Community Bancorp (CMTV) 10-Q 9 Aug 18 2018 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2018	Aug. 03, 2018
Document And Entity Information
Entity Registrant Name	Community Bancorp /VT
Entity Central Index Key	718,413
Document Type	10-Q
Document Period End Date	Jun. 30, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Is Entity a Well-known Seasoned Issuer	No
Is Entity a Voluntary Filer	No
Is Entity's Reporting Status Current	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		5,141,766
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2,018

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($)	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Assets
Cash and due from banks	$ 19,669,010	$ 10,690,396	$ 21,659,982
Federal funds sold and overnight deposits	9,140,793	31,963,105	15,365,739
Total cash and cash equivalents	28,809,803	42,653,501	37,025,721
Securities held-to-maturity (fair value $32,292,000 at 06/30/18, $48,796,000 at 12/31/17 and $37,065,000 at 06/30/17)	32,205,722	48,824,965	36,418,414
Securities available-for-sale	38,760,368	38,450,653	35,634,716
Restricted equity securities, at cost	2,434,050	1,703,650	1,942,550
Loans held-for-sale	0	1,037,287	571,200
Loans	521,091,943	502,864,651	502,772,845
Allowance for loan losses	(5,413,023)	(5,438,099)	(5,374,378)
Deferred net loan costs	345,177	318,651	323,371
Net loans	516,024,097	497,745,203	497,721,838
Bank premises and equipment, net	9,717,004	10,344,177	10,555,451
Accrued interest receivable	1,952,304	2,051,918	1,746,403
Bank owned life insurance	4,767,646	4,721,782	4,673,739
Core deposit intangible	0	0	136,341
Goodwill	11,574,269	11,574,269	11,574,269
Other real estate owned	364,235	284,235	343,928
Other assets	8,386,276	7,653,955	9,829,772
Total assets	654,995,774	667,045,595	648,174,342
Deposits:
Demand, non-interest bearing	112,159,218	117,245,565	110,398,464
Interest-bearing transaction accounts	126,164,648	132,633,533	116,869,761
Money market funds	75,983,544	93,392,005	73,279,696
Savings	101,030,190	97,516,284	97,929,768
Time deposits, $250,000 and over	13,728,867	18,909,898	23,808,349
Other time deposits	97,852,444	100,937,695	111,021,241
Total deposits	526,918,911	560,634,980	533,307,279
Borrowed funds	22,550,000	3,550,000	13,550,000
Repurchase agreements	30,294,972	28,647,848	28,862,766
Capital lease obligations	325,441	381,807	435,243
Junior subordinated debentures	12,887,000	12,887,000	12,887,000
Accrued interest and other liabilities	2,562,817	3,008,106	3,014,740
Total liabilities	595,539,141	609,109,741	592,057,028
Shareholders' Equity
Preferred stock, 1,000,000 shares authorized, 20 and 25 shares issued and outstanding in 2018 and 2017, respectively ($100,000 liquidation value)	2,000,000	2,500,000	2,500,000
Common stock - $2.50 par value; 15,000,000 shares authorized, 5,350,131 shares issued at 06/30/18, 5,322,320 shares issued at 12/31/17 and 5,297,753 shares issued at 06/30/17	13,375,328	13,305,800	13,244,383
Additional paid-in capital	32,048,600	31,639,189	31,227,266
Retained earnings	15,477,941	13,387,739	11,809,846
Accumulated other comprehensive loss	(822,459)	(274,097)	(41,404)
Less: treasury stock, at cost; 210,101 shares at 06/30/18, 12/31/17 and 06/30/17	(2,622,777)	(2,622,777)	(2,622,777)
Total shareholders' equity	59,456,633	57,935,854	56,117,314
Total liabilities and shareholders' equity	$ 654,995,774	$ 667,045,595	$ 648,174,342
Book value per common share outstanding	$ 11.18	$ 10.84	$ 10.54

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($)	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Assets
Securities held-to-maturity, fair value	$ 32,292,000	$ 48,796,000	$ 37,065,000
Shareholder's Equity
Preferred stock, shares authorized (in shares)	1,000,000	1,000,000	1,000,000
Preferred stock, shares issued (in shares)	20	25	25
Preferred stock, shares outstanding (in shares)	20	25	25
Preferred stock liquidation value	$ 100,000	$ 100,000	$ 100,000
Common stock par value (in dollars per share)	$ 2.50	$ 2.50	$ 2.50
Common stock, shares authorized (in shares)	15,000,000	15,000,000	15,000,000
Common stock, shares issued (in shares)	5,350,131	5,322,320	5,297,753
Treasury stock (in shares)	210,101	210,101	210,101

Consolidated Statements of Inco

Consolidated Statements of Income (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Interest income
Interest and fees on loans	$ 6,387,493	$ 5,875,766	$ 12,528,037	$ 11,492,633
Interest on debt securities
Taxable	221,016	164,644	423,901	316,370
Tax-exempt	312,488	336,197	622,644	660,729
Dividends	30,857	40,864	59,548	76,660
Interest on federal funds sold and overnight deposits	77,005	27,366	171,567	54,838
Total interest income	7,028,859	6,444,837	13,805,697	12,601,230
Interest expense
Interest on deposits	719,389	568,110	1,406,451	1,105,899
Interest on borrowed funds	17,642	28,044	25,125	80,279
Interest on repurchase agreements	37,641	22,235	68,847	43,762
Interest on junior subordinated debentures	163,827	131,115	306,824	253,975
Total interest expense	938,499	749,504	1,807,247	1,483,915
Net interest income	6,090,360	5,695,333	11,998,450	11,117,315
Provision for loan losses	180,000	150,000	360,000	300,000
Net interest income after provision for loan losses	5,910,360	5,545,333	11,638,450	10,817,315
Non-interest income
Service fees	810,731	772,238	1,580,813	1,520,355
Income from sold loans	190,710	184,072	374,329	374,367
Other income from loans	198,351	209,288	410,621	394,905
Net realized (loss) gain on sale of securities AFS	(6,375)	1,270	(10,236)	3,400
Other income	496,744	214,863	730,304	458,922
Total non-interest income	1,690,161	1,381,731	3,085,831	2,751,949
Non-interest expense
Salaries and wages	1,914,616	1,703,751	3,530,002	3,414,875
Employee benefits	722,302	692,418	1,396,304	1,333,979
Occupancy expenses, net	657,596	661,294	1,332,470	1,348,727
Other expenses	1,809,461	1,835,105	3,576,316	3,526,106
Total non-interest expense	5,103,975	4,892,568	9,835,092	9,623,687
Income before income taxes	2,496,546	2,034,496	4,889,189	3,945,577
Income tax expense	493,892	534,983	903,992	1,031,848
Net income	$ 2,002,654	$ 1,499,513	$ 3,985,197	$ 2,913,729
Earnings per common share	$ 0.39	$ 0.29	$ 0.77	$ 0.57
Weighted average number of common shares used in computing earnings per share	5,130,809	5,077,698	5,123,947	5,070,453
Dividends declared per common share	$ 0.19	$ 0.17	$ 0.36	$ 0.34

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Statement of Comprehensive Income [Abstract]
Net income	$ 2,002,654	$ 1,499,513	$ 3,985,197	$ 2,913,729
Other comprehensive (loss) income, net of tax:
Unrealized holding (loss) gain on securities AFS arising during the period	(127,242)	95,682	(704,367)	78,212
Reclassification adjustment for loss (gain) realized in income	6,375	(1,270)	10,236	(3,400)
Unrealized (loss) gain during the period	(120,867)	94,412	(694,131)	74,812
Tax effect	25,385	(32,100)	145,769	(25,437)
Other comprehensive (loss) income, net of tax	(95,482)	62,312	(548,362)	49,375
Total comprehensive income	$ 1,907,172	$ 1,561,825	$ 3,436,835	$ 2,963,104

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Cash Flows from Operating Activities:
Net income	$ 3,985,197	$ 2,913,729
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization, bank premises and equipment	490,702	512,956
Provision for loan losses	360,000	300,000
Deferred income tax	(76,957)	(216,506)
Loss (gain) on sale of securities AFS	10,236	(3,400)
Gain on sale of loans	(161,899)	(159,123)
(Gain) loss on sale of bank premises and equipment	(264,087)	1,580
Loss on sale of OREO	0	617
Income from CFSG Partners	(270,786)	(198,514)
Amortization of bond premium, net	65,691	56,186
Proceeds from sales of loans held for sale	5,078,916	7,600,841
Originations of loans held for sale	(3,879,730)	(8,012,918)
Increase in taxes payable	82,207	539,738
Decrease in interest receivable	99,614	72,107
Decrease in mortgage servicing rights	49,607	59,454
Increase in other assets	(559,365)	(462,492)
Increase in cash surrender value of BOLI	(45,864)	(48,333)
Amortization of core deposit intangible	0	136,350
Amortization of limited partnerships	188,742	308,616
Increase in unamortized loan costs	(26,526)	(13,241)
(Decrease) increase in interest payable	(6,254)	52,847
Decrease in accrued expenses	(200,085)	(108,774)
Increase (decrease) in other liabilities	36,223	(68,688)
Net cash provided by operating activities	4,955,582	3,263,032
Cash Flows from Investing Activities:
Investments - HTM: Maturities and pay downs	21,333,215	22,418,808
Investments - HTM: Purchases	(4,713,972)	(8,950,591)
Investments - AFS: Maturities, calls, pay downs and sales	5,187,588	2,324,014
Investments - AFS: Purchases	(6,267,361)	(4,221,653)
Proceeds from redemption of restricted equity securities	0	813,300
Purchases of restricted equity securities	(730,400)	0
Decrease in limited partnership contributions payable	(380,250)	(27,000)
Increase in loans, net	(18,908,933)	(16,101,325)
Capital expenditures for bank premises and equipment	400,558	(239,431)
Proceeds from sales of OREO	169,900	383,117
Recoveries of loans charged off	46,665	39,977
Net cash used in investing activities	(3,862,990)	(3,560,784)
Cash Flows from Financing Activities:
Net (decrease) increase in demand and interest-bearing transaction accounts	(11,555,232)	4,742,597
Net (decrease) increase in money market and savings accounts	(13,894,555)	5,389,989
Net (decrease) increase in time deposits	(8,266,282)	18,439,661
Net increase (decrease) in repurchase agreements	1,647,124	(1,560,429)
Net increase (decrease) in short-term borrowings	21,000,000	(20,000,000)
Proceeds from long-term borrowings	0	2,000,000
Repayments on long-term borrowings	(2,000,000)	0
Decrease in capital lease obligations	(56,366)	(47,918)
Redemption of preferred stock	(500,000)	0
Dividends paid on preferred stock	(51,875)	(48,438)
Dividends paid on common stock	(1,259,104)	(1,206,275)
Net cash (used in) provided by financing activities	(14,936,290)	7,709,187
Net (decrease) increase in cash and cash equivalents	(13,843,698)	7,411,435
Cash and cash equivalents:
Beginning	42,653,501	29,614,286
Ending	28,809,803	37,025,721
Supplemental Schedule of Cash Paid During the Period:
Interest	1,813,501	1,431,068
Income taxes, net of refunds	710,000	400,000
Supplemental Schedule of Noncash Investing and Financing Activities:
Change in unrealized (loss) gain on securities AFS	(694,131)	74,812
Loans transferred to OREO	249,900	333,662
Common Shares Dividends Paid:
Dividends declared	1,843,120	1,722,227
Increase in dividends payable attributable to dividends declared	(105,077)	(42,594)
Dividends reinvested	(478,939)	(473,358)
Total	$ 1,259,104	$ 1,206,275

1. Basis of Presentation and Co

1. Basis of Presentation and Consolidation	6 Months Ended
	Jun. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Note 1. Basis of Presentation and Consolidation	The interim consolidated financial statements of Community Bancorp. and Subsidiary are unaudited. All significant intercompany balances and transactions have been eliminated in consolidation. In the opinion of management, all adjustments necessary for the fair presentation of the consolidated financial condition and results of operations of the Company and its subsidiary, Community National Bank (the Bank), contained herein have been made. The unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended December 31, 2017 contained in the Company's Annual Report on Form 10-K. The results of operations for the interim period are not necessarily indicative of the results of operations to be expected for the full annual period ending December 31, 2018, or for any other interim period. Certain amounts in the 2017 unaudited consolidated income statements have been reclassified to conform to the 2018 presentation. Reclassifications had no effect on prior period net income or shareholders’ equity. In addition to the definitions provided elsewhere in this quarterly report, the definitions, acronyms and abbreviations identified below are used throughout this Form 10-Q, including Part I. “Financial Information” and Part II. “Other Information”, and is intended to aid the reader and provide a reference page when reviewing this Form 10Q. ABS and OAS: Asset backed or other amortizing security FRB: Federal Reserve Board AFS: Available-for-sale FRBB: Federal Reserve Bank of Boston Agency MBS: MBS issued by a US government agency or GSE GAAP: Generally Accepted Accounting Principles in the United States ALCO: Asset Liability Committee GSE Government sponsored enterprise ALL: Allowance for loan losses HTM: Held-to-maturity ASC: Accounting Standards Codification ICS: Insured Cash Sweeps of the Promontory Interfinancial Network ASU: Accounting Standards Update IRS: Internal Revenue Service BIC: Borrower-in-Custody JNE: Jobs for New England Board: Board of Directors Jr: Junior BOLI Bank owned life insurance MBS: Mortgage-backed security bp or bps: Basis point(s) MPF: Mortgage Partnership Finance CBLR: Community Bank Leverage Ratio MSRs: Mortgage servicing rights CDARS: Certificate of Deposit Accounts Registry Service of the Promontory Interfinancial Network NII: Net interest income CDs: Certificates of deposit OCI: Other comprehensive income (loss) CDI: Core deposit intangible OREO: Other real estate owned CECL: Current Expected Credit Loss OTTI: Other-than-temporary impairment CFSG: Community Financial Services Group PMI Private mortgage insurance CFSG Partners: Community Financial Services Partners, LLC RD: USDA Rural Development Company: Community Bancorp. and Subsidiary SBA U.S. Small Business Administration CRE: Commercial Real Estate SEC: U.S. Securities and Exchange Commission DRIP: Dividend Reinvestment Plan SERP Supplemental Employee Retirement Plan Exchange Act: Securities Exchange Act of 1934 TDR: Troubled-debt restructuring FASB: Financial Accounting Standards Board USDA: U.S. Department of Agriculture FDIC: Federal Deposit Insurance Corporation VA: U.S. Veterans Administration FHLBB: Federal Home Loan Bank of Boston 2017 Tax Act: Tax Cut and Jobs Act of 2017 FHLMC Federal Home Loan Mortgage Corporation 2018 Regulatory Relief Act: Economic Growth, Regulatory Relief and Consumer Protection Act of 2018

2. Recent Accounting Developmen

2. Recent Accounting Developments	6 Months Ended
	Jun. 30, 2018
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Note 2. Recent Accounting Developments	The FASB issued ASU No. 2014-09, Revenue from Contracts with Customers FASB formed a Transition Resource Group to assist it in identifying implementation issues that may require further clarification or amendment to ASU No. 2014-09. As a result of that group’s deliberations, FASB has issued several amendments, which became effective concurrently with ASU No. 2014-09, including ASU No. 2016-08, Principal versus Agent Considerations In January 2016, the FASB issued ASU 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU No. 2016-02, Leases In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments A modified version of these requirements also applies to debt securities classified as available for sale, which will require that credit losses on those securities be recorded through an allowance for credit losses rather than a write-down. T h e ASU i s effec ti ve for fisca l years be g inn i n g aft er De c ember 15, 2019, in c lu d ing in teri m p e rio ds w i t hin t ho se fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within such years. The Company is evaluating the impact In January 2017, the FASB issued ASU No. 2017-04, Intangibles Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment The Company has goodwill from its acquisition of LyndonBank in 2007 and performs an impairment test annually or more frequently if circumstances warrant (see Note 6). The Company is currently evaluating the impact of the adoption of the ASU on its consolidated financial statements, but does not anticipate any material impact at this time. In February 2018, FASB issued ASU No. 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.

