15,201
Due After One Year Through Five Years	67,216
Due After Five Years Through 10 Years	65,816
Due After 10 Years	12,684
Subtotal	160,917
Totals	289,877	253,378
Mortgage-Backed Securities
Contractual maturities, amortized cost
Contractual securities	64,312
Totals	64,312	48,816
Contractual maturities, fair value
Contractual securities	64,728
Totals	64,728	47,176
SBA Securities
Contractual maturities, amortized cost
Contractual securities	50,126
Totals	50,126	49,876
Contractual maturities, fair value
Contractual securities	49,559
Totals	49,559	$ 49,054
Asset-Backed Securities
Contractual maturities, amortized cost
Contractual securities	14,673
Totals	14,673
Contractual maturities, fair value
Contractual securities	14,673
Totals	$ 14,673

Securities - Available for Sale

Securities - Available for Sale Securities Gross Realized Gain Loss (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Summary of the proceeds from sales of securities available for sale, as well as gross gains and losses
Proceeds From Sales of Securities	$ 42,864	$ 24,684	$ 36,209
Gross Gains on Sales	774	290	405
Gross Losses on Sales	$ (258)	$ (415)	$ (655)

Loans - Components of loans (De

Loans - Components of loans (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Components of loans
Total Loans, Gross	$ 1,912,038	$ 1,664,931
Allowance for Loan Losses	(22,526)	(20,031)	$ (16,502)	$ (12,333)
Net Deferred Loan Fees	(5,512)	(4,515)
Total Loans, Net	1,884,000	1,640,385
Commercial
Components of loans
Total Loans, Gross	276,035	260,833
Allowance for Loan Losses	(3,058)	(2,898)	(2,435)	(1,315)
Construction and Land Development
Components of loans
Total Loans, Gross	196,776	210,041
Allowance for Loan Losses	(2,202)	(2,451)	(1,892)	(1,379)
Real Estate Mortgage
Components of loans
Total Loans, Gross	1,434,754	1,189,797
1-4 Family Mortgage
Components of loans
Total Loans, Gross	260,611	226,773
Allowance for Loan Losses	(2,839)	(2,597)	(2,317)	(2,410)
Multifamily
Components of loans
Total Loans, Gross	515,014	407,934
Allowance for Loan Losses	(5,824)	(4,644)	(3,170)	(1,568)
CRE Owner Occupied
Components of loans
Total Loans, Gross	66,584	64,458
Allowance for Loan Losses	(792)	(808)	(956)	(1,160)
CRE Non-owner Occupied
Components of loans
Total Loans, Gross	592,545	490,632
Allowance for Loan Losses	(6,972)	(5,872)	(5,087)	(3,323)
Consumer and other
Components of loans
Total Loans, Gross	4,473	4,260
Allowance for Loan Losses	$ (85)	$ (65)	$ (60)	$ (78)

Loans - Allowance for loan loss

Loans - Allowance for loan losses by segment (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2019	Dec. 31, 2018
Allowance for Loan Losses:
Beginning Balance				$ 20,031				$ 16,502	$ 20,031	$ 16,502	$ 12,333
Provision for Loan Losses	$ 600	$ 900	$ 600	600	$ 800	$ 1,275	$ 900	600	2,700	3,575	4,175
Loans Charged-off									(388)	(421)	(177)
Recoveries of Loans									183	375	171
Total Ending Allowance Balance	22,526				20,031				22,526	20,031	16,502
Allowance for loan losses and the recorded investment
Allowance for Loan Losses and Loans, Individually Evaluated for Impairment												$ 45	$ 47
Allowance for Loan Losses and Loans, Collectively Evaluated for Impairment												22,481	19,984
Loans and Leases Receivable, Allowance, Total	22,526			20,031	20,031			16,502	22,526	20,031	16,502	22,526	20,031
Loans, Individually Evaluated for Impairment												1,758	2,305
Loans, Collectively Evaluated for Impairment												1,910,280	1,662,626
Totals												1,912,038	1,664,931
Commercial
Allowance for Loan Losses:
Beginning Balance				2,898				2,435	2,898	2,435	1,315
Provision for Loan Losses									312	448	1,116
Loans Charged-off									(160)	(10)	(1)
Recoveries of Loans									8	25	5
Total Ending Allowance Balance	3,058				2,898				3,058	2,898	2,435
Allowance for loan losses and the recorded investment
Allowance for Loan Losses and Loans, Individually Evaluated for Impairment												31	8
Allowance for Loan Losses and Loans, Collectively Evaluated for Impairment												3,027	2,890
Loans and Leases Receivable, Allowance, Total	3,058			2,898	2,898			2,435	3,058	2,898	2,435	3,058	2,898
Loans, Individually Evaluated for Impairment												273	8
Loans, Collectively Evaluated for Impairment												275,762	260,825
Totals												276,035	260,833
Construction and Land Development
Allowance for Loan Losses:
Beginning Balance				2,451				1,892	2,451	1,892	1,379
Provision for Loan Losses									(250)	632	488
Loans Charged-off										(358)
Recoveries of Loans									1	285	25
Total Ending Allowance Balance	2,202				2,451				2,202	2,451	1,892
Allowance for loan losses and the recorded investment
Allowance for Loan Losses and Loans, Collectively Evaluated for Impairment												2,202	2,451
Loans and Leases Receivable, Allowance, Total	2,202			2,451	2,451			1,892	2,202	2,451	1,892	2,202	2,451
Loans, Individually Evaluated for Impairment												176	198
Loans, Collectively Evaluated for Impairment												196,600	209,843
Totals												196,776	210,041
1-4 Family Mortgage
Allowance for Loan Losses:
Beginning Balance				2,597				2,317	2,597	2,317	2,410
Provision for Loan Losses									269	242	(230)
Loans Charged-off									(195)	(21)
Recoveries of Loans									168	59	137
Total Ending Allowance Balance	2,839				2,597				2,839	2,597	2,317
Allowance for loan losses and the recorded investment
Allowance for Loan Losses and Loans, Individually Evaluated for Impairment													17
Allowance for Loan Losses and Loans, Collectively Evaluated for Impairment												2,839	2,580
Loans and Leases Receivable, Allowance, Total	2,839			2,597	2,597			2,317	2,839	2,597	2,317	2,839	2,597
Loans, Individually Evaluated for Impairment												1,059	1,676
Loans, Collectively Evaluated for Impairment												259,552	225,097
Totals												260,611	226,773
Multifamily
Allowance for Loan Losses:
Beginning Balance				4,644				3,170	4,644	3,170	1,568
Provision for Loan Losses									1,180	1,474	1,602
Total Ending Allowance Balance	5,824				4,644				5,824	4,644	3,170
Allowance for loan losses and the recorded investment
Allowance for Loan Losses and Loans, Collectively Evaluated for Impairment												5,824	4,644
Loans and Leases Receivable, Allowance, Total	5,824			4,644	4,644			3,170	5,824	4,644	3,170	5,824	4,644
Loans, Collectively Evaluated for Impairment												515,014	407,934
Totals												515,014	407,934
CRE Owner Occupied
Allowance for Loan Losses:
Beginning Balance				808				956	808	956	1,160
Provision for Loan Losses									(16)	(148)	(204)
Total Ending Allowance Balance	792				808				792	808	956
Allowance for loan losses and the recorded investment
Allowance for Loan Losses and Loans, Individually Evaluated for Impairment													22
Allowance for Loan Losses and Loans, Collectively Evaluated for Impairment												792	786
Loans and Leases Receivable, Allowance, Total	792			808	808			956	792	808	956	792	808
Loans, Individually Evaluated for Impairment												236	365
Loans, Collectively Evaluated for Impairment												66,348	64,093
Totals												66,584	64,458
CRE Non-owner Occupied
Allowance for Loan Losses:
Beginning Balance				5,872				5,087	5,872	5,087	3,323
Provision for Loan Losses									1,100	785	1,875
Loans Charged-off											(111)
Total Ending Allowance Balance	6,972				5,872				6,972	5,872	5,087
Allowance for loan losses and the recorded investment
Allowance for Loan Losses and Loans, Collectively Evaluated for Impairment												6,972	5,872
Loans and Leases Receivable, Allowance, Total	6,972			5,872	5,872			5,087	6,972	5,872	5,087	6,972	5,872
Loans, Collectively Evaluated for Impairment												592,545	490,632
Totals												592,545	490,632
Consumer and other
Allowance for Loan Losses:
Beginning Balance				65				60	65	60	78
Provision for Loan Losses									47	31	43
Loans Charged-off									(33)	(32)	(65)
Recoveries of Loans									6	6	4
Total Ending Allowance Balance	85				65				85	65	60
Allowance for loan losses and the recorded investment
Allowance for Loan Losses and Loans, Individually Evaluated for Impairment												14
Allowance for Loan Losses and Loans, Collectively Evaluated for Impairment												71	65
Loans and Leases Receivable, Allowance, Total	85			65	65			60	85	65	60	85	65
Loans, Individually Evaluated for Impairment												14	58
Loans, Collectively Evaluated for Impairment												4,459	4,202
Totals												4,473	4,260
Unallocated
Allowance for Loan Losses:
Beginning Balance				696				585	696	585	1,100
Provision for Loan Losses									58	111	(515)
Total Ending Allowance Balance	754				696				754	696	585
Allowance for loan losses and the recorded investment
Allowance for Loan Losses and Loans, Collectively Evaluated for Impairment												754	696
Loans and Leases Receivable, Allowance, Total	$ 754			$ 696	$ 696			$ 585	$ 754	$ 696	$ 585	$ 754	$ 696

