Community Bancorp (CMTV) 10-Q 9 Aug 19 2019 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2019	Aug. 05, 2019
Document And Entity Information
Entity Registrant Name	Community Bancorp /VT
Entity Central Index Key	0000718413
Document Type	10-Q
Document Period End Date	Jun. 30, 2019
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Is Entity's Reporting Status Current	Yes
Entity Filer Category	Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		5,207,060
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2019

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Assets
Cash and due from banks	$ 18,977,402	$ 14,906,529
Federal funds sold and overnight deposits	10,558,075	53,028,286
Total cash and cash equivalents	29,535,477	67,934,815
Securities available-for-sale	47,557,774	39,366,831
Restricted equity securities, at cost	1,347,850	1,749,450
Loans held-for-sale	262,000	0
Loans	567,378,298	578,450,517
Allowance for loan losses	(5,723,753)	(5,602,541)
Deferred net loan costs	354,981	363,614
Net loans	562,009,526	573,211,590
Bank premises and equipment, net	10,943,412	9,713,455
Accrued interest receivable	2,193,025	2,300,841
Bank owned life insurance	4,857,969	4,814,099
Goodwill	11,574,269	11,574,269
Other real estate owned	92,084	201,386
Other assets	9,164,905	9,480,762
Total assets	679,538,291	720,347,498
Deposits:
Demand, non-interest bearing	110,870,636	122,430,805
Interest-bearing transaction accounts	149,487,155	177,815,417
Money market funds	79,501,860	85,261,685
Savings	95,455,903	93,129,875
Time deposits, $250,000 and over	11,928,023	14,395,291
Other time deposits	108,906,051	115,783,492
Total deposits	556,149,628	608,816,565
Borrowed funds	7,650,000	1,550,000
Repurchase agreements	32,144,591	30,521,565
Junior subordinated debentures	12,887,000	12,887,000
Accrued interest and other liabilities	5,035,098	3,968,657
Total liabilities	613,866,317	657,743,787
Shareholders' Equity
Preferred stock, 1,000,000 shares authorized, 15 and 20 shares issued and outstanding in 2019 and 2018, respectively ($100,000 liquidation value)	1,500,000	2,000,000
Common stock - $2.50 par value; 15,000,000 shares authorized, 5,418,599 shares issued at 06/30/19 and 5,382,103 shares issued at 12/31/18	13,546,498	13,455,258
Additional paid-in capital	33,034,807	32,536,532
Retained earnings	20,055,870	17,882,282
Accumulated other comprehensive income (loss)	157,576	(647,584)
Less: treasury stock, at cost; 210,101 shares at 06/30/19 and 12/31/18	(2,622,777)	(2,622,777)
Total shareholders' equity	65,671,974	62,603,711
Total liabilities and shareholders' equity	$ 679,538,291	$ 720,347,498
Book value per common share outstanding	$ 12.32	$ 11.72

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Shareholder's Equity
Preferred stock, shares authorized (in shares)	1,000,000	1,000,000
Preferred stock, shares issued (in shares)	15	20
Preferred stock, shares outstanding (in shares)	15	20
Preferred stock liquidation value	$ 100,000	$ 100,000
Common stock par value (in dollars per share)	$ 2.50	$ 2.50
Common stock, shares authorized (in shares)	15,000,000	15,000,000
Common stock, shares issued (in shares)	5,148,599	5,382,103
Treasury stock (in shares)	210,101	210,101

Consolidated Statements of Inco

Consolidated Statements of Income (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Interest income
Interest and fees on loans	$ 7,829,008	$ 6,699,981	$ 15,039,818	$ 13,150,681
Interest on taxable debt securities	270,026	221,016	518,134	423,901
Dividends	26,788	30,857	52,747	59,548
Interest on federal funds sold and overnight deposits	136,600	77,005	350,091	171,567
Total interest income	8,262,422	7,028,859	15,960,790	13,805,697
Interest expense
Interest on deposits	1,280,259	719,389	2,563,219	1,406,451
Interest on borrowed funds	9,869	17,642	15,006	25,125
Interest on repurchase agreements	73,070	37,641	145,901	68,847
Interest on junior subordinated debentures	183,755	163,827	361,367	306,824
Total interest expense	1,546,953	938,499	3,085,493	1,807,247
Net interest income	6,715,469	6,090,360	12,875,297	11,998,450
Provision for loan losses	141,666	180,000	354,169	360,000
Net interest income after provision for loan losses	6,573,803	5,910,360	12,521,128	11,638,450
Non-interest income
Service fees	820,657	810,731	1,611,023	1,580,813
Income from sold loans	128,690	190,710	231,777	374,329
Other income from loans	223,509	198,351	362,253	410,621
Net realized loss on sale of securities AFS	0	(6,375)	0	(10,236)
Other income	261,282	496,744	547,786	730,304
Total non-interest income	1,434,138	1,690,161	2,752,839	3,085,831
Non-interest expense
Salaries and wages	1,792,930	1,914,616	3,635,860	3,530,002
Employee benefits	806,340	722,302	1,582,680	1,396,304
Occupancy expenses, net	642,284	657,596	1,333,113	1,332,470
Other expenses	1,837,506	1,809,461	3,683,332	3,576,316
Total non-interest expense	5,079,060	5,103,975	10,234,985	9,835,092
Income before income taxes	2,928,881	2,496,546	5,038,982	4,889,189
Income tax expense	509,583	493,892	847,779	903,992
Net income	$ 2,419,298	$ 2,002,654	$ 4,191,203	$ 3,985,197
Earnings per common share	$ 0.46	$ 0.39	$ .80	$ 0.77
Weighted average number of common shares used in computing earnings per share	5,197,045	5,130,809	5,188,735	5,123,947
Dividends declared per common share	$ 0.19	$ 0.19	$ 0.38	$ 0.36

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Statement of Comprehensive Income [Abstract]
Net income	$ 2,419,298	$ 2,002,654	$ 4,191,203	$ 3,985,197
Other comprehensive income (loss), net of tax:
Unrealized holding gain (loss) on securities AFS arising during the period	447,432	(127,242)	1,019,191	(704,367)
Reclassification adjustment for loss realized in income	0	6,375	0	10,236
Unrealized gain (loss) during the period	447,432	(120,867)	1,019,191	(694,131)
Tax effect	(93,962)	25,381	(214,031)	145,769
Other comprehensive income (loss), net of tax	353,470	(95,486)	805,160	(548,362)
Total comprehensive income	$ 2,772,768	$ 1,907,168	$ 4,996,363	$ 3,436,835

Consolidated Statements of Chan

Consolidated Statements of Changes in Shareholders' Equity - USD ($)	Common Stock	Preferred Stock	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive (Loss) Income	Treasury Stock	Total
Beginning Balance at Dec. 31, 2017	$ 13,305,800	$ 2,500,000	$ 31,639,189	$ 13,387,739	$ (274,097)	$ (2,622,777)	$ 57,935,854
Issuance of common stock	33,345		207,208				240,553
Cash dividends declared - common stock				(869,128)			(869,128)
Cash dividends declared - preferred stock				(28,125)			(28,125)
Redemption of preferred stock		(500,000)					(500,000)
Comprehensive income
Net income				1,982,543			1,982,543
Other comprehensive loss					(452,876)		(452,876)
Ending Balance at Mar. 31, 2018	13,339,145	2,000,000	31,846,397	14,473,029	(726,973)	(2,622,777)	58,308,821
Beginning Balance at Dec. 31, 2017	13,305,800	2,500,000	31,639,189	13,387,739	(274,097)	(2,622,777)	57,935,854
Comprehensive income
Net income							3,985,197
Other comprehensive loss							(548,362)
Ending Balance at Jun. 30, 2018	13,375,328	2,000,000	32,048,600	15,477,941	(822,459)	(2,622,777)	59,456,633
Beginning Balance at Mar. 31, 2018	13,339,145	2,000,000	31,846,397	14,473,029	(726,973)	(2,622,777)	58,308,821
Issuance of common stock	36,183		202,203				238,386
Cash dividends declared - common stock				(973,992)			(973,992)
Cash dividends declared - preferred stock				(23,750)			(23,750)
Comprehensive income
Net income				2,002,654			2,002,654
Other comprehensive loss					(95,486)		(95,486)
Ending Balance at Jun. 30, 2018	13,375,328	2,000,000	32,048,600	15,477,941	(822,459)	(2,622,777)	59,456,633
Beginning Balance at Dec. 31, 2018	13,455,258	2,000,000	32,536,532	17,882,282	(647,584)	(2,622,777)	62,603,711
Issuance of common stock	49,415		263,611				313,026
Cash dividends declared - common stock				(983,122)			(983,122)
Cash dividends declared - preferred stock				(27,500)			(27,500)
Redemption of preferred stock		(500,000)					(500,000)
Comprehensive income
Net income				1,771,905			1,771,905
Other comprehensive loss					451,690		451,690
Ending Balance at Mar. 31, 2019	13,504,673	1,500,000	32,800,143	18,643,565	(195,894)	(2,622,777)	63,629,710
Beginning Balance at Dec. 31, 2018	13,455,258	2,000,000	32,536,532	17,882,282	(647,584)	(2,622,777)	62,603,711
Comprehensive income
Net income							4,191,203
Other comprehensive loss							805,160
Ending Balance at Jun. 30, 2019	13,546,498	1,500,000	33,034,807	20,055,870	157,576	(2,622,777)	65,671,974
Beginning Balance at Mar. 31, 2019	13,504,673	1,500,000	32,800,143	18,643,565	(195,894)	(2,622,777)	63,629,710
Issuance of common stock	41,825		234,664				276,489
Cash dividends declared - common stock				(986,368)			(986,368)
Cash dividends declared - preferred stock				(20,625)			(20,625)
Comprehensive income
Net income				2,419,298			2,419,298
Other comprehensive loss					353,470		353,470
Ending Balance at Jun. 30, 2019	$ 13,546,498	$ 1,500,000	$ 33,034,807	$ 20,055,870	$ 157,576	$ (2,622,777)	$ 65,671,974

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Cash Flows from Operating Activities:
Net income	$ 4,191,203	$ 3,985,197
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization, bank premises and equipment	461,502	490,702
Provision for loan losses	354,169	360,000
Deferred income tax provision (credit)	23,318	(76,957)
Net realized loss on sale of securities AFS	0	10,236
Gain on sale of loans	(63,259)	(161,899)
Gain on sale of bank premises and equipment	0	(264,087)
Loss on sale of OREO	817	0
Income from CFS Partners	(333,359)	(270,786)
Amortization of bond premium, net	69,789	65,691
Write down on OREO	95,008	0
Proceeds from sales of loans held for sale	1,522,404	5,078,916
Originations of loans held for sale	(1,721,145)	(3,879,730)
(Decrease) increase in taxes payable	(41,593)	82,207
Decrease in interest receivable	107,816	99,614
Decrease in mortgage servicing rights	71,305	49,607
Decrease in right-of-use assets	116,320	0
Decrease in operating lease liabilities	(111,916)	0
Decrease (increase) in other assets	226,100	(559,365)
Increase in cash surrender value of BOLI	(43,870)	(45,864)
Amortization of limited partnerships	156,054	188,742
Decrease (increase) in unamortized loan costs	8,633	(26,526)
Decrease in interest payable	(17,271)	(6,254)
Decrease in accrued expenses	(140,451)	(200,085)
(Decrease) increase in other liabilities	(85,517)	36,223
Net cash provided by operating activities	4,846,057	4,955,582
Cash Flows from Investing Activities:
Investments - AFS: Maturities, calls, pay downs and sales	2,459,484	5,187,588
Investments - AFS: Purchases	(9,701,025)	(6,267,361)
Proceeds from redemption of restricted equity securities	493,600	0
Purchases of restricted equity securities	(92,000)	(730,400)
Decrease in limited partnership contributions payable	0	(380,250)
Decrease (increase) in loans, net	10,705,711	(2,289,690)
Capital expenditures net of proceeds from sales of bank premises and equipment	(317,000)	400,558
Proceeds from sales of OREO	105,561	169,900
Recoveries of loans charged off	41,468	46,665
Net cash provided by (used in) investing activities	3,695,799	(3,862,990)
Cash Flows from Financing Activities:
Net decrease in demand and interest-bearing transaction accounts	(39,888,431)	(11,555,232)
Net decrease in money market and savings accounts	(3,433,797)	(13,894,555)
Net decrease in time deposits	(9,344,709)	(8,266,282)
Net increase in repurchase agreements	1,623,026	1,647,124
Net increase in short-term borrowings	6,100,000	21,000,000
Repayments on long-term borrowings	0	(2,000,000)
Decrease in finance lease obligations	(61,117)	(56,366)
Redemption of preferred stock	(500,000)	(500,000)
Dividends paid on preferred stock	(48,125)	(51,875)
Dividends paid on common stock	(1,388,041)	(1,259,104)
Net cash used in financing activities	(46,941,194)	(14,936,290)
Net decrease in cash and cash equivalents	(38,399,338)	(13,843,698)
Cash and cash equivalents:
Beginning	67,934,815	42,653,501
Ending	29,535,477	28,809,803
Supplemental Schedule of Cash Paid During the Period:
Interest	3,102,764	1,813,501
Income taxes, net of refunds	710,000	710,000
Supplemental Schedule of Noncash Investing and Financing Activities:
Change in unrealized gain (loss) on securities AFS	1,019,191	(694,131)
Loans transferred to OREO	92,084	249,900
Common Shares Dividends Paid:
Dividends declared	1,969,490	1,843,120
Decrease (increase) in dividends payable attributable to dividends declared	8,066	(105,077)
Dividends reinvested	(589,515)	(478,939)
Total	$ 1,388,041	$ 1,259,104