3. Earnings per Common Share

3. Earnings per Common Share	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
Note 3. Earnings per Common Share	Earnings per common share amounts are computed based on the weighted average number of shares of common stock issued during the period (retroactively adjusted for stock splits and stock dividends, if any), including Dividend Reinvestment Plan shares issuable upon reinvestment of dividends declared, and reduced for shares held in treasury. The following tables illustrate the calculation of earnings per common share for the periods presented, as adjusted for the cash dividends declared on the preferred stock: Three Months Ended June 30, 2018 2017 Net income, as reported $ 2,002,654 $ 1,499,513 Less: dividends to preferred shareholders 23,750 25,000 Net income available to common shareholders $ 1,978,904 $ 1,474,513 Weighted average number of common shares used in calculating earnings per share 5,130,809 5,077,698 Earnings per common share $ 0.39 $ 0.29 Six Months Ended June 30, 2018 2017 Net income, as reported $ 3,985,197 $ 2,913,729 Less: dividends to preferred shareholders 51,875 48,438 Net income available to common shareholders $ 3,933,322 $ 2,865,291 Weighted average number of common shares used in calculating earnings per share 5,123,947 5,070,453 Earnings per common share $ 0.77 $ 0.57

4. Investment Securities

4. Investment Securities	6 Months Ended
	Jun. 30, 2018
Investment Securities
Note 4. Investment Securities	Securities AFS and HTM as of the balance sheet dates consisted of the following: Gross Gross Amortized Unrealized Unrealized Fair Securities AFS Cost Gains Losses Value June 30, 2018 U.S. GSE debt securities $ 15,017,800 $ 0 $ 399,321 $ 14,618,479 Agency MBS 16,358,655 2,835 490,914 15,870,576 ABS and OAS 1,000,000 0 5,688 994,312 Other investments 7,425,000 0 147,999 7,277,001 $ 39,801,455 $ 2,835 $ 1,043,922 $ 38,760,368 December 31, 2017 U.S. GSE debt securities $ 17,308,229 $ 0 $ 149,487 $ 17,158,742 Agency MBS 16,782,380 11,144 180,187 16,613,337 Other investments 4,707,000 165 28,591 4,678,574 $ 38,797,609 $ 11,309 $ 358,265 $ 38,450,653 Gross Gross Amortized Unrealized Unrealized Fair Securities AFS Cost Gains Losses Value June 30, 2017 U.S. GSE debt securities $ 18,356,415 $ 14,654 $ 57,881 $ 18,313,188 Agency MBS 13,128,034 23,950 73,365 13,078,619 Other investments 4,213,000 31,180 1,271 4,242,909 $ 35,697,449 $ 69,784 $ 132,517 $ 35,634,716 Gross Gross Amortized Unrealized Unrealized Fair Securities HTM Cost Gains Losses Value* June 30, 2018 States and political subdivisions $ 32,205,722 $ 338,294 $ 252,017 $ 32,292,000 December 31, 2017 States and political subdivisions $ 48,824,965 $ 0 $ 28,965 $ 48,796,000 June 30, 2017 States and political subdivisions $ 36,418,414 $ 646,586 $ 0 $ 37,065,000 *Method used to determine fair value of HTM securities rounds values to nearest thousand. The scheduled maturities of debt securities AFS as of the balance sheet dates were as follows: Amortized Fair Cost Value June 30, 2018 Due from one to five years $ 13,982,713 $ 13,689,583 Due from five to ten years 9,460,087 9,200,209 Agency MBS 16,358,655 15,870,576 $ 39,801,455 $ 38,760,368 December 31, 2017 Due in one year or less $ 3,749,956 $ 3,739,512 Due from one to five years 11,275,824 11,168,065 Due from five to ten years 6,989,449 6,929,739 Agency MBS 16,782,380 16,613,337 $ 38,797,609 $ 38,450,653 June 30, 2017 Due in one year or less $ 3,001,770 $ 3,001,473 Due from one to five years 17,322,645 17,326,400 Due from five to ten years 2,245,000 2,228,224 Agency MBS 13,128,034 13,078,619 $ 35,697,449 $ 35,634,716 Because the actual maturities of Agency MBS usually differ from their contractual maturities due to the right of borrowers to prepay the underlying mortgage loans, usually without penalty, those securities are not presented in the table by contractual maturity date. The scheduled maturities of debt securities HTM as of the balance sheet dates were as follows: Amortized Fair Cost Value* June 30, 2018 Due in one year or less $ 8,223,089 $ 8,223,000 Due from one to five years 4,724,770 4,746,000 Due from five to ten years 4,394,497 4,416,000 Due after ten years 14,863,366 14,907,000 $ 32,205,722 $ 32,292,000 December 31, 2017 Due in one year or less $ 24,817,334 $ 24,817,000 Due from one to five years 4,494,343 4,487,000 Due from five to ten years 4,338,246 4,331,000 Due after ten years 15,175,042 15,161,000 $ 48,824,965 $ 48,796,000 June 30, 2017 Due in one year or less $ 11,987,857 $ 11,988,000 Due from one to five years 3,987,322 4,149,000 Due from five to ten years 3,744,385 3,906,000 Due after ten years 16,698,850 17,022,000 $ 36,418,414 $ 37,065,000 *Method used to determine fair value of HTM securities rounds values to nearest thousand. Debt securities AFS and HTM with unrealized losses as of the balance sheet dates are presented in the table below. Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Number of Fair Unrealized Value Loss Value Loss Securities Value Loss June 30, 2018 U.S. GSE debt securities $ 11,732,997 $ 284,803 $ 2,885,482 $ 114,518 13 $ 14,618,479 $ 399,321 Agency MBS 10,449,556 323,950 3,997,985 166,964 23 14,447,541 490,914 ABS and OAS 994,312 5,688 0 0 1 994,312 5,688 Other investments 6,060,871 127,129 723,130 20,870 28 6,784,001 147,999 State and political subdivisions 28,006,864 252,017 0 0 107 28,006,864 252,017 $ 57,244,600 $ 993,587 $ 7,606,597 $ 302,352 172 $ 64,851,197 $ 1,295,939 December 31, 2017 U.S. GSE debt securities $ 13,223,739 $ 84,490 $ 3,935,003 $ 64,997 15 $ 17,158,742 $ 149,487 Agency MBS 9,251,323 105,063 4,542,446 75,124 21 13,793,769 180,187 Other investments 3,692,571 25,429 244,838 3,162 16 3,937,409 28,591 State and political subdivisions 22,530,141 28,965 0 0 79 22,530,141 28,965 $ 48,697,774 $ 243,947 $ 8,722,287 $ 143,283 131 $ 57,420,061 $ 387,230 June 30, 2017 U.S. GSE debt securities $ 10,724,642 $ 57,881 $ 0 $ 0 9 $ 10,724,642 $ 57,881 Agency MBS 8,751,252 73,365 0 0 13 8,751,252 73,365 Other investments 990,729 1,271 0 0 4 990,729 1,271 $ 20,466,623 $ 132,517 $ 0 $ 0 26 $ 20,466,623 $ 132,517 The unrealized losses for all periods presented were principally attributable to changes in prevailing interest rates for similar types of securities and not deterioration in the creditworthiness of the issuer. Management evaluates securities for OTTI at least on a quarterly basis, and more frequently when economic or market conditions, or adverse developments relating to the issuer, warrant such evaluation. Consideration is given to (1) the length of time and the extent to which the fair value has been less than the carrying value, (2) the financial condition and near-term prospects of the issuer, and (3) the intent and ability of the Company to retain its investment for a period of time sufficient to allow for any anticipated recovery in fair value. In analyzing an issuer's financial condition, management considers whether the securities are issued by the federal government or its agencies, whether downgrades by bond rating agencies or other adverse developments in the status of the securities have occurred, and the results of reviews of the issuer's financial condition. As of June 30, 2018, there were no declines in the fair value of any of the securities reflected in the table above that were deemed by management to be OTTI. Investments pledged as collateral for repurchase agreements consisted of U.S. GSE debt securities, Agency MBS securities, ABS and OAS, and CDs. These repurchase agreements mature daily. These investments as of the balance sheet dates were as follows: Amortized Fair Cost Value June 30, 2018 $ 39,801,455 $ 38,760,368 December 31, 2017 38,797,609 38,450,653 June 30, 2017 35,697,449 35,634,716