Loans - Impaired loans by loan

Loans - Impaired loans by loan segment (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Recorded Investment	$ 1,638	$ 1,832
Loans With No Related Allowance for Loan Losses, Principal Balance	2,434	2,461
Total Recorded Investment	1,758	2,305
Total Principal Balance	2,557	2,961
Related Allowance	45	47
Commercial
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Recorded Investment	167
Loans With No Related Allowance for Loan Losses, Principal Balance	167
Loans With An Allowance for Loan Losses, Recorded Investment	106	8
Loans With An Allowance for Loan Losses, Principal Balance	109	8
Related Allowance	31	8
Construction and Land Development
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Recorded Investment	176	198
Loans With No Related Allowance for Loan Losses, Principal Balance	785	807
Real Estate Mortgage
Impaired loans by loan segment
Loans With An Allowance for Loan Losses, Recorded Investment	120	473
Loans With An Allowance for Loan Losses, Principal Balance	123	500
Related Allowance	45	47
HELOC and 1-4 Family Junior Mortgage
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Recorded Investment	302	157
Loans With No Related Allowance for Loan Losses, Principal Balance	489	157
Loans With An Allowance for Loan Losses, Recorded Investment		309
Loans With An Allowance for Loan Losses, Principal Balance		336
Related Allowance		17
1st REM - 1-4 Family
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Recorded Investment		253
Loans With No Related Allowance for Loan Losses, Principal Balance		253
1st REM - Rentals
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Recorded Investment	757	957
Loans With No Related Allowance for Loan Losses, Principal Balance	757	957
Consumer and other
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Recorded Investment		58
Loans With No Related Allowance for Loan Losses, Principal Balance		78
Loans With An Allowance for Loan Losses, Recorded Investment	14
Loans With An Allowance for Loan Losses, Principal Balance	14
Related Allowance	14
CRE Owner Occupied
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Recorded Investment	236	209
Loans With No Related Allowance for Loan Losses, Principal Balance	$ 236	209
Loans With An Allowance for Loan Losses, Recorded Investment		156
Loans With An Allowance for Loan Losses, Principal Balance		156
Related Allowance		$ 22

Loans - Average balances and in

Loans - Average balances and interest income recognized (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Average Investment	$ 1,732	$ 1,890	$ 4,139
Loans With No Related Allowance for Loan Losses, Interest Recognized	75	80	151
Total Average Investment	1,885	2,445	4,721
Total Interest Recognized	78	90	178
Commercial
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Average Investment	188
Loans With No Related Allowance for Loan Losses, Interest Recognized	13
Loans With An Allowance for Loan Losses, Average Investment	109	8	14
Loans With An Allowance for Loan Losses, Interest Recognized	1
Construction and Land Development
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Average Investment	189	212	594
Real Estate Mortgage
Impaired loans by loan segment
Loans With An Allowance for Loan Losses, Average Investment	153	555	582
Loans With An Allowance for Loan Losses, Interest Recognized	3	10	27
HELOC and 1-4 Family Junior Mortgage
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Average Investment	326	158	537
Loans With No Related Allowance for Loan Losses, Interest Recognized	9	9	20
Loans With An Allowance for Loan Losses, Average Investment		324
LOCs and 2nd REM - Rentals
Impaired loans by loan segment
Loans With An Allowance for Loan Losses, Average Investment			65
Loans With An Allowance for Loan Losses, Interest Recognized			3
1st REM - 1-4 Family
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Average Investment		255	130
Loans With No Related Allowance for Loan Losses, Interest Recognized		10
1st REM - Rentals
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Average Investment	789	976	739
Loans With No Related Allowance for Loan Losses, Interest Recognized	41	48	34
Loans With An Allowance for Loan Losses, Average Investment			276
Loans With An Allowance for Loan Losses, Interest Recognized			14
Multifamily
Impaired loans by loan segment
Loans With An Allowance for Loan Losses, Average Investment		65	66
Loans With An Allowance for Loan Losses, Interest Recognized		3	3
CRE Owner Occupied
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Average Investment	240	225	2,042
Loans With No Related Allowance for Loan Losses, Interest Recognized	12	13	97
Loans With An Allowance for Loan Losses, Average Investment		158	161
Loans With An Allowance for Loan Losses, Interest Recognized		7	7
Consumer and other
Impaired loans by loan segment
Loans With No Related Allowance for Loan Losses, Average Investment		$ 64	$ 97
Loans With An Allowance for Loan Losses, Average Investment	44
Loans With An Allowance for Loan Losses, Interest Recognized	$ 2

Loans - Risk category of loans

Loans - Risk category of loans by loan segment (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	$ 1,912,038	$ 1,664,931
Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	1,904,068	1,651,089
Watch
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	5,275	9,658
Substandard
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	2,695	4,184
Commercial
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	276,035	260,833
Commercial | Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	275,741	260,225
Commercial | Watch
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	21	600
Commercial | Substandard
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	273	8
Construction and Land Development
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	196,776	210,041
Construction and Land Development | Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	196,462	207,174
Construction and Land Development | Watch
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	138	2,669
Construction and Land Development | Substandard
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	176	198
HELOC and 1-4 Family Junior Mortgage
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	28,621	31,256
HELOC and 1-4 Family Junior Mortgage | Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	28,483	30,669
HELOC and 1-4 Family Junior Mortgage | Watch
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	138	587
1st REM - 1-4 Family
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	36,671	37,905
1st REM - 1-4 Family | Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	36,370	37,526
1st REM - 1-4 Family | Watch
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	124	126
1st REM - 1-4 Family | Substandard
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	177	253
LOCs and 2nd REM - Rentals
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	18,671	12,443
LOCs and 2nd REM - Rentals | Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	17,890	11,341
LOCs and 2nd REM - Rentals | Watch
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	479	628
LOCs and 2nd REM - Rentals | Substandard
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	302	474
1st REM - Rentals
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	176,648	145,169
1st REM - Rentals | Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	174,781	142,357
1st REM - Rentals | Watch
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	1,287	1,854
1st REM - Rentals | Substandard
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	580	958
Multifamily
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	515,014	407,934
Multifamily | Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	515,014	407,934
CRE Owner Occupied
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	66,584	64,458
CRE Owner Occupied | Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	65,411	62,223
CRE Owner Occupied | Substandard
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	1,173	2,235
CRE Non-owner Occupied
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	592,545	490,632
CRE Non-owner Occupied | Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	589,457	487,438
CRE Non-owner Occupied | Watch
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	3,088	3,194
Consumer and other
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	4,473	4,260
Consumer and other | Pass
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	4,459	4,202
Consumer and other | Substandard
Risk category of loans by loan segment, based on the most recent analysis performed by management
Totals	$ 14	$ 58