1. Basis of Presentation and Co

1. Basis of Presentation and Consolidation	6 Months Ended
	Jun. 30, 2019
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, 2018 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, 2019, or for any other interim period. Certain amounts in the 2018 consolidated financial statements have been reclassified to conform to the 2019 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 report, including in Part I. “Financial Information” and Part II. “Other Information”, and are intended to aid the reader and provide a reference page when reviewing this report. ABS and OAS: Asset backed or other amortizing security FHLMC: Federal Home Loan Mortgage Corporation AFS: Available-for-sale FOMC: Federal Open Market Committee Agency MBS: MBS issued by a US government agency FRB: Federal Reserve Board or GSE FRBB: Federal Reserve Bank of Boston ALCO: Asset Liability Committee GAAP: Generally Accepted Accounting Principles ALL: Allowance for loan losses in the United States AOCI: Accumulated other comprehensive income GSE: Government sponsored enterprise ASC: Accounting Standards Codification HTM: Held-to-maturity ASU: Accounting Standards Update ICS: Insured Cash Sweeps of the Promontory Bancorp: Community Bancorp. Interfinancial Network Bank: Community National Bank IRS: Internal Revenue Service BIC: Borrower-in-Custody JNE: Jobs for New England Board: Board of Directors Jr: Junior BOLI: Bank owned life insurance LIBOR: London Interbank Offered Rate bp or bps: Basis point(s) MBS: Mortgage-backed security CBLR: Community Bank Leverage Ratio MPF: Mortgage Partnership Finance CDARS: Certificate of Deposit Accounts Registry MSRs: Mortgage servicing rights Service of the Promontory Interfinancial NII: Net interest income Network NMTC: New Market Tax Credits 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, LLC PMI: Private mortgage insurance CFS Partners: Community Financial Services Partners, RD: USDA Rural Development LLC SBA: U.S. Small Business Administration Company: Community Bancorp. and Subsidiary SEC: U.S. Securities and Exchange Commission CRE: Commercial Real Estate SERP: Supplemental Employee Retirement Plan DDA or DDAs: Demand Deposit Account(s) TDR: Troubled-debt restructuring DTC: Depository Trust Company USDA: U.S. Department of Agriculture DRIP: Dividend Reinvestment Plan VA: U.S. Veterans Administration Exchange Act: Securities Exchange Act of 1934 2017 Tax Act: Tax Cut and Jobs Act of 2017 FASB: Financial Accounting Standards Board 2018 Economic Growth, Regulatory Relief and FDIC: Federal Deposit Insurance Corporation Regulatory Consumer Protection Act of 2018 FHLBB: Federal Home Loan Bank of Boston Relief Act:

2. Recent Accounting Developmen

2. Recent Accounting Developments	6 Months Ended
	Jun. 30, 2019
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Note 2. Recent Accounting Developments	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. evaluate the impact h e ASU was to be 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, with early adoption permitted for fiscal years beginning after December 15, 2018, including interim periods within such years. However, on July 17, 2019, the FASB announced its intention to propose an extended effective date of January 1, 2023 for compliance with the ASU by smaller reporting companies. The Company would qualify for this extension and management will evaluate its CECL compliance timetable in the event that the FASB finalizes its extension. 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 August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement

3. Earnings per Common Share

3. Earnings per Common Share	6 Months Ended
	Jun. 30, 2019
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, 2019 2018 Net income, as reported $ 2,419,298 $ 2,002,654 Less: dividends to preferred shareholders 20,625 23,750 Net income available to common shareholders $ 2,398,673 $ 1,978,904 Weighted average number of common shares used in calculating earnings per share 5,197,045 5,130,809 Earnings per common share $ 0.46 $ 0.39 Six Months Ended June 30, 2019 2018 Net income, as reported $ 4,191,203 $ 3,985,197 Less: dividends to preferred shareholders 48,125 51,875 Net income available to common shareholders $ 4,143,078 $ 3,933,322 Weighted average number of common shares used in calculating earnings per share 5,188,735 5,123,947 Earnings per common share $ 0.80 $ 0.77

4. Investment Securities

4. Investment Securities	6 Months Ended
	Jun. 30, 2019
Debt Securities, Available-for-sale [Abstract]
Note 4. Investment Securities	Change in Accounting Principle Prior to 2019, the entire balance of the Company’s HTM investment portfolio consisted of Municipal notes. Effective January 1, 2019, and in accordance with ASC 250 (Accounting Changes and Error Corrections), the Company chose to reclassify these debt instruments from the investment portfolio into the loan portfolio. This change represents a voluntary reclassification of municipal debt instruments from classification as investment securities under ASC 320 (Investments – Debt and Equity Securities) to classification as loans under ASC310 (Receivables). All periods presented have been restated to conform to this change. Accordingly, for all periods presented below, the Company’s investment portfolio consists entirely of AFS investments and municipal debt obligations are reported as a component of the Company’s loan portfolio (See Note 5). The reclassification of the municipal debt instruments in this portfolio did not have a material impact on the Company’s consolidated financial statements or results of operations. Debt securities as of the balance sheet dates consisted of the following: Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value June 30, 2019 U.S. GSE debt securities $ 20,977,332 $ 84,133 $ 22,268 $ 21,039,197 Agency MBS 15,811,926 54,732 101,209 15,765,449 ABS and OAS 1,904,051 57,811 0 1,961,862 Other investments 8,665,000 127,598 1,332 8,791,266 Total $ 47,358,309 $ 324,274 $ 124,809 $ 47,557,774 December 31, 2018 U.S. GSE debt securities $ 14,010,100 $ 394 $ 259,391 $ 13,751,103 Agency MBS 16,020,892 2,701 449,068 15,574,525 ABS and OAS 1,988,565 3,806 6,242 1,986,129 Other investments 8,167,000 8,472 120,398 8,055,074 Total $ 40,186,557 $ 15,373 $ 835,099 $ 39,366,831 Investments pledged as collateral for repurchase agreements consisted of U.S. GSE debt securities, Agency MBS, 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, 2019 $ 47,358,309 $ 47,557,774 December 31, 2018 40,186,557 39,366,831 The scheduled maturities of debt securities as of the balance sheet dates were as follows: Amortized Fair Cost Value June 30, 2019 Due in one year or less $ 496,000 $ 496,187 Due from one to five years 14,704,552 14,811,778 Due from five to ten years 15,368,394 15,504,360 Due after ten years 977,437 980,000 Agency MBS 15,811,926 15,765,449 Total $ 47,358,309 $ 47,557,774 December 31, 2018 Due from one to five years $ 12,714,642 $ 12,519,008 Due from five to ten years 11,451,023 11,273,298 Agency MBS 16,020,892 15,574,525 Total $ 40,186,557 $ 39,366,831 Agency MBS are not due at a single maturity date and have not been allocated to maturity groupings for purposes of the maturity table. Debt securities 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, 2019 U.S. GSE debt securities $ 0 $ 0 $ 7,505,284 $ 22,268 6 $ 7,505,284 $ 22,268 Agency MBS 1,225,362 2,656 10,014,594 98,553 21 11,239,956 101,209 Other investments 0 0 742,667 1,332 3 742,667 1,332 Total $ 1,225,362 $ 2,656 $ 18,262,545 $ 122,153 30 $ 19,487,907 $ 124,809 December 31, 2018 U.S. GSE debt securities $ 1,465,947 $ 6,752 $ 11,284,761 $ 252,639 11 $ 12,750,708 $ 259,391 Agency MBS 2,317,838 22,029 12,223,386 427,039 24 14,541,224 449,068 ABS and OAS 976,226 6,242 0 0 1 976,226 6,242 Other investments 1,956,914 20,086 4,113,688 100,312 25 6,070,602 120,398 Total $ 6,716,925 $ 55,109 $ 27,621,835 $ 779,990 61 $ 34,338,760 $ 835,099 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 its investment 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, 2019 and December 31, 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.

