Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 29, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Document Transition Report | false | ||
Entity File Number | 0-20914 | ||
Entity Registrant Name | OHIO VALLEY BANC CORP | ||
Entity Central Index Key | 0000894671 | ||
Entity Incorporation, State or Country Code | OH | ||
Entity Tax Identification Number | 31-1359191 | ||
Entity Address, Address Line One | 420 Third Avenue | ||
Entity Address, City or Town | Gallipolis | ||
Entity Address, State or Province | OH | ||
Entity Address, Postal Zip Code | 45631 | ||
City Area Code | 740 | ||
Local Phone Number | 446-2631 | ||
Title of 12(b) Security | Common Shares, without par value | ||
Trading Symbol | OVBC | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | false | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 106,283,807 | ||
Entity Common Stock, Shares Outstanding | 4,793,674 | ||
Auditor Name | Crowe LLP | ||
Auditor Location | Cleveland, Ohio | ||
Auditor Firm ID | 173 |
CONSOLIDATED STATEMENTS OF COND
CONSOLIDATED STATEMENTS OF CONDITION - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Cash and noninterest-bearing deposits with banks | $ 14,252 | $ 14,330 |
Interest-bearing deposits with banks | 113,874 | 31,660 |
Total cash and cash equivalents | 128,126 | 45,990 |
Certificates of deposit in financial institutions | 0 | 1,862 |
Securities available for sale | 162,258 | 184,074 |
Securities held to maturity, net of allowance for credit losses of $2 in 2023 and $0 in 2022; (estimated fair value: 2023 - $7,390; 2022 - $8,460) | 7,986 | 9,226 |
Restricted investments in bank stocks | 5,037 | 5,953 |
Total loans | 971,900 | 885,049 |
Less: Allowance for credit losses | (8,767) | (5,269) |
Net loans | 963,133 | 879,780 |
Premises and equipment, net | 21,450 | 20,436 |
Premises and equipment held for sale, net | 573 | 593 |
Accrued interest receivable | 3,606 | 3,112 |
Goodwill | 7,319 | 7,319 |
Other intangible assets, net | 8 | 29 |
Bank owned life insurance and annuity assets | 40,593 | 39,627 |
Operating lease right-of-use asset, net | 1,205 | 1,294 |
Deferred tax assets | 6,306 | 6,266 |
Other assets | 4,535 | 5,226 |
Total assets | 1,352,135 | 1,210,787 |
Liabilities | ||
Noninterest-bearing deposits | 322,222 | 354,413 |
Interest-bearing deposits | 804,914 | 673,242 |
Total deposits | 1,127,136 | 1,027,655 |
Other borrowed funds | 44,593 | 17,945 |
Subordinated debentures | 8,500 | 8,500 |
Operating lease liability | 1,205 | 1,294 |
Allowance for credit losses on off-balance sheet commitments | 692 | 0 |
Other liabilities | 26,002 | 20,365 |
Total liabilities | 1,208,128 | 1,075,759 |
Commitments and Contingent Liabilities (See Note L) | ||
Shareholders' Equity | ||
Common stock ($1.00 stated value per share, 10,000,000 shares authorized; 2023 - 5,470,453 shares issued; 2022 - 5,465,707 shares issued) | 5,470 | 5,465 |
Additional paid-in capital | 51,842 | 51,722 |
Retained earnings | 114,871 | 109,320 |
Accumulated other comprehensive income (loss) | (11,428) | (14,813) |
Treasury stock, at cost (2023 - 697,321 shares; 2022 - 693,933 shares) | (16,748) | (16,666) |
Total shareholders' equity | 144,007 | 135,028 |
Total liabilities and shareholders' equity | $ 1,352,135 | $ 1,210,787 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF CONDITION (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Securities held to maturity, net of allowance for credit losses | $ 2 | $ 0 |
Securities held to maturity, fair value | $ 7,390 | $ 8,460 |
Shareholders' Equity | ||
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, shares issued (in shares) | 5,470,453 | 5,465,707 |
Treasury stock, shares (in shares) | 697,321 | 693,933 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | ||
Interest and dividend income: | |||
Loans, including fees | $ 54,821 | $ 42,273 | |
Securities: | |||
Taxable | 3,678 | 3,340 | |
Tax exempt | 162 | 180 | |
Dividends | 324 | 316 | |
Interest-bearing deposits with banks | 2,870 | 1,493 | |
Other interest | 10 | 14 | |
Total interest and dividend income | 61,865 | 47,616 | |
Interest expense: | |||
Deposits | 14,174 | 2,130 | |
Other borrowed funds | 1,067 | 412 | |
Subordinated debentures | 597 | 296 | |
Total interest expense | 15,838 | 2,838 | |
Net interest income | 46,027 | 44,778 | |
Provision for (recovery of) credit losses | 2,090 | (32) | |
Net interest income after provision for (recovery of) credit losses | 43,937 | 44,810 | |
Noninterest income: | |||
Service charges on deposit accounts | 2,700 | 2,443 | |
Trust fees | 326 | 325 | |
Income from bank owned life insurance and annuity assets | 860 | 883 | |
Mortgage banking income | 175 | 697 | |
Electronic refund check / deposit fees | 675 | 675 | |
Debit / credit card interchange income | 4,860 | 4,862 | |
Loss on sale of securities | (23) | (1,537) | |
Tax preparation fees | 669 | 743 | |
Other | 2,387 | 1,071 | |
Total noninterest income | 12,629 | 10,162 | |
Noninterest expense: | |||
Salaries and employee benefits | 23,391 | 21,615 | |
Occupancy | 1,903 | 1,910 | |
Furniture and equipment | 1,321 | 1,170 | |
Professional fees | 1,656 | 1,609 | |
Marketing expense | 1,010 | 1,428 | |
FDIC insurance | 569 | 335 | |
Data processing | 2,809 | 2,761 | |
Software | 2,649 | 2,197 | |
Foreclosed assets | 15 | 63 | |
Amortization of intangibles | 21 | 35 | |
Other | 6,024 | 5,917 | |
Total noninterest expense | 41,368 | 39,040 | |
Income before income taxes | 15,198 | 15,932 | |
Provision for income taxes | [1] | 2,567 | 2,594 |
NET INCOME | $ 12,631 | $ 13,338 | |
Earnings per share (in dollars per share) | $ 2.65 | $ 2.8 | |
[1]Effective income tax rate was 16.9% for 2023 and 16.3% for 2022 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | ||
NET INCOME | $ 12,631 | $ 13,338 |
Other comprehensive income (loss): | ||
Change in unrealized gain (loss) on available for sale securities | 4,067 | (21,184) |
Reclassification adjustment for realized losses | 23 | 1,537 |
Other comprehensive income (loss) | 4,090 | (19,647) |
Related tax effect | (705) | 4,126 |
Total other comprehensive income (loss), net of tax | 3,385 | (15,521) |
Total comprehensive income | $ 16,016 | $ (2,183) |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock [Member] | Common Stock [Member] Accounting Standards Update 2016-13 [Member] | Common Stock [Member] Accounting Standards Update 2016-13 [Member] Revision of Prior Period, Adjustment [Member] | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member] Accounting Standards Update 2016-13 [Member] | Additional Paid-in Capital [Member] Accounting Standards Update 2016-13 [Member] Revision of Prior Period, Adjustment [Member] | Retained Earnings [Member] | Retained Earnings [Member] Accounting Standards Update 2016-13 [Member] | Retained Earnings [Member] Accounting Standards Update 2016-13 [Member] Revision of Prior Period, Adjustment [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated Other Comprehensive Income (Loss) [Member] Accounting Standards Update 2016-13 [Member] | Accumulated Other Comprehensive Income (Loss) [Member] Accounting Standards Update 2016-13 [Member] Revision of Prior Period, Adjustment [Member] | Treasury Stock [Member] | Treasury Stock [Member] Accounting Standards Update 2016-13 [Member] | Treasury Stock [Member] Accounting Standards Update 2016-13 [Member] Revision of Prior Period, Adjustment [Member] | Total | Accounting Standards Update 2016-13 [Member] | Accounting Standards Update 2016-13 [Member] Revision of Prior Period, Adjustment [Member] |
Balances at Dec. 31, 2021 | $ 5,447 | $ 51,165 | $ 100,702 | $ 708 | $ (16,666) | $ 141,356 | ||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Net income | 0 | 0 | 13,338 | 0 | 0 | 13,338 | ||||||||||||
Other comprehensive income (loss), net | 0 | 0 | 0 | (15,521) | 0 | (15,521) | ||||||||||||
Cash dividends | 0 | 0 | (4,720) | 0 | 0 | (4,720) | ||||||||||||
Common stock issued to ESOP | 18 | 557 | 0 | 0 | 0 | 575 | ||||||||||||
Balances at Dec. 31, 2022 | 5,465 | $ 5,465 | $ 0 | 51,722 | $ 51,722 | $ 0 | 109,320 | $ 107,111 | $ (2,209) | (14,813) | $ (14,813) | $ 0 | (16,666) | $ (16,666) | $ 0 | 135,028 | $ 132,819 | $ (2,209) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Net income | 0 | 0 | 12,631 | 0 | 0 | 12,631 | ||||||||||||
Other comprehensive income (loss), net | 0 | 0 | 0 | 3,385 | 0 | 3,385 | ||||||||||||
Cash dividends | 0 | 0 | (4,871) | 0 | 0 | (4,871) | ||||||||||||
Common stock issued to ESOP | 5 | 120 | 0 | 0 | 0 | 125 | ||||||||||||
Shares acquired for treasury, 3,388 shares | 0 | 0 | 0 | 0 | (82) | (82) | ||||||||||||
Balances at Dec. 31, 2023 | $ 5,470 | $ 51,842 | $ 114,871 | $ (11,428) | $ (16,748) | $ 144,007 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY [Abstract] | ||
Cash dividends, per share (in dollars per share) | $ 1.02 | $ 0.99 |
Common stock issued to ESOP, shares (in shares) | 4,746 | 18,522 |
Shares acquired for treasury (in shares) | 3,388 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash flows from operating activities: | ||
Net income | $ 12,631 | $ 13,338 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Provision for (recovery of) credit losses | 2,090 | (32) |
Depreciation of premises and equipment | 1,562 | 1,464 |
Accretion of building grant | (4) | (3) |
Net amortization (accretion) of purchase accounting adjustments | (1) | 34 |
Net amortization (accretion) of securities | (478) | 100 |
Net realized loss on sale of securities | 23 | 1,537 |
Proceeds from sale of loans in secondary market | 125 | 7,831 |
Loans disbursed for sale in secondary market | (124) | (7,134) |
Amortization of mortgage servicing rights | 53 | 71 |
Gain on sale of loans | (228) | (768) |
Amortization of intangible assets | 21 | 35 |
Amortization of certificates of deposit premiums | 7 | 22 |
Deferred tax (benefit) expense | (745) | 288 |
Contribution of common stock to ESOP | 125 | 575 |
Earnings on bank owned life insurance and annuity assets | (860) | (883) |