Loans - Recorded investment in

Loans - Recorded investment in past due loans by loan segment (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	$ 1,911,174	$ 1,664,039
Nonaccrual	461	581
Totals	1,912,038	1,664,931
30-89 Days Past Due
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, past due	403	311
Commercial
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	276,028	260,813
Nonaccrual	7	8
Totals	276,035	260,833
Commercial | 30-89 Days Past Due
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, past due		12
Construction and Land Development
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	196,600	209,843
Nonaccrual	176	198
Totals	196,776	210,041
HELOC and 1-4 Family Junior Mortgage
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	28,621	30,939
Nonaccrual		317
Totals	28,621	31,256
1st REM - 1-4 Family
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	36,671	37,705
Totals	36,671	37,905
1st REM - 1-4 Family | 30-89 Days Past Due
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, past due		200
LOCs and 2nd REM - Rentals
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	18,527	12,443
Nonaccrual	144
Totals	18,671	12,443
1st REM - Rentals
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	176,114	145,169
Nonaccrual	134
Totals	176,648	145,169
1st REM - Rentals | 30-89 Days Past Due
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, past due	400
Multifamily
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	515,014	407,934
Totals	515,014	407,934
CRE Owner Occupied
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	66,584	64,360
Totals	66,584	64,458
CRE Owner Occupied | 30-89 Days Past Due
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, past due		98
CRE Non-owner Occupied
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	592,545	490,632
Totals	592,545	490,632
Consumer and other
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, Current	4,470	4,201
Nonaccrual		58
Totals	4,473	4,260
Consumer and other | 30-89 Days Past Due
Aging of the recorded investment in past due loans by loan segment
Accruing Interest, past due	$ 3	$ 1

Loans - Summary of loans modifi

Loans - Summary of loans modified in TDRs and those restructurings (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2019USD ($)loan	Dec. 31, 2018USD ($)loan
Loans
Troubled Debt Restructurings, Number of Loans	3	3
New Troubled Debt Restructurings, Post-Modification Outstanding Balance | $	$ 452	$ 437
New Troubled Debt Restructurings, Number of Loans	1
Troubled Debt Restructurings That Subsequently Defaulted Within 12 Months of The Restructure Date, Number of Loans	0

Premises and Equipment (Details

Premises and Equipment (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Premises and Equipment
Subtotal	$ 32,600	$ 17,039
Accumulated Depreciation	(4,972)	(3,965)
Totals	27,628	13,074
Depreciation and Amortization	1,008	761	$ 694
Land
Premises and Equipment
Subtotal	5,174	5,174
Building
Premises and Equipment
Subtotal	$ 3,487	3,462
Building | Minimum
Premises and Equipment
Estimated Useful Life	15 years
Building | Maximum
Premises and Equipment
Estimated Useful Life	39 years
Leasehold Improvements
Premises and Equipment
Subtotal	$ 3,344	2,718
Leasehold Improvements | Minimum
Premises and Equipment
Estimated Useful Life	3 years
Leasehold Improvements | Maximum
Premises and Equipment
Estimated Useful Life	10 years
Furniture and Equipment
Premises and Equipment
Subtotal	$ 3,902	3,191
Furniture and Equipment | Minimum
Premises and Equipment
Estimated Useful Life	3 years
Furniture and Equipment | Maximum
Premises and Equipment
Estimated Useful Life	5 years
Construction in Progress
Premises and Equipment
Subtotal	$ 16,693	$ 2,494

Premises and Equipment - Lease

Premises and Equipment - Lease (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2019USD ($)item	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)
Future Minimum Rent Commitments
Rent expense	$ 1,264
Rent Expense		$ 870	$ 774
Bloomington Downtown Minneapolis St Paul And Uptown Minneapolis
Future Minimum Rent Commitments
2020	776
2021	336
2022	327
2023	319
2024	324
Thereafter	1,130
Totals	$ 3,212
Lessee, Operating Lease, Existence of Option to Extend [true false]	true
Number of options to extend the lease Term | item	2
Lease Term	5 years
Greenwood Location
Future Minimum Rent Commitments
2020	$ 164
2021	111
Totals	$ 275
Lessee, Operating Lease, Existence of Option to Extend [true false]	true
Number of options to extend the lease Term | item	2
Lease Term	5 years

Intangible Assets - (Details)

Intangible Assets - (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Intangible Assets
Subtotal	$ 1,538	$ 1,538
Accumulated Amortization	(677)	(486)
Total	861	1,052
Amortization of Intangible Assets	191	191	$ 191
Core Deposits
Intangible Assets
Subtotal	1,093	1,093
Total	536
Favorable Lease
Intangible Assets
Subtotal	445	$ 445
Total	$ 325

Intangible Assets - Estimated f

Intangible Assets - Estimated future amortization (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Intangible Assets
Total	$ 861	$ 1,052
Core Deposits
Intangible Assets
2020	157
2021	157
2022	157
2023	65
Total	536
Favorable Lease
Intangible Assets
2020	34
2021	34
2022	34
2023	34
2024	34
Thereafter	155
Total	$ 325

Deposits (Details)

Deposits (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Deposits, by Type [Abstract]
Transaction Deposits	$ 712,136	$ 548,770
Savings and Money Market Deposits	516,785	402,639
Time Deposits	360,027	318,356
Brokered Deposits	234,362	291,169
Total Deposits	1,823,310	1,560,934
Brokered money market accounts	$ 2,443	$ 26,990

Deposits - Maturities (Details)

Deposits - Maturities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Scheduled Maturities of Time Deposits
Less than 1 Year	$ 336,684
1 to 2 Years	133,771
2 to 3 Years	43,259
3 to 4 Years	67,913
4 to 5 Years	10,319
Totals	591,946
Aggregate time deposits greater	$ 118,318	$ 111,297

Notes Payable (Details)

Notes Payable (Details) - Note Payable - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2016
Notes Payable
Bank stock (as a percent)			100.00%
Principal payments			$ 500
Debt Instrument, Basis Spread on Variable Rate			2.40%
Interest rate ( as a percent)	4.09%	4.75%
Unpaid principal balance	$ 13,000	$ 15,000

Derivative Instruments and He_3

Derivative Instruments and Hedging Activities - Non-hedge Derivatives (Details) - Interest Rate Swap - Derivatives not designated as hedging instruments - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Derivatives, Fair Value [Line Items]
Notional Amount, Asset	$ 7,140
Notional Amount, Liability	7,140
Notional Amount	14,280	$ 0
Estimated Fair Value, Asset	150
Estimated Fair Value, Liability	$ (150)

Derivative Instruments and He_4

Derivative Instruments and Hedging Activities - Cash Flow Derivatives (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Cash Flow Hedging Derivatives
Amount expected to be reclassified from AOCI into earnings	$ 0	$ 0	$ 0
Designated as Hedging Instrument | Cash flow hedge
Cash Flow Hedging Derivatives
Amount expected to be reclassified from AOCI into earnings	146
Designated as Hedging Instrument | Cash flow hedge | Interest Rate Swap
Cash Flow Hedging Derivatives
Notional Amount	$ 48,000	$ 15,000
Weighted Average Pay Rate	1.89%	1.21%
Weighted Average Receive Rate	2.25%	1.97%
Derivative Weighted Average Maturity	3 years 6 months 11 days	2 years 1 month 28 days
Net Unrealized Gain	$ (618)	$ 352

Derivative Instruments and He_5

Derivative Instruments and Hedging Activities - Cash Flow Hedging Reclassification (Details) - Designated as Hedging Instrument - Cash flow hedge - Interest Rate Swap - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Derivatives, Fair Value [Line Items]
Notional Amount, Asset	$ 18,000	$ 15,000
Notional Amount, Liability	30,000
Estimated Fair Value, Asset	134	$ 352
Estimated Fair Value, Liability	$ (752)