5. Loans, Allowance for Loan Lo

5. Loans, Allowance for Loan Losses and Credit Quality	6 Months Ended
	Jun. 30, 2019
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]
Note 5. Loans, Allowance for Loan Losses and Credit Quality	Change in Accounting Principle As disclosed in Note 4 (Investment Securities), effective January 1, 2019 and in accordance with ASC 250 (Accounting Changes and Error Corrections), the Company chose to reclassify its municipal debt instruments from the investment portfolio into the loan portfolio. This change represents a voluntary reclassification of municipal debt instruments by management from classification as investment securities under ASC 320 (Investments – Debt and Equity Securities) to classification as loans under ASC 310 (Receivables). As stated in Note 4, the reclassification of this portfolio did not have a material impact on the Company’s consolidated financial statements or results of operations. The composition of net loans as of the balance sheet dates was as follows: June 30, December 31, 2019 2018 Commercial & industrial $ 85,469,062 $ 80,766,693 Commercial real estate 238,416,761 235,318,148 Municipal* 30,302,868 47,067,023 Residential real estate - 1st lien 164,798,474 165,665,175 Residential real estate - Jr lien 43,767,258 44,544,987 Consumer 4,623,875 5,088,491 Total loans 567,378,298 578,450,517 Deduct (add): ALL 5,723,753 5,602,541 Deferred net loan costs (354,981 ) (363,614 ) Net loans $ 562,009,526 $ 573,211,590 *Prior to 2019, all loans in this category were reported as HTM securities as a component of Investment Securities (see Note 4). All periods presented have been restated to conform to the reclassification. 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, 2019 30-89 Days or More Past Due Current Total Loans Loans Accruing Commercial & industrial $ 198,284 $ 293,524 $ 491,808 $ 84,977,254 $ 85,469,062 $ 606,832 $ 0 Commercial real estate 852,655 411,734 1,264,389 237,152,372 238,416,761 1,946,457 0 Municipal 0 0 0 30,302,868 30,302,868 0 0 Residential real estate - 1st lien 1,608,519 1,332,686 2,941,205 161,857,269 164,798,474 2,984,761 736,283 - Jr lien 312,942 240,320 553,262 43,213,996 43,767,258 287,499 108,365 Consumer 24,071 0 24,071 4,599,804 4,623,875 0 0 Totals $ 2,996,471 $ 2,278,264 $ 5,274,735 $ 562,103,563 $ 567,378,298 $ 5,825,549 $ 844,648 90 Days or 90 Days Total Non-Accrual More and December 31, 2018 30-89 Days or More Past Due Current Total Loans Loans Accruing Commercial & industrial $ 217,385 $ 0 $ 217,385 $ 80,549,308 $ 80,766,693 $ 84,814 $ 0 Commercial real estate 1,509,839 190,789 1,700,628 233,617,520 235,318,148 1,742,993 0 Municipal 0 0 0 47,067,023 47,067,023 0 0 Residential real estate - 1st lien 4,108,319 1,371,061 5,479,380 160,185,795 165,665,175 2,026,939 622,486 - Jr lien 484,855 353,914 838,769 43,706,218 44,544,987 408,540 104,959 Consumer 43,277 1,661 44,938 5,043,553 5,088,491 0 1,661 Total $ 6,363,675 $ 1,917,425 $ 8,281,100 $ 570,169,417 $ 578,450,517 $ 4,263,286 $ 729,106 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, 2019 13 $ 861,821 December 31, 2018 12 961,709 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 that future payments of a loan balance are unlikely. 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, municipal, 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 – Municipal – 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 TDRs regardless of amount. A specific allowance is established for an impaired loan when its estimated fair value or net present value of future cash flows 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, 2019 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate Municipal 1st Lien Jr Lien Consumer Unallocated Total ALL beginning balance $ 676,764 $ 3,153,156 $ 0 $ 1,407,132 $ 265,003 $ 49,715 $ 176,072 5,727,842 Charge-offs (3,573 ) (14,710 ) 0 (19,790 ) (102,000 ) (26,830 ) 0 (166,903 ) Recoveries 0 0 0 7,576 516 13,056 0 21,148 Provision (credit) 41,941 (43,665 ) 0 32,439 124,465 17,469 (30,983 ) 141,666 ALL ending balance $ 715,132 $ 3,094,781 $ 0 $ 1,427,357 $ 287,984 $ 53,410 $ 145,089 $ 5,723,753 As of or for the six months ended June 30, 2019 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate Municipal 1st Lien Jr Lien Consumer Unallocated Total ALL beginning balance $ 697,469 $ 3,019,868 $ 0 $ 1,421,494 $ 273,445 $ 56,787 $ 133,478 $ 5,602,541 Charge-offs (3,573 ) (14,710 ) 0 (94,521 ) (102,000 ) (59,621 ) 0 (274,425 ) Recoveries 9,078 0 0 10,073 1,001 21,316 0 41,468 Provision 12,158 89,623 0 90,311 115,538 34,928 11,611 354,169 ALL ending balance $ 715,132 $ 3,094,781 $ 0 $ 1,427,357 $ 287,984 $ 53,410 $ 145,089 $ 5,723,753 ALL evaluated for impairment Individually $ 0 $ 0 $ 0 $ 110,375 $ 681 $ 0 $ 0 $ 111,056 Collectively 715,132 3,094,781 0 1,316,982 287,303 53,410 145,089 5,612,697 Total $ 715,132 $ 3,094,781 $ 0 $ 1,427,357 $ 287,984 $ 53,410 $ 145,089 $ 5,723,753 Loans evaluated for impairment Individually $ 606,831 $ 2,052,270 $ 0 $ 5,229,099 $ 200,036 $ 0 $ 8,088,236 Collectively 84,862,231 236,364,491 30,302,868 159,569,375 43,567,222 4,623,875 559,290,062 Total $ 85,469,062 $ 238,416,761 $ 30,302,868 $ 164,798,474 $ 43,767,258 $ 4,623,875 $ 567,378,298 As of or for the year ended December 31, 2018 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate Municipal 1st Lien Jr Lien Consumer Unallocated Total ALL beginning balance $ 675,687 $ 2,674,029 $ 0 $ 1,460,547 $ 316,982 $ 43,303 $ 267,551 $ 5,438,099 Charge-offs (152,860 ) (124,645 ) 0 (251,654 ) (69,173 ) (143,688 ) 0 (742,020 ) Recoveries 60,192 0 0 26,832 1,420 38,018 0 126,462 Provision (credit) 114,450 470,484 0 185,769 24,216 119,154 (134,073 ) 780,000 ALL ending balance $ 697,469 $ 3,019,868 $ 0 $ 1,421,494 $ 273,445 $ 56,787 $ 133,478 $ 5,602,541 ALL evaluated for impairment Individually $ 0 $ 0 $ 0 $ 112,969 $ 1,757 $ 0 $ 0 $ 114,726 Collectively 697,469 3,019,868 0 1,308,525 271,688 56,787 133,478 5,487,815 Total $ 697,469 $ 3,019,868 $ 0 $ 1,421,494 $ 273,445 $ 56,787 $ 133,478 $ 5,602,541 Loans evaluated for impairment Individually $ 60,846 $ 1,746,894 $ 0 $ 4,392,060 $ 319,321 $ 0 $ 6,519,121 Collectively 80,705,847 233,571,254 47,067,023 161,273,115 44,225,666 5,088,491 571,931,396 Total $ 80,766,693 $ 235,318,148 $ 47,067,023 $ 165,665,175 $ 44,544,987 $ 5,088,491 $ 578,450,517 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 Impaired loans, by portfolio segment, were as follows: As of June 30, 2019 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 $ 244,300 $ 162,867 $ 0 Residential real estate - 1st lien 1,064,058 1,085,467 110,375 978,652 972,556 39,905 - Jr lien 6,674 6,654 681 6,803 6,959 335 Total with related allowance 1,070,732 1,092,121 111,056 1,238,755 1,142,382 40,240 No related allowance recorded Commercial & industrial 606,831 610,660 323,209 235,754 213 Commercial real estate 2,053,151 2,342,542 1,883,114 1,838,184 9,178 Residential real estate - 1st lien 4,182,285 4,853,328 3,889,301 3,747,907 115,477 - Jr lien 193,382 341,138 244,731 267,178 0 Total with no related allowance 7,035,649 8,147,668 6,340,355 6,089,023 124,868 Total impaired loans $ 8,106,381 $ 9,239,789 $ 111,056 $ 7,579,110 $ 7,231,405 $ 165,108 (1) For the three months ended June 30, 2019 (2) For the six months ended June 30, 2019 In the table above, recorded investment in impaired loans as of June 30, 2019 includes accrued interest receivable and deferred net loan costs of $18,145. As of December 31, 2018 Unpaid Average Interest Recorded Principal Related Recorded Income Investment Balance Allowance Investment (1) Recognized (1) Related allowance recorded Commercial real estate $ 0 $ 0 $ 0 $ 57,658 $ 0 Residential real estate - 1st lien 942,365 963,367 112,969 836,326 45,139 - Jr lien 7,271 7,248 1,757 77,555 351 Total with related allowance 949,636 970,615 114,726 971,539 45,490 No related allowance recorded Commercial & industrial 60,846 80,894 120,924 0 Commercial real estate 1,748,323 1,975,831 1,663,794 13,131 Residential real estate - 1st lien 3,465,117 4,082,637 3,497,772 94,313 - Jr lien 312,072 351,139 235,970 0 Total with no related allowance 5,586,358 6,490,501 5,518,460 107,444 Total impaired loans $ 6,535,994 $ 7,461,116 $ 114,726 $ 6,489,999 $ 152,934 (1) For the year ended December 31, 2018 In the table above, recorded investment in impaired loans as of December 31, 2018 includes accrued interest receivable and deferred net loan costs of $16,873. 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 Total with related allowance 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 Total with no related allowance 6,103,624 6,940,826 5,792,034 5,413,342 158,569 Total impaired loans $ 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. 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 groupings 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. Risk ratings are assessed on an ongoing basis and at various points, including at delinquency or at the time of other adverse events. For larger, more complex or adversely rated loans, risk ratings are also assessed at the time of annual or periodic review. 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, 2019 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate Municipal 1st Lien Jr Lien Consumer Total Group A $ 83,098,878 $ 226,974,452 $ 30,302,868 $ 159,998,274 $ 43,205,688 $ 4,623,875 $ 548,204,035 Group B 208,330 2,904,204 0 0 0 0 3,112,534 Group C 2,161,854 8,538,105 0 4,800,200 561,570 0 16,061,729 Total $ 85,469,062 $ 238,416,761 $ 30,302,868 $ 164,798,474 $ 43,767,258 $ 4,623,875 $ 567,378,298 As of December 31, 2018 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate Municipal 1st Lien Jr Lien Consumer Total Group A $ 78,585,348 $ 226,785,919 $ 47,067,023 $ 161,293,233 $ 43,817,872 $ 5,086,830 $ 562,636,225 Group B 90,763 246,357 0 224,992 0 0 562,112 Group C 2,090,582 8,285,872 0 4,146,950 727,115 1,661 15,252,180 Total $ 80,766,693 $ 235,318,148 $ 47,067,023 $ 165,665,175 $ 44,544,987 $ 5,088,491 $ 578,450,517 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, 2019 Six months ended June 30, 2019 Pre- Post- Pre- Post- Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number of Recorded Recorded Number of Recorded Recorded Contracts Investment Investment Contracts Investment Investment Commercial & industrial 2 $ 49,217 $ 49,217 2 $ 49,217 $ 49,217 Commercial real estate 0 0 0 1 19,265 21,628 Residential real estate - 1st lien 3 413,446 441,833 4 509,345 538,202 Total 5 $ 462,663 $ 491,050 7 $ 577,827 $ 609,047 Year ended December 31, 2018 Pre- Post- Modification Modification Outstanding Outstanding Number of Recorded Recorded Contracts Investment Investment Commercial real estate 1 $ 406,920 $ 406,920 Residential real estate - 1st lien 10 1,031,330 1,142,089 Total 11 $ 1,438,250 $ 1,549,009 Three months ended June 30, 2018 Six months ended June 30, 2018 Pre- Post- Pre- Post- Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number of Recorded Recorded Number of Recorded Recorded Contracts Investment Investment Contracts Investment Investment Residential real estate - 1st lien 2 $ 215,772 $ 218,157 7 $ 898,563 $ 1,003,466 The TDRs for which there was a payment default during the twelve month periods presented were as follows: For the twelve months ended June 30, 2019 Number of Recorded Contracts Investment Commercial real estate 1 $ 384,791 Residential real estate - 1st lien 1 132,304 Total 2 $ 517,095 For the twelve months ended December 31, 2018 Number of Recorded Contracts Investment Commercial real estate 1 400,646 Residential real estate - 1st lien 3 518,212 Total 4 $ 918,858 For the twelve months ended June 30, 2018 Number of Recorded Contracts Investment Residential real estate – 1st lien 3 $ 267,418 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, 2019 December 31, 2018 Specific Allocation $ 111,056 $ 114,726 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, 2019
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. Management evaluates goodwill for impairment annually. As of December 31, 2018, the most recent evaluation, management concluded that no impairment existed.

7. Leases

7. Leases	6 Months Ended
	Jun. 30, 2019
Leases [Abstract]
Note 7. Leases	The Company adopted ASU No. 2016-02 on January 1, 2019 with no adjustment to prior periods presented or a cumulative-effect adjustment to retained earnings. The Company has operating and finance leases for some of its bank premises, with remaining lease terms of one year to seven years. Some of the operating leases have options to renew, which are accounted for in the seven years. The Company’s operating lease right-of-use assets and finance lease assets are included in “Bank premises and equipment, net” in the consolidated balance sheet and operating lease liabilities and finance lease liabilities are included in other liabilities in the consolidated balance sheet. The components of lease expense for the periods presented were as follows: Three Months Ended June 30, 2019 2018 Operating lease cost $ 63,869 $ 56,573 Finance lease cost: Amortization of right-of-use assets $ 17,667 $ 17,667 Interest on lease liabilities 4,499 7,467 Variable rent expense 8,485 8,485 Total finance lease cost $ 30,651 $ 33,619 Six Months Ended June 30, 2019 2018 Operating lease cost $ 125,738 $ 113,146 Finance lease cost: Amortization of right-of-use assets $ 35,333 $ 35,333 Interest on lease liabilities 9,614 14,364 Variable rent expense 16,970 16,970 Total finance lease cost $ 61,917 $ 66,667 Supplemental cash flow information related to right-of-use assets and for lease obligations recorded upon adoption of ASU No. 2016-02 (Note 2) was as follows: Six Months Ended June 30, 2019 2018 Operating Leases $ 1,455,829 $ 0 Supplemental balance sheet information related to leases was as follows: June 30, 2019 December 31, 2018 Operating Leases Operating lease right-of-use assets $ 1,374,459 $ 0 Operating lease liabilities $ 1,378,863 $ 0 Finance Leases Property, at cost $ 991,014 $ 991,014 Accumulated depreciation (812,668 ) (777,335 ) Property, net $ 178,346 $ 213,679 Finance lease liabilities $ 205,630 $ 266,747 June 30, 2019 December 31, 2018 Weighted Average Remaining Lease Term Operating Leases 5.0 Years 6.0 Years Finance Leases 1.5 Years 2.0 Years Weighted Average Discount Rate Operating Leases 1.28% Finance Leases 7.83% 7.86% Maturities of lease liabilities as of June 30, 2019 were as follows: Operating Leases 2019 $ 125,346 2020 257,039 2021 210,350 2022 207,380 2023 210,232 Subsequent to 2023 435,872 Total $ 1,446,219 Finance Leases 2019 $ 70,730 2020 110,460 2021 39,117 Total minimum lease payments 220,307 Less amount representing interest (14,677 ) Present value of net minimum lease payments $ 205,630 A reconciliation of the undiscounted cash flows in the maturity analysis above and the lease liability recognized in the consolidated balance sheet as of June 30, 2019, is shown below: Operating Leases Finance Leases Undiscounted cash flows $ 1,446,219 $ 220,307 Discount effect of cash flows (67,356 ) (14,677 ) Lease liabilities $ 1,378,863 $ 205,630