Change in accrued interest receivable | (494) | (417) |
Change in other liabilities | 5,567 | 1,223 |
Change in other assets | 1,477 | (1,291) |
Net cash provided by operating activities | 20,747 | 15,990 |
Cash flows from investing activities: | ||
Proceeds from sales of securities available for sale | 1,067 | 10,963 |
Proceeds from maturities and paydowns of securities available for sale | 25,901 | 27,524 |
Purchases of securities available for sale | (586) | (66,821) |
Proceeds from calls and maturities of securities held to maturity | 1,217 | 1,044 |
Proceeds from maturities of certificates of deposit in financial institutions | 2,100 | 445 |
Purchases of certificates of deposit in financial institutions | (245) | 0 |
Purchases of restricted investments in bank stocks | (969) | 0 |
Redemptions of restricted investments in bank stocks | 1,885 | 1,312 |
Net change in loans | (87,481) | (55,028) |
Purchases of premises and equipment | (2,689) | (1,988) |
Disposals of premises and equipment | 219 | 420 |
Proceeds from building grant | 0 | 200 |
Reimbursement of building grant | (100) | 0 |
Purchases of bank owned life insurance and annuity assets | (250) | (1,463) |
Withdrawals from bank owned life insurance and annuity assets | 144 | 0 |
Net cash provided by (used in) investing activities | (59,787) | (83,392) |
Cash flows from financing activities: | ||
Change in deposits | 99,481 | (32,253) |
Cash dividends | (4,871) | (4,720) |
Purchases of treasury stock | (82) | 0 |
Proceeds from Federal Home Loan Bank borrowings | 30,001 | 2 |
Repayment of Federal Home Loan Bank borrowings | (3,371) | (1,909) |
Change in other short-term borrowings | 18 | 238 |
Net cash provided by (used in) financing activities | 121,176 | (38,642) |
Cash and cash equivalents: | ||
Change in cash and cash equivalents | 82,136 | (106,044) |
Cash and cash equivalents at beginning of year | 45,990 | 152,034 |
Cash and cash equivalents at end of year | 128,126 | 45,990 |
Supplemental disclosure: | ||
Cash paid for interest | 9,674 | 2,845 |
Cash paid for income taxes | 2,750 | 1,975 |
Transfers from loans to other real estate owned | 129 | 0 |
Operating lease liability arising from obtaining right-of-use asset | $ 187 | $ 108 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note A - Summary of Significant Accounting Policies Description of Business: Ohio Valley Banc Corp. (“Ohio Valley”) is a financial holding company registered under the Bank Holding Company Act of 1956. hio Valley has one banking subsidiary, The Ohio Valley Bank Company (the “Bank”), an Ohio state-chartered bank that is a member of the Federal Reserve Bank (“FRB”) and is regulated primarily by the Ohio Division of Financial Institutions and the Federal Reserve Board. Ohio Valley also has a subsidiary that engages in consumer lending generally to individuals with higher credit risk history, Loan Central, Inc.; and a subsidiary insurance agency that facilitates the receipts of insurance commissions, Ohio Valley Financial Services Agency, LLC. The Bank has one wholly-owned subsidiary, Ohio Valley REO, LLC (“Ohio Valley REO”), an Ohio limited liability company, to which the Bank transfers certain real estate acquired by the Bank through foreclosure for sale by Ohio Valley REO. In December 2023, Ohio Valley ceased operating Race Day Mortgage, Inc. (“Race Day”), which had been a wholly-owned subsidiary of the Bank since April 2021. The decision to cease operating Race Day was made due to low loan demand, poor employee retention, and lack of profitability. In December 2023, Ohio Valley also ceased operating OVBC Captive, Inc. (the “Captive”), which had been a subsidiary of Ohio Valley since July 2014. The decision to cease operating the Captive was the result of proposed IRS regulations that adversely impacted the taxation of small captives and severely limited the Captive’s ability to operate. Ohio Valley and its subsidiaries are collectively referred to herein as the “Company.” The Company provides a full range of commercial and retail banking services from 23 offices located in southeastern Ohio and western West Virginia. It accepts deposits in checking, savings, time and money market accounts and makes personal, commercial, floor plan, student, construction and real estate loans. Substantially all loans are secured by specific items of collateral, including business assets, consumer assets, and commercial and residential real estate. Commercial loans are expected to be repaid from cash flow from business operations. The Company also offers safe deposit boxes, wire transfers and other standard banking products and services. The Bank’s deposits are insured by the Federal Deposit Insurance Corporation (“FDIC”). In addition to accepting deposits and ma The Bank’s trust department provides a wide variety of fiduciary services for trusts, estates and benefit plans and also provides investment and security services as an agent for its customers. Principles of Consolidation: The consolidated financial statements include the accounts of Ohio Valley and its wholly-owned subsidiaries, the Bank, Loan Central, Inc., and Ohio Valley Financial Services Agency, LLC. All material intercompany accounts and transactions have been eliminated. Industry Segment Information Internal financial information is primarily reported and aggregated in two lines of business, banking and consumer finance. Use of Estimates The accounting and reporting policies followed by the Company conform to U.S. generally accepted accounting principles (“US GAAP”) established by the Financial Accounting Standards Board (“FASB”). The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and the disclosures provided, and actual results could differ. Cash and Cash Equivalents: Cash and cash equivalents include cash on hand, noninterest-bearing deposits with banks, federal funds sold and interest-bearing deposits with banks with maturity terms of less than 90 days. Generally, federal funds are purchased and sold for one-day periods. The Company reports net cash flows for customer loan transactions, deposit transactions, short-term borrowings and interest-bearing deposits with other financial institutions. Certificates of deposit in financial institutions: Certificates of deposit in financial institutions are carried at cost and have maturity terms of 90 days or greater. The Company had no certificates of deposit in financial institutions at December 31, 2023 Debt Securities: The Company classifies securities into held to maturity (“HTM”) and available for sale (“AFS”) categories. HTM securities are those which the Company has the positive intent and ability to hold to maturity and are reported at amortized cost. Securities classified as AFS include securities that could be sold for liquidity, investment management or similar reasons even if there is not a present intention of such a sale. AFS securities are reported at fair value, with unrealized gains or losses included in other comprehensive income, net of tax. Premium amortization is deducted from, and discount accretion is added to, interest income on securities using the level yield method without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated. Gains and losses are recognized upon the sale of specific identified securities on the completed trade date. Allowance for Credit Losses (“ACL”) – Changes in the ACL are recorded as credit loss expense (or reversal). Losses are charged against the allowance when management believes the uncollectibility of an AFS security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Accrued interest receivable Management classifies the AFS portfolio into the following major security types: U.S. Government securities, U.S. Government sponsored entity securities, and Agency mortgage-backed residential securities. At December 31, 2023, there was no ACL related to AFS debt securities. ACL – HTM Securities: Management measures expected credit losses on HTM debt securities on a collective basis by major security type with each type sharing similar risk characteristics and considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. The ACL on securities HTM is a contra asset valuation account that is deducted from the carrying amount of HTM securities to present the net amount expected to be collected. HTM securities are charged off against the ACL when deemed uncollectible. Adjustments to the ACL are reported in the Company’s consolidated statements of income in the provision for credit losses. Accrued interest receivable on HTM securities is excluded from the estimate of credit losses. Management classifies the HTM portfolio into two major security types: Obligations of states and political subdivisions and Agency mortgage-backed residential securities. Agency mortgage-backed residential securities consist of only two securities with balances that are not significant. With regard to obligations of states and political subdivisions, management considers (1) issuer bond ratings, (2) historical loss rates for given bond ratings, (3) the financi Restricted Investments in Bank Stocks: As a member of the Federal Home Loan Bank (“FHLB”) system and the FRB system, the Bank is required to own a certain amount of stock based on its level of borrowings and other factors and may invest in additional amounts. FHLB stock and FRB stock are carried at cost, classified as restricted securities, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. The Company has additional investments in other restricted bank stocks that are not material to the financial statements. Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of unearned interest, deferred loan fees and costs, and an ACL. Interest income is reported on an accrual basis using the interest method and includes amortization of net deferred loan fees and costs over the loan term using the level yield method without anticipating prepayments. The amount of the Company’s recorded investment is not materially different than the amount of unpaid principal balance for loans. Interest income is discontinued and the loan moved to non-accrual status when full loan repayment is in doubt, typically when the loan payments are past due 90 days or over unless the loan is well-secured or in process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not received for loans placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis method until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Bank also originates long-term, fixed-rate mortgage loans, with the full intention of being sold to the secondary market. These loans are considered held for sale during the period of time after the principal has been advanced to the borrower by the Bank, but before the Bank has been reimbursed by the Federal Home Loan Mortgage Corporation, typically within a few business days. Loans sold to the secondary market are carried at the lower of aggregate cost or fair value. As of December 31, 2023 and 2022, there were no loans held for sale by the Bank ACL - Loans: The ACL for loans is a contra asset valuation account that is deducted from the amortized cost basis of loans to present the net amount expected to be collected on the loans. Loans, or portions thereof, are charged off against the ACL when they are deemed uncollectible. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. The ACL is adjusted through the provision for credit losses and reduced by net charge offs of loans. The ACL is an estimate of expected credit losses, measured over the contractual life of a loan, that considers historical loss experience, current conditions and forecasts of future economic conditions. Determination of an appropriate ACL is inherently subjective and may have significant changes from period to period. The methodology for determining the ACL has two main components: evaluation of expected credit losses for certain groups of loans that share similar risk characteristics and evaluation of loans that do not share risk characteristics with other loans. Portfolio Segment Measurement Method Loss Driver Residential real estate Cumulative Undiscounted Expected Loss National Unemployment, National GDP Commercial real estate: Owner-occupied Cumulative Undiscounted Expected Loss National Unemployment, National GDP Nonowner-occupied Cumulative Undiscounted Expected Loss National Unemployment, National GDP Construction Cumulative Undiscounted Expected Loss National Unemployment, National GDP Commercial and industrial Cumulative Undiscounted Expected Loss National Unemployment, National GDP Consumer: Automobile Cumulative Undiscounted Expected Loss National Unemployment Home equity Cumulative Undiscounted Expected Loss National Unemployment Other Cumulative Undiscounted Expected Loss, Remaining Life Method National Unemployment Historical credit loss experience is the basis for the estimation of expected credit losses. We apply historical loss rates to pools of loans with similar risk characteristics. In defining historical loss rates and the prepayment rates and curtailment rates used to determine the expected life of loans, the use of regional and national peer data was used. After consideration of the historic loss calculation, management applies qualitative adjustments to reflect the current conditions and reasonable andsupportable forecasts not already reflected in the historical loss information at the balance sheet date. Our reasonable and supportable forecast adjustment is based on the national unemployment rate and the national gross domestic product forecast for the first year. For periods beyond our reasonable and supportable forecast, we revert to historical loss rates utilizing a straight-line method over a two-year reversion period. The qualitative adjustments for current conditions are based upon changes in lending policies and practices, experience and ability of lending staff, quality of the Company’s loan review system, value of underlying collateral, the volume and severity of past due loans, the value of underlying collateral for collateral dependent loans, the existence of and changes in concentrations and other external factors. Each factor is assigned a value to reflect improving, stable, or declining conditions based on management’s best judgment using relevant information available at the time of the evaluation. Expected credit losses are estimated over the contractual term of the loans, adjusted for expected prepayments when appropriate. The contractual term excludes expected extensions, renewals, and modifications unless either of the following applies: management has a reasonable expectation at the reporting date that a troubled debt restructuring will be executed with an individual borrower, or the extension of renewal options are included in the original or modified contract at the reporting date and are not unconditionally cancellable by the Company. The Company has elected to exclude accrued interest receivable from the measurement of its ACL. When a loan is placed on non-accrual status, any outstanding accrued interest is reversed against interest income. Loans that do not share risk characteristics are evaluated on an individual basis. Loans evaluated individually are not also included in the collective evaluation. We evaluate all loans that meet the following criteria: 1) when it is determined that foreclosure is probable; 2) substandard, doubtful and nonperforming loans when repayment is expected to be provided substantially through the operation or sale of the collateral; 3) when it is determined by management that a loan does not share similar risk characteristics with other loans. Specific reserves are established based on the following three acceptable methods for measuring the ACL: 1) the present value of expected future cash flows discounted at the loan’s original effective interest rate; 2) the loan’s observable market price; or 3) the fair value of the collateral when the loan is collateral dependent. Our individual loan evaluations consist primarily of the fair value of collateral method because most of our loans are collateral dependent. Collateral values are discounted to consider disposition costs when appropriate. A specific reserve is established or a charge-off is taken if the fair value of the loan is less than the loan balance. At December 31, 2023, there was $8,767 in the ACL related to loans, with corresponding provision expense of $2,030 during the year ended December 31, 2023. The Company’s loan portfolio segments have been identified as follows: Commercial and Industrial, Commercial Real Estate, Residential Real Estate, and Consumer. Commercial and industrial: Commercial real estate: Portfolio segment consists of nonfarm, nonresidential loans secured by owner-occupied and nonowner-occupied commercial real estate as well as commercial construction loans. An owner-occupied loan relates to a borrower purchased building or space for which the repayment of principal is dependent upon cash flows from the ongoing business operations conducted by the party, or an affiliate of the party, who owns the property. Owner-occupied loans that are dependent on cash flows from operations can be adversely affected by current market conditions for their product or service. A nonowner-occupied loan is a property loan for which the repayment of principal is dependent upon rental income associated with the property or the subsequent sale of the property. Nonowner-occupied loans that are dependent upon rental income are primarily impacted by the level of interest rates associated with the debt and to local economic conditions, which dictate occupancy rates and the amount of rent charged. The increase in debt service due to higher interest rates may not be able to be passed on to tenants. As part of the origination process, loan interest rates and occupancy rates are stressed to determine the impact on the borrower’s ability to maintain adequate debt service under different economic conditions. Furthermore, the Company monitors the concentration in any one industry and has established limits relative to capital. In addition, credit quality trends are monitored by industry to determine if a change in the risk exposure to a certain industry may warrant a change in our underwriting standards. Commercial construction loans consist of borrowings to purchase and develop raw land into 1-4 family residential properties. Construction loans are extended to individuals as well as corporations for the construction of an individual or multiple properties and are secured by raw land and the subsequent improvements. Repayment of the loans to real estate developers is dependent upon the sale of properties to third parties in a timely fashion upon completion. Should there be delays in construction or a downturn in the market for those properties, there may be significant erosion in value that may be absorbed by the Company Residential real estate: Portfolio segment Consumer: Portfolio segment ACL – Off-Balance Sheet Credit Exposures: The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The ACL on off-balance sheet credit exposures is adjusted through credit loss expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. At December 31, 2023, there was $692 in the ACL related to off-balance sheet credit exposures, with corresponding provision expense of $61 during the year ended December 31, 2023. Concentrations of Credit Risk: T he following represents the composition of the Company’s loan portfolio as of December 31: % of Total Loans 2023 2022 Residential real estate loans 32.88 % 33.56 % Commercial real estate loans 33.22 % 32.63 % Consumer loans 17.72 % 16.72 % Commercial and industrial loans 16.18 % 17.09 % 100.00 % 100.00 % The Bank, in the normal course of its operations, conducts business with correspondent financial institutions. Balances in correspondent accounts, investments in federal funds, certificates