Derivative Instruments and He_6

Derivative Instruments and Hedging Activities - Derivative Instruments in Cash Flow Hedging Relationships (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Reclassified from AOCI into earnings	$ 525	$ (125)	$ (250)
Amount of Gain or (Loss) Reclassified from AOCI into earnings	0	0	0
Amount expected to be reclassified from AOCI into earnings	0	$ 0	$ 0
Interest Rate Swap | Interest expense | Cash flow hedge
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Reclassified from AOCI into earnings	$ 9

Federal Home Loan Bank Advanc_3

Federal Home Loan Bank Advances and Other Borrowings (Details) $ in Thousands	Dec. 31, 2019USD ($)	Dec. 31, 2018USD ($)
Federal Home Loan Bank Advances and Other Borrowings
Federal Funds Purchased		$ 18,000
Federal Home Loan Bank Advances
Federal Home Loan Bank Advances and Other Borrowings
Principal balances	$ 690,609	577,241
Remaining available borrowings	209,840	122,120
Federal Reserve Discount Window
Federal Home Loan Bank Advances and Other Borrowings
Principal balances	159,568	159,616
Remaining available borrowings	$ 113,164	114,051
Federal Funds Purchased
Federal Home Loan Bank Advances and Other Borrowings
Number of business days	1
Federal Funds Purchased	$ 0	$ 18,000
Interest rate (as a percent)		2.63%

Federal Home Loan Bank Advanc_4

Federal Home Loan Bank Advances and Other Borrowings - Maturity (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Weighted Average Rate
2019		1.47%
2020	1.76%	1.65%
2021	1.99%	1.99%
2022	2.50%	2.50%
2023	2.93%	3.03%
2024	2.20%	3.17%
2025	3.29%	3.29%
Total Outstanding
2019		$ 20,000
2020	$ 10,000	5,000
2021	15,000	15,000
2022	29,000	29,000
2023	45,000	40,000
2024	27,500	5,000
2025	10,000	10,000
Advances from Federal Home Loan Banks, Total	$ 136,500	$ 124,000

Subordinated Debentures (Detail

Subordinated Debentures (Details) - USD ($) $ in Thousands	Jul. 12, 2017	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Subordinated Debentures
Total amortization expense		$ 103	$ 103	$ 43
Subordinated notes due 2027
Subordinated Debentures
Aggregate principal amount	$ 25,000
Percentage of face value at which notes are issued	100.00%
Issuance costs	$ 516
Amortization period of debt	5 years
Total amortization expense		103	103	43
Remaining to be amortized		$ 267	$ 370	$ 473
Fixed interest rate	5.875%
Redemption percentage of the outstanding principal amount	100.00%
LIBOR | Subordinated notes due 2027
Subordinated Debentures
Variable spread on debt	3.88%

Related Party Transactions - Lo

Related Party Transactions - Loans and Deposits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Related-Party Transactions
Beginning Balance	$ 39,454	$ 11,344
New Loans and Advances	13,298	35,761
Repayments	(15,269)	(7,653)
Changes to Related Parties		2
Totals	37,483	39,454
Due to Related Parties	$ 11,223	$ 8,856

Related Party Transactions - Ex

Related Party Transactions - Exchange Agreements (Details) - Castle Creek Capital Partners V, LP	12 Months Ended
	Dec. 31, 2018shares
Nonvoting Common Stock
Related-Party Transactions
Stock Repurchases (in shares)	1,431,796
Voting Common Stock
Related-Party Transactions
Number of shares issued	1,431,796

Income Taxes - Income Tax Provi

Income Taxes - Income Tax Provision (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Income Taxes
Statutory Rate (as a percent)									21.00%	21.00%	35.00%
Income tax expense related to the write-down of deferred tax assets											$ 2,005
Current Tax Provision									$ 7,670	$ 6,522	10,206
Deferred Tax Benefit									(747)	(1,298)	(2,062)
Change in Deferred Taxes Due to Enacted Changes in Tax Law											(2,005)
Total Income Tax Provision	$ 1,380	$ 2,092	$ 1,189	$ 2,262	$ (1,302)	$ 2,184	$ 2,274	$ 2,068	$ 6,923	$ 5,224	$ 10,149

Income Taxes - Reconciliation (

Income Taxes - Reconciliation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Amount
Amount of Statutory Rate	$ 8,048	$ 6,750	$ 9,463
State Income Taxes (Net of Federal Income Tax Benefit)	2,711	2,755	1,757
Interest on Investment Securities and Loans Exempt From Federal Income Tax	(734)	(719)	(1,170)
Tax Credits	(2,781)	(3,207)	(1,621)
Deferred Tax Asset Revaluation			2,005
Other Differences	(321)	(355)	(285)
Totals	$ 6,923	$ 5,224	$ 10,149
Percent
Statutory Rate (as a percent)	21.00%	21.00%	35.00%
State Income Taxes (Net of Federal Income Tax Benefit) (as a percent)	7.10%	8.60%	6.50%
Interest on Investment Securities and Loans Exempt From Federal Income Tax (as a percent)	(1.90%)	(2.20%)	(4.30%)
Tax Credits (as a percent)	(7.30%)	(10.00%)	(6.00%)
Deferred Tax Asset Revaluation (as a percent)			7.40%
Other Differences (as a percent)	(0.80%)	(1.10%)	(1.10%)
Total (as a percent)	18.10%	16.30%	37.50%

Income Taxes - Net Deferred Tax

Income Taxes - Net Deferred Tax Asset (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Net deferred tax asset
Depreciation	$ (231)	$ (249)
Allowance for Loan Losses	6,342	5,757
Unrealized (Gain) Loss on Securities Available for Sale	(1,399)	491
Unrealized (Gain) Loss on Cash Flow Hedge	130	(74)
Prepaid Expenses	(50)	(496)
Deferred Compensation	742	651
Deferred Loan Fees	599
Other	(230)	762
Totals	$ 5,903	$ 6,842

Tax Credit Investments - Invest

Tax Credit Investments - Investments (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Investments in qualified affordable housing projects and other tax credit investments
Investment	$ 4,410	$ 4,250
Unfunded Commitment	3,395	3,226
Amortization Expense	3,514	3,603	$ 1,916
Tax Benefit Recognized	(4,017)	(4,128)	(2,225)
Low Income Housing Tax Credit (LIHTC)
Investments in qualified affordable housing projects and other tax credit investments
Investment	2,148	2,436
Amortization Expense	289	310
Tax Benefit Recognized	(330)	(346)
Federal Historic Tax Credit (FHTC)
Investments in qualified affordable housing projects and other tax credit investments
Investment	2,262	1,814
Unfunded Commitment	3,395	3,226
Amortization Expense	3,225	3,293	1,916
Tax Benefit Recognized	$ (3,687)	$ (3,782)	$ (2,225)

Commitments, Contingencies an_3

Commitments, Contingencies and Credit Risk (Details) - USD ($) $ in Thousands	Dec. 03, 2019	Aug. 27, 2018	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Commitments Outstanding
Unfunded Commitments Under Lines of Credit			$ 500,962	$ 395,032
Letters of Credit			79,225	81,053
Totals			580,187	476,085
Payment of construction costs			15,572	3,720	$ 1,235
Contract With Third Party
Commitments Outstanding
Commitment under contract	$ 6,321
Payment of construction costs			0
Construction of corporate headquarters office
Commitments Outstanding
Percentage of cost of work		3.75%
Commitment under contract		$ 23,000
Payment of construction costs			15,189
Federal Home Loan Bank Advances
Commitments Outstanding
Outstanding letters of credit			$ 108,502	$ 129,152