5. Loans, Allowance for Loan Lo

5. Loans, Allowance for Loan Losses and Credit Quality	6 Months Ended
	Jun. 30, 2018
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]
Note 5. Loans, Allowance for Loan Losses and Credit Quality	The composition of net loans as of the balance sheet dates was as follows: June 30, December 31, June 30, 2018 2017 2017 Commercial & industrial $ 88,336,757 $ 77,110,747 $ 79,361,739 Commercial real estate 217,268,526 207,044,227 209,886,793 Residential real estate - 1st lien 165,347,241 168,184,135 164,398,836 Residential real estate - Jr lien 45,127,750 45,256,862 42,166,407 Consumer 5,011,669 5,268,680 6,959,070 Gross Loans 521,091,943 502,864,651 502,772,845 Deduct (add): Allowance for loan losses 5,413,023 5,438,099 5,374,378 Deferred net loan costs (345,177 ) (318,651 ) (323,371 ) Net Loans $ 516,024,097 $ 497,745,203 $ 497,721,838 The following is an age analysis of loans (including non-accrual) as of the balance sheet dates, by portfolio segment: 90 Days or 90 Days Total Non-Accrual More and June 30, 2018 30-89 Days or More Past Due Current Total Loans Loans Accruing Commercial & industrial $ 230,784 $ 0 $ 230,784 $ 88,105,973 $ 88,336,757 $ 197,079 $ 0 Commercial real estate 1,195,120 315,881 1,511,001 215,757,525 217,268,526 1,957,183 0 Residential real estate - 1st lien 2,255,600 1,081,853 3,337,453 162,009,788 165,347,241 1,749,608 406,196 - Jr lien 332,650 238,534 571,184 44,556,566 45,127,750 369,493 101,713 Consumer 48,155 0 48,155 4,963,514 5,011,669 0 0 $ 4,062,309 $ 1,636,268 $ 5,698,577 $ 515,393,366 $ 521,091,943 $ 4,273,363 $ 507,909 90 Days or 90 Days Total Non-Accrual More and December 31, 2017 30-89 Days or More Past Due Current Total Loans Loans Accruing Commercial & industrial $ 308,712 $ 0 $ 308,712 $ 76,802,035 $ 77,110,747 $ 98,806 $ 0 Commercial real estate 1,482,982 418,255 1,901,237 205,142,990 207,044,227 1,065,385 0 Residential real estate - 1st lien 4,238,933 2,011,419 6,250,352 161,933,783 168,184,135 1,585,473 1,249,241 - Jr lien 156,101 168,517 324,618 44,932,244 45,256,862 346,912 0 Consumer 80,384 1,484 81,868 5,186,812 5,268,680 0 1,484 $ 6,267,112 $ 2,599,675 $ 8,866,787 $ 493,997,864 $ 502,864,651 $ 3,096,576 $ 1,250,725 90 Days or 90 Days Total Non-Accrual More and June 30, 2017 30-89 Days or More Past Due Current Total Loans Loans Accruing Commercial & industrial $ 121,737 $ 86,994 $ 208,731 $ 79,153,008 $ 79,361,739 $ 135,379 $ 0 Commercial real estate 2,398,960 228,621 2,627,581 207,259,212 209,886,793 728,093 15,011 Residential real estate - 1st lien 1,886,256 1,225,362 3,111,618 161,287,218 164,398,836 1,403,312 354,988 - Jr lien 252,557 237,483 490,040 41,676,367 42,166,407 398,862 71,614 Consumer 54,835 0 54,835 6,904,235 6,959,070 0 0 $ 4,714,345 $ 1,778,460 $ 6,492,805 $ 496,280,040 $ 502,772,845 $ 2,665,646 $ 441,613 For all loan segments, loans over 30 days past due are considered delinquent. As of the balance sheet dates presented, residential mortgage loans in process of foreclosure consisted of the following: Number of loans Balance June 30, 2018 10 $ 615,038 December 31, 2017 10 791,944 June 30, 2017 7 448,622 Allowance for loan losses The ALL is established through a provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is probable. Subsequent recoveries, if any, are credited to the allowance. Unsecured loans, primarily consumer loans, are charged off when they become uncollectible and no later than 120 days past due. Unsecured loans to customers who subsequently file bankruptcy are charged off within 30 days of receipt of the notification of filing or by the end of the month in which the loans become 120 days past due, whichever occurs first. For secured loans, both residential and commercial, the potential loss on impaired loans is carried as a loan loss reserve specific allocation; the loss portion is charged off when collection of the full loan appears unlikely. The unsecured portion of a real estate loan is that portion of the loan exceeding the "fair value" of the collateral less the estimated cost to sell. Value of the collateral is determined in accordance with the Company’s appraisal policy. The unsecured portion of an impaired real estate secured loan is charged off by the end of the month in which the loan becomes 180 days past due. As described below, the allowance consists of general, specific and unallocated components. However, the entire allowance is available to absorb losses in the loan portfolio, regardless of specific, general and unallocated components considered in determining the amount of the allowance. General component The general component of the ALL is based on historical loss experience and various qualitative factors and is stratified by the following loan segments: commercial and industrial, CRE, residential real estate 1st lien, residential real estate Jr lien and consumer loans. The Company does not disaggregate its portfolio segments further into classes. Loss ratios are calculated by loan segment for one year, two year, three year, four year and five year look back periods. Management uses an average of historical losses based on a time frame appropriate to capture relevant loss data for each loan segment in the current economic climate. During periods of economic stability, a relatively longer period (e.g., five years) may be appropriate. During periods of significant expansion or contraction, the Company may appropriately shorten the historical time period. The Company is currently using an extended look back period of five years. Qualitative factors include the levels of and trends in delinquencies and non-performing loans, levels of and trends in loan risk groups, trends in volumes and terms of loans, effects of any changes in loan related policies, experience, ability and the depth of management, documentation and credit data exception levels, national and local economic trends, external factors such as competition and regulation and lastly, concentrations of credit risk in a variety of areas, including portfolio product mix, the level of loans to individual borrowers and their related interests, loans to industry segments, and the geographic distribution of CRE loans. This evaluation is inherently subjective as it requires estimates that are susceptible to revision as more information becomes available. The qualitative factors are determined based on the various risk characteristics of each loan segment. The Company has policies, procedures and internal controls that management believes are commensurate with the risk profile of each of these segments. Major risk characteristics relevant to each portfolio segment are as follows: Commercial & Industrial – Commercial Real Estate – Residential Real Estate - 1st Lien – Residential Real Estate – Jr Lien – Consumer – Specific component The specific component of the ALL relates to loans that are impaired. Impaired loans are loan(s) to a borrower that in the aggregate are greater than $100,000 and that are in non-accrual status or are troubled debt restructurings (TDR) regardless of amount. A specific allowance is established for an impaired loan when its estimated impaired basis is less than the carrying value of the loan. For all loan segments, except consumer loans, a loan is considered impaired when, based on current information and events, in management’s estimation 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. Factors considered by management in determining impairment include payment status, collateral value and probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant or temporary payment delays and payment shortfalls generally are not classified as impaired. Management evaluates the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length and frequency of the delay, the reasons for the delay, the borrower’s prior payment record and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan by loan basis, by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. Impaired loans also include troubled loans that are restructured. A TDR occurs when the Company, for economic or legal reasons related to the borrower’s financial difficulties, grants a concession to the borrower that would otherwise not be granted. TDRs may include the transfer of assets to the Company in partial satisfaction of a troubled loan, a modification of a loan’s terms, or a combination of the two. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer loans for impairment evaluation, unless such loans are subject to a restructuring agreement. Unallocated component An unallocated component of the ALL is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component reflects management’s estimate of the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating specific and general losses in the portfolio. The tables below summarize changes in the ALL and select loan information, by portfolio segment, for the periods indicated. As of or for the three months ended June 30, 2018 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Unallocated Total Allowance for loan losses Beginning balance $ 666,660 $ 2,666,704 $ 1,407,801 $ 289,292 $ 44,162 $ 266,601 $ 5,341,220 Charge-offs (42,380 ) (3,645 ) (45,362 ) 0 (39,758 ) 0 (131,145 ) Recoveries 15,027 0 300 240 7,381 0 22,948 Provision (credit) 145,782 45,180 35,302 (1,930 ) 39,850 (84,184 ) 180,000 Ending balance $ 785,089 $ 2,708,239 $ 1,398,041 $ 287,602 $ 51,635 $ 182,417 $ 5,413,023 As of or for the six months ended June 30, 2018 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Unallocated Total Allowance for loan losses Beginning balance $ 675,687 $ 2,674,029 $ 1,460,547 $ 316,982 $ 43,303 $ 267,551 $ 5,438,099 Charge-offs (131,273 ) (124,645 ) (78,435 ) (24,000 ) (73,388 ) 0 (431,741 ) Recoveries 20,041 0 9,158 675 16,791 0 46,665 Provision (credit) 220,634 158,855 6,771 (6,055 ) 64,929 (85,134 ) 360,000 Ending balance $ 785,089 $ 2,708,239 $ 1,398,041 $ 287,602 $ 51,635 $ 182,417 $ 5,413,023 Allowance for loan losses Evaluated for impairment Individually $ 0 $ 0 $ 129,488 $ 1,007 $ 0 $ 0 $ 130,495 Collectively 785,089 2,708,239 1,268,553 286,595 51,635 182,417 5,282,528 $ 785,089 $ 2,708,239 $ 1,398,041 $ 287,602 $ 51,635 $ 182,417 $ 5,413,023 Loans evaluated for impairment Individually $ 197,079 $ 2,064,330 $ 4,315,348 $ 305,363 $ 0 $ 6,882,120 Collectively 88,139,678 215,204,196 161,031,893 44,822,387 5,011,669 514,209,823 $ 88,336,757 $ 217,268,526 $ 165,347,241 $ 45,127,750 $ 5,011,669 $ 521,091,943 As of or for the year ended December 31, 2017 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Unallocated Total Allowance for loan losses Beginning balance $ 726,848 $ 2,496,085 $ 1,369,757 $ 371,176 $ 83,973 $ 230,606 $ 5,278,445 Charge-offs (20,000 ) (160,207 ) (159,533 ) (118,359 ) (124,042 ) 0 (582,141 ) Recoveries 27,051 230 26,826 465 37,223 0 91,795 Provision (credit) (58,212 ) 337,921 223,497 63,700 46,149 36,945 650,000 Ending balance $ 675,687 $ 2,674,029 $ 1,460,547 $ 316,982 $ 43,303 $ 267,551 $ 5,438,099 Allowance for loan losses Evaluated for impairment Individually $ 0 $ 69,015 $ 125,305 $ 26,353 $ 0 $ 0 $ 220,673 Collectively 675,687 2,605,014 1,335,242 290,629 43,303 267,551 5,217,426 $ 675,687 $ 2,674,029 $ 1,460,547 $ 316,982 $ 43,303 $ 267,551 $ 5,438,099 Loans evaluated for impairment Individually $ 98,806 $ 1,306,057 $ 4,075,666 $ 300,759 $ 0 $ 5,781,288 Collectively 77,011,941 205,738,170 164,108,469 44,956,103 5,268,680 497,083,363 $ 77,110,747 $ 207,044,227 $ 168,184,135 $ 45,256,862 $ 5,268,680 $ 502,864,651 As of or for the three months ended June 30, 2017 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Unallocated Total Allowance for loan losses Beginning balance $ 719,773 $ 2,521,121 $ 1,312,795 $ 370,454 $ 61,322 $ 272,975 $ 5,258,440 Charge-offs 0 0 0 (15,311 ) (37,326 ) 0 (52,637 ) Recoveries 1,422 230 3,981 60 12,882 0 18,575 Provision (credit) (25,532 ) 8,864 46,548 19,161 14,417 86,542 150,000 Ending balance $ 695,663 $ 2,530,215 $ 1,363,324 $ 374,364 $ 51,295 $ 359,517 $ 5,374,378 As of or for the six months ended June 30, 2017 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Unallocated Total Allowance for loan losses Beginning balance $ 726,848 $ 2,496,085 $ 1,369,757 $ 371,176 $ 83,973 $ 230,606 $ 5,278,445 Charge-offs 0 (160,207 ) (4,735 ) (15,311 ) (63,791 ) 0 (244,044 ) Recoveries 4,318 230 10,217 120 25,092 0 39,977 Provision (credit) (35,503 ) 194,107 (11,915 ) 18,379 6,021 128,911 300,000 Ending balance $ 695,663 $ 2,530,215 $ 1,363,324 $ 374,364 $ 51,295 $ 359,517 $ 5,374,378 Allowance for loan losses Evaluated for impairment Individually $ 0 $ 74,249 $ 154,760 $ 126,053 $ 0 $ 0 $ 355,062 Collectively 695,663 2,455,966 1,208,564 248,311 51,295 359,517 5,019,316 $ 695,663 $ 2,530,215 $ 1,363,324 $ 374,364 $ 51,295 $ 359,517 $ 5,374,378 Loans evaluated for impairment Individually $ 135,379 $ 1,968,144 $ 3,577,837 $ 419,550 $ 0 $ 6,100,910 Collectively 79,226,360 207,918,649 160,820,999 41,746,857 6,959,070 496,671,935 $ 79,361,739 $ 209,886,793 $ 164,398,836 $ 42,166,407 $ 6,959,070 $ 502,772,845 Impaired loans, by portfolio segment, were as follows: As of June 30, 2018 Unpaid Average Average Interest Recorded Principal Related Recorded Recorded Income Investment Balance Allowance Investment (1) Investment (2) Recognized (2) Related allowance recorded Commercial real estate $ 0 $ 0 $ 0 $ 41,823 $ 96,097 $ 0 Residential real estate - 1st lien 789,471 831,434 129,488 791,676 793,859 31,785 - Jr lien 7,798 7,788 1,007 7,990 54,211 1,482 797,269 839,222 130,495 841,489 944,167 33,267 No related allowance recorded Commercial & industrial 197,079 216,691 191,045 160,299 0 Commercial real estate 2,065,267 2,235,772 1,794,217 1,563,764 37,813 Residential real estate - 1st lien 3,543,703 4,189,432 3,525,807 3,450,597 120,756 - Jr lien 297,575 298,931 280,965 238,682 0 6,103,624 6,940,826 5,792,034 5,413,342 158,569 $ 6,900,893 $ 7,780,048 $ 130,495 $ 6,633,523 $ 6,357,509 $ 191,836 (1) For the three months ended June 30, 2018 (2) For the six months ended June 30, 2018 In the table above, recorded investment in impaired loans as of June 30, 2018 includes accrued interest receivable and deferred net loan costs of $18,773. As of December 31, 2017 2017 Unpaid Average Interest Recorded Principal Related Recorded Income Investment Balance Allowance Investment Recognized Related allowance recorded Commercial real estate $ 204,645 $ 225,681 $ 69,015 $ 210,890 $ 0 Residential real estate - 1st lien 798,226 837,766 125,305 646,799 29,262 - Jr lien 146,654 293,351 26,353 220,274 400 1,149,525 1,356,798 220,673 1,077,963 29,662 No related allowance recorded Commercial & industrial 98,806 136,590 75,868 72,426 Commercial real estate 1,102,859 1,226,040 1,105,030 237,792 Residential real estate - 1st lien 3,300,175 3,641,627 1,930,108 133,732 - Jr lien 154,116 154,423 116,519 16,574 4,655,956 5,158,680 3,227,525 460,524 $ 5,805,481 $ 6,515,478 $ 220,673 $ 4,305,488 $ 490,186 In the table above, recorded investment in impaired loans as of December 31, 2017 includes accrued interest receivable and deferred net loan costs of $24,193. As of June 30, 2017 Unpaid Average Average Interest Recorded Principal Related Recorded Recorded Income Investment Balance Allowance Investment (1) Investment (2) Recognized (2) Related allowance recorded Commercial real estate $ 210,499 $ 228,074 $ 74,249 $ 212,451 $ 215,053 $ 0 Residential real estate - 1st lien 1,038,752 1,074,246 154,760 545,895 454,686 15,720 Residential real estate - Jr lien 283,626 348,416 126,053 252,853 243,253 1,301 1,532,877 1,650,736 355,062 1,011,199 912,992 17,021 No related allowance recorded Commercial & industrial 135,379 218,023 91,882 77,383 0 Commercial real estate 1,763,013 2,324,546 1,109,536 895,437 32,923 Residential real estate - 1st lien 2,556,076 2,802,565 1,484,683 1,214,864 57,116 Residential real estate - Jr lien 136,821 136,821 136,821 91,214 0 4,591,289 5,481,955 2,822,922 2,278,898 90,039 $ 6,124,166 $ 7,132,691 $ 355,062 $ 3,834,121 $ 3,191,890 $ 107,060 (1) For the three months ended June 30, 2017 (2) For the six months ended June 30, 2017 In the table above, recorded investment in impaired loans as of June 30, 2017 includes accrued interest receivable and deferred net loan costs of $23,256. For all loan segments, the accrual of interest is discontinued when a loan is specifically determined to be impaired or when the loan is delinquent 90 days and management believes, after considering collection efforts and other factors, that the borrower's financial condition is such that collection of interest is considered by management to be doubtful. Any unpaid interest previously accrued on those loans is reversed from income. Interest income is generally not recognized on specific impaired loans unless the likelihood of further loss is considered by management to be remote. Interest payments received on impaired loans are generally applied as a reduction of the loan principal balance. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are considered by management to be reasonably assured. Credit Quality Grouping In developing the ALL, management uses credit quality grouping to help evaluate trends in credit quality. The Company groups credit risk into Groups A, B and C. The manner the Company utilizes to assign risk grouping is driven by loan purpose. Commercial purpose loans are individually risk graded while the retail portion of the portfolio is generally grouped by delinquency pool. Group A loans - Acceptable Risk Group B loans – Management Involved Group C loans – Unacceptable Risk Commercial purpose loan ratings are assigned by the commercial account officer; for larger and more complex commercial loans, the credit rating is a collaborative assignment by the lender and the credit analyst. The credit risk rating is based on the borrower's expected performance, i.e., the likelihood that the borrower will be able to service its obligations in accordance with the loan terms. Credit risk ratings are meant to measure risk versus simply record history. Assessment of expected future payment performance requires consideration of numerous factors. While past performance is part of the overall evaluation, expected performance is based on an analysis of the borrower's financial strength, and historical and projected factors such as size and financing alternatives, capacity and cash flow, balance sheet and income statement trends, the quality and timeliness of financial reporting, and the quality of the borrower’s management. Other factors influencing the credit risk rating to a lesser degree include collateral coverage and control, guarantor strength and commitment, documentation, structure and covenants and industry conditions. There are uncertainties inherent in this process. Credit risk ratings are dynamic and require updating whenever relevant information is received. The risk ratings of larger or more complex loans, and Group B and C rated loans, are assessed at the time of their respective annual reviews, during quarterly updates, in action plans or at any other time that relevant information warrants update. Lenders are required to make immediate disclosure to the Chief Credit Officer of any known increase in loan risk, even if considered temporary in nature. The risk ratings within the loan portfolio, by segment, as of the balance sheet dates were as follows: As of June 30, 2018 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Total Group A $ 84,161,408 $ 202,424,493 $ 162,200,561 $ 44,426,013 $ 5,011,669 $ 498,224,144 Group B 2,499,460 5,770,651 283,148 35,279 0 8,588,538 Group C 1,675,889 9,073,382 2,863,532 666,458 0 14,279,261 $ 88,336,757 $ 217,268,526 $ 165,347,241 $ 45,127,750 $ 5,011,669 $ 521,091,943 As of December 31, 2017 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Total Group A $ 73,352,768 $ 194,066,034 $ 165,089,999 $ 44,687,951 $ 5,267,196 $ 482,463,948 Group B 617,526 4,609,847 282,671 37,598 0 5,547,642 Group C 3,140,453 8,368,346 2,811,465 531,313 1,484 14,853,061 $ 77,110,747 $ 207,044,227 $ 168,184,135 $ 45,256,862 $ 5,268,680 $ 502,864,651 As of June 30, 2017 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Total Group A $ 75,971,101 $ 199,768,226 $ 162,224,767 $ 41,503,823 $ 6,959,070 $ 486,426,987 Group B 520,555 1,169,093 0 162,321 0 1,851,969 Group C 2,870,083 8,949,474 2,174,069 500,263 0 14,493,889 $ 79,361,739 $ 209,886,793 $ 164,398,836 $ 42,166,407 $ 6,959,070 $ 502,772,845 Modifications of Loans and TDRs A loan is classified as a TDR if, for economic or legal reasons related to a borrower’s financial difficulties, the Company grants a concession to the borrower that it would not otherwise consider. The Company is deemed to have granted such a concession if it has modified a troubled loan in any of the following ways: ● Reduced accrued interest; ● Reduced the original contractual interest rate to a rate that is below the current market rate for the borrower; ● Converted a variable-rate loan to a fixed-rate loan; ● Extended the term of the loan beyond an insignificant delay; ● Deferred or forgiven principal in an amount greater than three months of payments; or ● Performed a refinancing and deferred or forgiven principal on the original loan. An insignificant delay or insignificant shortfall in the amount of payments typically would not require the loan to be accounted for as a TDR. However, pursuant to regulatory guidance, any payment delay longer than three months is generally not considered insignificant. Management’s assessment of whether a concession has been granted also takes into account payments expected to be received from third parties, including third-party guarantors, provided that the third party has the ability to perform on the guarantee. The Company’s TDRs are principally a result of extending loan repayment terms to relieve cash flow difficulties. The Company has only, on a limited basis, reduced interest rates for borrowers below the current market rate for the borrower. The Company has not forgiven principal or reduced accrued interest within the terms of original restructurings, nor has it converted variable rate terms to fixed rate terms. However, the Company evaluates each TDR situation on its own merits and does not foreclose the granting of any particular type of concession. New TDRs, by portfolio segment, during the periods presented were as follows: Three months ended June 30, 2018 Six months ended June 30, 2018 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Residential real estate - 1st lien 2 $ 215,772 $ 218,157 7 $ 898,563 $ 1,003,466 Year ended December 31, 2017 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Residential real estate - 1st lien 4 $ 256,353 $ 287,385 Six months ended June 30, 2017 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial & industrial 1 $ 41,857 $ 57,418 The TDRs for which there was a payment default during the twelve month periods presented were as follows: Twelve months ended June 30, 2018 Number of Recorded Contracts Investment Residential real estate – 1st lien 3 $ 267,418 Twelve months ended December 31, 2017 Number of Recorded Contracts Investment Residential real estate - 1st lien 1 $ 87,696 Twelve months ended June 30, 2017 Number of Recorded Contracts Investment Residential real estate - 1st lien 2 $ 80,485 TDRs are treated as other impaired loans and carry individual specific reserves with respect to the calculation of the ALL. These loans are categorized as non-performing, may be past due, and are generally adversely risk rated. The TDRs that have defaulted under their restructured terms are generally in collection status and their reserve is typically calculated using the fair value of collateral method. The specific allowances related to TDRs as of the balance sheet dates are presented in the table below. June 30, December 31, June 30, 2018 2017 2017 Specific Allocation $ 130,495 $ 197,605 $ 237,551 As of the balance sheet dates, the Company evaluates whether it is contractually committed to lend additional funds to debtors with impaired, non-accrual or modified loans. The Company is contractually committed to lend on one SBA guaranteed line of credit to a borrower whose lending relationship was previously restructured.