8. Fair Value

8. Fair Value	6 Months Ended
	Jun. 30, 2019
Fair Value Disclosures [Abstract]
Note 8. Fair Value	Certain assets and liabilities are recorded at fair value to provide additional insight into the Company’s quality of earnings and comprehensive income. 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: Debt Securities AFS: Impaired loans: Loans held-for-sale: MSRs: OREO: 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. 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 2019 or 2018. Level 2 June 30, 2019 December 31, 2018 Assets: (market approach) U.S. GSE debt securities $ 21,039,197 $ 13,751,103 Agency MBS 15,765,449 15,574,525 ABS and OAS 1,961,862 1,986,129 Other investments 8,791,266 8,055,074 Total $ 47,557,774 $ 39,366,831 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 collateral-dependent impaired loans with a related specific ALL and are presented net of specific allowances as disclosed in Note 5. As of June 30, 2019 and December 31, 2018, there were no collateral-dependend impaired loans. 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 level, are summarized below. 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 2019 or 2018. Level 2 June 30, 2019 December 31, 2018 Assets: (market approach) Loans held-for-sale $ 262,000 $ 0 MSRs (1) 933,643 1,004,948 OREO 92,084 201,386 (1) Represents MSRs at lower of cost or fair value. 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. 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, 2019 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 $ 29,535 $ 29,535 $ 0 $ 0 $ 29,535 Debt securities AFS 47,558 0 47,558 0 47,558 Restricted equity securities 1,348 0 1,348 0 1,348 Loans and loans held-for-sale, net of ALL Commercial & industrial 84,731 0 0 84,729 84,729 Commercial real estate 235,258 0 0 237,025 237,025 Municipal (1) 30,303 0 0 30,112 30,112 Residential real estate - 1st lien 163,588 0 0 162,585 162,585 Residential real estate - Jr lien 43,467 0 0 43,467 43,467 Consumer 4,570 0 0 4,595 4,595 MSRs (2) 934 0 1,361 0 1,361 Accrued interest receivable 2,193 0 2,193 0 2,193 Financial liabilities: Deposits Other deposits 529,978 0 529,809 0 529,809 Brokered deposits 26,172 0 26,186 0 26,186 Short-term borrowings 6,100 0 6,100 0 6,100 Long-term borrowings 1,550 0 1,474 0 1,474 Repurchase agreements 32,145 0 32,145 0 32,145 Operating lease obligations 1,379 0 1,379 0 1,379 Finance lease obligations 206 0 206 0 206 Subordinated debentures 12,887 0 12,820 0 12,820 Accrued interest payable 96 0 96 0 96 (1) Prior to reclassification to the loan portfolio effective January 1, 2019, all loans in this category were reported as HTM securities as a component of Investment Securities. All prior periods have been restated to conform to the reclassification. (2) Reported fair value represents all MSRs for loans serviced by the Company at June 30, 2019, regardless of carrying amount. December 31, 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 $ 67,935 $ 67,935 $ 0 $ 0 $ 67,935 Debt securities AFS 39,367 0 39,367 0 39,367 Restricted equity securities 1,749 0 1,749 0 1,749 Loans and loans held-for-sale, net of ALL Commercial & industrial 80,049 0 0 79,773 79,773 Commercial real estate 232,239 0 0 230,532 230,532 Municipal (1) 47,067 0 0 47,228 47,228 Residential real estate - 1st lien 164,202 0 0 161,068 161,068 Residential real estate - Jr lien 44,260 0 0 44,127 44,127 Consumer 5,031 0 0 5,063 5,063 MSRs (2) 1,005 0 1,481 0 1,481 Accrued interest receivable 2,301 0 2,301 0 2,301 Financial liabilities: Deposits Other deposits 573,525 0 571,952 0 571,952 Brokered deposits 35,292 0 35,247 0 35,247 Long-term borrowings 1,550 0 1,425 0 1,425 Repurchase agreements 30,522 0 30,522 0 30,522 Capital lease obligations 267 0 267 0 267 Subordinated debentures 12,887 0 12,807 0 12,807 Accrued interest payable 113 0 113 0 113 (1) Prior to reclassification to the loan portfolio effective January 1, 2019, all loans in this category were reported as HTM securities as a component of Investment Securities. All prior periods have been restated to conform to the reclassification. (2) Reported fair value represents all MSRs for loans serviced by the Company at December 31, 2018, regardless of carrying amount.

9. Loan Servicing

9. Loan Servicing	6 Months Ended
	Jun. 30, 2019
Transfers and Servicing of Financial Assets [Abstract]
Note 9. 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 June 30, 2019 December 31, 2018 Balance at beginning of year $ 1,004,948 $ 1,083,286 MSRs capitalized 18,107 110,209 MSRs amortized (89,412 ) (188,547 ) Balance at end of period $ 933,643 $ 1,004,948 There was no valuation allowance recorded for MSRs for the periods presented.

10. Legal Proceedings

10. Legal Proceedings	6 Months Ended
	Jun. 30, 2019
Legal Proceedings
Note 10. Legal Proceedings	In the normal course of business, the Company is involved in litigation that is considered incidental to its business. Management does not expect that any such litigation will be material to the Company's consolidated financial condition or results of operations.

11. Subsequent Event

11. Subsequent Event	6 Months Ended
	Jun. 30, 2019
Subsequent Events [Abstract]
Note 11. 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 13, 2019, the Company’s Board declared a cash dividend of $0.19 per common share, payable August 1, 2019 to shareholders of record as of July 15, 2019. This dividend has been recorded in the Company’s consolidated financial statements as of the declaration date, including shares issuable under the DRIP.

1. Basis of Presentation and _2

1. Basis of Presentation and Consolidation (Policies)	6 Months Ended
	Jun. 30, 2019
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, 2018 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, 2019, or for any other interim period. Certain amounts in the 2018 consolidated financial statements have been reclassified to conform to the 2019 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 report, including in Part I. “Financial Information” and Part II. “Other Information”, and are intended to aid the reader and provide a reference page when reviewing this report. ABS and OAS: Asset backed or other amortizing security FHLMC: Federal Home Loan Mortgage Corporation AFS: Available-for-sale FOMC: Federal Open Market Committee Agency MBS: MBS issued by a US government agency FRB: Federal Reserve Board or GSE FRBB: Federal Reserve Bank of Boston ALCO: Asset Liability Committee GAAP: Generally Accepted Accounting Principles ALL: Allowance for loan losses in the United States AOCI: Accumulated other comprehensive income GSE: Government sponsored enterprise ASC: Accounting Standards Codification HTM: Held-to-maturity ASU: Accounting Standards Update ICS: Insured Cash Sweeps of the Promontory Bancorp: Community Bancorp. Interfinancial Network Bank: Community National Bank IRS: Internal Revenue Service BIC: Borrower-in-Custody JNE: Jobs for New England Board: Board of Directors Jr: Junior BOLI: Bank owned life insurance LIBOR: London Interbank Offered Rate bp or bps: Basis point(s) MBS: Mortgage-backed security CBLR: Community Bank Leverage Ratio MPF: Mortgage Partnership Finance CDARS: Certificate of Deposit Accounts Registry MSRs: Mortgage servicing rights Service of the Promontory Interfinancial NII: Net interest income Network NMTC: New Market Tax Credits 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, LLC PMI: Private mortgage insurance CFS Partners: Community Financial Services Partners, RD: USDA Rural Development LLC SBA: U.S. Small Business Administration Company: Community Bancorp. and Subsidiary SEC: U.S. Securities and Exchange Commission CRE: Commercial Real Estate SERP: Supplemental Employee Retirement Plan DDA or DDAs: Demand Deposit Account(s) TDR: Troubled-debt restructuring DTC: Depository Trust Company USDA: U.S. Department of Agriculture DRIP: Dividend Reinvestment Plan VA: U.S. Veterans Administration Exchange Act: Securities Exchange Act of 1934 2017 Tax Act: Tax Cut and Jobs Act of 2017 FASB: Financial Accounting Standards Board 2018 Economic Growth, Regulatory Relief and FDIC: Federal Deposit Insurance Corporation Regulatory Consumer Protection Act of 2018 FHLBB: Federal Home Loan Bank of Boston Relief Act:
Recent Accounting Developments	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. evaluate the impact h e ASU was to be 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, with early adoption permitted for fiscal years beginning after December 15, 2018, including interim periods within such years. However, on July 17, 2019, the FASB announced its intention to propose an extended effective date of January 1, 2023 for compliance with the ASU by smaller reporting companies. The Company would qualify for this extension and management will evaluate its CECL compliance timetable in the event that the FASB finalizes its extension. 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 August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement

3. Earnings per Common Share (T

3. Earnings per Common Share (Tables)	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
Schedule of earnings per share	Three Months Ended June 30, 2019 2018 Net income, as reported $ 2,419,298 $ 2,002,654 Less: dividends to preferred shareholders 20,625 23,750 Net income available to common shareholders $ 2,398,673 $ 1,978,904 Weighted average number of common shares used in calculating earnings per share 5,197,045 5,130,809 Earnings per common share $ 0.46 $ 0.39 Six Months Ended June 30, 2019 2018 Net income, as reported $ 4,191,203 $ 3,985,197 Less: dividends to preferred shareholders 48,125 51,875 Net income available to common shareholders $ 4,143,078 $ 3,933,322 Weighted average number of common shares used in calculating earnings per share 5,188,735 5,123,947 Earnings per common share $ 0.80 $ 0.77

4. Investment Securities (Table

4. Investment Securities (Tables)	6 Months Ended
	Jun. 30, 2019
Debt Securities, Available-for-sale [Abstract]
Schedule of available for sale securities	Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value June 30, 2019 U.S. GSE debt securities $ 20,977,332 $ 84,133 $ 22,268 $ 21,039,197 Agency MBS 15,811,926 54,732 101,209 15,765,449 ABS and OAS 1,904,051 57,811 0 1,961,862 Other investments 8,665,000 127,598 1,332 8,791,266 Total $ 47,358,309 $ 324,274 $ 124,809 $ 47,557,774 December 31, 2018 U.S. GSE debt securities $ 14,010,100 $ 394 $ 259,391 $ 13,751,103 Agency MBS 16,020,892 2,701 449,068 15,574,525 ABS and OAS 1,988,565 3,806 6,242 1,986,129 Other investments 8,167,000 8,472 120,398 8,055,074 Total $ 40,186,557 $ 15,373 $ 835,099 $ 39,366,831
Schedule of investments pledged for collateral	Amortized Fair Cost Value June 30, 2019 $ 47,358,309 $ 47,557,774 December 31, 2018 40,186,557 39,366,831
Schedule of maturities of debt securities available for sale	Amortized Fair Cost Value June 30, 2019 Due in one year or less $ 496,000 $ 496,187 Due from one to five years 14,704,552 14,811,778 Due from five to ten years 15,368,394 15,504,360 Due after ten years 977,437 980,000 Agency MBS 15,811,926 15,765,449 Total $ 47,358,309 $ 47,557,774 December 31, 2018 Due from one to five years $ 12,714,642 $ 12,519,008 Due from five to ten years 11,451,023 11,273,298 Agency MBS 16,020,892 15,574,525 Total $ 40,186,557 $ 39,366,831
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, 2019 U.S. GSE debt securities $ 0 $ 0 $ 7,505,284 $ 22,268 6 $ 7,505,284 $ 22,268 Agency MBS 1,225,362 2,656 10,014,594 98,553 21 11,239,956 101,209 Other investments 0 0 742,667 1,332 3 742,667 1,332 Total $ 1,225,362 $ 2,656 $ 18,262,545 $ 122,153 30 $ 19,487,907 $ 124,809 December 31, 2018 U.S. GSE debt securities $ 1,465,947 $ 6,752 $ 11,284,761 $ 252,639 11 $ 12,750,708 $ 259,391 Agency MBS 2,317,838 22,029 12,223,386 427,039 24 14,541,224 449,068 ABS and OAS 976,226 6,242 0 0 1 976,226 6,242 Other investments 1,956,914 20,086 4,113,688 100,312 25 6,070,602 120,398 Total $ 6,716,925 $ 55,109 $ 27,621,835 $ 779,990 61 $ 34,338,760 $ 835,099