Stock Options and Restricted _3

Stock Options and Restricted Stock Awards (Details) $ in Millions	12 Months Ended
	Dec. 31, 2019USD ($)itemshares	Dec. 31, 2018shares
Stock Options
Number of banks in the index | item	54
Minimum
Stock Options
Market capitalization | $	$ 500
Maximum
Stock Options
Market capitalization | $	$ 4,500
2012 Plan
Stock Options
Number of shares authorized for grant options to its directors, officers, and employees	750,000
Term of award	10 years
Vesting period	5 years
Number of unissued shares of the Company’s common stock authorized for option grants	0	0
2017 Plan
Stock Options
Number of shares authorized for grant options to its directors, officers, and employees	1,500,000
Term of award	10 years
Number of unissued shares of the Company’s common stock authorized for option grants	310,600	540,000
2017 Plan | Minimum
Stock Options
Vesting period	4 years
2017 Plan | Maximum
Stock Options
Vesting period	5 years
2019 EIP
Stock Options
Number of shares authorized for grant options to its directors, officers, and employees	1,000,000
Term of award	10 years
Vesting period	4 years
Number of unissued shares of the Company’s common stock authorized for option grants	867,040

Stock Options and Restricted _4

Stock Options and Restricted Stock Awards - Black-Scholes Assumptions (Details)	12 Months Ended
	Dec. 31, 2019
Black-Scholes Assumptions
Expected Life	7 years
Expected Volatility	21.93%
Risk-Free Interest Rate	1.75%

Stock Options and Restricted _5

Stock Options and Restricted Stock Awards - Stock Option Plans (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Stock Option Plans
Outstanding at Beginning of Year	1,807,100	1,721,000
Granted	238,000	135,000
Exercised	(74,850)	(37,900)
Forfeitures	(8,600)	(11,000)
Outstanding at End of Year	1,961,650	1,807,100	1,721,000
Options Exercisable at End of Year	992,050	721,100
Weighted Average Exercise Price
Outstanding at Beginning of Year	$ 6.24	$ 5.68
Granted	12.47	12.52
Exercised	3.45	2.78
Forfeitures	10.65	7.61
Outstanding at End of Year	7.08	6.24	$ 5.68
Options Exercisable at End of Year	$ 5.01	$ 4.19
Compensation expense for stock options	$ 721	$ 799	$ 368

Stock Options and Restricted _6

Stock Options and Restricted Stock Awards - Exercise Price (Details) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2019USD ($)$ / sharesshares
Exercise Price
Options Outstanding, Number Outstanding	1,961,650
Options Outstanding, Remaining Contractual Life	7 years
Options Outstanding, Exercise Price | $ / shares	$ 7.08
Options Exercisable, Number Outstanding	992,050
Total unrecognized compensation cost | $	$ 2,738
Weighted-average period over which total unrecognized compensation cost is expected to be recognized (in years)	4 years 10 months 24 days
2.13
Exercise Price
Options Outstanding, Number Outstanding	74,750
Options Outstanding, Remaining Contractual Life	3 years 3 months 18 days
Options Outstanding, Exercise Price | $ / shares	$ 2.13
Options Exercisable, Number Outstanding	74,750
3.00
Exercise Price
Options Outstanding, Number Outstanding	455,000
Options Outstanding, Remaining Contractual Life	4 years
Options Outstanding, Exercise Price | $ / shares	$ 3
Options Exercisable, Number Outstanding	455,000
3.58
Exercise Price
Options Outstanding, Number Outstanding	45,000
Options Outstanding, Remaining Contractual Life	5 years
Options Outstanding, Exercise Price | $ / shares	$ 3.58
Options Exercisable, Number Outstanding	35,000
7.47
Exercise Price
Options Outstanding, Number Outstanding	1,023,900
Options Outstanding, Remaining Contractual Life	7 years 9 months 18 days
Options Outstanding, Exercise Price | $ / shares	$ 7.47
Options Exercisable, Number Outstanding	402,300
13.22
Exercise Price
Options Outstanding, Number Outstanding	25,000
Options Outstanding, Remaining Contractual Life	8 years 4 months 24 days
Options Outstanding, Exercise Price | $ / shares	$ 13.22
Options Exercisable, Number Outstanding	5,000
12.86
Exercise Price
Options Outstanding, Number Outstanding	45,000
Options Outstanding, Remaining Contractual Life	8 years 8 months 12 days
Options Outstanding, Exercise Price | $ / shares	$ 12.86
Options Exercisable, Number Outstanding	9,000
12.94
Exercise Price
Options Outstanding, Number Outstanding	30,000
Options Outstanding, Remaining Contractual Life	8 years 9 months 18 days
Options Outstanding, Exercise Price | $ / shares	$ 12.94
Options Exercisable, Number Outstanding	6,000
11.59
Exercise Price
Options Outstanding, Number Outstanding	25,000
Options Outstanding, Remaining Contractual Life	8 years 9 months 18 days
Options Outstanding, Exercise Price | $ / shares	$ 11.59
Options Exercisable, Number Outstanding	5,000
11.15
Exercise Price
Options Outstanding, Number Outstanding	10,000
Options Outstanding, Remaining Contractual Life	9 years 2 months 12 days
Options Outstanding, Exercise Price | $ / shares	$ 11.15
11.13
Exercise Price
Options Outstanding, Number Outstanding	50,000
Options Outstanding, Remaining Contractual Life	9 years 8 months 12 days
Options Outstanding, Exercise Price | $ / shares	$ 11.13
12.92
Exercise Price
Options Outstanding, Number Outstanding	178,000
Options Outstanding, Remaining Contractual Life	9 years 10 months 24 days
Options Outstanding, Exercise Price | $ / shares	$ 12.92

Stock Options and Restricted _7

Stock Options and Restricted Stock Awards - Non-Vested Options (Details) - $ / shares	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Number of Shares
Nonvested Options at December 31, 2018	1,086,000
Granted	238,000	135,000
Vested	(346,200)
Forfeited	(8,200)
Nonvested Options at December 31, 2019	969,600	1,086,000
Weighted Average Grant Date Fair Value
Nonvested Options at December 31, 2018	$ 2.78
Granted	3.46
Vested	2.41
Forfeited	3.40
Nonvested Options at December 31, 2019	$ 3.08	$ 2.78

Stock Options and Restricted _8

Stock Options and Restricted Stock Awards - Restricted Stock Awards (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Restricted Stock Awards
Compensation expense recognized	$ 721	$ 799	$ 368
Unrecognized compensation cost	$ 1,687
Recognition period for non vested restricted stock awards	4 years 10 months 24 days
Restricted stock awards vested	0
2019 EIP
Restricted Stock Awards
Restricted stock awards granted	132,960
Restricted stock awards grant date fair value	$ 12.92
Vesting period	4 years
Compensation expense recognized	$ 31	$ 0	$ 0
Recognition period for non vested restricted stock awards	4 years
2019 EIP | Restricted Stock
Restricted Stock Awards
Vesting period	4 years

Profit Sharing Plan (Details)

Profit Sharing Plan (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Profit Sharing Plan
Employer match contributions (as a percent)	100.00%
Employer contribution on employees' gross pay ( as a percent)	4.00%
Employer match contributions	$ 603	$ 483	$ 304
Total employer profit sharing contributions	$ 473	$ 328	$ 250

Deferred Compensation Plan (Det

Deferred Compensation Plan (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2013	Dec. 31, 2018
Deferred Compensation Plan
Vesting period		75 days
Deferred compensation liability	$ 3,546		$ 2,914
New contributions made	$ 0