6. Goodwill and Other Intangibl

6. Goodwill and Other Intangible Assets	6 Months Ended
	Jun. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Note 6. Goodwill and Other Intangible Assets	As a result of a merger with LyndonBank on December 31, 2007, the Company recorded goodwill amounting to $11,574,269. The goodwill is not amortizable and is not deductible for tax purposes. The Company also initially recorded $4,161,000 of acquired identified intangible assets in the LyndonBank merger, representing the CDI which was subject to amortization as a non-interest expense over a ten year period and was fully amortized in 2017. Management evaluates goodwill for impairment annually. As of the date of the most recent evaluation (December 31, 2017), management concluded that no impairment existed.

7. Fair Value

7. Fair Value	6 Months Ended
	Jun. 30, 2018
Fair Value Disclosures [Abstract]
Note 7. Fair Value	Certain assets and liabilities are recorded at fair value to provide additional insight into the Company’s quality of earnings. The fair values of some of these assets and liabilities are measured on a recurring basis while others are measured on a non-recurring basis, with the determination based upon applicable existing accounting pronouncements. For example, securities available-for-sale are recorded at fair value on a recurring basis. Other assets, such as MSRs, loans held-for-sale, impaired loans, and OREO are recorded at fair value on a non-recurring basis using the lower of cost or market methodology to determine impairment of individual assets. The Company groups assets and liabilities which are recorded at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. The level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement (with Level 1 considered highest and Level 3 considered lowest). A brief description of each level follows. Level 1 Quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities include debt and equity securities and derivative contracts that are traded in an active exchange market, as well as U.S. Treasury, other U.S. Government debt securities that are highly liquid and are actively traded in over-the-counter markets. Level 2 Observable inputs other than Level 1 prices such as quoted prices for similar assets and liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets and liabilities include debt securities with quoted prices that are traded less frequently than exchange-traded instruments and derivative contracts whose value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data. This category generally includes MSRs, impaired loans and OREO. Level 3 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. The following methods and assumptions were used by the Company in estimating its fair value measurements and disclosures: Cash and cash equivalents: Securities AFS and HTM: Restricted equity securities: Loans and loans held-for-sale: The fair value of loans held-for-sale is based upon an actual purchase and sale agreement between the Company and an independent market participant. The sale is executed within a reasonable period following quarter end at the stated fair value. MSRs: OREO: Deposits, repurchase agreements and borrowed funds: Capital lease obligations: Junior subordinated debentures: Accrued interest: Off-balance-sheet credit related instruments: FASB ASC Topic 825, “Financial Instruments”, requires disclosures of fair value information about financial instruments, whether or not recognized in the balance sheet, if the fair values can be reasonably determined. 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 using observable inputs when available. 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. Topic 825 excludes certain financial instruments and all nonfinancial instruments from its disclosure requirements. Accordingly, the aggregate fair value amounts presented may not necessarily represent the underlying fair value of the Company. Assets and Liabilities Recorded at Fair Value on a Recurring Basis Assets measured at fair value on a recurring basis and reflected in the consolidated balance sheets at the dates presented, segregated by fair value hierarchy, are summarized below: June 30, 2018 Level 2 Assets: (market approach) U.S. GSE debt securities $ 14,618,479 Agency MBS 15,870,576 ABS and OAS 994,312 Other investments 7,277,001 $ 38,760,368 December 31, 2017 Level 2 Assets: (market approach) U.S. GSE debt securities $ 17,158,742 Agency MBS 16,613,337 Other investments 4,678,574 $ 38,450,653 June 30, 2017 Level 2 Assets: (market approach) U.S. GSE debt securities $ 18,313,188 Agency MBS 13,078,619 Other investments 4,242,909 $ 35,634,716 There were no Level 1 or Level 3 assets or liabilities measured on a recurring basis as of the balance sheet dates presented, nor were there any transfers of assets between Levels during 2018 or 2017. Assets and Liabilities Recorded at Fair Value on a Non-Recurring Basis The following table includes assets measured at fair value on a non-recurring basis that have had a fair value adjustment since their initial recognition. Impaired loans measured at fair value only include impaired loans with a related specific ALL and are presented net of specific allowances as disclosed in Note 5. Assets measured at fair value on a non-recurring basis and reflected in the consolidated balance sheets at the dates presented, segregated by fair value hierarchy, are summarized below: June 30, 2018 Level 2 Assets: (market approach) MSRs (1) $ 1,033,679 OREO 364,235 December 31, 2017 Level 2 Assets: (market approach) MSRs (1) $ 1,083,286 Impaired loans, net of related allowance 135,630 OREO 284,235 June 30, 2017 Level 2 Assets: (market approach) MSRs (1) $ 1,151,241 Impaired loans, net of related allowance 25,050 OREO 343,928 (1) Represents MSRs at lower of cost or fair value, including MSRs deemed to be impaired and for which a valuation allowance was established to carry at fair value as of the balance sheet dates presented. There were no Level 1 or Level 3 assets or liabilities measured on a non-recurring basis as of the balance sheet dates presented, nor were there any transfers of assets between Levels during 2018 or 2017. The estimated fair values of commitments to extend credit and letters of credit were immaterial as of the dates presented in the tables below. The estimated fair values of the Company's financial instruments were as follows: June 30, 2018 Fair Fair Fair Fair Carrying Value Value Value Value Amount Level 1 Level 2 Level 3 Total (Dollars in Thousands) Financial assets: Cash and cash equivalents $ 28,810 $ 28,810 $ 0 $ 0 $ 28,810 Securities HTM 32,206 0 32,292 0 32,292 Securities AFS 38,760 0 38,760 0 38,760 Restricted equity securities 2,434 0 2,434 0 2,434 Loans and loans held-for-sale, net of ALL Commercial & industrial 87,521 0 0 87,348 87,348 Commercial real estate 214,484 0 0 212,767 212,767 Residential real estate - 1st lien 163,891 0 0 161,167 161,167 Residential real estate - Jr lien 44,824 0 0 44,229 44,229 Consumer 4,959 0 0 5,053 5,053 MSRs (1) 1,034 0 1,449 0 1,449 Accrued interest receivable 1,952 0 1,952 0 1,952 Financial liabilities: Deposits Other deposits 484,387 0 482,454 0 482,454 Brokered deposits 42,532 0 42,485 0 42,485 Short-term borrowings 21,000 0 21,000 0 21,000 Long-term borrowings 1,550 0 1,386 0 1,386 Repurchase agreements 30,295 0 30,295 0 30,295 Capital lease obligations 325 0 325 0 325 Subordinated debentures 12,887 0 12,811 0 12,811 Accrued interest payable 94 0 94 0 94 (1) Reported fair value represents all MSRs for loans serviced by the Company at June 30, 2018, regardless of carrying amount. December 31, 2017 Fair Fair Fair Fair Carrying Value Value Value Value Amount Level 1 Level 2 Level 3 Total (Dollars in Thousands) Financial assets: Cash and cash equivalents $ 42,654 $ 42,654 $ 0 $ 0 $ 42,654 Securities HTM 48,825 0 48,796 0 48,796 Securities AFS 38,451 0 38,451 0 38,451 Restricted equity securities 1,704 0 1,704 0 1,704 Loans and loans held-for-sale, net of ALL Commercial & industrial 76,394 0 0 76,799 76,799 Commercial real estate 204,260 0 136 204,697 204,833 Residential real estate - 1st lien 167,671 0 0 169,205 169,205 Residential real estate - Jr lien 44,916 0 0 45,207 45,207 Consumer 5,223 0 0 5,425 5,425 MSRs(1) 1,083 0 1,337 0 1,337 Accrued interest receivable 2,052 0 2,052 0 2,052 Financial liabilities: Deposits Other deposits 509,686 0 508,407 0 508,407 Brokered deposits 50,949 0 50,926 0 50,926 Long-term borrowings 3,550 0 3,191 0 3,191 Repurchase agreements 28,648 0 28,648 0 28,648 Capital lease obligations 382 0 382 0 382 Subordinated debentures 12,887 0 12,832 0 12,832 Accrued interest payable 101 0 101 0 101 (1) Reported fair value represents all MSRs for loans serviced by the Company at December 31, 2017, regardless of carrying amount. June 30, 2017 Fair Fair Fair Fair Carrying Value Value Value Value Amount Level 1 Level 2 Level 3 Total (Dollars in Thousands) Financial assets: Cash and cash equivalents $ 37,026 $ 37,026 $ 0 $ 0 $ 37,026 Securities held-to-maturity 36,418 0 37,065 0 37,065 Securities available-for-sale 35,635 0 35,635 0 35,635 Restricted equity securities 1,943 0 1,943 0 1,943 Loans and loans held-for-sale Commercial & industrial 78,609 0 0 79,311 79,311 Commercial real estate 207,207 0 0 208,632 208,632 Residential real estate - 1st lien 163,489 0 25 166,085 166,110 Residential real estate - Jr lien 41,762 0 0 42,199 42,199 Consumer 6,903 0 0 7,147 7,147 MSRs (1) 1,151 0 1,341 0 1,341 Accrued interest receivable 1,746 0 1,746 0 1,746 Financial liabilities: Deposits Other deposits 479,131 0 478,412 0 478,412 Brokered deposits 54,176 0 54,177 0 54,177 Short-term borrowings 10,000 0 10,000 0 10,000 Long-term borrowings 3,550 0 3,205 0 3,205 Repurchase agreements 28,863 0 28,863 0 28,863 Capital lease obligations 435 0 435 0 435 Subordinated debentures 12,887 0 12,844 0 12,844 Accrued interest payable 125 0 125 0 125 (1) Reported fair value represents all MSRs for loans serviced by the Company at June 30, 2017, regardless of carrying amount.

8. Loan Servicing

8. Loan Servicing	6 Months Ended
	Jun. 30, 2018
Transfers and Servicing of Financial Assets [Abstract]
Note 8. Loan Servicing	The following table shows the changes in the carrying amount of the MSRs, included in other assets in the consolidated balance sheets, for the periods indicated: Six Months Ended Year Ended Six Months Ended June 30, 2018 December 31, 2017 June 30, 2017 Balance at beginning of year $ 1,083,286 $ 1,210,695 $ 1,210,695 MSRs capitalized 43,678 109,297 54,603 MSRs amortized (93,285 ) (236,706 ) (114,057 ) Balance at end of period $ 1,033,679 $ 1,083,286 $ 1,151,241 There were no changes in the valuation allowance for the periods presented.

9. Legal Proceedings

9. Legal Proceedings	6 Months Ended
	Jun. 30, 2018
Legal Proceedings
Note 9. Legal Proceedings	In the normal course of business, the Company and its subsidiary are involved in litigation that is considered incidental to their business. Management does not expect that any such litigation will be material to the Company's consolidated financial condition or results of operations.

10. Subsequent Event

10. Subsequent Event	6 Months Ended
	Jun. 30, 2018
Subsequent Events [Abstract]
Note 10. Subsequent Event	The Company has evaluated events and transactions through the date that the financial statements were issued for potential recognition or disclosure in these financial statements, as required by GAAP. On June 14, 2018, the Company declared a cash dividend of $0.19 per common share payable August 1, 2018 to shareholders of record as of July 15, 2018. This dividend has been recorded as of the declaration date, including shares issuable under the DRIP.

1. Basis of Presentation and 17

1. Basis of Presentation and Consolidation (Policies)	6 Months Ended
	Jun. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation and Consolidation	The interim consolidated financial statements of Community Bancorp. and Subsidiary are unaudited. All significant intercompany balances and transactions have been eliminated in consolidation. In the opinion of management, all adjustments necessary for the fair presentation of the consolidated financial condition and results of operations of the Company and its subsidiary, Community National Bank (the Bank), contained herein have been made. The unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended December 31, 2017 contained in the Company's Annual Report on Form 10-K. The results of operations for the interim period are not necessarily indicative of the results of operations to be expected for the full annual period ending December 31, 2018, or for any other interim period. Certain amounts in the 2017 unaudited consolidated income statements have been reclassified to conform to the 2018 presentation. Reclassifications had no effect on prior period net income or shareholders’ equity. In addition to the definitions provided elsewhere in this quarterly report, the definitions, acronyms and abbreviations identified below are used throughout this Form 10-Q, including Part I. “Financial Information” and Part II. “Other Information”, and is intended to aid the reader and provide a reference page when reviewing this Form 10Q. ABS and OAS: Asset backed or other amortizing security FRB: Federal Reserve Board AFS: Available-for-sale FRBB: Federal Reserve Bank of Boston Agency MBS: MBS issued by a US government agency or GSE GAAP: Generally Accepted Accounting Principles in the United States ALCO: Asset Liability Committee GSE Government sponsored enterprise ALL: Allowance for loan losses HTM: Held-to-maturity ASC: Accounting Standards Codification ICS: Insured Cash Sweeps of the Promontory Interfinancial Network ASU: Accounting Standards Update IRS: Internal Revenue Service BIC: Borrower-in-Custody JNE: Jobs for New England Board: Board of Directors Jr: Junior BOLI Bank owned life insurance MBS: Mortgage-backed security bp or bps: Basis point(s) MPF: Mortgage Partnership Finance CBLR: Community Bank Leverage Ratio MSRs: Mortgage servicing rights CDARS: Certificate of Deposit Accounts Registry Service of the Promontory Interfinancial Network NII: Net interest income CDs: Certificates of deposit OCI: Other comprehensive income (loss) CDI: Core deposit intangible OREO: Other real estate owned CECL: Current Expected Credit Loss OTTI: Other-than-temporary impairment CFSG: Community Financial Services Group PMI Private mortgage insurance CFSG Partners: Community Financial Services Partners, LLC RD: USDA Rural Development Company: Community Bancorp. and Subsidiary SBA U.S. Small Business Administration CRE: Commercial Real Estate SEC: U.S. Securities and Exchange Commission DRIP: Dividend Reinvestment Plan SERP Supplemental Employee Retirement Plan Exchange Act: Securities Exchange Act of 1934 TDR: Troubled-debt restructuring FASB: Financial Accounting Standards Board USDA: U.S. Department of Agriculture FDIC: Federal Deposit Insurance Corporation VA: U.S. Veterans Administration FHLBB: Federal Home Loan Bank of Boston 2017 Tax Act: Tax Cut and Jobs Act of 2017 FHLMC Federal Home Loan Mortgage Corporation 2018 Regulatory Relief Act: Economic Growth, Regulatory Relief and Consumer Protection Act of 2018
Recent Accounting Developments	The FASB issued ASU No. 2014-09, Revenue from Contracts with Customers FASB formed a Transition Resource Group to assist it in identifying implementation issues that may require further clarification or amendment to ASU No. 2014-09. As a result of that group’s deliberations, FASB has issued several amendments, which became effective concurrently with ASU No. 2014-09, including ASU No. 2016-08, Principal versus Agent Considerations In January 2016, the FASB issued ASU 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU No. 2016-02, Leases In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments A modified version of these requirements also applies to debt securities classified as available for sale, which will require that credit losses on those securities be recorded through an allowance for credit losses rather than a write-down. T h e ASU i s effec ti ve for fisca l years be g inn i n g aft er De c ember 15, 2019, in c lu d ing in teri m p e rio ds w i t hin t ho se fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within such years. The Company is evaluating the impact In January 2017, the FASB issued ASU No. 2017-04, Intangibles Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment The Company has goodwill from its acquisition of LyndonBank in 2007 and performs an impairment test annually or more frequently if circumstances warrant (see Note 6). The Company is currently evaluating the impact of the adoption of the ASU on its consolidated financial statements, but does not anticipate any material impact at this time. In February 2018, FASB issued ASU No. 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.