5. Loans, Allowance for Loan _2

5. Loans, Allowance for Loan Losses and Credit Quality (Tables)	6 Months Ended
	Jun. 30, 2019
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]
Composition of net loans	June 30, December 31, 2019 2018 Commercial & industrial $ 85,469,062 $ 80,766,693 Commercial real estate 238,416,761 235,318,148 Municipal* 30,302,868 47,067,023 Residential real estate - 1st lien 164,798,474 165,665,175 Residential real estate - Jr lien 43,767,258 44,544,987 Consumer 4,623,875 5,088,491 Total loans 567,378,298 578,450,517 Deduct (add): ALL 5,723,753 5,602,541 Deferred net loan costs (354,981 ) (363,614 ) Net loans $ 562,009,526 $ 573,211,590 *Prior to 2019, all loans in this category were reported as HTM securities as a component of Investment Securities (see Note 4). All periods presented have been restated to conform to the reclassification.
Past due loans by segment	90 Days or 90 Days Total Non-Accrual More and June 30, 2019 30-89 Days or More Past Due Current Total Loans Loans Accruing Commercial & industrial $ 198,284 $ 293,524 $ 491,808 $ 84,977,254 $ 85,469,062 $ 606,832 $ 0 Commercial real estate 852,655 411,734 1,264,389 237,152,372 238,416,761 1,946,457 0 Municipal 0 0 0 30,302,868 30,302,868 0 0 Residential real estate - 1st lien 1,608,519 1,332,686 2,941,205 161,857,269 164,798,474 2,984,761 736,283 - Jr lien 312,942 240,320 553,262 43,213,996 43,767,258 287,499 108,365 Consumer 24,071 0 24,071 4,599,804 4,623,875 0 0 Totals $ 2,996,471 $ 2,278,264 $ 5,274,735 $ 562,103,563 $ 567,378,298 $ 5,825,549 $ 844,648 90 Days or 90 Days Total Non-Accrual More and December 31, 2018 30-89 Days or More Past Due Current Total Loans Loans Accruing Commercial & industrial $ 217,385 $ 0 $ 217,385 $ 80,549,308 $ 80,766,693 $ 84,814 $ 0 Commercial real estate 1,509,839 190,789 1,700,628 233,617,520 235,318,148 1,742,993 0 Municipal 0 0 0 47,067,023 47,067,023 0 0 Residential real estate - 1st lien 4,108,319 1,371,061 5,479,380 160,185,795 165,665,175 2,026,939 622,486 - Jr lien 484,855 353,914 838,769 43,706,218 44,544,987 408,540 104,959 Consumer 43,277 1,661 44,938 5,043,553 5,088,491 0 1,661 Total $ 6,363,675 $ 1,917,425 $ 8,281,100 $ 570,169,417 $ 578,450,517 $ 4,263,286 $ 729,106
Residential mortgage loans in process of foreclosure	Number of loans Balance June 30, 2019 13 $ 861,821 December 31, 2018 12 961,709
Changes in the allowance for loan losses	As of or for the three months ended June 30, 2019 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate Municipal 1st Lien Jr Lien Consumer Unallocated Total ALL beginning balance $ 676,764 $ 3,153,156 $ 0 $ 1,407,132 $ 265,003 $ 49,715 $ 176,072 5,727,842 Charge-offs (3,573 ) (14,710 ) 0 (19,790 ) (102,000 ) (26,830 ) 0 (166,903 ) Recoveries 0 0 0 7,576 516 13,056 0 21,148 Provision (credit) 41,941 (43,665 ) 0 32,439 124,465 17,469 (30,983 ) 141,666 ALL ending balance $ 715,132 $ 3,094,781 $ 0 $ 1,427,357 $ 287,984 $ 53,410 $ 145,089 $ 5,723,753 As of or for the six months ended June 30, 2019 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate Municipal 1st Lien Jr Lien Consumer Unallocated Total ALL beginning balance $ 697,469 $ 3,019,868 $ 0 $ 1,421,494 $ 273,445 $ 56,787 $ 133,478 $ 5,602,541 Charge-offs (3,573 ) (14,710 ) 0 (94,521 ) (102,000 ) (59,621 ) 0 (274,425 ) Recoveries 9,078 0 0 10,073 1,001 21,316 0 41,468 Provision 12,158 89,623 0 90,311 115,538 34,928 11,611 354,169 ALL ending balance $ 715,132 $ 3,094,781 $ 0 $ 1,427,357 $ 287,984 $ 53,410 $ 145,089 $ 5,723,753 ALL evaluated for impairment Individually $ 0 $ 0 $ 0 $ 110,375 $ 681 $ 0 $ 0 $ 111,056 Collectively 715,132 3,094,781 0 1,316,982 287,303 53,410 145,089 5,612,697 Total $ 715,132 $ 3,094,781 $ 0 $ 1,427,357 $ 287,984 $ 53,410 $ 145,089 $ 5,723,753 Loans evaluated for impairment Individually $ 606,831 $ 2,052,270 $ 0 $ 5,229,099 $ 200,036 $ 0 $ 8,088,236 Collectively 84,862,231 236,364,491 30,302,868 159,569,375 43,567,222 4,623,875 559,290,062 Total $ 85,469,062 $ 238,416,761 $ 30,302,868 $ 164,798,474 $ 43,767,258 $ 4,623,875 $ 567,378,298 As of or for the year ended December 31, 2018 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate Municipal 1st Lien Jr Lien Consumer Unallocated Total ALL beginning balance $ 675,687 $ 2,674,029 $ 0 $ 1,460,547 $ 316,982 $ 43,303 $ 267,551 $ 5,438,099 Charge-offs (152,860 ) (124,645 ) 0 (251,654 ) (69,173 ) (143,688 ) 0 (742,020 ) Recoveries 60,192 0 0 26,832 1,420 38,018 0 126,462 Provision (credit) 114,450 470,484 0 185,769 24,216 119,154 (134,073 ) 780,000 ALL ending balance $ 697,469 $ 3,019,868 $ 0 $ 1,421,494 $ 273,445 $ 56,787 $ 133,478 $ 5,602,541 ALL evaluated for impairment Individually $ 0 $ 0 $ 0 $ 112,969 $ 1,757 $ 0 $ 0 $ 114,726 Collectively 697,469 3,019,868 0 1,308,525 271,688 56,787 133,478 5,487,815 Total $ 697,469 $ 3,019,868 $ 0 $ 1,421,494 $ 273,445 $ 56,787 $ 133,478 $ 5,602,541 Loans evaluated for impairment Individually $ 60,846 $ 1,746,894 $ 0 $ 4,392,060 $ 319,321 $ 0 $ 6,519,121 Collectively 80,705,847 233,571,254 47,067,023 161,273,115 44,225,666 5,088,491 571,931,396 Total $ 80,766,693 $ 235,318,148 $ 47,067,023 $ 165,665,175 $ 44,544,987 $ 5,088,491 $ 578,450,517 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
Impaired loans by segment	As of June 30, 2019 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 $ 244,300 $ 162,867 $ 0 Residential real estate - 1st lien 1,064,058 1,085,467 110,375 978,652 972,556 39,905 - Jr lien 6,674 6,654 681 6,803 6,959 335 Total with related allowance 1,070,732 1,092,121 111,056 1,238,755 1,142,382 40,240 No related allowance recorded Commercial & industrial 606,831 610,660 323,209 235,754 213 Commercial real estate 2,053,151 2,342,542 1,883,114 1,838,184 9,178 Residential real estate - 1st lien 4,182,285 4,853,328 3,889,301 3,747,907 115,477 - Jr lien 193,382 341,138 244,731 267,178 0 Total with no related allowance 7,035,649 8,147,668 6,340,355 6,089,023 124,868 Total impaired loans $ 8,106,381 $ 9,239,789 $ 111,056 $ 7,579,110 $ 7,231,405 $ 165,108 (1) For the three months ended June 30, 2019 (2) For the six months ended June 30, 2019 As of December 31, 2018 Unpaid Average Interest Recorded Principal Related Recorded Income Investment Balance Allowance Investment (1) Recognized (1) Related allowance recorded Commercial real estate $ 0 $ 0 $ 0 $ 57,658 $ 0 Residential real estate - 1st lien 942,365 963,367 112,969 836,326 45,139 - Jr lien 7,271 7,248 1,757 77,555 351 Total with related allowance 949,636 970,615 114,726 971,539 45,490 No related allowance recorded Commercial & industrial 60,846 80,894 120,924 0 Commercial real estate 1,748,323 1,975,831 1,663,794 13,131 Residential real estate - 1st lien 3,465,117 4,082,637 3,497,772 94,313 - Jr lien 312,072 351,139 235,970 0 Total with no related allowance 5,586,358 6,490,501 5,518,460 107,444 Total impaired loans $ 6,535,994 $ 7,461,116 $ 114,726 $ 6,489,999 $ 152,934 (1) For the year ended December 31, 2018 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 Total with related allowance 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 Total with no related allowance 6,103,624 6,940,826 5,792,034 5,413,342 158,569 Total impaired loans $ 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
Risk ratings	As of June 30, 2019 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate Municipal 1st Lien Jr Lien Consumer Total Group A $ 83,098,878 $ 226,974,452 $ 30,302,868 $ 159,998,274 $ 43,205,688 $ 4,623,875 $ 548,204,035 Group B 208,330 2,904,204 0 0 0 0 3,112,534 Group C 2,161,854 8,538,105 0 4,800,200 561,570 0 16,061,729 Total $ 85,469,062 $ 238,416,761 $ 30,302,868 $ 164,798,474 $ 43,767,258 $ 4,623,875 $ 567,378,298 As of December 31, 2018 Residential Residential Commercial Commercial Real Estate Real Estate & Industrial Real Estate Municipal 1st Lien Jr Lien Consumer Total Group A $ 78,585,348 $ 226,785,919 $ 47,067,023 $ 161,293,233 $ 43,817,872 $ 5,086,830 $ 562,636,225 Group B 90,763 246,357 0 224,992 0 0 562,112 Group C 2,090,582 8,285,872 0 4,146,950 727,115 1,661 15,252,180 Total $ 80,766,693 $ 235,318,148 $ 47,067,023 $ 165,665,175 $ 44,544,987 $ 5,088,491 $ 578,450,517
Loans modified as TDRs	Three months ended June 30, 2019 Six months ended June 30, 2019 Pre- Post- Pre- Post- Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number of Recorded Recorded Number of Recorded Recorded Contracts Investment Investment Contracts Investment Investment Commercial & industrial 2 $ 49,217 $ 49,217 2 $ 49,217 $ 49,217 Commercial real estate 0 0 0 1 19,265 21,628 Residential real estate - 1st lien 3 413,446 441,833 4 509,345 538,202 Total 5 $ 462,663 $ 491,050 7 $ 577,827 $ 609,047 Year ended December 31, 2018 Pre- Post- Modification Modification Outstanding Outstanding Number of Recorded Recorded Contracts Investment Investment Commercial real estate 1 $ 406,920 $ 406,920 Residential real estate - 1st lien 10 1,031,330 1,142,089 Total 11 $ 1,438,250 $ 1,549,009 Three months ended June 30, 2018 Six months ended June 30, 2018 Pre- Post- Pre- Post- Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number of Recorded Recorded Number of Recorded Recorded Contracts Investment Investment Contracts Investment Investment Residential real estate - 1st lien 2 $ 215,772 $ 218,157 7 $ 898,563 $ 1,003,466
TDRs payment default	For the twelve months ended June 30, 2019 Number of Recorded Contracts Investment Commercial real estate 1 $ 384,791 Residential real estate - 1st lien 1 132,304 Total 2 $ 517,095 For the twelve months ended December 31, 2018 Number of Recorded Contracts Investment Commercial real estate 1 400,646 Residential real estate - 1st lien 3 518,212 Total 4 $ 918,858 For the twelve months ended June 30, 2018 Number of Recorded Contracts Investment Residential real estate – 1st lien 3 $ 267,418
Specific allowances	June 30, 2019 December 31, 2018 Specific Allocation $ 111,056 $ 114,726