Regulatory Capital - Capital Am

Regulatory Capital - Capital Amounts and Ratios (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Total Risk-Based Capital
Total Risk-Based Capital, Actual amount	$ 269,613	$ 263,909
Total Risk-Based Capital, For Capital Adequacy Purposes, amount	166,163	145,111
Total Risk-Based Capital, For Capital Adequacy Purposes Plus Capital Conversion Buffer, amount	$ 218,089	$ 179,121
Total Risk-Based Capital, Actual ratio	12.98%	14.55%
Total Risk-Based Capital, For Capital Adequacy Purposes, Ratio	8.00%	8.00%
Total Risk-Based Capital, For Capital Adequacy Purposes Plus Capital Conservation Buffer, Ratio	10.50%	9.875%
Tier 1 Risk-Based Capital
Tier One Risk Based Capital	$ 236,533	$ 218,888
Tier 1 Risk-Based Capital, For Capital Adequacy Purposes, amount	124,623	108,833
Tier 1 Risk-Based Capital, For Capital Adequacy Purposes Plus Capital Conservation Buffer, amount	$ 176,549	$ 142,844
Tier 1 Risk-Based Capital, Actual ratio	11.39%	12.07%
Tier 1 Risk-Based Capital, For Capital Adequacy Purposes, Ratio	6.00%	6.00%
Tier 1 Risk-Based Capital, For Capital Adequacy Purposes Plus Capital Conservation Buffer, Ratio	8.50%	7.875%
Common Equity Tier 1 Capital
Common Equity Tier 1 Capital, Actual amount	$ 236,533	$ 218,888
Common Equity Tier 1 Capital, For Capital Adequacy Purposes, amount	93,467	81,625
Common Equity Tier 1 Capital, For Capital Adequacy Purposes Plus Capital Conservation Buffer, amount	$ 145,393	$ 115,635
Common Equity Tier 1 Capital, Actual ratio	11.39%	12.07%
Common Equity Tier 1 Capital, For Capital Adequacy Purposes, Ratio	4.50%	4.50%
Common Equity Tier 1 Capital, For Capital Adequacy Purposes Plus Capital Conservation Buffer, Ratio	7.00%	6.375%
Leverage Ratio
Tier 1 Leverage Ratio, Actual amount	$ 236,533	$ 218,888
Tier 1 Leverage Ratio, For Capital Adequacy Purposes, amount	88,498	77,971
Tier 1 Leverage Ratio, For Capital Adequacy Purposes Plus Capital Conservation Buffer, amount	$ 88,498	$ 77,971
Tier 1 Leverage Ratio, Actual ratio	10.69%	11.23%
Tier 1 Leverage Ratio, For Capital Adequacy Purposes, Ratio	4.00%	4.00%
Tier 1 Leverage Ratio, For Capital Adequacy Purposes Plus Capital Conservation Buffer, Ratio	4.00%	4.00%
Capital conservation buffer (as a percent)	2.50%	1.875%
Bank
Total Risk-Based Capital
Total Risk-Based Capital, Actual amount	$ 252,501	$ 230,865
Total Risk-Based Capital, For Capital Adequacy Purposes, amount	166,137	144,776
Total Risk-Based Capital, For Capital Adequacy Purposes Plus Capital Conversion Buffer, amount	218,055	178,707
Total Risk-Based Capital, To be Well Capitalized Under Prompt Corrective Action Regulations, amount	$ 207,671	$ 180,970
Total Risk-Based Capital, Actual ratio	12.16%	12.76%
Total Risk-Based Capital, For Capital Adequacy Purposes, Ratio	8.00%	8.00%
Total Risk-Based Capital, For Capital Adequacy Purposes Plus Capital Conservation Buffer, Ratio	10.50%	9.875%
Total Risk-Based Capital, To be Well Capitalized Under Prompt Corrective Action Regulations, Ratio	10.00%	10.00%
Tier 1 Risk-Based Capital
Tier One Risk Based Capital	$ 243,461	$ 210,474
Tier 1 Risk-Based Capital, For Capital Adequacy Purposes, amount	124,603	108,582
Tier 1 Risk-Based Capital, For Capital Adequacy Purposes Plus Capital Conservation Buffer, amount	176,521	142,514
Tier 1 Risk-Based Capital, To be Well Capitalized Under Prompt Corrective Action Regulations, amount	$ 166,137	$ 144,776
Tier 1 Risk-Based Capital, Actual ratio	11.72%	11.63%
Tier 1 Risk-Based Capital, For Capital Adequacy Purposes, Ratio	6.00%	6.00%
Tier 1 Risk-Based Capital, For Capital Adequacy Purposes Plus Capital Conservation Buffer, Ratio	8.50%	7.875%
Tier 1 Risk-Based Capital, To be Well Capitalized Under Prompt Corrective Action Regulations, Ratio	8.00%	8.00%
Common Equity Tier 1 Capital
Common Equity Tier 1 Capital, Actual amount	$ 243,461	$ 210,474
Common Equity Tier 1 Capital, For Capital Adequacy Purposes, amount	93,452	81,436
Common Equity Tier 1 Capital, For Capital Adequacy Purposes Plus Capital Conservation Buffer, amount	145,370	115,368
Common Equity Tier 1 Capital, To be Well Capitalized Under Prompt Corrective Action Regulations, amount	$ 134,986	$ 117,630
Common Equity Tier 1 Capital, Actual ratio	11.72%	11.63%
Common Equity Tier 1 Capital, For Capital Adequacy Purposes, Ratio	4.50%	4.50%
Common Equity Tier 1 Capital, For Capital Adequacy Purposes Plus Capital Conservation Buffer, Ratio	7.00%	6.375%
Common Equity Tier 1 Capital, To be Well Capitalized Under Prompt Corrective Action Regulations, Ratio	6.50%	6.50%
Leverage Ratio
Tier 1 Leverage Ratio, Actual amount	$ 243,461	$ 210,474
Tier 1 Leverage Ratio, For Capital Adequacy Purposes, amount	88,455	77,795
Tier 1 Leverage Ratio, For Capital Adequacy Purposes Plus Capital Conservation Buffer, amount	88,455	77,795
Tier 1 Leverage Ratio, To be Well Capitalized Under Prompt Corrective Action Regulations, amount	$ 110,569	$ 97,244
Tier 1 Leverage Ratio, Actual ratio	11.01%	10.82%
Tier 1 Leverage Ratio, For Capital Adequacy Purposes, Ratio	4.00%	4.00%
Tier 1 Leverage Ratio, For Capital Adequacy Purposes Plus Capital Conservation Buffer, Ratio	4.00%	4.00%
Tier 1 Leverage Ratio, To be Well Capitalized Under Prompt Corrective Action Regulations, Ratio	5.00%	5.00%

Fair Value Measurement - Recurr

Fair Value Measurement - Recurring (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	$ 289,877	$ 253,378
Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Interest Rate Swaps	284	352
Total Fair Value of Financial Assets	290,161	253,730
Interest Rate Swaps	902
Total Fair Value of Financial Liabilities	902
U.S. Treasury Securities
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	4,998	17,897
U.S. Treasury Securities | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	4,998	17,897
Municipal Bonds
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	105,743	118,133
Municipal Bonds | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	105,743	118,133
Mortgage-Backed Securities
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	64,728	47,176
Mortgage-Backed Securities | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	64,728	47,176
Corporate Securities
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	50,176	21,118
Corporate Securities | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	50,176	21,118
SBA Securities
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	49,559	49,054
SBA Securities | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	49,559	49,054
Asset-Backed Securities
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	14,673
Asset-Backed Securities | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	14,673
Level 1
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	4,998	17,897
Level 1 | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Total Fair Value of Financial Assets	4,998	17,897
Level 1 | U.S. Treasury Securities | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	4,998	17,897
Level 2
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	284,879	235,481
Interest Rate Swaps	284	352
Interest Rate Swaps	902
Level 2 | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Interest Rate Swaps	284	352
Total Fair Value of Financial Assets	285,163	235,833
Interest Rate Swaps	902
Total Fair Value of Financial Liabilities	902
Level 2 | Municipal Bonds | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	105,743	118,133
Level 2 | Mortgage-Backed Securities | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	64,728	47,176
Level 2 | Corporate Securities | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	50,176	21,118
Level 2 | SBA Securities | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	49,559	$ 49,054
Level 2 | Asset-Backed Securities | Recurring
Balances of the assets and liabilities measured at fair value on a recurring basis
Securities Available for Sale, at Fair Value	$ 14,673