of deposit and other short-term securities are closely monitored to ensure that prudent levels of credit and liquidity risks are maintained. At December 31, 2023, the Bank’s primary correspondent balance was $113,136 on deposit at the FRB, Cleveland, Ohio. Premises and Equipment Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation, which is computed using the straight-line method over the estimated useful life of the owned asset and, for leasehold improvement, over the remaining term of the leased facility, whichever is shorter. The useful lives range from three seven The Company enters into leases in the normal course of business primarily for branch buildings and office space to conduct business. The Company’s leases have remaining terms ranging from 28 months to 18 years, some of which include options to extend the leases for up to 15 years. The Company includes lease extension and termination options in the lease term if, after considering relevant economic factors, it is reasonably certain the Company will exercise the option. In addition, the Company has elected to account for any non-lease components in its real estate leases as part of the associated lease component. The Company has also elected to not recognize leases with original lease terms of 12 months or less (short-term leases) on the Company’s balance sheet. Leases are classified as operating or finance leases at the lease commencement date. Lease expense for operating leases and short-term leases is recognized on a straight-line basis over the lease term. Right-of-use (“ROU”) assets represent our right to use an underlying asset for the lease term and lease liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. At December 31, 2023 and 2022, the Company did not have any finance leases. The Company’s operating lease ROU assets and operating lease liabilities are valued based on the present value of future minimum lease payments, discounted with an incremental borrowing rate for the same term as the underlying lease. The Company has one lease arrangement that contains variable lease payments that are adjusted periodically for an index. Foreclosed assets Assets acquired through or instead of loan foreclosure are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. Physical possession of residential real estate property collateralizing a consumer mortgage loan occurs when legal title is obtained upon completion of foreclosure or when the borrower conveys all interest in the property to satisfy the loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. If fair value declines subsequent to foreclosure, a valuation allowance is recorded through expense. Operating costs after acquisition are expensed. Goodwill: Goodwill arises from business combinations and is generally determined as the excess of the fair value of the consideration transferred, plus the fair value of any noncontrolling interests in the acquiree, over the fair value of the net assets acquired and liabilities assumed as of the acquisition date. Goodwill acquired in a purchase business combination and determined to have an indefinite useful life are not amortized but tested for impairment at least annually. Goodwill is the only intangible asset with an indefinite life on our balance sheet. The Company has selected December 31 as the date to perform its annual qualitative impairment test. Given that the Company has been profitable and had positive equity, the qualitative assessment indicated that it was more likely than not that the fair value of goodwill was more than the carrying amount, resulting in no impairment. Long-term Assets: Premises and equipment and other long-term assets are reviewed for impairment when events indicate their carrying amount may not be recoverable from future undiscounted cash flows. If impaired, the assets are recorded at fair value. Mortgage Servicing Rights: A mortgage servicing right (“MSR”) is a contractual agreement where the right to service a mortgage loan is sold by the original lender to another party. When the Company sells mortgage loans to the secondary market, it retains the servicing rights to these loans. The Company’s MSR is recognized separately when acquired through sales of loans and is initially recorded at fair value with the income statement effect recorded in mortgage banking income. Subsequently, the MSR is then amortized in proportion to and over the period of estimated future servicing income of the underlying loan. The MSR is then evaluated for impairment periodically based upon the fair value of the rights as compared to the carrying amount, with any impairment being recognized through a valuation allowance. Fair value of the MSR is based on market prices for comparable mortgage servicing contracts. Impairment is determined by stratifying rights into groupings based on predominant risk characteristics, such as interest rate, loan type and investor type. If the Company later determines that all or a portion of the impairment no longer exists for a particular grouping, a reduction of the allowance may be recorded as an increase to income. At December 31, 2023 and 2022, the Company’s MSR assets were $403 and $456, respectively. Earnings Per Share: Earnings per share is based on net income divided by the following weighted average number of common shares outstanding during the periods: 4,774,607 for 2023 and 4,769,135 for 2022. Ohio Valley had no dilutive effect and no potential common shares issuable under stock options or other agreements for any period presented. Income Taxes: Income tax expense is the sum of the current year income tax due or refundable and the change in deferred tax assets and liabilities. Deferred tax assets and liabilities are the expected future tax consequences of temporary differences between the carrying amounts and tax bases of assets and liabilities, computed using enacted tax rates. The effect on deferred tax assets and liabilities of a change in tax rates is recognized at the time of enactment of such change in tax rates. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. A tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. The Company recognizes interest and/or penalties related to income tax matters in income tax expense. Comprehensive Income : Loss Contingencies tingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there now are such matters that will have a material effect on the finan Bank Owned Life Insurance and Annuity Assets: The Company has purchased life insurance policies on certain key executives. Bank owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement. The Company also purchased an annuity investment for a certain key executive that earns interest. Employee Stock Ownership Plan: Compensation expense is based on the market price of shares as they are committed to be allocated to participant accounts. Dividend Reinvestment Plan: The Company maintains a Dividend Reinvestment Plan. The plan enables shareholders to elect to have their cash dividends on all or a portion of shares held automatically reinvested in additional shares of the Company’s common stock. The stock is issued out of the Company’s authorized shares and credited to participant accounts at fair market value. Dividends are reinvested on a quarterly basis. Loan Commitments and Related Financial Instruments: Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. These financial instruments are recorded when they are funded. See Note L for more specific disclosure related to loan commitments. Dividend Restrictions: Banking regulations require maintaining certain capital levels and may limit the dividends paid by the Bank to Ohio Valley or by Ohio Valley to its shareholders. See Note P for more specific disclosure related to dividend restrictions. Restrictions on Cash: bank and the FRB totaled $113,136 and $30,908 at year-end 2023 and 2022, respectively, and were subject to clearing requirements but not subject to any regulatory reserve requirements. The balances on deposit with a third-party correspondent do not earn interest. Derivatives : Net cash settlements on derivatives that qualify for hedge accounting are recorded in interest income or interest expense, based on the item being hedged. Net cash settlements on derivatives that do not qualify for hedge accounting are reported in noninterest income. Cash flows on hedges are classified in the cash flow statement the same as the cash flows of the items being hedged. At December 31, 2023 and 2022, the only derivative instruments used by the Company were interest rate swaps, which are classified as stand-alone derivatives. See Note H for more specific disclosures related to interest rate swaps. Fair Value of Financial Instruments: Reclassifications : Adoption of New Accounting Pronouncements: Financial Instruments - Credit Losses (Topic 326): TDR’s and Vintage Disclosures Effective January 1, 2023, the Company adopted ASU No. 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, The Company adopted ASC 326 using the modified retrospective method for all financial assets measured at amortized cost and off-balance sheet credit exposures. Results for reporting periods beginning after January 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable US GAAP. The Company recorded a net decrease to retained earnings of $2,209 as of January 1, 2023 for the cumulative effect of adopting ASC 326. The following table illustrates the transition adjustment of adopting ASC 326: January 1, 2023 As Reported Under ASC 326 Pre-ASC 326 Adoption Impact of ASC 326 Adoption Assets: ACL - HTM debt securities Obligations of states and political subdivisions $ 3 $ — $ 3 ACL - Loans Residential real estate 2,026 681 1,345 Commercial real estate 2,200 2,038 162 Commercial and industrial 1,177 1,293 (116 ) Consumer 2,028 1,257 771 Total ACL - Loans $ 7,431 $ 5,269 $ 2,162 Deferred tax assets $ 6,853 $ 6,266 $ 587 Liabilities: ACL - Off-balance sheet commitments $ 631 $ — $ 631 |