7. Leases (Tables)

7. Leases (Tables)	6 Months Ended
	Jun. 30, 2019
Leases [Abstract]
Components of lease expense	Three Months Ended June 30, 2019 2018 Operating lease cost $ 63,869 $ 56,573 Finance lease cost: Amortization of right-of-use assets $ 17,667 $ 17,667 Interest on lease liabilities 4,499 7,467 Variable rent expense 8,485 8,485 Total finance lease cost $ 30,651 $ 33,619 Six Months Ended June 30, 2019 2018 Operating lease cost $ 125,738 $ 113,146 Finance lease cost: Amortization of right-of-use assets $ 35,333 $ 35,333 Interest on lease liabilities 9,614 14,364 Variable rent expense 16,970 16,970 Total finance lease cost $ 61,917 $ 66,667
Supplemental lease information	Six Months Ended June 30, 2019 2018 Operating Leases $ 1,455,829 $ 0 June 30, 2019 December 31, 2018 Operating Leases Operating lease right-of-use assets $ 1,374,459 $ 0 Operating lease liabilities $ 1,378,863 $ 0 Finance Leases Property, at cost $ 991,014 $ 991,014 Accumulated depreciation (812,668 ) (777,335 ) Property, net $ 178,346 $ 213,679 Finance lease liabilities $ 205,630 $ 266,747 June 30, 2019 December 31, 2018 Weighted Average Remaining Lease Term Operating Leases 5.0 Years 6.0 Years Finance Leases 1.5 Years 2.0 Years Weighted Average Discount Rate Operating Leases 1.28% Finance Leases 7.83% 7.86%
Maturities of operating lease liabilities	2019 $ 125,346 2020 257,039 2021 210,350 2022 207,380 2023 210,232 Subsequent to 2023 435,872 Total $ 1,446,219
Maturities of finance lease liabilities	2019 $ 70,730 2020 110,460 2021 39,117 Total minimum lease payments 220,307 Less amount representing interest (14,677 ) Present value of net minimum lease payments $ 205,630
Reconciliation of the undiscounted cash flows in the maturity analysis	Operating Leases Finance Leases Undiscounted cash flows $ 1,446,219 $ 220,307 Discount effect of cash flows (67,356 ) (14,677 ) Lease liabilities $ 1,378,863 $ 205,630

8. Fair Value (Tables)

8. Fair Value (Tables)	6 Months Ended
	Jun. 30, 2019
Fair Value Disclosures [Abstract]
Schedule of fair value assets and liabilities on recurring basis	Level 2 June 30, 2019 December 31, 2018 Assets: (market approach) U.S. GSE debt securities $ 21,039,197 $ 13,751,103 Agency MBS 15,765,449 15,574,525 ABS and OAS 1,961,862 1,986,129 Other investments 8,791,266 8,055,074 Total $ 47,557,774 $ 39,366,831
Schedule of fair value assets and liabilities non-recurring basis	Level 2 June 30, 2019 December 31, 2018 Assets: (market approach) Loans held-for-sale $ 262,000 $ 0 MSRs (1) 933,643 1,004,948 OREO 92,084 201,386 (1) Represents MSRs at lower of cost or fair value.
Schedule of estimated fair values of financial instruments	June 30, 2019 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 $ 29,535 $ 29,535 $ 0 $ 0 $ 29,535 Debt securities AFS 47,558 0 47,558 0 47,558 Restricted equity securities 1,348 0 1,348 0 1,348 Loans and loans held-for-sale, net of ALL Commercial & industrial 84,731 0 0 84,729 84,729 Commercial real estate 235,258 0 0 237,025 237,025 Municipal (1) 30,303 0 0 30,112 30,112 Residential real estate - 1st lien 163,588 0 0 162,585 162,585 Residential real estate - Jr lien 43,467 0 0 43,467 43,467 Consumer 4,570 0 0 4,595 4,595 MSRs (2) 934 0 1,361 0 1,361 Accrued interest receivable 2,193 0 2,193 0 2,193 Financial liabilities: Deposits Other deposits 529,978 0 529,809 0 529,809 Brokered deposits 26,172 0 26,186 0 26,186 Short-term borrowings 6,100 0 6,100 0 6,100 Long-term borrowings 1,550 0 1,474 0 1,474 Repurchase agreements 32,145 0 32,145 0 32,145 Operating lease obligations 1,379 0 1,379 0 1,379 Finance lease obligations 206 0 206 0 206 Subordinated debentures 12,887 0 12,820 0 12,820 Accrued interest payable 96 0 96 0 96 (1) Prior to reclassification to the loan portfolio effective January 1, 2019, all loans in this category were reported as HTM securities as a component of Investment Securities. All prior periods have been restated to conform to the reclassification. (2) Reported fair value represents all MSRs for loans serviced by the Company at June 30, 2019, regardless of carrying amount. December 31, 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 $ 67,935 $ 67,935 $ 0 $ 0 $ 67,935 Debt securities AFS 39,367 0 39,367 0 39,367 Restricted equity securities 1,749 0 1,749 0 1,749 Loans and loans held-for-sale, net of ALL Commercial & industrial 80,049 0 0 79,773 79,773 Commercial real estate 232,239 0 0 230,532 230,532 Municipal (1) 47,067 0 0 47,228 47,228 Residential real estate - 1st lien 164,202 0 0 161,068 161,068 Residential real estate - Jr lien 44,260 0 0 44,127 44,127 Consumer 5,031 0 0 5,063 5,063 MSRs (2) 1,005 0 1,481 0 1,481 Accrued interest receivable 2,301 0 2,301 0 2,301 Financial liabilities: Deposits Other deposits 573,525 0 571,952 0 571,952 Brokered deposits 35,292 0 35,247 0 35,247 Long-term borrowings 1,550 0 1,425 0 1,425 Repurchase agreements 30,522 0 30,522 0 30,522 Capital lease obligations 267 0 267 0 267 Subordinated debentures 12,887 0 12,807 0 12,807 Accrued interest payable 113 0 113 0 113 (1) Prior to reclassification to the loan portfolio effective January 1, 2019, all loans in this category were reported as HTM securities as a component of Investment Securities. All prior periods have been restated to conform to the reclassification. (2) Reported fair value represents all MSRs for loans serviced by the Company at December 31, 2018, regardless of carrying amount.

9. Loan Servicing (Tables)

9. Loan Servicing (Tables)	6 Months Ended
	Jun. 30, 2019
Transfers and Servicing of Financial Assets [Abstract]
Schedule of mortgage servicing rights	Six Months Ended Year Ended June 30, 2019 December 31, 2018 Balance at beginning of year $ 1,004,948 $ 1,083,286 MSRs capitalized 18,107 110,209 MSRs amortized (89,412 ) (188,547 ) Balance at end of period $ 933,643 $ 1,004,948

3. Earnings per Common Share (D

3. Earnings per Common Share (Details) - USD ($)	3 Months Ended				6 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Earnings Per Share [Abstract]
Net income, as reported	$ 2,419,298	$ 1,771,905	$ 2,002,654	$ 1,982,543	$ 4,191,203	$ 3,985,197
Less: dividends to preferred shareholders	20,625		23,750		48,125	51,875
Net income available to common shareholders	$ 2,398,673		$ 1,978,904		$ 4,143,078	$ 3,933,322
Weighted average number of common shares used in calculating earnings per share	5,197,045		5,130,809		5,188,735	5,123,947
Earnings per common share	$ 0.46		$ 0.39		$ .80	$ 0.77

4. Investment Securities (Detai

4. Investment Securities (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Amortized cost - available for sale securities	$ 47,358,309	$ 40,186,557
Gross unrealized gains - available for sale securities	324,274	15,373
Gross unrealized losses - available for sale securities	124,809	835,099
Fair value - available for sale securities	47,557,774	39,366,831
U.S. GSE debt securities
Amortized cost - available for sale securities	20,977,332	14,010,100
Gross unrealized gains - available for sale securities	84,133	394
Gross unrealized losses - available for sale securities	22,268	259,391
Fair value - available for sale securities	21,039,197	13,751,103
Agency mortgage-backed securities (Agency MBS)
Amortized cost - available for sale securities	15,811,926	16,020,892
Gross unrealized gains - available for sale securities	54,732	2,701
Gross unrealized losses - available for sale securities	101,209	449,068
Fair value - available for sale securities	15,765,449	15,574,525
ABS and OAS
Amortized cost - available for sale securities	1,904,051	1,988,565
Gross unrealized gains - available for sale securities	57,811	3,806
Gross unrealized losses - available for sale securities		6,242
Fair value - available for sale securities	1,961,862	1,986,129
Other investments
Amortized cost - available for sale securities	8,665,000	8,167,000
Gross unrealized gains - available for sale securities	127,598	8,472
Gross unrealized losses - available for sale securities	1,332	120,398
Fair value - available for sale securities	$ 8,791,266	$ 8,055,074

4. Investment Securities (Det_2

4. Investment Securities (Details 1) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Debt Securities, Available-for-sale [Abstract]
Book value of available for sale securities, pledged as collateral for repurchase agreements	$ 47,358,309	$ 40,186,557
Fair value of available for sale securities, pledged as collateral for repurchase agreements	$ 47,557,774	$ 39,366,831

4. Investment Securities (Det_3

4. Investment Securities (Details 2) - Available for sale Securities - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Amortized Cost
Due in one year or less	$ 496,000
Due from one to five years	14,704,552	$ 12,714,642
Due from five to ten years	15,368,394	11,451,023
Due after ten years	977,437
Agency MBS	15,811,926	16,020,892
Total	47,358,309	40,186,557
Fair Value
Due in one year or less	496,187
Due from one to five years	14,811,778	12,519,008
Due from five to ten years	15,504,360	11,273,298
Due after ten years	980,000
Agency MBS	15,765,449	15,574,525
Total	$ 47,557,774	$ 39,366,831

4. Investment Securities (Det_4

4. Investment Securities (Details 3)	6 Months Ended	12 Months Ended
	Jun. 30, 2019USD ($)integer	Dec. 31, 2018USD ($)integer
Available for sale - fair value less than 12 months	$ 1,225,362	$ 6,716,925
Available for sale - unrealized loss less than 12 months	2,656	55,109
Available for sale - fair value 12 months or more	18,262,545	27,621,835
Available for sale - unrealized loss 12 months or more	$ 122,153	$ 779,990
Available for sale - number of securities | integer	30	61
Available for sale - fair value	$ 19,487,907	$ 34,338,760
Available for sale - unrealized loss	124,809	835,099
U.S. GSE debt securities
Available for sale - fair value less than 12 months	0	1,465,947
Available for sale - unrealized loss less than 12 months	0	6,752
Available for sale - fair value 12 months or more	7,505,284	11,284,761
Available for sale - unrealized loss 12 months or more	$ 22,268	$ 252,639
Available for sale - number of securities | integer	6	11
Available for sale - fair value	$ 7,505,284	$ 12,750,708
Available for sale - unrealized loss	22,268	259,391
Agency mortgage-backed securities (Agency MBS)
Available for sale - fair value less than 12 months	1,225,362	2,317,838
Available for sale - unrealized loss less than 12 months	2,656	22,029
Available for sale - fair value 12 months or more	10,014,594	12,223,386
Available for sale - unrealized loss 12 months or more	$ 98,553	$ 427,039
Available for sale - number of securities | integer	21	24
Available for sale - fair value	$ 11,239,956	$ 14,541,224
Available for sale - unrealized loss	101,209	449,068
ABS and OAS
Available for sale - fair value less than 12 months		976,226
Available for sale - unrealized loss less than 12 months		6,242
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		$ 976,226
Available for sale - unrealized loss		6,242
Other investments
Available for sale - fair value less than 12 months	0	1,956,914
Available for sale - unrealized loss less than 12 months	0	20,086
Available for sale - fair value 12 months or more	742,667	4,113,688
Available for sale - unrealized loss 12 months or more	$ 1,332	$ 100,312
Available for sale - number of securities | integer	3	25
Available for sale - fair value	$ 742,667	$ 6,070,602
Available for sale - unrealized loss	$ 1,332	$ 120,398

5. Loans, Allowance for Loan _3

5. Loans, Allowance for Loan Losses and Credit Quality (Details) - USD ($)		Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017
Loans and Leases Receivable Disclosure [Abstract]
Commercial & industrial		$ 85,469,062		$ 80,766,693
Commercial real estate		238,416,761		235,318,148
Municipal	[1]	30,302,868		47,067,023
Residential real estate - 1st lien		164,798,474		165,665,175
Residential real estate - Jr lien		43,767,258		44,544,987
Consumer		4,623,875		5,088,491
Gross loans		567,378,298		578,450,517
Deduct (add):
Allowance for loan losses		5,723,753	$ 5,727,842	5,602,541	$ 5,413,023	$ 5,341,220	$ 5,438,099
Deferred net loan costs		(354,981)		(363,614)
Net loans		$ 562,009,526		$ 573,211,590
[1]	Prior to 2019, all loans in this category were reported as HTM securities as a component of Investment Securities (see Note 4). All periods presented have been restated to conform to the reclassification.