Fair Value Measurement - Nonrec

Fair Value Measurement - Nonrecurring (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Balances of the assets and liabilities measured at fair value on a nonrecurring basis
Loss	$ 600	$ 900	$ 600	$ 600	$ 800	$ 1,275	$ 900	$ 600	$ 2,700	$ 3,575	$ 4,175
Nonrecurring
Balances of the assets and liabilities measured at fair value on a nonrecurring basis
Loss									206	396	109
Nonrecurring | Impaired Loans
Balances of the assets and liabilities measured at fair value on a nonrecurring basis
Loss									206	396	109
Level 2 | Nonrecurring
Balances of the assets and liabilities measured at fair value on a nonrecurring basis
Assets measured at fair value	75				426				75	426	464
Level 2 | Nonrecurring | Impaired Loans
Balances of the assets and liabilities measured at fair value on a nonrecurring basis
Assets measured at fair value	$ 75				$ 426				$ 75	$ 426	$ 464

Fair Value Measurement - Estima

Fair Value Measurement - Estimated Fair Value (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Financial Assets:
Bank-Owned Certificates of Deposit	$ 2,654	$ 3,305
Securities Available for Sale, at Fair Value	289,877	253,378
Level 1
Financial Assets:
Cash and Due From Banks	31,935	28,444
Securities Available for Sale, at Fair Value	4,998	17,897
Level 2
Financial Assets:
Bank-Owned Certificates of Deposit	2,677	3,292
Securities Available for Sale, at Fair Value	284,879	235,481
FHLB Stock, at Cost	7,824	7,614
Loans, Net	1,891,987	1,634,196
Accrued Interest Receivable	6,775	6,589
Interest Rate Swaps	284	352
Financial Liabilities:
Deposits	1,821,915	1,560,488
Federal Funds Purchased		18,000
Notes Payable	13,022	15,551
FHLB Advances	141,152	124,952
Subordinated Debentures	25,309	25,365
Accrued Interest Payable	1,982	1,806
Interest Rate Swaps	902
Carrying Amount
Financial Assets:
Cash and Due From Banks	31,935	28,444
Bank-Owned Certificates of Deposit	2,654	3,305
Securities Available for Sale, at Fair Value	289,877	253,378
FHLB Stock, at Cost	7,824	7,614
Loans, Net	1,884,000	1,640,385
Accrued Interest Receivable	6,775	6,589
Interest Rate Swaps	284	352
Financial Liabilities:
Deposits	1,823,310	1,560,934
Federal Funds Purchased		18,000
Notes Payable	13,000	15,000
FHLB Advances	136,500	124,000
Subordinated Debentures	24,733	24,630
Accrued Interest Payable	1,982	1,806
Interest Rate Swaps	902
Estimated Fair Value
Financial Assets:
Cash and Due From Banks	31,935	28,444
Bank-Owned Certificates of Deposit	2,677	3,292
Securities Available for Sale, at Fair Value	289,877	253,378
FHLB Stock, at Cost	7,824	7,614
Loans, Net	1,891,987	1,634,196
Accrued Interest Receivable	6,775	6,589
Interest Rate Swaps	284	352
Financial Liabilities:
Deposits	1,821,915	1,560,488
Federal Funds Purchased		18,000
Notes Payable	13,022	15,551
FHLB Advances	141,152	124,952
Subordinated Debentures	25,309	25,365
Accrued Interest Payable	1,982	$ 1,806
Interest Rate Swaps	$ 902

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Components of other comprehensive income (loss), Before Tax
Net Unrealized Gain (Loss) on Available for Sale Securities	$ 9,514	$ (3,804)	$ 6,354
Less: Reclassification Adjustment for Net Gains (Losses) Included in Net Income	(516)	125	250
Total Unrealized Gain (Loss)	8,998	(3,679)	6,604
Net Unrealized Loss (gain) on Cash Flow Hedge	(962)	9	121
Less: Reclassification Adjustment for Gains Included in Net Income	(9)
Total Unrealized Loss (Gain)	(971)	9	121
Other Comprehensive Gain (Loss)	8,027	(3,670)	6,725
Components of other comprehensive income (loss), Tax Effect
Net Unrealized Gain (Loss) on Available for Sale Securities	(1,998)	852	(2,236)
Less: Reclassification Adjustment for Net Losses Included in Net Income, tax effect	109	(26)	(88)
Total Unrealized Gain (Loss)	(1,889)	826	(2,324)
Net Unrealized Gain (Loss) on Cash Flow Hedge	202	(2)	(42)
Less: Reclassification Adjustment for Gains Included in Net Income	2
Total Unrealized Gain (Loss)	204	(2)	(42)
Other Comprehensive Gain (Loss)	(1,685)	824	(2,366)
Components of other comprehensive income (loss), Net of Tax
Net Unrealized Gain (Loss) on Available for Sale Securities	7,516	(2,952)	4,118
Less: Reclassification Adjustment for Net Gains (Losses) Included in Net Income	(407)	99	162
Total Unrealized Gain (Loss)	7,109	(2,853)	4,280
Net Unrealized Gain (Loss) on Cash Flow Hedge	(760)	7	79
Less: Reclassification Adjustment for Gains Included in Net Income	(7)
Total Unrealized Gain (Loss)	(767)	7	79
Total Other Comprehensive Income (Loss), Net of Tax	$ 6,342	$ (2,846)	$ 4,359

Accumulated Other Comprehensi_4

Accumulated Other Comprehensive Income (Loss) - Comprehensive income (loss) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Changes in each component of accumulated other comprehensive income (loss), net of tax
Balance at the beginning	$ 220,998	$ 137,162	$ 115,366
Total Other Comprehensive Income (Loss), Net of Tax	6,342	(2,846)	4,359
Balance at the end	244,794	220,998	137,162
Available For Sale Securities
Changes in each component of accumulated other comprehensive income (loss), net of tax
Balance at the beginning	(1,846)	860	(3,420)
Reclassification of the Income Tax Effects of the Tax Cuts and Jobs Act		147
Other Comprehensive Income (Loss) Before Reclassifications	7,516	(2,952)	4,118
Amounts Reclassified from Accumulated Other Comprehensive Income	(407)	99	162
Total Other Comprehensive Income (Loss), Net of Tax	7,109	(2,853)	4,280
Balance at the end	5,263	(1,846)	860
Cash Flow Hedge
Changes in each component of accumulated other comprehensive income (loss), net of tax
Balance at the beginning	278	224	145
Reclassification of the Income Tax Effects of the Tax Cuts and Jobs Act		47
Other Comprehensive Income (Loss) Before Reclassifications	(760)	7	79
Amounts Reclassified from Accumulated Other Comprehensive Income	(7)
Total Other Comprehensive Income (Loss), Net of Tax	(767)	7	79
Balance at the end	(489)	278	224
Accumulated Other Comprehensive Income (loss)
Changes in each component of accumulated other comprehensive income (loss), net of tax
Balance at the beginning	(1,568)	1,084	(3,275)
Reclassification of the Income Tax Effects of the Tax Cuts and Jobs Act		194
Other Comprehensive Income (Loss) Before Reclassifications	6,756	(2,945)	4,197
Amounts Reclassified from Accumulated Other Comprehensive Income	(414)	99	162
Total Other Comprehensive Income (Loss), Net of Tax	6,342	(2,846)	4,359
Balance at the end	$ 4,774	$ (1,568)	$ 1,084