3. Earnings per Common Share (T

3. Earnings per Common Share (Tables)	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
Schedule Of Earnings Per Share	Three Months Ended June 30, 2018 2017 Net income, as reported $ 2,002,654 $ 1,499,513 Less: dividends to preferred shareholders 23,750 25,000 Net income available to common shareholders $ 1,978,904 $ 1,474,513 Weighted average number of common shares used in calculating earnings per share 5,130,809 5,077,698 Earnings per common share $ 0.39 $ 0.29 Six Months Ended June 30, 2018 2017 Net income, as reported $ 3,985,197 $ 2,913,729 Less: dividends to preferred shareholders 51,875 48,438 Net income available to common shareholders $ 3,933,322 $ 2,865,291 Weighted average number of common shares used in calculating earnings per share 5,123,947 5,070,453 Earnings per common share $ 0.77 $ 0.57

4. Investment Securities (Table

4. Investment Securities (Tables)	6 Months Ended
	Jun. 30, 2018
Investment Securities
Schedule Of Available For Sale Securities	Gross Gross Amortized Unrealized Unrealized Fair Securities AFS Cost Gains Losses Value June 30, 2018 U.S. GSE debt securities $ 15,017,800 $ 0 $ 399,321 $ 14,618,479 Agency MBS 16,358,655 2,835 490,914 15,870,576 ABS and OAS 1,000,000 0 5,688 994,312 Other investments 7,425,000 0 147,999 7,277,001 $ 39,801,455 $ 2,835 $ 1,043,922 $ 38,760,368 December 31, 2017 U.S. GSE debt securities $ 17,308,229 $ 0 $ 149,487 $ 17,158,742 Agency MBS 16,782,380 11,144 180,187 16,613,337 Other investments 4,707,000 165 28,591 4,678,574 $ 38,797,609 $ 11,309 $ 358,265 $ 38,450,653 Gross Gross Amortized Unrealized Unrealized Fair Securities AFS Cost Gains Losses Value June 30, 2017 U.S. GSE debt securities $ 18,356,415 $ 14,654 $ 57,881 $ 18,313,188 Agency MBS 13,128,034 23,950 73,365 13,078,619 Other investments 4,213,000 31,180 1,271 4,242,909 $ 35,697,449 $ 69,784 $ 132,517 $ 35,634,716
Schedule Of Held to Maturity Securities	Gross Gross Amortized Unrealized Unrealized Fair Securities HTM Cost Gains Losses Value* June 30, 2018 States and political subdivisions $ 32,205,722 $ 338,294 $ 252,017 $ 32,292,000 December 31, 2017 States and political subdivisions $ 48,824,965 $ 0 $ 28,965 $ 48,796,000 June 30, 2017 States and political subdivisions $ 36,418,414 $ 646,586 $ 0 $ 37,065,000 *Method used to determine fair value of HTM securities rounds values to nearest thousand.
Schedule of Maturities of Debt Securities Available for Sale	Amortized Fair Cost Value June 30, 2018 Due from one to five years $ 13,982,713 $ 13,689,583 Due from five to ten years 9,460,087 9,200,209 Agency MBS 16,358,655 15,870,576 $ 39,801,455 $ 38,760,368 December 31, 2017 Due in one year or less $ 3,749,956 $ 3,739,512 Due from one to five years 11,275,824 11,168,065 Due from five to ten years 6,989,449 6,929,739 Agency MBS 16,782,380 16,613,337 $ 38,797,609 $ 38,450,653 June 30, 2017 Due in one year or less $ 3,001,770 $ 3,001,473 Due from one to five years 17,322,645 17,326,400 Due from five to ten years 2,245,000 2,228,224 Agency MBS 13,128,034 13,078,619 $ 35,697,449 $ 35,634,716
Schedule Of Maturities of Debt Securities Held to Maturity	Amortized Fair Cost Value* June 30, 2018 Due in one year or less $ 8,223,089 $ 8,223,000 Due from one to five years 4,724,770 4,746,000 Due from five to ten years 4,394,497 4,416,000 Due after ten years 14,863,366 14,907,000 $ 32,205,722 $ 32,292,000 December 31, 2017 Due in one year or less $ 24,817,334 $ 24,817,000 Due from one to five years 4,494,343 4,487,000 Due from five to ten years 4,338,246 4,331,000 Due after ten years 15,175,042 15,161,000 $ 48,824,965 $ 48,796,000 June 30, 2017 Due in one year or less $ 11,987,857 $ 11,988,000 Due from one to five years 3,987,322 4,149,000 Due from five to ten years 3,744,385 3,906,000 Due after ten years 16,698,850 17,022,000 $ 36,418,414 $ 37,065,000 *Method used to determine fair value of HTM securities rounds values to nearest thousand.
Schedule Of Unrealized Loss	Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Number of Fair Unrealized Value Loss Value Loss Securities Value Loss June 30, 2018 U.S. GSE debt securities $ 11,732,997 $ 284,803 $ 2,885,482 $ 114,518 13 $ 14,618,479 $ 399,321 Agency MBS 10,449,556 323,950 3,997,985 166,964 23 14,447,541 490,914 ABS and OAS 994,312 5,688 0 0 1 994,312 5,688 Other investments 6,060,871 127,129 723,130 20,870 28 6,784,001 147,999 State and political subdivisions 28,006,864 252,017 0 0 107 28,006,864 252,017 $ 57,244,600 $ 993,587 $ 7,606,597 $ 302,352 172 $ 64,851,197 $ 1,295,939 December 31, 2017 U.S. GSE debt securities $ 13,223,739 $ 84,490 $ 3,935,003 $ 64,997 15 $ 17,158,742 $ 149,487 Agency MBS 9,251,323 105,063 4,542,446 75,124 21 13,793,769 180,187 Other investments 3,692,571 25,429 244,838 3,162 16 3,937,409 28,591 State and political subdivisions 22,530,141 28,965 0 0 79 22,530,141 28,965 $ 48,697,774 $ 243,947 $ 8,722,287 $ 143,283 131 $ 57,420,061 $ 387,230 June 30, 2017 U.S. GSE debt securities $ 10,724,642 $ 57,881 $ 0 $ 0 9 $ 10,724,642 $ 57,881 Agency MBS 8,751,252 73,365 0 0 13 8,751,252 73,365 Other investments 990,729 1,271 0 0 4 990,729 1,271 $ 20,466,623 $ 132,517 $ 0 $ 0 26 $ 20,466,623 $ 132,517
Schedule of Investments Pledged for Collateral	Amortized Fair Cost Value June 30, 2018 $ 39,801,455 $ 38,760,368 December 31, 2017 38,797,609 38,450,653 June 30, 2017 35,697,449 35,634,716

5. Loans, Allowance for Loan 20

5. Loans, Allowance for Loan Losses and Credit Quality (Tables)	6 Months Ended
	Jun. 30, 2018
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]
Composition of net loans	June 30, December 31, June 30, 2018 2017 2017 Commercial & industrial $ 88,336,757 $ 77,110,747 $ 79,361,739 Commercial real estate 217,268,526 207,044,227 209,886,793 Residential real estate - 1st lien 165,347,241 168,184,135 164,398,836 Residential real estate - Jr lien 45,127,750 45,256,862 42,166,407 Consumer 5,011,669 5,268,680 6,959,070 Gross Loans 521,091,943 502,864,651 502,772,845 Deduct (add): Allowance for loan losses 5,413,023 5,438,099 5,374,378 Deferred net loan costs (345,177 ) (318,651 ) (323,371 ) Net Loans $ 516,024,097 $ 497,745,203 $ 497,721,838
Past due loans by segment	90 Days or 90 Days Total Non-Accrual More and June 30, 2018 30-89 Days or More Past Due Current Total Loans Loans Accruing Commercial & industrial $ 230,784 $ 0 $ 230,784 $ 88,105,973 $ 88,336,757 $ 197,079 $ 0 Commercial real estate 1,195,120 315,881 1,511,001 215,757,525 217,268,526 1,957,183 0 Residential real estate - 1st lien 2,255,600 1,081,853 3,337,453 162,009,788 165,347,241 1,749,608 406,196 - Jr lien 332,650 238,534 571,184 44,556,566 45,127,750 369,493 101,713 Consumer 48,155 0 48,155 4,963,514 5,011,669 0 0 $ 4,062,309 $ 1,636,268 $ 5,698,577 $ 515,393,366 $ 521,091,943 $ 4,273,363 $ 507,909 90 Days or 90 Days Total Non-Accrual More and December 31, 2017 30-89 Days or More Past Due Current Total Loans Loans Accruing Commercial & industrial $ 308,712 $ 0 $ 308,712 $ 76,802,035 $ 77,110,747 $ 98,806 $ 0 Commercial real estate 1,482,982 418,255 1,901,237 205,142,990 207,044,227 1,065,385 0 Residential real estate - 1st lien 4,238,933 2,011,419 6,250,352 161,933,783 168,184,135 1,585,473 1,249,241 - Jr lien 156,101 168,517 324,618 44,932,244 45,256,862 346,912 0 Consumer 80,384 1,484 81,868 5,186,812 5,268,680 0 1,484 $ 6,267,112 $ 2,599,675 $ 8,866,787 $ 493,997,864 $ 502,864,651 $ 3,096,576 $ 1,250,725 90 Days or 90 Days Total Non-Accrual More and June 30, 2017 30-89 Days or More Past Due Current Total Loans Loans Accruing Commercial & industrial $ 121,737 $ 86,994 $ 208,731 $ 79,153,008 $ 79,361,739 $ 135,379 $ 0 Commercial real estate 2,398,960 228,621 2,627,581 207,259,212 209,886,793 728,093 15,011 Residential real estate - 1st lien 1,886,256 1,225,362 3,111,618 161,287,218 164,398,836 1,403,312 354,988 - Jr lien 252,557 237,483 490,040 41,676,367 42,166,407 398,862 71,614 Consumer 54,835 0 54,835 6,904,235 6,959,070 0 0 $ 4,714,345 $ 1,778,460 $ 6,492,805 $ 496,280,040 $ 502,772,845 $ 2,665,646 $ 441,613
Residential mortgage loans in process of foreclosure	Number of loans Balance June 30, 2018 10 $ 615,038 December 31, 2017 10 791,944 June 30, 2017 7 448,622
Changes in the allowance for loan losses	As of or for the three months ended June 30, 2018 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Unallocated Total Allowance for loan losses Beginning balance $ 666,660 $ 2,666,704 $ 1,407,801 $ 289,292 $ 44,162 $ 266,601 $ 5,341,220 Charge-offs (42,380 ) (3,645 ) (45,362 ) 0 (39,758 ) 0 (131,145 ) Recoveries 15,027 0 300 240 7,381 0 22,948 Provision (credit) 145,782 45,180 35,302 (1,930 ) 39,850 (84,184 ) 180,000 Ending balance $ 785,089 $ 2,708,239 $ 1,398,041 $ 287,602 $ 51,635 $ 182,417 $ 5,413,023 As of or for the six months ended June 30, 2018 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Unallocated Total Allowance for loan losses Beginning balance $ 675,687 $ 2,674,029 $ 1,460,547 $ 316,982 $ 43,303 $ 267,551 $ 5,438,099 Charge-offs (131,273 ) (124,645 ) (78,435 ) (24,000 ) (73,388 ) 0 (431,741 ) Recoveries 20,041 0 9,158 675 16,791 0 46,665 Provision (credit) 220,634 158,855 6,771 (6,055 ) 64,929 (85,134 ) 360,000 Ending balance $ 785,089 $ 2,708,239 $ 1,398,041 $ 287,602 $ 51,635 $ 182,417 $ 5,413,023 Allowance for loan losses Evaluated for impairment Individually $ 0 $ 0 $ 129,488 $ 1,007 $ 0 $ 0 $ 130,495 Collectively 785,089 2,708,239 1,268,553 286,595 51,635 182,417 5,282,528 $ 785,089 $ 2,708,239 $ 1,398,041 $ 287,602 $ 51,635 $ 182,417 $ 5,413,023 Loans evaluated for impairment Individually $ 197,079 $ 2,064,330 $ 4,315,348 $ 305,363 $ 0 $ 6,882,120 Collectively 88,139,678 215,204,196 161,031,893 44,822,387 5,011,669 514,209,823 $ 88,336,757 $ 217,268,526 $ 165,347,241 $ 45,127,750 $ 5,011,669 $ 521,091,943 As of or for the year ended December 31, 2017 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Unallocated Total Allowance for loan losses Beginning balance $ 726,848 $ 2,496,085 $ 1,369,757 $ 371,176 $ 83,973 $ 230,606 $ 5,278,445 Charge-offs (20,000 ) (160,207 ) (159,533 ) (118,359 ) (124,042 ) 0 (582,141 ) Recoveries 27,051 230 26,826 465 37,223 0 91,795 Provision (credit) (58,212 ) 337,921 223,497 63,700 46,149 36,945 650,000 Ending balance $ 675,687 $ 2,674,029 $ 1,460,547 $ 316,982 $ 43,303 $ 267,551 $ 5,438,099 Allowance for loan losses Evaluated for impairment Individually $ 0 $ 69,015 $ 125,305 $ 26,353 $ 0 $ 0 $ 220,673 Collectively 675,687 2,605,014 1,335,242 290,629 43,303 267,551 5,217,426 $ 675,687 $ 2,674,029 $ 1,460,547 $ 316,982 $ 43,303 $ 267,551 $ 5,438,099 Loans evaluated for impairment Individually $ 98,806 $ 1,306,057 $ 4,075,666 $ 300,759 $ 0 $ 5,781,288 Collectively 77,011,941 205,738,170 164,108,469 44,956,103 5,268,680 497,083,363 $ 77,110,747 $ 207,044,227 $ 168,184,135 $ 45,256,862 $ 5,268,680 $ 502,864,651 As of or for the three months ended June 30, 2017 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Unallocated Total Allowance for loan losses Beginning balance $ 719,773 $ 2,521,121 $ 1,312,795 $ 370,454 $ 61,322 $ 272,975 $ 5,258,440 Charge-offs 0 0 0 (15,311 ) (37,326 ) 0 (52,637 ) Recoveries 1,422 230 3,981 60 12,882 0 18,575 Provision (credit) (25,532 ) 8,864 46,548 19,161 14,417 86,542 150,000 Ending balance $ 695,663 $ 2,530,215 $ 1,363,324 $ 374,364 $ 51,295 $ 359,517 $ 5,374,378 As of or for the six months ended June 30, 2017 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Unallocated Total Allowance for loan losses Beginning balance $ 726,848 $ 2,496,085 $ 1,369,757 $ 371,176 $ 83,973 $ 230,606 $ 5,278,445 Charge-offs 0 (160,207 ) (4,735 ) (15,311 ) (63,791 ) 0 (244,044 ) Recoveries 4,318 230 10,217 120 25,092 0 39,977 Provision (credit) (35,503 ) 194,107 (11,915 ) 18,379 6,021 128,911 300,000 Ending balance $ 695,663 $ 2,530,215 $ 1,363,324 $ 374,364 $ 51,295 $ 359,517 $ 5,374,378 Allowance for loan losses Evaluated for impairment Individually $ 0 $ 74,249 $ 154,760 $ 126,053 $ 0 $ 0 $ 355,062 Collectively 695,663 2,455,966 1,208,564 248,311 51,295 359,517 5,019,316 $ 695,663 $ 2,530,215 $ 1,363,324 $ 374,364 $ 51,295 $ 359,517 $ 5,374,378 Loans evaluated for impairment Individually $ 135,379 $ 1,968,144 $ 3,577,837 $ 419,550 $ 0 $ 6,100,910 Collectively 79,226,360 207,918,649 160,820,999 41,746,857 6,959,070 496,671,935 $ 79,361,739 $ 209,886,793 $ 164,398,836 $ 42,166,407 $ 6,959,070 $ 502,772,845
Impaired loans by segment	As of June 30, 2018 Unpaid Average Average Interest Recorded Principal Related Recorded Recorded Income Investment Balance Allowance Investment (1) Investment (2) Recognized (2) Related allowance recorded Commercial real estate $ 0 $ 0 $ 0 $ 41,823 $ 96,097 $ 0 Residential real estate - 1st lien 789,471 831,434 129,488 791,676 793,859 31,785 - Jr lien 7,798 7,788 1,007 7,990 54,211 1,482 797,269 839,222 130,495 841,489 944,167 33,267 No related allowance recorded Commercial & industrial 197,079 216,691 191,045 160,299 0 Commercial real estate 2,065,267 2,235,772 1,794,217 1,563,764 37,813 Residential real estate - 1st lien 3,543,703 4,189,432 3,525,807 3,450,597 120,756 - Jr lien 297,575 298,931 280,965 238,682 0 6,103,624 6,940,826 5,792,034 5,413,342 158,569 $ 6,900,893 $ 7,780,048 $ 130,495 $ 6,633,523 $ 6,357,509 $ 191,836 (1) For the three months ended June 30, 2018 (2) For the six months ended June 30, 2018 As of December 31, 2017 2017 Unpaid Average Interest Recorded Principal Related Recorded Income Investment Balance Allowance Investment Recognized Related allowance recorded Commercial real estate $ 204,645 $ 225,681 $ 69,015 $ 210,890 $ 0 Residential real estate - 1st lien 798,226 837,766 125,305 646,799 29,262 - Jr lien 146,654 293,351 26,353 220,274 400 1,149,525 1,356,798 220,673 1,077,963 29,662 No related allowance recorded Commercial & industrial 98,806 136,590 75,868 72,426 Commercial real estate 1,102,859 1,226,040 1,105,030 237,792 Residential real estate - 1st lien 3,300,175 3,641,627 1,930,108 133,732 - Jr lien 154,116 154,423 116,519 16,574 4,655,956 5,158,680 3,227,525 460,524 $ 5,805,481 $ 6,515,478 $ 220,673 $ 4,305,488 $ 490,186 As of June 30, 2017 Unpaid Average Average Interest Recorded Principal Related Recorded Recorded Income Investment Balance Allowance Investment (1) Investment (2) Recognized (2) Related allowance recorded Commercial real estate $ 210,499 $ 228,074 $ 74,249 $ 212,451 $ 215,053 $ 0 Residential real estate - 1st lien 1,038,752 1,074,246 154,760 545,895 454,686 15,720 Residential real estate - Jr lien 283,626 348,416 126,053 252,853 243,253 1,301 1,532,877 1,650,736 355,062 1,011,199 912,992 17,021 No related allowance recorded Commercial & industrial 135,379 218,023 91,882 77,383 0 Commercial real estate 1,763,013 2,324,546 1,109,536 895,437 32,923 Residential real estate - 1st lien 2,556,076 2,802,565 1,484,683 1,214,864 57,116 Residential real estate - Jr lien 136,821 136,821 136,821 91,214 0 4,591,289 5,481,955 2,822,922 2,278,898 90,039 $ 6,124,166 $ 7,132,691 $ 355,062 $ 3,834,121 $ 3,191,890 $ 107,060 (1) For the three months ended June 30, 2017 (2) For the six months ended June 30, 2017
Risk ratings	As of June 30, 2018 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Total Group A $ 84,161,408 $ 202,424,493 $ 162,200,561 $ 44,426,013 $ 5,011,669 $ 498,224,144 Group B 2,499,460 5,770,651 283,148 35,279 0 8,588,538 Group C 1,675,889 9,073,382 2,863,532 666,458 0 14,279,261 $ 88,336,757 $ 217,268,526 $ 165,347,241 $ 45,127,750 $ 5,011,669 $ 521,091,943 As of December 31, 2017 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Total Group A $ 73,352,768 $ 194,066,034 $ 165,089,999 $ 44,687,951 $ 5,267,196 $ 482,463,948 Group B 617,526 4,609,847 282,671 37,598 0 5,547,642 Group C 3,140,453 8,368,346 2,811,465 531,313 1,484 14,853,061 $ 77,110,747 $ 207,044,227 $ 168,184,135 $ 45,256,862 $ 5,268,680 $ 502,864,651 As of June 30, 2017 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate 1st Lien Jr Lien Consumer Total Group A $ 75,971,101 $ 199,768,226 $ 162,224,767 $ 41,503,823 $ 6,959,070 $ 486,426,987 Group B 520,555 1,169,093 0 162,321 0 1,851,969 Group C 2,870,083 8,949,474 2,174,069 500,263 0 14,493,889 $ 79,361,739 $ 209,886,793 $ 164,398,836 $ 42,166,407 $ 6,959,070 $ 502,772,845
Loans modified as TDRs	Three months ended June 30, 2018 Six months ended June 30, 2018 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Residential real estate - 1st lien 2 $ 215,772 $ 218,157 7 $ 898,563 $ 1,003,466 Year ended December 31, 2017 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Residential real estate - 1st lien 4 $ 256,353 $ 287,385 Six months ended June 30, 2017 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial & industrial 1 $ 41,857 $ 57,418
TDRs payment default	Twelve months ended June 30, 2018 Number of Recorded Contracts Investment Residential real estate – 1st lien 3 $ 267,418 Twelve months ended December 31, 2017 Number of Recorded Contracts Investment Residential real estate - 1st lien 1 $ 87,696 Twelve months ended June 30, 2017 Number of Recorded Contracts Investment Residential real estate - 1st lien 2 $ 80,485
Specific allowances	June 30, December 31, June 30, 2018 2017 2017 Specific Allocation $ 130,495 $ 197,605 $ 237,551