5. Loans, Allowance for Loan _4

5. Loans, Allowance for Loan Losses and Credit Quality (Details 1) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
30-89 days	$ 2,996,471	$ 6,363,675
90 days or more	2,278,264	1,917,425
Total past due	5,274,735	8,281,100
Current	562,103,563	570,169,417
Total loans	567,378,298	578,450,517
Non-accrual loans	5,825,549	4,263,286
90 days or more and accruing	844,648	729,106
Commercial and industrial
30-89 days	198,284	217,385
90 days or more	293,524	0
Total past due	491,808	217,385
Current	84,977,254	80,549,308
Total loans	85,469,062	80,766,693
Non-accrual loans	606,832	84,814
90 days or more and accruing	0	0
Commercial Real Estate
30-89 days	852,655	1,509,839
90 days or more	411,734	190,789
Total past due	1,264,389	1,700,628
Current	237,152,372	233,617,520
Total loans	238,416,761	235,318,148
Non-accrual loans	1,946,457	1,742,993
90 days or more and accruing	0	0
Municipal
30-89 days	0	0
90 days or more	0	0
Total past due	0	0
Current	30,302,868	47,067,023
Total loans	30,302,868	47,067,023
Non-accrual loans	0	0
90 days or more and accruing	0	0
Residential real estate - 1st lien
30-89 days	1,608,519	4,108,319
90 days or more	1,332,686	1,371,061
Total past due	2,941,205	5,479,380
Current	161,857,269	160,185,795
Total loans	164,798,474	165,665,175
Non-accrual loans	2,984,761	2,026,939
90 days or more and accruing	736,283	622,486
Residential real estate - Jr lien
30-89 days	312,942	484,855
90 days or more	240,320	353,914
Total past due	553,262	838,769
Current	43,213,996	43,706,218
Total loans	43,767,258	44,544,987
Non-accrual loans	287,499	408,540
90 days or more and accruing	108,365	104,959
Consumer
30-89 days	24,071	43,277
90 days or more	0	1,661
Total past due	24,071	44,938
Current	4,599,804	5,043,553
Total loans	4,623,875	5,088,491
Non-accrual loans	0	0
90 days or more and accruing	$ 0	$ 1,661

5. Loans, Allowance for Loan _5

5. Loans, Allowance for Loan Losses and Credit Quality (Details 2)	Jun. 30, 2019USD ($)integer	Dec. 31, 2018USD ($)integer
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]
Residential mortgage loans in process of foreclosure, number of loans | integer	13	12
Residential mortgage loans in process of foreclosure, current balance | $	$ 861,821	$ 961,709

5. Loans, Allowance for Loan _6

5. Loans, Allowance for Loan Losses and Credit Quality (Details 3) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Allowance for loan losses, beginning balance	$ 5,727,842	$ 5,341,220	$ 5,602,541	$ 5,438,099	$ 5,438,099
Charge-offs	(166,903)	(131,145)	(274,425)	(431,741)	(742,020)
Recoveries	21,148	22,948	41,468	46,665	126,462
Provisions (credit)	141,666	180,000	354,169	360,000	780,000
Allowance for loan losses, ending balance	5,723,753	5,413,023	5,723,753	5,413,023	5,602,541
Allowance for loan losses evaluated for impairment, individually	111,056		111,056		114,726
Allowance for loan losses evaluated for impairment, collectively	5,612,697		5,612,697		5,487,815
Allowance for loan losses	5,723,753		5,723,753		5,602,541
Loans evaluated for impairment, individually	8,088,236		8,088,236		6,519,121
Loans evaluated for impairment, collectively	559,290,062		559,290,062		571,931,396
Total loans	567,378,298		567,378,298		578,450,517
Commercial and industrial
Allowance for loan losses, beginning balance	676,764	666,660	697,469	675,687	675,687
Charge-offs	(3,573)	(42,380)	(3,573)	(131,273)	(152,860)
Recoveries	0	15,027	9,078	20,041	60,192
Provisions (credit)	41,941	145,782	12,158	220,634	114,450
Allowance for loan losses, ending balance	715,132	785,089	715,132	785,089	697,469
Allowance for loan losses evaluated for impairment, individually	0		0		0
Allowance for loan losses evaluated for impairment, collectively	715,132		715,132		697,469
Allowance for loan losses	715,132		715,132		697,469
Loans evaluated for impairment, individually	606,831		606,831		60,846
Loans evaluated for impairment, collectively	84,862,231		84,862,231		80,705,847
Total loans	85,469,062		85,469,062		80,766,693
Commercial Real Estate
Allowance for loan losses, beginning balance	3,153,156	2,666,704	3,019,868	2,674,029	2,674,029
Charge-offs	(14,710)	(3,645)	(14,710)	(124,645)	(124,645)
Recoveries	0	0	0	0	0
Provisions (credit)	(43,665)	45,180	89,623	158,855	470,484
Allowance for loan losses, ending balance	3,094,781	2,708,239	3,094,781	2,708,239	3,019,868
Allowance for loan losses evaluated for impairment, individually	0		0		0
Allowance for loan losses evaluated for impairment, collectively	3,094,781		3,094,781		3,019,868
Allowance for loan losses	3,094,781		3,094,781		3,019,868
Loans evaluated for impairment, individually	2,052,270		2,052,270		1,746,894
Loans evaluated for impairment, collectively	236,364,491		236,364,491		233,571,254
Total loans	238,416,761		238,416,761		235,318,148
Municipal
Allowance for loan losses, beginning balance	0		0
Charge-offs	0		0		0
Recoveries	0		0		0
Provisions (credit)	0		0		0
Allowance for loan losses, ending balance	0		0		0
Allowance for loan losses evaluated for impairment, individually	0		0		0
Allowance for loan losses evaluated for impairment, collectively	0		0		0
Allowance for loan losses	0		0		0
Loans evaluated for impairment, individually	0		0		0
Loans evaluated for impairment, collectively	30,302,868		30,302,868		47,067,023
Total loans	30,302,868		30,302,868		47,067,023
Residential Real Estate - 1st Lien
Allowance for loan losses, beginning balance	1,407,132	1,407,801	1,421,494	1,460,547	1,460,547
Charge-offs	(19,790)	(45,362)	(94,521)	(78,435)	(251,654)
Recoveries	7,576	300	10,073	9,158	26,832
Provisions (credit)	32,439	35,302	90,311	6,771	185,769
Allowance for loan losses, ending balance	1,427,357	1,398,041	1,427,357	1,398,041	1,421,494
Allowance for loan losses evaluated for impairment, individually	110,375		110,375		112,969
Allowance for loan losses evaluated for impairment, collectively	1,316,982		1,316,982		1,308,525
Allowance for loan losses	1,427,357		1,427,357		1,421,494
Loans evaluated for impairment, individually	5,229,099		5,229,099		4,392,060
Loans evaluated for impairment, collectively	159,569,375		159,569,375		161,273,115
Total loans	164,798,474		164,798,474		165,665,175
Residential Real Estate Jr Lien
Allowance for loan losses, beginning balance	265,003	289,292	273,445	316,982	316,982
Charge-offs	(102,000)	0	(102,000)	(24,000)	(69,173)
Recoveries	516	240	1,001	675	1,420
Provisions (credit)	124,465	(1,930)	115,538	(6,055)	24,216
Allowance for loan losses, ending balance	287,984	287,602	287,984	287,602	273,445
Allowance for loan losses evaluated for impairment, individually	681		681		1,757
Allowance for loan losses evaluated for impairment, collectively	287,303		287,303		271,688
Allowance for loan losses	287,984		287,984		273,445
Loans evaluated for impairment, individually	200,036		200,036		319,321
Loans evaluated for impairment, collectively	43,567,222		43,567,222		44,225,666
Total loans	43,767,258		43,767,258		44,544,987
Consumer
Allowance for loan losses, beginning balance	49,715	44,162	56,787	43,303	43,303
Charge-offs	(26,830)	(39,758)	(59,621)	(73,388)	(143,688)
Recoveries	13,056	7,381	21,316	16,791	38,018
Provisions (credit)	17,469	39,850	34,928	64,929	119,154
Allowance for loan losses, ending balance	53,410	51,635	53,410	51,635	56,787
Allowance for loan losses evaluated for impairment, individually	0		0		0
Allowance for loan losses evaluated for impairment, collectively	53,410		53,410		56,787
Allowance for loan losses	53,410		53,410		56,787
Loans evaluated for impairment, individually	0		0		0
Loans evaluated for impairment, collectively	4,623,875		4,623,875		5,088,491
Total loans	4,623,875		4,623,875		5,088,491
Unallocated
Allowance for loan losses, beginning balance	176,072	266,601	133,478	267,551	267,551
Charge-offs	0	0	0	0	0
Recoveries	0	0	0	0	0
Provisions (credit)	(30,983)	(84,184)	11,611	(85,134)	(134,073)
Allowance for loan losses, ending balance	145,089	$ 182,417	145,089	$ 182,417	133,478
Allowance for loan losses evaluated for impairment, individually	0		0		0
Allowance for loan losses evaluated for impairment, collectively	145,089		145,089		133,478
Allowance for loan losses	$ 145,089		$ 145,089		$ 133,478

5. Loans, Allowance for Loan _7

5. Loans, Allowance for Loan Losses and Credit Quality (Details 4) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Recorded investment with an allowance recorded	$ 1,070,732	$ 797,269	$ 1,070,732	$ 797,269	$ 949,636
Unpaid principal balance with an allowance recorded	1,092,121	839,222	1,092,121	839,222	970,615
Related allowance with an allowance recorded	111,056	130,495	111,056	130,495	114,726
Average recorded investment with an allowance recorded	1,238,755	841,489	1,142,382	944,167	971,539
Interest income recognized with an allowance recorded			40,240	33,267	45,490
Recorded investment with no related allowance recorded	7,035,649	6,103,624	7,035,649	6,103,624	5,586,358
Unpaid principal balance with no related allowance recorded	8,147,668	6,940,826	8,147,668	6,940,826	6,490,501
Average recorded investment with no related allowance recorded	6,340,355	5,792,034	6,089,023	5,413,342	5,518,460
Interest income recognized with no related allowance recorded			124,868	158,569	107,444
Recorded investment allowance recorded	8,106,381	6,900,893	8,106,381	6,900,893	6,535,994
Unpaid principal balance allowance recorded	9,239,789	7,780,048	9,239,789	7,780,048	7,461,116
Average recorded investment allowance recorded	7,579,110	6,633,523	7,231,405	6,357,509	6,489,999
Interest income recognized			165,108	191,836	152,934
Commercial and industrial
Recorded investment with no related allowance recorded	606,831	197,079	606,831	197,079	60,846
Unpaid principal balance with no related allowance recorded	610,660	216,691	610,660	216,691	80,894
Average recorded investment with no related allowance recorded	323,209	191,045	235,754	160,299	120,924
Interest income recognized with no related allowance recorded			213	0	0
Commercial Real Estate
Recorded investment with an allowance recorded	0	0	0	0	0
Unpaid principal balance with an allowance recorded	0	0	0	0	0
Related allowance with an allowance recorded	0	0	0	0	0
Average recorded investment with an allowance recorded	244,300	41,823	162,867	96,097	57,658
Interest income recognized with an allowance recorded			0	0	0
Recorded investment with no related allowance recorded	2,053,151	2,065,267	2,053,151	2,065,267	1,748,323
Unpaid principal balance with no related allowance recorded	2,342,542	2,235,772	2,342,542	2,235,772	1,975,831
Average recorded investment with no related allowance recorded	1,883,114	1,794,217	1,838,184	1,563,764	1,663,794
Interest income recognized with no related allowance recorded			9,178	37,813	13,131
Residential real estate - 1st lien
Recorded investment with an allowance recorded	1,064,058	789,471	1,064,058	789,471	942,365
Unpaid principal balance with an allowance recorded	1,085,467	831,434	1,085,467	831,434	963,367
Related allowance with an allowance recorded	110,375	129,488	110,375	129,488	112,969
Average recorded investment with an allowance recorded	978,652	791,676	972,556	793,859	836,326
Interest income recognized with an allowance recorded			39,905	31,785	45,139
Recorded investment with no related allowance recorded	4,182,285	3,543,703	4,182,285	3,543,703	3,465,117
Unpaid principal balance with no related allowance recorded	4,853,328	4,189,432	4,853,328	4,189,432	4,082,637
Average recorded investment with no related allowance recorded	3,889,301	3,525,807	3,747,907	3,450,597	3,497,772
Interest income recognized with no related allowance recorded			115,477	120,756	94,313
Residential real estate - Jr lien
Recorded investment with an allowance recorded	6,674	7,798	6,674	7,798	7,271
Unpaid principal balance with an allowance recorded	6,654	7,788	6,654	7,788	7,248
Related allowance with an allowance recorded	681	1,007	681	1,007	1,757
Average recorded investment with an allowance recorded	6,803	7,990	6,959	54,211	77,555
Interest income recognized with an allowance recorded			335	1,482	351
Recorded investment with no related allowance recorded	193,382	297,575	193,382	297,575	312,072
Unpaid principal balance with no related allowance recorded	341,138	298,931	341,138	298,931	351,139
Average recorded investment with no related allowance recorded	$ 244,731	$ 280,965	267,178	238,682	235,970
Interest income recognized with no related allowance recorded			$ 0	$ 0	$ 0