Parent Company Financial Info_3

Parent Company Financial Information - Balance Sheet (Details) - USD ($) $ / shares in Units, $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
ASSETS
Cash and Cash Equivalents	$ 31,935	$ 28,444
Premises and Equipment, Net	27,628	13,074
Other Assets	14,650	17,274
Total Assets	2,268,830	1,973,741
LIABILITIES
Notes Payable	13,000	15,000
Subordinated Debentures, Net of Issuance Costs	24,733	24,630
Accrued Interest Payable	1,982	1,806
Other Liabilities	24,511	8,373
Total Liabilities	2,024,036	1,752,743
SHAREHOLDERS' EQUITY
Preferred Stock - $0.01 par value
Common Stock - $0.01 par value	290	301
Additional Paid-In Capital	112,093	126,031
Retained Earnings	127,637	96,234
Accumulated Other Comprehensive Income (Loss)	4,774	(1,568)
Total Shareholders' Equity	244,794	220,998	$ 137,162	$ 115,366
Total Liabilities and Shareholders' Equity	$ 2,268,830	$ 1,973,741
Preferred shares, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Common shares, par value (in dollars per share)	$ 0.01	$ 0.01
Common Stock, Shares Authorized	75,000,000	75,000,000
Parent Company | Reportable Legal Entities
ASSETS
Cash and Cash Equivalents	$ 27,315	$ 45,498
Investment in Subsidiaries	253,456	213,676
Premises and Equipment, Net	795	816
Other Assets	2,181	1,571
Total Assets	283,747	261,561
LIABILITIES
Notes Payable	13,000	15,000
Subordinated Debentures, Net of Issuance Costs	24,733	24,630
Accrued Interest Payable	713	745
Other Liabilities	507	188
Total Liabilities	38,953	40,563
SHAREHOLDERS' EQUITY
Preferred Stock - $0.01 par value
Common Stock - $0.01 par value	290	301
Additional Paid-In Capital	112,093	126,031
Retained Earnings	127,637	96,234
Accumulated Other Comprehensive Income (Loss)	4,774	(1,568)
Total Shareholders' Equity	244,794	220,998
Total Liabilities and Shareholders' Equity	$ 283,747	$ 261,561
Preferred shares, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Common shares, par value (in dollars per share)	$ 0.01	$ 0.01
Common Stock, Shares Authorized	75,000,000	75,000,000

Parent Company Financial Info_4

Parent Company Financial Information - Statements of Income (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
INCOME
Other Income									$ 1,153	$ 499	$ 341
Total Interest Income	$ 27,419	$ 26,572	$ 25,520	$ 24,267	$ 23,988	$ 22,136	$ 20,392	$ 18,710	103,778	85,226	66,346
EXPENSE
Total Interest Expense	7,491	7,637	7,382	7,136	6,546	5,502	4,493	3,947	29,646	20,488	12,173
LOSS BEFORE INCOME TAX BENEFIT AND EQUITY IN UNDISTRIBUTED EARNINGS	9,951	9,897	9,198	9,280	6,459	8,647	9,020	8,018	38,326	32,144	27,038
Income Tax Benefit	(1,380)	(2,092)	(1,189)	(2,262)	1,302	(2,184)	(2,274)	(2,068)	(6,923)	(5,224)	(10,149)
NET INCOME	$ 8,571	$ 7,805	$ 8,009	$ 7,018	$ 7,761	$ 6,463	$ 6,746	$ 5,950	31,403	26,920	16,889
Parent Company | Reportable Legal Entities
INCOME
Dividend Income									1,040	1,100
Interest Income									27	3	9
Other Income									158	136	145
Total Interest Income									1,225	1,239	154
EXPENSE
Interest Expense									2,056	2,162	1,405
Other Expenses									996	1,152	555
Total Interest Expense									3,052	3,314	1,960
LOSS BEFORE INCOME TAX BENEFIT AND EQUITY IN UNDISTRIBUTED EARNINGS									(1,827)	(2,075)	(1,806)
Income Tax Benefit									776	924	713
LOSS BEFORE EQUITY IN UNDISTRIBUTED EARNINGS									(1,051)	(1,151)	(1,093)
Equity in Undistributed Earnings									32,454	28,071	17,982
NET INCOME									$ 31,403	$ 26,920	$ 16,889

Parent Company Financial Info_5

Parent Company Financial Information - Cash Flows (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income	$ 31,403	$ 26,920	$ 16,889
Adjustments to Reconcile Net Income to Net Cash Provided (Used) by Operating Activities:
Net Cash Provided by Operating Activities	39,527	29,408	24,902
CASH FLOWS FROM INVESTING ACTIVITIES
Net Increase in Loans	(247,573)	(317,453)	(346,231)
Net Cash Used in Investing Activities	(276,211)	(354,236)	(350,182)
CASH FLOWS FROM FINANCING ACTIVITIES
Principal Payments on Notes Payable	(2,000)	(2,000)	(2,000)
Proceeds from Issuance of Subordinated Debentures			24,484
Stock Options Exercised	258	106	180
Stock Repurchases	(14,959)
Issuance of Common Stock		58,857
Net Cash Provided by Financing Activities	240,175	329,547	332,506
NET CHANGE IN CASH AND CASH EQUIVALENTS	3,491	4,719	7,226
Cash and Cash Equivalents Beginning	28,444	23,725	16,499
Cash and Cash Equivalents Ending	31,935	28,444	23,725
Parent Company | Reportable Legal Entities
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income	31,403	26,920	16,889
Adjustments to Reconcile Net Income to Net Cash Provided (Used) by Operating Activities:
Equity in Undistributed Earnings of Subsidiaries	(32,454)	(28,071)	(17,982)
Changes in Other Assets and Liabilities	311	(368)	180
Net Cash Provided by Operating Activities	(740)	(1,519)	(913)
CASH FLOWS FROM INVESTING ACTIVITIES
Net Increase in Loans	(742)
Investment in Subsidiaries		(25,000)	(25,000)
Net Cash Used in Investing Activities	(742)	(25,000)	(25,000)
CASH FLOWS FROM FINANCING ACTIVITIES
Principal Payments on Notes Payable	(2,000)	(2,000)	(2,000)
Proceeds from Issuance of Subordinated Debentures			24,484
Stock Options Exercised	258	106	180
Stock Repurchases	(14,959)
Issuance of Common Stock		58,857
Net Cash Provided by Financing Activities	(16,701)	56,963	22,664
NET CHANGE IN CASH AND CASH EQUIVALENTS	(18,183)	30,444	(3,249)
Cash and Cash Equivalents Beginning	45,498	15,054	18,303
Cash and Cash Equivalents Ending	$ 27,315	$ 45,498	$ 15,054

Quarterly Condensed Financial_3

Quarterly Condensed Financial Information (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Quarterly Condensed Financial Information (Unaudited)
Interest Income	$ 27,419	$ 26,572	$ 25,520	$ 24,267	$ 23,988	$ 22,136	$ 20,392	$ 18,710	$ 103,778	$ 85,226	$ 66,346
Interest Expense	7,491	7,637	7,382	7,136	6,546	5,502	4,493	3,947	29,646	20,488	12,173
NET INTEREST INCOME	19,928	18,935	18,138	17,131	17,442	16,634	15,899	14,763	74,132	64,738	54,173
Provision for Loan Losses	600	900	600	600	800	1,275	900	600	2,700	3,575	4,175
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES	19,328	18,035	17,538	16,531	16,642	15,359	14,999	14,163	71,432	61,163	49,998
Noninterest Income	1,112	946	1,134	634	857	814	485	387	3,826	2,543	2,536
Noninterest Expense	10,489	9,084	9,474	7,885	11,040	7,526	6,464	6,532	36,932	31,562	25,496
INCOME BEFORE INCOME TAXES	9,951	9,897	9,198	9,280	6,459	8,647	9,020	8,018	38,326	32,144	27,038
Provision (Benefit) for Income Taxes	1,380	2,092	1,189	2,262	(1,302)	2,184	2,274	2,068	6,923	5,224	10,149
NET INCOME	$ 8,571	$ 7,805	$ 8,009	$ 7,018	$ 7,761	$ 6,463	$ 6,746	$ 5,950	$ 31,403	$ 26,920	$ 16,889
Earnings per share
Basic (in dollars per share)	$ 0.30	$ 0.27	$ 0.27	$ 0.23	$ 0.26	$ 0.22	$ 0.22	$ 0.23	$ 1.07	$ 0.93	$ 0.69
Diluted (in dollars per share)	$ 0.29	$ 0.27	$ 0.26	$ 0.23	$ 0.25	$ 0.21	$ 0.22	$ 0.23	$ 1.05	$ 0.91	$ 0.68