7. Fair Value (Tables)

7. Fair Value (Tables)	6 Months Ended
	Jun. 30, 2018
Fair Value Disclosures [Abstract]
Schedule of Fair Value Assets and Liabilities on Recurring Basis	June 30, 2018 Level 2 Assets: (market approach) U.S. GSE debt securities $ 14,618,479 Agency MBS 15,870,576 ABS and OAS 994,312 Other investments 7,277,001 $ 38,760,368 December 31, 2017 Level 2 Assets: (market approach) U.S. GSE debt securities $ 17,158,742 Agency MBS 16,613,337 Other investments 4,678,574 $ 38,450,653 June 30, 2017 Level 2 Assets: (market approach) U.S. GSE debt securities $ 18,313,188 Agency MBS 13,078,619 Other investments 4,242,909 $ 35,634,716
Schedule of Fair Value Assets and Liabilities Non-recurring Basis	June 30, 2018 Level 2 Assets: (market approach) MSRs (1) $ 1,033,679 OREO 364,235 December 31, 2017 Level 2 Assets: (market approach) MSRs (1) $ 1,083,286 Impaired loans, net of related allowance 135,630 OREO 284,235 June 30, 2017 Level 2 Assets: (market approach) MSRs (1) $ 1,151,241 Impaired loans, net of related allowance 25,050 OREO 343,928 (1) Represents MSRs at lower of cost or fair value, including MSRs deemed to be impaired and for which a valuation allowance was established to carry at fair value as of the balance sheet dates presented.
Schedule of Estimated Fair Values of Financial Instruments	June 30, 2018 Fair Fair Fair Fair Carrying Value Value Value Value Amount Level 1 Level 2 Level 3 Total (Dollars in Thousands) Financial assets: Cash and cash equivalents $ 28,810 $ 28,810 $ 0 $ 0 $ 28,810 Securities HTM 32,206 0 32,292 0 32,292 Securities AFS 38,760 0 38,760 0 38,760 Restricted equity securities 2,434 0 2,434 0 2,434 Loans and loans held-for-sale, net of ALL Commercial & industrial 87,521 0 0 87,348 87,348 Commercial real estate 214,484 0 0 212,767 212,767 Residential real estate - 1st lien 163,891 0 0 161,167 161,167 Residential real estate - Jr lien 44,824 0 0 44,229 44,229 Consumer 4,959 0 0 5,053 5,053 MSRs (1) 1,034 0 1,449 0 1,449 Accrued interest receivable 1,952 0 1,952 0 1,952 Financial liabilities: Deposits Other deposits 484,387 0 482,454 0 482,454 Brokered deposits 42,532 0 42,485 0 42,485 Short-term borrowings 21,000 0 21,000 0 21,000 Long-term borrowings 1,550 0 1,386 0 1,386 Repurchase agreements 30,295 0 30,295 0 30,295 Capital lease obligations 325 0 325 0 325 Subordinated debentures 12,887 0 12,811 0 12,811 Accrued interest payable 94 0 94 0 94 (1) Reported fair value represents all MSRs for loans serviced by the Company at June 30, 2018, regardless of carrying amount. December 31, 2017 Fair Fair Fair Fair Carrying Value Value Value Value Amount Level 1 Level 2 Level 3 Total (Dollars in Thousands) Financial assets: Cash and cash equivalents $ 42,654 $ 42,654 $ 0 $ 0 $ 42,654 Securities HTM 48,825 0 48,796 0 48,796 Securities AFS 38,451 0 38,451 0 38,451 Restricted equity securities 1,704 0 1,704 0 1,704 Loans and loans held-for-sale, net of ALL Commercial & industrial 76,394 0 0 76,799 76,799 Commercial real estate 204,260 0 136 204,697 204,833 Residential real estate - 1st lien 167,671 0 0 169,205 169,205 Residential real estate - Jr lien 44,916 0 0 45,207 45,207 Consumer 5,223 0 0 5,425 5,425 MSRs(1) 1,083 0 1,337 0 1,337 Accrued interest receivable 2,052 0 2,052 0 2,052 Financial liabilities: Deposits Other deposits 509,686 0 508,407 0 508,407 Brokered deposits 50,949 0 50,926 0 50,926 Long-term borrowings 3,550 0 3,191 0 3,191 Repurchase agreements 28,648 0 28,648 0 28,648 Capital lease obligations 382 0 382 0 382 Subordinated debentures 12,887 0 12,832 0 12,832 Accrued interest payable 101 0 101 0 101 (1) Reported fair value represents all MSRs for loans serviced by the Company at December 31, 2017, regardless of carrying amount. June 30, 2017 Fair Fair Fair Fair Carrying Value Value Value Value Amount Level 1 Level 2 Level 3 Total (Dollars in Thousands) Financial assets: Cash and cash equivalents $ 37,026 $ 37,026 $ 0 $ 0 $ 37,026 Securities held-to-maturity 36,418 0 37,065 0 37,065 Securities available-for-sale 35,635 0 35,635 0 35,635 Restricted equity securities 1,943 0 1,943 0 1,943 Loans and loans held-for-sale Commercial & industrial 78,609 0 0 79,311 79,311 Commercial real estate 207,207 0 0 208,632 208,632 Residential real estate - 1st lien 163,489 0 25 166,085 166,110 Residential real estate - Jr lien 41,762 0 0 42,199 42,199 Consumer 6,903 0 0 7,147 7,147 MSRs (1) 1,151 0 1,341 0 1,341 Accrued interest receivable 1,746 0 1,746 0 1,746 Financial liabilities: Deposits Other deposits 479,131 0 478,412 0 478,412 Brokered deposits 54,176 0 54,177 0 54,177 Short-term borrowings 10,000 0 10,000 0 10,000 Long-term borrowings 3,550 0 3,205 0 3,205 Repurchase agreements 28,863 0 28,863 0 28,863 Capital lease obligations 435 0 435 0 435 Subordinated debentures 12,887 0 12,844 0 12,844 Accrued interest payable 125 0 125 0 125 (1) Reported fair value represents all MSRs for loans serviced by the Company at June 30, 2017, regardless of carrying amount.

8. Loan Servicing (Tables)

8. Loan Servicing (Tables)	6 Months Ended
	Jun. 30, 2018
Transfers and Servicing of Financial Assets [Abstract]
Schedule of Mortgage Servicing Rights	Six Months Ended Year Ended Six Months Ended June 30, 2018 December 31, 2017 June 30, 2017 Balance at beginning of year $ 1,083,286 $ 1,210,695 $ 1,210,695 MSRs capitalized 43,678 109,297 54,603 MSRs amortized (93,285 ) (236,706 ) (114,057 ) Balance at end of period $ 1,033,679 $ 1,083,286 $ 1,151,241

3. Earnings per Common Share (D

3. Earnings per Common Share (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Earnings Per Share [Abstract]
Net income, as reported	$ 2,002,654	$ 1,499,513	$ 3,985,197	$ 2,913,729
Less: dividends to preferred shareholders	23,750	25,000	51,875	48,438
Net income available to common shareholders	$ 1,978,904	$ 1,474,513	$ 3,933,322	$ 2,865,291
Weighted average number of common shares used in calculating earnings per share	5,130,809	5,077,698	5,123,947	5,070,453
Earnings per common share	$ 0.39	$ 0.29	$ 0.77	$ 0.57

4. Investment Securities (Detai

4. Investment Securities (Details) - USD ($)	6 Months Ended		12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Available for sale Securities
Amortized Cost - Available for sale Securities	$ 39,801,455	$ 35,697,449	$ 38,797,609
Gross Unrealized Gains - Available for sale Securities	2,835	69,784	11,309
Gross Unrealized Losses - Available for sale Securities	1,043,922	132,517	358,265
Fair Value - Available for sale Securities	38,760,368	35,634,716	38,450,653
U.S. GSE debt securities
Available for sale Securities
Amortized Cost - Available for sale Securities	15,017,800	18,356,415	17,308,229
Gross Unrealized Gains - Available for sale Securities	0	14,654	0
Gross Unrealized Losses - Available for sale Securities	399,321	57,881	149,487
Fair Value - Available for sale Securities	14,618,479	18,313,188	17,158,742
Agency mortgage-backed securities (Agency MBS)
Available for sale Securities
Amortized Cost - Available for sale Securities	16,358,655	13,128,034	16,782,380
Gross Unrealized Gains - Available for sale Securities	2,835	23,950	11,144
Gross Unrealized Losses - Available for sale Securities	490,914	73,365	180,187
Fair Value - Available for sale Securities	15,870,576	13,078,619	16,613,337
ABS and OAS
Available for sale Securities
Amortized Cost - Available for sale Securities	1,000,000
Gross Unrealized Gains - Available for sale Securities	0
Gross Unrealized Losses - Available for sale Securities	5,688
Fair Value - Available for sale Securities	994,312
Other investments
Available for sale Securities
Amortized Cost - Available for sale Securities	7,425,000	4,213,000	4,707,000
Gross Unrealized Gains - Available for sale Securities	0	31,180	165
Gross Unrealized Losses - Available for sale Securities	147,999	1,271	28,591
Fair Value - Available for sale Securities	$ 7,277,001	$ 4,242,909	$ 4,678,574

4. Investment Securities (Det25

4. Investment Securities (Details 1) - USD ($)		Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Held-to-Maturity Securities
Fair Value - Held-to-Maturity		$ 32,292,000	$ 48,796,000	$ 37,065,000
States and political subdivisions [Member]
Held-to-Maturity Securities
Amortized Cost - Held-to-Maturity		32,205,722	48,824,965	36,418,414
Gross Unrealized Gains - Held-to-Maturity		338,294	0	646,586
Gross Unrealized Losses - Held-to-Maturity		252,017	28,965	0
Fair Value - Held-to-Maturity	[1]	$ 32,292,000	$ 48,796,000	$ 37,065,000
[1]	Method used to determine fair value of HTM securities rounds values to nearest thousand.