Securities
Securities | 12 Months Ended |
Dec. 31, 2023 | |
Securities [Abstract] | |
Securities | Note B - Securities The following table summarizes the amortized cost and fair value of securities available for sale and securities held to maturity at December 31, 2023 and 2022, and the corresponding amounts of gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) and gross unrecognized gains and losses: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Securities Available for Sale December 31, 2023 U.S. Government securities $ 52,174 $ — $ (1,877 ) $ 50,297 U.S. Government sponsored entity securities 6,527 — (650 ) 5,877 Agency mortgage-backed securities, residential 118,218 — (12,134 ) 106,084 Total securities $ 176,919 $ — $ (14,661 ) $ 162,258 December 31, 2022 U.S. Government securities $ 57,698 $ — $ (2,906 ) $ 54,792 U.S. Government sponsored entity securities 8,845 — (862 ) 7,983 Agency mortgage-backed securities, residential 136,282 — (14,983 ) 121,299 Total securities $ 202,825 $ — $ (18,751 ) $ 184,074 Amortized Cost Gross Unrecognized Gains Gross Unrecognized Losses Estimated Fair Value Allowance for Credit Losses Securities Held to Maturity December 31, 2023 Obligations of states and political subdivisions $ 7,987 $ 17 $ (615 ) $ 7,389 $ (2 ) Agency mortgage-backed securities, residential 1 — — 1 — Total securities $ 7,988 $ 17 $ (615 ) $ 7,390 $ (2 ) December 31, 2022 Obligations of states and political subdivisions $ 9,225 $ 32 $ (798 ) $ 8,459 Agency mortgage-backed securities, residential 1 — — 1 Total securities $ 9,226 $ 32 $ (798 ) $ 8,460 At . During 2023, proceeds from the sales of debt securities totaled $1,067 with gross losses of $23 recognized. During 2022, proceeds from the sales of debt securities totaled $10,963 with gross losses of $1,537 recognized. Securities with a carrying value of approximately $126,994 at December 31, 2023 and $126,318 at December 31, 2022 were pledged to secure public deposits and repurchase agreements and for other purposes as required or permitted by law. The amortized cost and estimated fair value of debt securities at December 31, 2023, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay the debt obligations prior to their contractual maturities. Securities not due at a single maturity are shown separately. Available for Sale Held to Maturity Debt Securities: Amortized Cost Estimated Fair Value Amortized Cost Estimated Fair Value Due in one year or less $ 17,424 $ 17,257 $ 397 $ 392 Due in one to five years 41,277 38,917 3,974 3,780 Due in five to ten years — — 1,490 1,297 Due after ten years — — 2,126 1,920 Agency mortgage-backed securities, residential 118,218 106,084 1 1 Total debt securities $ 176,919 $ 162,258 $ 7,988 $ 7,390 The following table summarizes debt securities available for sale in an unrealized loss position for which an ACL has not been recorded at December 31, 2023 and December 31, 2022, aggregated by major security type and length of time in a continuous unrealized loss position: December 31, 2023 Less than 12 Months 12 Months or More Total Securities Available for Sale Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. Government securities $ 9,474 $ (52 ) $ 40,823 $ (1,825 ) $ 50,297 $ (1,877 ) U.S. Government sponsored entity securities — — 5,877 (650 ) 5,877 (650 ) Agency mortgage-backed securities, residential — — 106,084 (12,134 ) 106,084 (12,134 ) Total available for sale $ 9,474 $ (52 ) $ 152,784 $ (14,609 ) $ 162,258 $ (14,661 ) December 31, 2022 Less than 12 Months 12 Months or More Total Securities Available for Sale Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. Government securities $ 36,460 $ (977 ) $ 18,332 $ (1,929 ) $ 54,792 $ (2,906 ) U.S. Government sponsored entity securities 2,786 (60 ) 5,197 (802 ) 7,983 (862 ) Agency mortgage-backed securities, residential 71,510 (7,178 ) 49,789 (7,805 ) 121,299 (14,983 ) Total available for sale $ 110,756 $ (8,215 ) $ 73,318 $ (10,536 ) $ 184,074 $ (18,751 ) Management evaluates available for sale debt securities in unrealized positions to determine whether impairment is due to credit-related factors. Consideration is given to (1) the extent to which the fair value is less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent and ability of the Company to retain its investment in the security for a period of time sufficient to allow for any anticipated recovery in fair value. At December 31, 2023, the Company had 96 available for sale debt securities in an unrealized position without an ACL, of which 13 were from U.S. Government securities, 3 were from U.S. Government sponsored entity securities, and 80 were from Agency mortgage-backed residential securities. Management does not have the intent to sell any of these securities and believes that it is more likely than not that the Company will not have to sell any such securities before a recovery of cost. The fair value is expected to recover as the securities approach their maturity date or repricing date or if market yields for such investments decline. Accordingly, as of December 31, 2023, management believes that the unrealized losses detailed in the previous table are due to noncredit-related factors, including changes in interest rates and other market conditions and, therefore, the Company carried no ACL on available for sale debt securities at December 31, 2023. The following table presents the activity in the ACL for held to maturity debt securities for the year ended December 31, 2023: Held to Maturity Debt Securities 2023 Allowance for credit losses: Beginning balance $ — Impact of adopting ASC 326 3 Provision for (recovery of) credit loss expense (1 ) Allowance for credit losses ending balance $ 2 The Company’s held to maturity securities primarily consist of obligations of states and political subdivisions. The ACL on held to maturity securities is estimated at each measurement date on a collective basis by major security type. Risk factors such as issuer bond ratings, historical loss rates, financial condition of issuer, and timely principal and interest payments of issuer were evaluated to determine if a credit reserve was required within the portfolio. At December 31, 2023, there were no past due principal and interest payments related to held to maturity securities. Upon adoption of ASC 326 on January 1, 2023, the Company identified a cumulative loss rate of 0.03% using historical loss data provided by S&P and Moody’s bond rating service. This resulted in a $3 credit loss reserve for held to maturity debt securities. During 2023, the cumulative loss rate decreased to 0.02%, resulting in a $1 recovery of provision expense during the year ended December 31, 2023. |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses | 12 Months Ended |
Dec. 31, 2023 | |
Loans and Allowance for Credit Losses [Abstract] | |
Loans and Allowance for Credit Losses | Note C - Loans and Allowance for Credit Losses Loans are comprised of the following at December 31: 2023 2022 Residential real estate $ 319,504 $ 297,036 Commercial real estate: Owner-occupied 82,356 72,719 Nonowner-occupied 178,201 182,831 Construction 62,337 33,205 Commercial and industrial 157,298 151,232 Consumer: Automobile 61,461 54,837 Home equity 35,893 27,791 Other 74,850 65,398 971,900 885,049 Less: Allowance for credit losses (8,767 ) (5,269 ) Loans, net $ 963,133 $ 879,780 At December 31, 2023 and 2022, net deferred loan origination costs were $794 and $663, respectively. At December 31, 2023 and 2022, net unamortized loan purchase premiums were $687 and $1,142, respectively The following table presents the recorded investment of nonaccrual loans and loans past due 90 days or more and still accruing by class of loans as of December 31, 2023 and 2022: December 31, 2023 Loans Past Due 90 Days And Still Accruing Nonaccrual Loans With No ACL Nonaccrual Loans With an ACL Total Nonaccrual Loans Residential real estate $ 9 $ — $ 1,234 $ 1,234 Commercial real estate: Owner-occupied — 775 — 775 Nonowner-occupied — — 61 61 Construction — — 1 1 Commercial and industrial — — 48 48 Consumer: Automobile 56 — 78 78 Home equity — — 95 95 Other 54 — 100 100 Total $ 119 $ 775 $ 1,617 $ 2,392 December 31, 2022 Loans Past Due 90 Days And Still Accruing Nonaccrual Residential real estate $ 100 $ 1,708 Commercial real estate: Owner-occupied — 938 Nonowner-occupied — 70 Construction — 75 Commercial and industrial — 150 Consumer: Automobile 27 82 Home equity — 151 Other 411 59 Total $ 538 $ 3,233 The Company recognized $146 of interest income in nonaccrual loans during the year ended December 31, 2023. The following table presents the aging of the recorded investment of past due loans by class of loans as of December 31, 2023 and 2022: December 31, 2023 30-59 Days Past Due 60-89 Days Past Due 90 Days Or More Past Due Total Past Due Loans Not Past Due Total Residential real estate $ 2,705 $ 368 $ 481 $ 3,554 $ 315,950 $ 319,504 Commercial real estate: Owner-occupied 2,580 — 775 3,355 79,001 82,356 Nonowner-occupied 681 — — 681 177,520 178,201 Construction — — — — 62,337 62,337 Commercial and industrial 3,338 — 48 3,386 153,912 157,298 Consumer: Automobile 782 210 117 1,109 60,352 61,461 Home equity 353 62 95 510 35,383 35,893 Other 658 121 148 927 73,923 74,850 Total $ 11,097 $ 761 $ 1,664 $ 13,522 $ 958,378 $ 971,900 December 31, 2022 30-59 Days Past Due 60-89 Days Past Due 90 Days Or More Past Due Total Past Due Loans Not Past Due Total Residential real estate $ 1,799 $ 701 $ 497 $ 2,997 $ 294,039 $ 297,036 Commercial real estate: Owner-occupied 97 — 938 1,035 71,684 72,719 Nonowner-occupied 626 5 — 631 182,200 182,831 Construction 40 45 17 102 33,103 33,205 Commercial and industrial 21 — 150 171 151,061 151,232 Consumer: Automobile 804 240 97 1,141 53,696 54,837 Home equity 204 — 151 355 27,436 27,791 Other 875 113 452 1,440 63,958 65,398 Total $ 4,466 $ 1,104 $ 2,302 $ 7,872 $ 877,177 $ 885,049 Credit Quality Indicators: The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt, such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. These risk categories are represented by a loan grading scale from 1 through 11. The Company analyzes loans individually with a higher credit risk rating and groups these loans into categories called “criticized” and “classified” assets. The Company considers its criticized assets to be loans that are graded 8 and its classified assets to be loans that are graded 9 through 11. The Company’s risk categories are reviewed at least annually on loans that have aggregate borrowing amounts that meet or exceed $1,000. The Company uses the following definitions for its criticized Special Mention. Loans classified as “special mention” indicate considerable risk due to deterioration of repayment (in the earliest stages) due to potential weak primary repayment source, or payment delinquency. These loans will be under constant supervision, are not classified and do not expose the institution to sufficient risks to warrant classification. These deficiencies should be correctable within the normal course of business, although significant changes in company structure or policy may be necessary to correct the deficiencies. These loans are considered bankable assets with no apparent loss of principal or interest envisioned. The perceived risk in continued lending is considered to have increased beyond the level where such loans would normally be granted. The Company uses the following definitions for its classified Substandard. Loans classified as “substandard” represent very high risk, serious delinquency, nonaccrual, or unacceptable credit. Repayment through the primary source of repayment is in jeopardy due to the existence of one or more well-defined weaknesses, and the collateral pledged may inadequately protect collection of the loans. Loss of principal is not likely if weaknesses are corrected, although financial statements normally reveal significant weakness. Loans are still considered collectible, although loss of principal is more likely than with special mention loans. Collateral liquidation is considered likely to satisfy debt. Doubtful. Loans classified as “doubtful” display a high probability of loss, although the amount of actual loss at the time of classification is undetermined. This classification should be temporary until such time that actual loss can be identified, or improvements are made to reduce the seriousness of the classification. These loans exhibit all substandard characteristics with the addition that weaknesses make collection or liquidation in full highly questionable and improbable. This classification consists of loans where the possibility of loss is high after collateral liquidation based upon existing facts, market conditions, and value. Loss is deferred until certain important and reasonable specific pending factors that may strengthen the credit can be more accurately determined. These factors may include proposed acquisitions, liquidation procedures, capital injection, receipt of additional collateral, mergers, or refinancing plans. A doubtful classification for an entire credit should be avoided when collection of a specific portion appears highly probable with the adequately secured portion graded substandard. Loss. Loans classified as “loss” are considered uncollectible and are of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the credit has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this asset yielding such a minimum value even though partial recovery may be affected in the future. Amounts classified as loss should be promptly charged off. As of December 31, 2023 and 2022, and based on the most recent analysis performed, the risk category of commercial loans by class of loans was as follows: Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Commercial real estate: Owner-occupied Risk Rating Pass $ 18,120 $ 7,911 $ 10,679 $ 5,973 $ 6,125 $ 15,925 $ 459 $ 65,192 Special Mention — — — — — 427 — 427 Substandard — — 13,934 — 498 2,005 300 16,737 Doubtful — — — — — — — — Total $ 18,120 $ 7,911 $ 24,613 $ 5,973 $ 6,623 $ 18,357 $ 759 $ 82,356 Current Period gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Commercial real estate: Nonowner occupied Risk Rating Pass $ 12,688 $ 29,344 $ 32,235 $ 20,484 $ 15,415 $ 61,809 $ 1,128 $ 173,103 Special Mention — — 768 3,226 — 1,034 — 5,028 Substandard — — 70 — — — — 70 Doubtful — — — — — — — — Total $ 12,688 $ 29,344 $ 33,073 $ 23,710 $ 15,415 $ 62,843 $ 1,128 $ 178,201 Current Period gross charge-offs $ — $ — $ 132 $ — $ — $ — $ — $ 132 Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Commercial real estate: Construction Risk Rating Pass $ 28,055 $ 29,174 $ 1,231 $ 302 $ 392 $ 2,937 $ — $ 62,091 Special Mention — — — — — — — — Substandard — — — — — 246 — 246 Doubtful — — — — — — — — Total $ 28,055 $ 29,174 $ 1,231 $ 302 $ 392 $ 3,183 $ — $ 62,337 Current Period gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Commercial and Industrial Risk Rating Pass $ 8,770 $ 30,885 $ 26,806 $ 31,247 $ 344 $ 27,632 $ 27,510 $ 153,194 Special Mention 140 — — — — 8 66 214 Substandard — — 58 1,363 4 182 2,283 3,890 Doubtful — — — — — — — — Total $ 8,910 $ 30,885 $ 26,864 $ 32,610 $ 348 $ 27,822 $ 29,859 $ 157,298 Current Period gross charge-offs $ — $ — $ — $ — $ — $ — $ 29 $ 29 December 31, 2022 Pass Criticized Classified Total Commercial real estate: Owner-occupied $ 68,236 $ 3,545 $ 938 $ 72,719 Nonowner-occupied 177,479 5,352 — 182,831 Construction 33,143 — 62 33,205 Commercial and industrial 147,627 1,879 1,726 151,232 Total $ 426,485 $ 10,776 $ 2,726 $ 439,987 The Company considers the performance of the loan portfolio and its impact on the ACL. For residential and consumer loan classes, the Company evaluates credit quality based on the aging status of the loan, which was previously presented, and by payment activity. The following table presents the recorded investment of residential and consumer loans by class of loans based on repayment activity as of December 31, 2023 and 2022 : Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Residential Real Estate: Payment Performance Performing $ 50,484 $ 44,640 $ 50,949 $ 44,818 $ 21,854 $ 91,956 $ 13,560 $ 318,261 Nonperforming — — — — 182 1,061 — 1,243 Total $ 50,484 $ 44,640 $ 50,949 $ 44,818 $ 22,036 $ 93,017 $ 13,560 $ 319,504 Current Period gross charge-offs $ — $ — $ 3 $ — $ — $ 118 $ — $ 121 Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Consumer: Automobile Payment Performance Performing $ 28,939 $ 20,376 $ 7,013 $ 3,028 $ 1,212 $ 759 $ — $ 61,327 Nonperforming 34 60 15 1 9 15 — 134 Total $ 28,973 $ 20,436 $ 7,028 $ 3,029 $ 1,221 $ 774 $ — $ 61,461 Current Period gross charge-offs $ 51 $ 163 $ 116 $ 6 $ 29 $ 3 $ — $ 368 Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Consumer: Home Equity Payment Performance Performing $ 1,649 $ 79 $ — $ — $ — $ — $ 34,070 $ 35,798 Nonperforming — — — — — — 95 95 Total $ 1,649 $ 79 $ — $ — $ — $ — $ 34,165 $ 35,893 Current Period gross charge-offs $ — $ — $ — $ — $ — $ — $ 87 $ 87 Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Consumer: Other Payment Performance Performing $ 18,377 $ 24,904 $ 10,800 $ 4,482 $ 1,093 $ 953 $ 14,087 $ 74,696 Nonperforming 11 17 67 53 1 4 1 154 Total $ 18,388 $ 24,921 $ 10,867 $ 4,535 $ 1,094 $ 957 $ 14,088 $ 74,850 Current Period gross charge-offs $ 306 $ 119 $ 119 $ 84 $ 28 $ 53 $ 246 $ 955 Consumer December 31, 2022 Automobile Home Equity Other Residential Real Estate Total Performing $ 54,728 $ 27,640 $ 64,928 $ 295,228 $ 442,524 Nonperforming 109 151 470 1,808 2,538 Total $ 54,837 $ 27,791 $ 65,398 $ 297,036 $ 445,062 The Company originates residential, consumer, and commercial loans to customers located primarily in the southeastern areas of Ohio as well as the western counties of West Virginia. Approximately 4.37% of total loans were unsecured at December 31, 2023, down from 4.52% at December 31, 2022. Modifications to Borrowers Experiencing Financial Difficulty: Occasionally, the Company modifies loans to borrowers experiencing financial difficulty. These modifications may include one or a combination of the following: a reduction of the stated interest rate of the loan; an extension of the maturity date at a stated rate of interest lower than the current market rate for new debt with similar risk; a reduction in the contractual principal and interest payments of the loan; or short-term interest-only payment terms. All modifications to borrowers experiencing financial difficulty are considered to be impaired. During the year ended December 31, 2023, the Company experienced no new modifications to borrowers experiencing financial difficulty. The following table presents the activity in the ACL by portfolio segment for the years ended December 31, 2023 and 2022: December 31, 2023 Residential Real Estate Commercial Real Estate Commercial & Industrial Consumer Total Allowance for credit losses: Beginning balance $ 681 $ 2,038 $ 1,293 $ 1,257 $ 5,269 Impact of adopting ASC 326 1,345 162 (116 ) 771 2,162 Provision for credit losses 251 824 (85 ) 1,040 2,030 Loans charged off (121 ) (132 ) (29 ) (1,410 ) (1,692 ) Recoveries 57 155 212 574 998 Total ending allowance balance $ 2,213 $ 3,047 $ 1,275 $ 2,232 $ 8,767 December 31, 2022 Residential Real Estate Commercial Real Estate Commercial & Industrial Consumer Total Allowance for credit losses: Beginning balance $ 980 $ 2,548 $ 1,571 $ 1,384 $ 6,483 Provision for credit losses (318 ) (556 ) 283 559 (32 ) Loans charged off (135 ) (36 ) (618 ) (1,399 ) (2,188 ) Recoveries 154 82 57 713 1,006 Total ending allowance balance $ 681 $ 2,038 $ 1,293 $ 1,257 $ 5,269 The following table presents the balance in the ACL and the recorded investment of loans by portfolio segment and based on impairment method as of December 31, 2022: December 31, 2022 Residential Real Estate Commercial Real Estate Commercial & Industrial Consumer Total Allowance for credit losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ — $ — $ — $ — $ — Collectively evaluated for impairment 681 2,038 1,293 1,257 5,269 Total ending allowance balance $ 681 $ 2,038 $ 1,293 $ 1,257 $ 5,269 Loans: Loans individually evaluated for impairment $ — $ 1,986 $ — $ 28 $ 2,014 Loans collectively evaluated for impairment 297,036 286,769 151,232 147,998 883,035 Total ending loans balance $ 297,036 $ 288,755 $ 151,232 $ 148,026 $ 885,049 The following table presents the amortized cost basis of collateral dependent loans by class of loans as of December 31, 2023: Collateral Type December 31, 2023 Real Estate Business Assets Total Residential real estate $ 1,663 $ — $ 1,663 Commercial real estate: Owner-occupied 700 258 958 Consumer: Home equity 27 — 27 Total collateral dependent loans $ 2,390 $ 258 $ 2,648 The following table presents information related to loans individually evaluated for impairment by class of loans as of the years ended December 31, 2022: December 31, 2022 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Impaired Loans Interest Income Recognized Cash Basis Interest Recognized With an allowance recorded: $ — $ — $ — $ — $ — $ — With no related allowance recorded: Commercial real estate: Owner-occupied 1,692 1,607 — 1,662 97 97 Nonowner-occupied 379 379 — 382 29 29 Consumer: Home equity 28 28 — 23 2 2 Total $ 2,099 $ 2,014 $ — $ 2,067 $ 128 $ 128 The recorded investment of a loan excludes accrued interest and net deferred origination fees and costs due to immateriality. Nonaccrual loans and loans past due 90 days or more and still accruing include both smaller balance homogenous loans that are collectively evaluated for impairment and individually classified as impaired loans. The Company transfers loans to other real estate owned, at fair value less cost to sell, in the period the Company obtains physical possession of the property (through legal title or through a deed in lieu). As of December 31, 2023, the Company had $68 in other real estate owned for residential real estate properties compared to none at December 31, 2022. In addition, nonaccrual residential mortgage loans that are in the process of foreclosure had a recorded investment of $348 and $370 as of December 31, 2023 and 2022, respectively. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2023 | |
Premises and Equipment [Abstract] | |
Premises and Equipment | Note D - Premises and Equipment Following is a summary of premises and equipment at December 31: 2023 2022 Land $ 2,568 $ 2,486 Buildings 23,867 22,526 Leasehold improvements 1,555 1,509 Furniture and equipment 11,137 10,410 39,127 36,931 Less accumulated depreciation 17,677 16,495 Total premises and equipment $ 21,450 $ 20,436 Following is a summary of premises and equipment held for sale at December 31: 2023 2022 Land $ 84 $ 84 Buildings 594 594 678 678 Less accumulated depreciation 105 85 Total premises and equipment held for sale $ 573 $ 593 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | Note E – Leases Balance sheet information related to leases at December 31 was as follows: 2023 2022 Operating leases: Operating lease right-of-use assets $ 1,205 $ 1,294 Operating lease liabilities 1,205 1,294 The components of lease cost were as follows for the year ending December 31: 2023 2022 Operating lease cost $ 204 $ 185 Short-term lease expense 17 35 Future undiscounted lease payments for operating leases with initial terms of one year or more as of December 31, 2023 are as follows: Operating Leases 2024 $ 195 2025 195 2026 140 2027 109 2028 111 Thereafter 764 Total lease payments 1,514 Less: Imputed Interest (309 ) Total operating leases $ 1,205 Other information at December 31 was as follows: 2023 2022 Weighted-average remaining lease term for operating leases 13.0 years 12.1 years Weighted-average discount rate for operating leases 2.91 % 2.70 % |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets [Abstract] | |
Goodwill and Intangible Assets | Note F – Goodwill and Intangible Assets Goodwill The change in goodwill during the year is as follows: Gross Carrying Amount 2023 2022 Goodwill $ 7,319 $ 7,319 Impairment exists when a reporting unit’s carrying value of goodwill exceeds its fair value. At December 31, 2023 and 2022, the Company’s reporting unit had positive equity and the Company elected to perform a qualitative assessment to determine if it was more likely than not that fair value of the reporting unit exceeded its carrying value, including goodwill. The qualitative assessment indicated that it is more likely than not that fair value of goodwill is more than the carrying value, resulting in no impairment. Therefore, the Company did not proceed to step one of the annual goodwill impairment testing requirement. Acquired intangible assets: Acquired intangible assets were as follows at year-end: 2023 2022 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Amortized intangible assets: Core deposit intangibles $ 738 $ 730 $ 738 $ 709 Aggregate amortization expense was $21 for 2023 and $35 for 2022. Estimated amortization expense for each of the next five years: 2024 $ 8 2025 — 2026 — 2027 — 2028 — Total $ 8 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2023 | |
Deposits [Abstract] | |
Deposits | Note G - Deposits Following is a summary of deposits at December 31: 2023 2022 Noninterest-bearing deposits $ 322,222 $ 354,413 Interest-bearing deposits: NOW accounts 170,422 209,758 Savings and Money Market 255,369 311,565 Time deposits in denominations of $250 or less 301,323 115,049 Time deposits in denominations of more than $250 77,800 36,870 Total time deposits 379,123 151,919 Total interest-bearing deposits 804,914 673,242 Total deposits $ 1,127,136 $ 1,027,655 Following is a summary of total time deposits by remaining maturity at December 31, 2023: 2024 $ 261,922 2025 95,860 2026 19,001 2027 1,139 2028 1,023 Thereafter 178 Total $ 379,123 Brokered deposits, included in time deposits, were $64,893 and $3,999 at December 31, 2023 and 2022, respectively. |
Interest Rate Swaps
Interest Rate Swaps | 12 Months Ended |
Dec. 31, 2023 | |
Interest Rate Swaps [Abstract] | |
Interest Rate Swaps | Note H - Interest Rate Swaps The Company manages economic risks, including interest rate, liquidity, and credit risk, primarily by managing the amount, sources, and duration of its assets and liabilities. The Company utilizes interest rate swap agreements as part of its asset/liability management strategy to help manage its interest rate risk position. As part of this strategy, the Company provides its customer with a fixed-rate loan while creating a variable-rate asset for the Company by the customer entering into an interest rate swap with the Company on terms that match the loan. The Company offsets its risk exposure by entering into an offsetting interest rate swap with an unaffiliated institution. These interest rate swaps do not qualify as designated hedges; therefore, each swap is accounted for as a standalone derivative. At December 31, 2023, the Company had offsetting interest rate swaps associated with commercial loans with a notional value of $12,515 and a fair value asset of $1,147 and a fair value liability for the same amount included in other assets and other liabilities, respectively. This is compared to offsetting interest rate swaps with a notional value of $13,196 and a fair value asset and liability of $1,340 at December 31, 2022. The notional amount of the interest rate swaps does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual interest rate swap agreement. To offset the risk exposure related to market value fluctuations of its interest rate swaps, the Company would normally maintain collateral deposits on hand with a third-party correspondent, however due to the increasing rate environment, risk exposure was reduced in both 2023 and 2022, respectively, resulting in no collateral deposits at December 31, 2023 or December 31, 2022. |
Other Borrowed Funds
Other Borrowed Funds | 12 Months Ended |
Dec. 31, 2023 | |
Other Borrowed Funds [Abstract] | |
Other Borrowed Funds | Note I - Other Borrowed Funds Other borrowed funds at December 31, 2023 and 2022 are comprised of advances from the FHLB of Cincinnati and promissory notes. FHLB Borrowings Promissory Notes Totals 2023 $ 42,199 $ 2,394 $ 44,593 2022 $ 15,569 $ 2,376 $ 17,945 Pursuant to collateral agreements with the FHLB, advances are secured by $312,767 in qualifying mortgage loans, $33,456 in commercial loans and $2,896 in FHLB stock at December 31, 2023. Fixed-rate FHLB advances of $42,199 mature through 2042 and have interest rates ranging from 1.53% to 4.91% and a year-to-date weighted average cost of 3.50% and 2.34% at December 31, 2023 and 2022, respectively. There were no variable-rate FHLB borrowings at December 31, 2023. At December 31, 2023, the Company had a cash management line of credit enabling it to borrow up to $100,000 from the FHLB, subject to the stock ownership and collateral limitations described below. Based on the Company’s current FHLB stock ownership, total assets and pledgeable loans, the Company had the ability to obtain borrowings from the FHLB up to a maximum of $182,731 at December 31, 2023. Of this maximum borrowing capacity, the Company had $88,183 available to use as additional borrowings, of which $88,183 could be used for short term, cash management advances, as mentioned above. Promissory notes, issued primarily by Ohio Valley, are due at various dates through a final maturity date of November 18, 2024, and have fixed rates ranging from 3.15% to 5.00% and a year-to-date weighted average cost of 3.79% at December 31, 2023, as compared to 1.35% at December 31, 2022. At December 31, 2023, there were six promissory notes payable by Ohio Valley to related parties Letters of credit issued on the Bank’s behalf by the FHLB to collateralize certain public unit deposits as required by law totaled $52,350 at December 31, 2023 and $75,140 at December 31, 2022. Scheduled principal payments over the next five years: FHLB Borrowings Promissory Notes Totals 2024 $ 5,412 $ 2,394 $ 7,806 2025 4,983 — 4,983 2026 12,908 — 12,908 2027 11,397 — 11,397 2028 1,349 — 1,349 Thereafter 6,150 — 6,150 $ 42,199 $ 2,394 $ 44,593 |