5. Loans, Allowance for Loan _8

5. Loans, Allowance for Loan Losses and Credit Quality (Details 5) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Group A	$ 548,204,035	$ 562,636,225
Group B	3,112,534	562,112
Group C	16,061,729	15,252,180
Total loans	567,378,298	578,450,517
Commercial and industrial
Group A	83,098,878	78,585,348
Group B	208,330	90,763
Group C	2,161,854	2,090,582
Total loans	85,469,062	80,766,693
Commercial Real Estate
Group A	226,974,452	226,785,919
Group B	2,904,204	246,357
Group C	8,538,105	8,285,872
Total loans	238,416,761	235,318,148
Municipal
Group A	30,302,868	47,067,023
Group B	0	0
Group C	0	0
Total loans	30,302,868	47,067,023
Residential real estate - 1st lien
Group A	159,998,274	161,293,233
Group B	0	224,992
Group C	4,800,200	4,146,950
Total loans	164,798,474	165,665,175
Residential real estate - Jr lien
Group A	43,205,688	43,817,872
Group B	0	0
Group C	561,570	727,115
Total loans	43,767,258	44,544,987
Consumer
Group A	4,623,875	5,086,830
Group B	0	0
Group C	0	1,661
Total loans	$ 4,623,875	$ 5,088,491

5. Loans, Allowance for Loan _9

5. Loans, Allowance for Loan Losses and Credit Quality (Details 6)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2019USD ($)integer	Jun. 30, 2018USD ($)integer	Jun. 30, 2019USD ($)integer	Jun. 30, 2018USD ($)integer	Dec. 31, 2018USD ($)integer
Number of contracts modified as TDRs | integer	5		7		11
Pre-Modification outstanding recorded investment	$ 462,663		$ 577,827		$ 1,438,250
Post-Modification outstanding recorded investment	$ 491,050		$ 609,047		$ 1,549,009
Commercial and industrial
Number of contracts modified as TDRs | integer	2		2
Pre-Modification outstanding recorded investment	$ 49,217		$ 49,217
Post-Modification outstanding recorded investment	$ 49,217		$ 49,217
Commercial Real Estate
Number of contracts modified as TDRs | integer	0		1		1
Pre-Modification outstanding recorded investment	$ 0		$ 19,265		$ 406,920
Post-Modification outstanding recorded investment	$ 0		$ 21,628		$ 406,920
Residential real estate - 1st lien
Number of contracts modified as TDRs | integer	3	2	4	7	10
Pre-Modification outstanding recorded investment	$ 413,446	$ 215,772	$ 509,345	$ 898,563	$ 1,031,330
Post-Modification outstanding recorded investment	$ 441,833	$ 218,157	$ 538,202	$ 1,003,466	$ 1,142,089

5. Loans, Allowance for Loan_10

5. Loans, Allowance for Loan Losses and Credit Quality (Details 7)	6 Months Ended		12 Months Ended
	Jun. 30, 2019USD ($)integer	Jun. 30, 2018USD ($)integer	Dec. 31, 2018USD ($)integer
Number of contracts | integer	2	3	4
Recorded investment | $	$ 517,095	$ 267,418	$ 918,858
Commercial Real Estate
Number of contracts | integer	1		1
Recorded investment | $	$ 384,791		$ 400,646
Residential Real Estate - 1st Lien
Number of contracts | integer	1	3	3
Recorded investment | $	$ 132,304	$ 267,418	$ 518,212

5. Loans, Allowance for Loan_11

5. Loans, Allowance for Loan Losses and Credit Quality (Details 8) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]
Specific allocation	$ 111,056	$ 114,726

6. Goodwill and Other Intangi_2

6. Goodwill and Other Intangible Assets (Details Narrative) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	$ 11,574,269	$ 11,574,269

7. Leases (Details)

7. Leases (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Leases [Abstract]
Operating lease cost	$ 63,869	$ 56,573	$ 125,738	$ 113,146
Amortization of right-of-use assets	17,667	17,667	35,333	35,333
Interest on lease liabilities	4,499	7,467	9,614	14,364
Variable rent expense	8,485	8,485	16,970	16,970
Finance lease cost	$ 30,651	$ 33,619	$ 61,917	$ 66,667

7. Leases (Details 1)

7. Leases (Details 1) - USD ($)	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Leases [Abstract]
Operating leases	$ 1,455,829	$ 0
Operating Leases
Operating lease right-of-use assets	1,374,459		$ 0
Operating lease liabilities	1,378,863		0
Finance Leases
Property, at cost	991,014		991,014
Accumulated depreciation	(812,668)		(777,335)
Property, net	178,346		213,679
Finance lease liabilities	$ 205,630		$ 266,747

7. Leases (Details 2)

7. Leases (Details 2)	Jun. 30, 2019	Dec. 31, 2018
Leases [Abstract]
Weighted average remaining lease term - operating leases	5 years	6 years
Weighted average remaining lease term - finance leases	1 year 6 months	2 years
Weighted average discount rate - operating leases	1.28%
Weighted average discount rate - finance leases	7.83%	7.86%

7. Leases (Details 3)

7. Leases (Details 3)	Jun. 30, 2019USD ($)
Operating Leases
2019	$ 125,346
2020	257,039
2021	210,350
2022	207,380
2023	210,232
Subsequent to 2023	435,872
Total	$ 1,446,219

7. Leases (Details 4)

7. Leases (Details 4) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Finance Leases
2019	$ 70,730
2020	110,460
2021	39,117
Total minimum lease payments	220,307
Less amount representing interest	(14,677)
Present value of net minimum lease payments	$ 205,630	$ 266,747

7. Leases (Details 5)

7. Leases (Details 5) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Leases [Abstract]
Operating lease undiscounted cash flows	$ 1,446,219
Operating lease discount effect of cash flows	(67,356)
Operating lease liabilities	1,378,863	$ 0
Finance lease undiscounted cash flows	220,307
Finance lease discount effect of cash flows	(14,677)
Finance lease liabilities	$ 205,630	$ 266,747

8. Fair Value (Details)

8. Fair Value (Details) - Fair Value Level 2 - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Assets: (market approach)
U.S. GSE debt securities	$ 21,039,197	$ 13,751,103
Agency MBS	15,765,449	15,574,525
ABS and OAS	1,961,862	1,986,129
Other investments	8,791,266	8,055,074
Total	$ 47,557,774	$ 39,366,831

8. Fair Value (Details 1)

8. Fair Value (Details 1) - USD ($)		Jun. 30, 2019	Dec. 31, 2018
Assets: (market approach)
Loans held-for-sale		$ 262,000	$ 0
Fair Value Level 2
Assets: (market approach)
Loans held-for-sale		262,000	0
MSRs	[1]	933,643	1,004,948
OREO		$ 92,084	$ 201,386
[1]	Represents MSRs at lower of cost or fair value.

8. Fair Value (Details 2)

8. Fair Value (Details 2) - USD ($)		Jun. 30, 2019		Dec. 31, 2018
Deposits
Operating lease obligations		$ 1,378,863		$ 0
Finance lease obligations		205,630		266,747
Carrying Amount
Financial assets: (Dollars in Thousands)
Cash and cash equivalents		29,535		67,935
Debt securities AFS		47,558		39,367
Restricted equity securities		1,348		1,749
Commercial & industrial		84,731		80,049
Commercial real estate		235,258		232,239
Municipal	[1]	30,303		47,067
Residential real estate - 1st lien		163,588		164,202
Residential real estate - Jr. lien		43,467		44,260
Consumer		4,570		5,031
MSRs		934	[2]	1,005	[3]
Accrued interest receivable		2,193		2,301
Deposits
Deposits, other deposits		529,978		573,525
Deposits, brokered deposits		26,172		35,292
Short-term borrowings		6,100
Long-term borrowings		1,550		1,550
Repurchase agreements		32,145		30,522
Operating lease obligations		1,379
Finance lease obligations		206		267
Subordinated debentures		12,887		12,887
Accrued interest payable		96		113
Fair Value Level 1
Financial assets: (Dollars in Thousands)
Cash and cash equivalents		29,535		67,935
Debt securities AFS		0		0
Restricted equity securities		0		0
Commercial & industrial		0		0
Commercial real estate		0		0
Municipal	[1]	0		0
Residential real estate - 1st lien		0		0
Residential real estate - Jr. lien		0		0
Consumer		0		0
MSRs		0	[2]	0	[3]
Accrued interest receivable		0		0
Deposits
Deposits, other deposits		0		0
Deposits, brokered deposits		0		0
Short-term borrowings		0
Long-term borrowings		0		0
Repurchase agreements		0		0
Operating lease obligations		0
Finance lease obligations		0		0
Subordinated debentures		0		0
Accrued interest payable		0		0
Fair Value Level 2
Financial assets: (Dollars in Thousands)
Cash and cash equivalents		0		0
Debt securities AFS		47,558		39,367
Restricted equity securities		1,348		1,749
Commercial & industrial		0		0
Commercial real estate		0		0
Municipal	[1]	0		0
Residential real estate - 1st lien		0		0
Residential real estate - Jr. lien		0		0
Consumer		0		0
MSRs		1,361	[2]	1,481	[3]
Accrued interest receivable		2,193		2,301
Deposits
Deposits, other deposits		529,809		571,952
Deposits, brokered deposits		26,186		35,247
Short-term borrowings		6,100
Long-term borrowings		1,474		1,425
Repurchase agreements		32,145		30,522
Operating lease obligations		1,379
Finance lease obligations		206		267
Subordinated debentures		12,820		12,807
Accrued interest payable		96		113
Fair Value Level 3
Financial assets: (Dollars in Thousands)
Cash and cash equivalents		0		0
Debt securities AFS		0		0
Restricted equity securities		0		0
Commercial & industrial		84,729		79,773
Commercial real estate		237,025		230,532
Municipal	[1]	30,112		47,228
Residential real estate - 1st lien		162,585		161,068
Residential real estate - Jr. lien		43,467		44,127
Consumer		4,595		5,063
MSRs		0	[2]	0	[3]
Accrued interest receivable		0		0
Deposits
Deposits, other deposits		0		0
Deposits, brokered deposits		0		0
Short-term borrowings		0
Long-term borrowings		0		0
Repurchase agreements		0		0
Operating lease obligations		0
Finance lease obligations		0		0
Subordinated debentures		0		0
Accrued interest payable		0		0
Fair Value
Financial assets: (Dollars in Thousands)
Cash and cash equivalents		29,535		67,935
Debt securities AFS		47,558		39,367
Restricted equity securities		1,348		1,749
Commercial & industrial		84,729		79,773
Commercial real estate		237,025		230,532
Municipal	[1]	30,112		47,228
Residential real estate - 1st lien		162,585		161,068
Residential real estate - Jr. lien		43,467		44,127
Consumer		4,595		5,063
MSRs		1,361	[2]	1,481	[3]
Accrued interest receivable		2,193		2,301
Deposits
Deposits, other deposits		529,809		571,952
Deposits, brokered deposits		26,186		35,247
Short-term borrowings		6,100
Long-term borrowings		1,474		1,425
Repurchase agreements		32,145		30,522
Operating lease obligations		1,379
Finance lease obligations		206		267
Subordinated debentures		12,820		12,807
Accrued interest payable		$ 96		$ 113
[1]	Prior to reclassification to the loan portfolio effective January 1, 2019, all loans in this category were reported as HTM securities as a component of Investment Securities. All prior periods have been restated to conform to the reclassification.
[2]	Reported fair value represents all MSRs for loans serviced by the Company at June 30, 2019, regardless of carrying amount.
[3]	Reported fair value represents all MSRs for loans serviced by the Company at December 31, 2018, regardless of carrying amount.

9. Loan Servicing (Details)

9. Loan Servicing (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Transfers and Servicing of Financial Assets [Abstract]
Balance at beginning of year	$ 1,004,948	$ 1,083,286
Mortgage servicing rights capitalized	18,107	110,209
Mortgage servicing rights amortized	(89,412)	(188,547)
Balance at end of period	$ 933,643	$ 1,004,948