4. Investment Securities (Det26

4. Investment Securities (Details 2) - USD ($)		Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Available for sale Securities
Amortized Cost
Due in one year or less, Amortized Cost			$ 3,749,956	$ 3,001,770
Due from one to five years, Amortized Cost		$ 13,982,713	11,275,824	17,322,645
Due from five to ten years		9,460,087	6,989,449	2,245,000
Agency MBS		16,358,655	16,782,380	13,128,034
Amortization Cost of Debt		39,801,455	38,797,609	35,697,449
Fair Value
Due in one year or less, fair value			3,739,512	3,001,473
Due from one to five years, fair value		13,689,583	11,168,065	17,326,400
Due from five to ten years, fair value		9,200,209	6,929,739	2,228,224
Agency MBS		15,870,576	16,613,337	13,078,619
Fair value of debt		38,760,368	38,450,653	35,634,716
Held to maturity Securities
Amortized Cost
Due in one year or less, Amortized Cost		8,223,089	24,817,334	11,987,857
Due from one to five years, Amortized Cost		4,724,770	4,494,343	3,987,322
Due from five to ten years, Amortized Cost		4,394,497	4,338,246	3,744,385
Due after ten years, Amortized Cost		14,863,366	15,175,042	16,698,850
Amortization Cost of Debt		32,205,722	48,824,965	36,418,414
Fair Value
Due in one year or less, fair value	[1]	8,223,000	24,817,000	11,988,000
Due from one to five years, fair value	[1]	4,746,000	4,487,000	4,149,000
Due from five to ten years, fair value	[1]	4,416,000	4,331,000	3,906,000
Due after ten years, fair value	[1]	14,907,000	15,161,000	17,022,000
Fair value of debt	[1]	$ 32,292,000	$ 48,796,000	$ 37,065,000
[1]	Method used to determine fair value of HTM securities rounds values to nearest thousand.

4. Investment Securities (Det27

4. Investment Securities (Details 3)	6 Months Ended		12 Months Ended
	Jun. 30, 2018USD ($)integer	Jun. 30, 2017USD ($)integer	Dec. 31, 2017USD ($)integer
Available for sale - Fair Value Less than 12 months	$ 57,244,600
Available for sale - Fair Value 12 months or more	$ 7,606,597
Available for sale - Number of Securities | integer	172
Available for sale - Fair Value	$ 64,851,197
Available for sale - Unrealized Loss	1,043,922	$ 132,517	$ 358,265
Fair Value Less than 12 months	57,244,600	20,466,623	48,697,774
Unrealized Loss Less than 12 months	993,587	132,517	243,947
Fair Value 12 months or more	7,606,597	0	8,722,287
Unrealized Loss 12 months or more	$ 302,352	$ 0	$ 143,283
Number of Securities | integer	172	26	131
Fair Value	$ 64,851,197	$ 20,466,623	$ 57,420,061
Unrealized Loss	1,295,939	132,517	387,230
U.S. GSE debt securities
Available for sale - Fair Value Less than 12 months	11,732,997	10,724,642	13,223,739
Available for sale - Unrealized Loss Less than 12 months	284,803	57,881	84,490
Available for sale - Fair Value 12 months or more	2,885,482	0	3,935,003
Available for sale - Unrealized Loss 12 months or more	$ 114,518	$ 0	$ 64,997
Available for sale - Number of Securities | integer	13	9	15
Available for sale - Fair Value	$ 14,618,479	$ 10,724,642	$ 17,158,742
Available for sale - Unrealized Loss	399,321	57,881	149,487
Agency mortgage-backed securities (Agency MBS)
Available for sale - Fair Value Less than 12 months	10,449,556	8,751,252	9,251,323
Available for sale - Unrealized Loss Less than 12 months	323,950	73,365	105,063
Available for sale - Fair Value 12 months or more	3,997,985	0	4,542,446
Available for sale - Unrealized Loss 12 months or more	$ 166,964	$ 0	$ 75,124
Available for sale - Number of Securities | integer	23	13	21
Available for sale - Fair Value	$ 14,447,541	$ 8,751,252	$ 13,793,769
Available for sale - Unrealized Loss	490,914	73,365	180,187
ABS and OAS
Available for sale - Fair Value Less than 12 months	994,312
Available for sale - Unrealized Loss Less than 12 months	5,688
Available for sale - Fair Value 12 months or more	0
Available for sale - Unrealized Loss 12 months or more	$ 0
Available for sale - Number of Securities | integer	1
Available for sale - Fair Value	$ 994,312
Available for sale - Unrealized Loss	5,688
Other investments
Available for sale - Fair Value Less than 12 months	6,060,871	990,729	3,692,571
Available for sale - Unrealized Loss Less than 12 months	127,129	1,271	25,429
Available for sale - Fair Value 12 months or more	723,130	0	244,838
Available for sale - Unrealized Loss 12 months or more	$ 20,870	$ 0	$ 3,162
Available for sale - Number of Securities | integer	28	4	16
Available for sale - Fair Value	$ 6,784,001	$ 990,729	$ 3,937,409
Available for sale - Unrealized Loss	147,999	$ 1,271	28,591
States and political subdivisions [Member]
Held-to-maturity - Fair Value Less than 12 months	28,006,864		22,530,141
Held-to-maturity -Unrealized Loss Less than 12 months	252,017		28,965
Held-to-maturity -Fair Value 12 months or more	0		0
Held-to-maturity - Unrealized Loss 12 months or more	$ 0		$ 0
Held-to-maturity - Number of Securities | integer	107		79
Held-to-maturity - Fair Value	$ 28,006,864		$ 22,530,141
Held-to-maturity - Unrealized Loss	$ 252,017		$ 28,965

4. Investment Securities (Det28

4. Investment Securities (Details 4) - USD ($)	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Investment Securities Details Narrative Abstract
Book value of available for sale securities, pledged as collateral for repurchase agreements	$ 39,801,455	$ 38,797,609	$ 35,697,449
Fair value of available for sale securities, pledged as collateral for repurchase agreements	$ 38,760,368	$ 38,450,653	$ 35,634,716

5. Loans, Allowance for Loan 29

5. Loans, Allowance for Loan Losses and Credit Quality (Details) - USD ($)	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016
Loans and Leases Receivable Disclosure [Abstract]
Commercial & industrial	$ 88,336,757		$ 77,110,747	$ 79,361,739
Commercial real estate	217,268,526		207,044,227	209,886,793
Residential real estate - 1st lien	165,347,241		168,184,135	164,398,836
Residential real estate - Jr lien	45,127,750		45,256,862	42,166,407
Consumer	5,011,669		5,268,680	6,959,070
Gross Loans	521,091,943		502,864,651	502,772,845
Deduct (add):
Allowance for loan losses	5,413,023	$ 5,341,220	5,438,099	5,374,378	$ 5,258,440	$ 5,278,445
Deferred net loan costs	(345,177)		(318,651)	(323,371)
Net loans	$ 516,024,097		$ 497,745,203	$ 497,721,838

5. Loans, Allowance for Loan 30

5. Loans, Allowance for Loan Losses and Credit Quality (Details 1) - USD ($)	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
30-89 Days	$ 4,062,309	$ 6,267,112	$ 4,714,345
90 Days or more	1,636,268	2,599,675	1,778,460
Total Past Due	5,698,577	8,866,787	6,492,805
Current	515,393,366	493,997,864	496,280,040
Total Loans	521,091,943	502,864,651	502,772,845
Non-Accrual Loans	4,273,363	3,096,576	2,665,646
90 Days or More and Accruing	507,909	1,250,725	441,613
Commercial and industrial
30-89 Days	230,784	308,712	121,737
90 Days or more	0	0	86,994
Total Past Due	230,784	308,712	208,731
Current	88,105,973	76,802,035	79,153,008
Total Loans	88,336,757	77,110,747	79,361,739
Non-Accrual Loans	197,079	98,806	135,379
90 Days or More and Accruing	0	0	0
Commercial Real Estate
30-89 Days	1,195,120	1,482,982	2,398,960
90 Days or more	315,881	418,255	228,621
Total Past Due	1,511,001	1,901,237	2,627,581
Current	215,757,525	205,142,990	207,259,212
Total Loans	217,268,526	207,044,227	209,886,793
Non-Accrual Loans	1,957,183	1,065,385	728,093
90 Days or More and Accruing	0	0	15,011
Residential real estate - 1st lien
30-89 Days	2,255,600	4,238,933	1,886,256
90 Days or more	1,081,853	2,011,419	1,225,362
Total Past Due	3,337,453	6,250,352	3,111,618
Current	162,009,788	161,933,783	161,287,218
Total Loans	165,347,241	168,184,135	164,398,836
Non-Accrual Loans	1,749,608	1,585,473	1,403,312
90 Days or More and Accruing	406,196	1,249,241	354,988
Residential real estate - Jr lien
30-89 Days	332,650	156,101	252,557
90 Days or more	238,534	168,517	237,483
Total Past Due	571,184	324,618	490,040
Current	44,556,566	44,932,244	41,676,367
Total Loans	45,127,750	45,256,862	42,166,407
Non-Accrual Loans	369,493	346,912	398,862
90 Days or More and Accruing	101,713	0	71,614
Consumer
30-89 Days	48,155	80,384	54,835
90 Days or more	0	1,484	0
Total Past Due	48,155	81,868	54,835
Current	4,963,514	5,186,812	6,904,235
Total Loans	5,011,669	5,268,680	6,959,070
Non-Accrual Loans	0	0	0
90 Days or More and Accruing	$ 0	$ 1,484	$ 0

5. Loans, Allowance for Loan 31

5. Loans, Allowance for Loan Losses and Credit Quality (Details 2)	Jun. 30, 2018USD ($)integer	Dec. 31, 2017USD ($)integer	Jun. 30, 2017USD ($)integer
Loans Allowance For Loan Losses And Credit Quality
Residential mortgage loans in process of foreclosure, number of loans | integer	10	10	7
Residential mortgage loans in process of foreclosure, current balance | $	$ 615,038	$ 791,944	$ 448,622

5. Loans, Allowance for Loan 32

5. Loans, Allowance for Loan Losses and Credit Quality (Details 3) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Allowance for loan losses, Beginning balance	$ 5,341,220	$ 5,258,440	$ 5,438,099	$ 5,278,445	$ 5,278,445
Charge-offs	(131,145)	(52,637)	(431,741)	(244,044)	(582,141)
Recoveries	22,948	18,575	46,665	39,977	91,795
Provisions (credit)	180,000	150,000	360,000	300,000	650,000
Allowance for loan losses, Ending balance	5,413,023	5,374,378	5,413,023	5,374,378	5,438,099
Allowance for loan losses evaluated for impairment, Individually	130,495	355,062	130,495	355,062	220,673
Allowance for loan losses evaluated for impairment, Collectively	5,282,528	5,019,316	5,282,528	5,019,316	5,217,426
Allowance for loan losses	5,413,023	5,374,378	5,413,023	5,374,378	5,438,099
Loans evaluated for impairment, Individually	6,882,120	6,100,910	6,882,120	6,100,910	5,781,288
Loans evaluated for impairment, Collectively	514,209,823	496,671,935	514,209,823	496,671,935	497,083,363
Total Loans	521,091,943	502,772,845	521,091,943	502,772,845	502,864,651
Commercial and industrial
Allowance for loan losses, Beginning balance	666,660	719,773	675,687	726,848	726,848
Charge-offs	(42,380)	0	(131,273)	0	(20,000)
Recoveries	15,027	1,422	20,041	4,318	27,051
Provisions (credit)	145,782	(25,532)	220,634	(35,503)	(58,212)
Allowance for loan losses, Ending balance	785,089	695,663	785,089	695,663	675,687
Allowance for loan losses evaluated for impairment, Individually	0	0	0	0	0
Allowance for loan losses evaluated for impairment, Collectively	785,089	695,663	785,089	695,663	675,687
Allowance for loan losses	785,089	695,663	785,089	695,663	675,687
Loans evaluated for impairment, Individually	197,079	135,379	197,079	135,379	98,806
Loans evaluated for impairment, Collectively	88,139,678	79,226,360	88,139,678	79,226,360	77,011,941
Total Loans	88,336,757	79,361,739	88,336,757	79,361,739	77,110,747
Commercial Real Estate
Allowance for loan losses, Beginning balance	2,666,704	2,521,121	2,674,029	2,496,085	2,496,085
Charge-offs	(3,645)	0	(124,645)	(160,207)	(160,207)
Recoveries	0	230	0	230	230
Provisions (credit)	45,180	8,864	158,855	194,107	337,921
Allowance for loan losses, Ending balance	2,708,239	2,530,215	2,708,239	2,530,215	2,674,029
Allowance for loan losses evaluated for impairment, Individually	0	74,249	0	74,249	69,015
Allowance for loan losses evaluated for impairment, Collectively	2,708,239	2,455,966	2,708,239	2,455,966	2,605,014
Allowance for loan losses	2,708,239	2,530,215	2,708,239	2,530,215	2,674,029
Loans evaluated for impairment, Individually	2,064,330	1,968,144	2,064,330	1,968,144	1,306,057
Loans evaluated for impairment, Collectively	215,204,196	207,918,649	215,204,196	207,918,649	205,738,170
Total Loans	217,268,526	209,886,793	217,268,526	209,886,793	207,044,227
Residential Real Estate - 1st Lien
Allowance for loan losses, Beginning balance	1,407,801	1,312,795	1,460,547	1,369,757	1,369,757
Charge-offs	(45,362)	0	(78,435)	(4,735)	(159,533)
Recoveries	300	3,981	9,158	10,217	26,826
Provisions (credit)	35,302	46,548	6,771	(11,915)	223,497
Allowance for loan losses, Ending balance	1,398,041	1,363,324	1,398,041	1,363,324	1,460,547
Allowance for loan losses evaluated for impairment, Individually	129,488	154,760	129,488	154,760	125,305
Allowance for loan losses evaluated for impairment, Collectively	1,268,553	1,208,564	1,268,553	1,208,564	1,335,242
Allowance for loan losses	1,398,041	1,363,324	1,398,041	1,363,324	1,460,547
Loans evaluated for impairment, Individually	4,315,348	3,577,837	4,315,348	3,577,837	4,075,666
Loans evaluated for impairment, Collectively	161,031,893	160,820,999	161,031,893	160,820,999	164,108,469
Total Loans	165,347,241	164,398,836	165,347,241	164,398,836	168,184,135
Residential Real Estate Jr Lien
Allowance for loan losses, Beginning balance	289,292	370,454	316,982	371,176	371,176
Charge-offs	0	(15,311)	(24,000)	(15,311)	(118,359)
Recoveries	240	60	675	120	465
Provisions (credit)	(1,930)	19,161	(6,055)	18,379	63,700
Allowance for loan losses, Ending balance	287,602	374,364	287,602	374,364	316,982
Allowance for loan losses evaluated for impairment, Individually	1,007	126,053	1,007	126,053	26,353
Allowance for loan losses evaluated for impairment, Collectively	286,595	248,311	286,595	248,311	290,629
Allowance for loan losses	287,602	374,364	287,602	374,364	316,982
Loans evaluated for impairment, Individually	305,363	419,550	305,363	419,550	300,759
Loans evaluated for impairment, Collectively	44,822,387	41,746,857	44,822,387	41,746,857	44,956,103
Total Loans	45,127,750	42,166,407	45,127,750	42,166,407	45,256,862
Consumer
Allowance for loan losses, Beginning balance	44,162	61,322	43,303	83,973	83,973
Charge-offs	(39,758)	(37,326)	(73,388)	(63,791)	(124,042)
Recoveries	7,381	12,882	16,791	25,092	37,223
Provisions (credit)	39,850	14,417	64,929	6,021	46,149
Allowance for loan losses, Ending balance	51,635	51,295	51,635	51,295	43,303
Allowance for loan losses evaluated for impairment, Individually	0	0	0	0	0
Allowance for loan losses evaluated for impairment, Collectively	51,635	51,295	51,635	51,295	43,303
Allowance for loan losses	51,635	51,295	51,635	51,295	43,303
Loans evaluated for impairment, Individually	0	0	0	0	0
Loans evaluated for impairment, Collectively	5,011,669	6,959,070	5,011,669	6,959,070	5,268,680
Total Loans	5,011,669	6,959,070	5,011,669	6,959,070	5,268,680
Unallocated
Allowance for loan losses, Beginning balance	266,601	272,975	267,551	230,606	230,606
Charge-offs	0	0	0	0	0
Recoveries	0	0	0	0	0
Provisions (credit)	(84,184)	86,542	(85,134)	128,911	36,945
Allowance for loan losses, Ending balance	182,417	359,517	182,417	359,517	267,551
Allowance for loan losses evaluated for impairment, Individually	0	0	0	0	0
Allowance for loan losses evaluated for impairment, Collectively	182,417	359,517	182,417	359,517	267,551
Allowance for loan losses	$ 182,417	$ 359,517	$ 182,417	$ 359,517	$ 267,551

5. Loans, Allowance for Loan 33

5. Loans, Allowance for Loan Losses and Credit Quality (Details 4) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Recorded Investment With an allowance recorded	$ 797,269	$ 1,532,877	$ 797,269	$ 1,532,877	$ 1,149,525
Unpaid Principal Balance With an allowance recorded	839,222	1,650,736	839,222	1,650,736	1,356,798
Related Allowance With an allowance recorded	130,495	355,062	130,495	355,062	220,673
Average Recorded Investment With an allowance recorded	841,489	1,011,199	944,167	912,992	1,077,963
Interest income recognized With an allowance recorded			33,267	17,021	29,662
Recorded Investment With no related allowance recorded	6,103,624	4,591,289	6,103,624	4,591,289	4,655,956
Unpaid Principal Balance With no related allowance recorded	6,940,826	5,481,955	6,940,826	5,481,955	5,158,680
Average Recorded Investment With no related allowance recorded	5,792,034	2,822,922	5,413,342	2,278,898	3,227,525
Interest income recognized With no related allowance recorded			158,569	90,039	460,524
Recorded Investment allowance recorded	6,900,893	6,124,166	6,900,893	6,124,166	5,805,481
Unpaid Principal Balance allowance recorded	7,780,048	7,132,691	7,780,048	7,132,691	6,515,478
Average Recorded Investment Allowance recorded	6,633,523	3,834,121	6,357,509	3,191,890	4,305,488
Interest income recognized			191,836	107,060	490,186
Commercial and industrial
Recorded Investment With no related allowance recorded	197,079	135,379	197,079	135,379	98,806
Unpaid Principal Balance With no related allowance recorded	216,691	218,023	216,691	218,023	136,590
Average Recorded Investment With no related allowance recorded	191,045	91,882	160,299	77,383	75,868
Interest income recognized With no related allowance recorded			0	0	72,426
Commercial Real Estate
Recorded Investment With an allowance recorded	0	210,499	0	210,499	204,645
Unpaid Principal Balance With an allowance recorded	0	228,074	0	228,074	225,681
Related Allowance With an allowance recorded	0	74,249	0	74,249	69,015
Average Recorded Investment With an allowance recorded	41,823	212,451	96,097	215,053	210,890
Interest income recognized With an allowance recorded			0	0	0
Recorded Investment With no related allowance recorded	2,065,267	1,763,013	2,065,267	1,763,013	1,102,859
Unpaid Principal Balance With no related allowance recorded	2,235,772	2,324,546	2,235,772	2,324,546	1,226,040
Average Recorded Investment With no related allowance recorded	1,794,217	1,109,536	1,563,764	895,437	1,105,030
Interest income recognized With no related allowance recorded			37,813	32,923	237,792
Residential real estate - 1st lien
Recorded Investment With an allowance recorded	789,471	1,038,752	789,471	1,038,752	798,226
Unpaid Principal Balance With an allowance recorded	831,434	1,074,246	831,434	1,074,246	837,766
Related Allowance With an allowance recorded	129,488	154,760	129,488	154,760	125,305
Average Recorded Investment With an allowance recorded	791,676	545,895	793,859	454,686	646,799
Interest income recognized With an allowance recorded			31,785	15,720	29,262
Recorded Investment With no related allowance recorded	3,543,703	2,556,076	3,543,703	2,556,076	3,300,175
Unpaid Principal Balance With no related allowance recorded	4,189,432	2,802,565	4,189,432	2,802,565	3,641,627
Average Recorded Investment With no related allowance recorded	3,525,807	1,484,683	3,450,597	1,214,864	1,930,108
Interest income recognized With no related allowance recorded			120,756	57,116	133,732
Residential real estate - Jr lien
Recorded Investment With an allowance recorded	7,798	283,626	7,798	283,626	146,654
Unpaid Principal Balance With an allowance recorded	7,788	348,416	7,788	348,416	293,351
Related Allowance With an allowance recorded	1,007	126,053	1,007	126,053	26,353
Average Recorded Investment With an allowance recorded	7,990	252,853	54,211	243,253	220,274
Interest income recognized With an allowance recorded			1,482	1,301	400
Recorded Investment With no related allowance recorded	297,575	136,821	297,575	136,821	154,116
Unpaid Principal Balance With no related allowance recorded	298,931	136,821	298,931	136,821	154,423
Average Recorded Investment With no related allowance recorded	$ 280,965	$ 136,821	238,682	91,214	116,519
Interest income recognized With no related allowance recorded			$ 0	$ 0	$ 16,574

5. Loans, Allowance for Loan 34

5. Loans, Allowance for Loan Losses and Credit Quality (Details 5) - USD ($)	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Group A	$ 498,224,144	$ 482,463,948	$ 486,426,987
Group B	8,588,538	5,547,642	1,851,969
Group C	14,279,261	14,853,061	14,493,889
Total Loans	521,091,943	502,864,651	502,772,845
Commercial and industrial
Group A	84,161,408	73,352,768	75,971,101
Group B	2,499,460	617,526	520,555
Group C	1,675,889	3,140,453	2,870,083
Total Loans	88,336,757	77,110,747	79,361,739
Commercial Real Estate
Group A	202,424,493	194,066,034	199,768,226
Group B	5,770,651	4,609,847	1,169,093
Group C	9,073,382	8,368,346	8,949,474
Total Loans	217,268,526	207,044,227	209,886,793
Residential real estate - 1st lien
Group A	162,200,561	165,089,999	162,224,767
Group B	283,148	282,671	0
Group C	2,863,532	2,811,465	2,174,069
Total Loans	165,347,241	168,184,135	164,398,836
Residential real estate - Jr lien
Group A	44,426,013	44,687,951	41,503,823
Group B	35,279	37,598	162,321
Group C	666,458	531,313	500,263
Total Loans	45,127,750	45,256,862	42,166,407
Consumer
Group A	5,011,669	5,267,196	6,959,070
Group B	0	0	0
Group C	0	1,484	0
Total Loans	$ 5,011,669	$ 5,268,680	$ 6,959,070

5. Loans, Allowance for Loan 35

5. Loans, Allowance for Loan Losses and Credit Quality (Details 6)	3 Months Ended	6 Months Ended		12 Months Ended
	Jun. 30, 2018USD ($)integer	Jun. 30, 2018USD ($)integer	Jun. 30, 2017USD ($)integer	Dec. 31, 2017USD ($)integer
Commercial and industrial
Number of Contracts modified as TDRs | integer			1
Pre-Modification Outstanding Recorded Investment			$ 41,857
Post- Modification Outstanding Recorded Investment			$ 57,418
Residential real estate - 1st lien
Number of Contracts modified as TDRs | integer	2	7		4
Pre-Modification Outstanding Recorded Investment	$ 215,772	$ 898,563		$ 256,353
Post- Modification Outstanding Recorded Investment	$ 218,157	$ 1,003,466		$ 287,385

5. Loans, Allowance for Loan 36

5. Loans, Allowance for Loan Losses and Credit Quality (Details 7) - Residential Real Estate - 1st Lien	6 Months Ended		12 Months Ended
	Jun. 30, 2018USD ($)integer	Jun. 30, 2017USD ($)integer	Dec. 31, 2017USD ($)integer
Number of Contracts | integer	3	2	1
Recorded Investment | $	$ 267,418	$ 80,485	$ 87,696

5. Loans, Allowance for Loan 37

5. Loans, Allowance for Loan Losses and Credit Quality (Details 8) - USD ($)	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]
Specific Allocation	$ 130,495	$ 197,605	$ 237,551

6. Goodwill and Other Intangi38

6. Goodwill and Other Intangible Assets (Details Narrative) - USD ($)	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	$ 11,574,269	$ 11,574,269	$ 11,574,269

7. Fair Value (Details)

7. Fair Value (Details) - Fair Value Level 2 - USD ($)	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Assets: (market approach)
U.S. GSE debt securities	$ 14,618,479	$ 17,158,742	$ 18,313,188
Agency MBS	15,870,576	16,613,337	13,078,619
ABS and OAS	994,312
Other investments	7,277,001	4,678,574	4,242,909
Total	$ 38,760,368	$ 38,450,653	$ 35,634,716

7. Fair Value (Details 1)

7. Fair Value (Details 1) - Fair Value Level 2 - USD ($)		Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Assets: (market approach)
MSRs	[1]	$ 1,033,679	$ 1,083,286	$ 1,151,241
Impaired loans, net of related allowance			135,630	25,050
OREO		$ 364,235	$ 284,235	$ 343,928
[1]	Represents MSRs at lower of cost or fair value, including MSRs deemed to be impaired and for which a valuation allowance was established to carry at fair value as of the balance sheet dates presented.

7. Fair Value (Details 2)

7. Fair Value (Details 2) - USD ($)	Jun. 30, 2018		Dec. 31, 2017		Jun. 30, 2017
Carrying Amount
Financial assets: (Dollars in Thousands)
Cash and cash equivalents	$ 28,810		$ 42,654		$ 37,026
Securities HTM	32,206		48,825		36,418
Securities AFS	38,760		38,451		35,635
Restricted equity securities	2,434		1,704		1,943
Loans and loans held-for-sale
Commercial & industrial	87,521		76,394		78,609
Commercial real estate	214,484		204,260		207,207
Residential real estate - 1st lien	163,891		167,671		163,489
Residential real estate - Jr. lien	44,824		44,916		41,762
Consumer	4,959		5,223		6,903
MSRs	1,034	[1]	1,083	[2]	1,151	[3]
Accrued interest receivable	1,952		2,052		1,746
Deposits
Deposits, Other deposits	484,387		509,686		479,131
Deposits, Brokered deposits	42,532		50,949		54,176
Short-term borrowings	21,000				10,000
Long-term borrowings	1,550		3,550		3,550
Repurchase agreements	30,295		28,648		28,863
Capital lease obligations	325		382		435
Subordinated debentures	12,887		12,887		12,887
Accrued interest payable	94		101		125
Fair Value Level 1
Financial assets: (Dollars in Thousands)
Cash and cash equivalents	28,810		42,654		37,026
Securities HTM	0		0		0
Securities AFS	0		0		0
Restricted equity securities	0		0		0
Loans and loans held-for-sale
Commercial & industrial	0		0		0
Commercial real estate	0		0		0
Residential real estate - 1st lien	0		0		0
Residential real estate - Jr. lien	0		0		0
Consumer	0		0		0
MSRs	0	[1]	0	[2]	0	[3]
Accrued interest receivable	0		0		0
Deposits
Deposits, Other deposits	0		0		0
Deposits, Brokered deposits	0		0		0
Short-term borrowings	0				0
Long-term borrowings	0		0		0
Repurchase agreements	0		0		0
Capital lease obligations	0		0		0
Subordinated debentures	0		0		0
Accrued interest payable	0		0		0
Fair Value Level 2
Financial assets: (Dollars in Thousands)
Cash and cash equivalents	0		0		0
Securities HTM	32,292		48,796		37,065
Securities AFS	38,760		38,451		35,635
Restricted equity securities	2,434		1,704		1,943
Loans and loans held-for-sale
Commercial & industrial	0		0		0
Commercial real estate	0		136		0
Residential real estate - 1st lien	0		0		25
Residential real estate - Jr. lien	0		0		0
Consumer	0		0		0
MSRs	1,449	[1]	1,337	[2]	1,341	[3]
Accrued interest receivable	1,952		2,052		1,746
Deposits
Deposits, Other deposits	482,454		508,407		478,412
Deposits, Brokered deposits	42,485		50,926		54,177
Short-term borrowings	21,000				10,000
Long-term borrowings	1,386		3,191		3,205
Repurchase agreements	30,295		28,648		28,863
Capital lease obligations	325		382		435
Subordinated debentures	12,811		12,832		12,844
Accrued interest payable	94		101		125
Fair Value Level 3
Financial assets: (Dollars in Thousands)
Cash and cash equivalents	0		0		0
Securities HTM	0		0		0
Securities AFS	0		0		0
Restricted equity securities	0		0		0
Loans and loans held-for-sale
Commercial & industrial	87,348		76,799		79,311
Commercial real estate	212,767		204,697		208,632
Residential real estate - 1st lien	161,167		169,205		166,085
Residential real estate - Jr. lien	44,229		45,207		42,199
Consumer	5,053		5,425		7,147
MSRs	0	[1]	0	[2]	0	[3]
Accrued interest receivable	0		0		0
Deposits
Deposits, Other deposits	0		0		0
Deposits, Brokered deposits	0		0		0
Short-term borrowings	0				0
Long-term borrowings	0		0		0
Repurchase agreements	0		0		0
Capital lease obligations	0		0		0
Subordinated debentures	0		0		0
Accrued interest payable	0		0		0
Fair Value
Financial assets: (Dollars in Thousands)
Cash and cash equivalents	28,810		42,654		37,026
Securities HTM	32,292		48,796		37,065
Securities AFS	38,760		38,451		35,635
Restricted equity securities	2,434		1,704		1,943
Loans and loans held-for-sale
Commercial & industrial	87,348		76,799		79,311
Commercial real estate	212,767		204,833		208,632
Residential real estate - 1st lien	161,167		169,205		166,110
Residential real estate - Jr. lien	44,229		45,207		42,199
Consumer	5,053		5,425		7,147
MSRs	1,449	[1]	1,337	[2]	1,341	[3]
Accrued interest receivable	1,952		2,052		1,746
Deposits
Deposits, Other deposits	482,454		508,407		478,412
Deposits, Brokered deposits	42,485		50,926		54,177
Short-term borrowings	21,000				10,000
Long-term borrowings	1,386		3,191		3,205
Repurchase agreements	30,295		28,648		28,863
Capital lease obligations	325		382		435
Subordinated debentures	12,811		12,832		12,844
Accrued interest payable	$ 94		$ 101		$ 125
[1]	Reported fair value represents all MSRs for loans serviced by the Company at June 30, 2018, regardless of carrying amount.
[2]	Reported fair value represents all MSRs for loans serviced by the Company at December 31, 2017, regardless of carrying amount.
[3]	Reported fair value represents all MSRs for loans serviced by the Company at June 30, 2017, regardless of carrying amount.

8. Loan Servicing (Details)

8. Loan Servicing (Details) - USD ($)	6 Months Ended		12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Transfers and Servicing of Financial Assets [Abstract]
Balance at beginning of year	$ 1,083,286	$ 1,210,695	$ 1,210,695
Mortgage servicing rights capitalized	43,678	54,603	109,297
Mortgage servicing rights amortized	(93,285)	(114,057)	(236,706)
Balance at end of period	$ 1,033,679	$ 1,151,241	$ 1,083,286