Subordinated Debentures and Tru
Subordinated Debentures and Trust Preferred Securities | 12 Months Ended |
Dec. 31, 2023 | |
Subordinated Debentures and Trust Preferred Securities [Abstract] | |
Subordinated Debentures and Trust Preferred Securities | Note J - Subordinated Debentures and Trust Preferred Securities On March 22, 2007, a trust formed by Ohio Valley issued $8,500 of adjustable-rate trust preferred securities as part of a pooled offering of such securities. The rate on these trust preferred securities was fixed at 6.58% for five years, and then converted to a floating-rate term on March 15, 2012, based on a rate equal to the 3-month LIBOR plus 1.68%. Beginning September 15, 2023, the rate converted from a 3-month LIBOR index to a 3-month CME Term SOFR index plus a spread adjustment of 0.26% and a margin of 1.68%. The interest rate on these trust preferred securities was 7.33% at December 31, 2023 and 6.45% at December 31, 2022. There were no debt issuance costs incurred with these trust preferred securities. The Company issued subordinated debentures to the trust in exchange for the proceeds of the offering. The subordinated debentures must be redeemed no later than June 15, 2037. Under the provisions of the related indenture agreements, the interest payable on the trust preferred securities is deferrable for up to five years and any such deferral is not considered a default. During any period of deferral, the Company would be precluded from declaring or paying dividends to shareholders or repurchasing any of the Company’s common stock. Under generally accepted accounting principles, the trusts are not consolidated with the Company. Accordingly, the Company does not report the securities issued by the trust as liabilities, and instead reports as liabilities the subordinated debentures issued by the Company and held by the trust. Since the Company’s equity interest in the trusts cannot be received until the subordinated debentures are repaid, these amounts have been netted. The subordinated debentures may be included in Tier 1 capital (with certain limitations applicable) under current regulatory guidelines and interpretations. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes [Abstract] | |
Income Taxes | Note K - Income Taxes The provision for income taxes consists of the following components: 2023 2022 Current tax expense $ 3,312 $ 2,306 Deferred tax (benefit) expense (745 ) 288 Total income taxes $ 2,567 $ 2,594 The source of deferred tax assets and deferred tax liabilities at December 31: 2023 2022 Items giving rise to deferred tax assets: Other reserves $ 152 $ — Allowance for loan losses 1,916 1,146 Unrealized loss on securities available for sale 3,233 3,938 Deferred compensation 2,176 2,058 Deferred loan fees/costs 169 137 Accrued bonus 249 266 Purchase accounting adjustments 11 6 Net operating loss 49 66 Lease liability 332 355 Nonaccrual interest income 113 204 Other 43 294 Items giving rise to deferred tax liabilities: Mortgage servicing rights (88 ) (99 ) FHLB stock dividends (442 ) (676 ) Prepaid expenses (35 ) (231 ) Depreciation and amortization (841 ) (843 ) Right-of-use asset (332 ) (355 ) Other (399 ) — Net deferred tax asset $ 6,306 $ 6,266 The Company determined that it was not required to establish a valuation allowance for deferred tax assets since management believes that the deferred tax assets are likely to be realized through the future reversals of existing taxable temporary differences, deductions against forecasted income and tax planning strategies. At December 31, 2023, the Company’s deferred tax asset related to Section 382 net operating loss carryforwards was $233, which will expire in 2026 The difference between the financial statement tax provision and amounts computed by applying the statutory federal income tax rate of 21% to income before taxes is as follows: 2023 2022 Statutory tax ( 21 $ 3,192 $ 3,346 Effect of nontaxable interest (468 ) (385 ) Effect of nontaxable insurance premiums (205 ) (240 ) Income from bank owned insurance, net (181 ) (168 ) Effect of postretirement benefits 45 (112 ) Effect of state income tax 170 155 Tax credits (25 ) (37 ) Other items 39 35 Total income taxes (1) $ 2,567 $ 2,594 (1) Effective income tax rate was 16.9% for 2023 and 16.3% for 2022 At December 31, 2023 and December 31, 2022, the Company had no unrecognized tax benefits. The Company does not expect the amount of unrecognized tax benefits to significantly change within the next twelve months. The Company did not recognize any interest and/or penalties related to income tax matters for the periods presented. The Company is subject to U.S. federal income tax as well as West Virginia state income tax. The Company is no longer subject to federal or state examination for years prior to 2020. The tax years 2020-2022 |
Commitments and Contingent Liab
Commitments and Contingent Liabilities | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingent Liabilities [Abstract] | |
Commitments and Contingent Liabilities | Note L - Commitments and Contingent Liabilities The Bank is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit, standby letters of credit and financial guarantees. The Bank’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit and standby letters of credit, and financial guarantees written, is represented by the contractual amount of those instruments. The Bank estimates expected credit losses over the contractual period in which the Bank is exposed to credit risk via a contractual obligation to extend credit. At December 31, 2023, the estimated ACL related to off-balance sheet commitments was $692, which included $61 in provision expense during the year ended December 31, 2023. The Bank uses the same credit policies in making commitments and conditional obligations as it does for instruments recorded on the balance sheet. Following is a summary of such commitments at December 31: 2023 2022 Fixed rate $ 1,331 $ 1,110 Variable rate 181,622 177,151 Standby letters of credit 9,210 3,441 At December 31, 2023, the fixed-rate commitments have interest rates ranging from 3.38% to 8.50% and maturities ranging from 16 years to 30 years. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Bank evaluates each customer’s credit worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Bank upon extension of credit, is based on management’s credit evaluation of the counterparty. Collateral held varies but may include accounts receivable, inventory, property, plant and equipment and income-producing commercial properties. There are various contingent liabilities that are not reflected in the financial statements, including claims and legal actions arising in the ordinary course of business. In the opinion of management, after consultation with legal counsel, the ultimate disposition of these matters is not expected to have a material effect on financial condition or results of operations. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note M - Related Party Transactions Certain directors, executive officers and companies with which they are affiliated were loan customers during 2023. A summary of activity on these borrower relationships with aggregate debt greater than $120 is as follows: Total loans at January 1, 2023 $ 16,696 New loans 855 Repayments (1,065 ) Other changes — Total loans at December 31, 2023 $ 16,486 Other changes include adjustments for loans applicable to one reporting period that are excludable from the other reporting period, such as changes in persons classified as directors, executive officers and companies’ affiliates. Deposits from principal officers, directors, and their affiliates at year-end 2023 and 2022 were $20,123 and $91,782. In addition, the Company had promissory notes outstanding with directors and their affiliates |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2023 | |
Employee Benefits [Abstract] | |
Employee Benefits | Note N - Employee Benefits The Bank has a profit-sharing plan for the benefit of its employees and their beneficiaries. Contributions to the plan are determined by the Board of Directors of Ohio Valley. Contributions charged to expense were $270 and $256 for 2023 and 2022. Ohio Valley maintains an Employee Stock Ownership Plan (“ESOP”) covering substantially all employees of the Company. Ohio Valley issues shares to the ESOP, purchased by the ESOP with subsidiary cash contributions, which are allocated to ESOP participants based on relative compensation. The total number of shares held by the ESOP, all of which have been allocated to participant accounts, were 317,860 and 313,114 at December 31, 2023 and 2022. In addition, the subsidiaries made contributions to the ESOP as follows: Years ended December 31 2023 2022 Number of shares issued 4,746 18,522 Fair value of stock contributed $ 125 $ 575 Cash contributed 473 — Total expense $ 598 $ 575 Life insurance contracts with a cash surrender value of $38,426 and annuity assets of $2,167 at December 31, 2023 have been purchased by the Company, the owner of the policies. The purpose of these contracts was to replace a current group life insurance program for executive officers, implement a deferred compensation plan for directors and executive officers, implement a director retirement plan and implement supplemental retirement plans for certain officers. Under the deferred compensation plan, Ohio Valley pays each participant the amount of fees deferred plus interest over the participant’s desired term, upon termination of service. Under the director retirement plan, participants are eligible to receive ongoing compensation payments upon retirement subject to length of service. The supplemental retirement plans provide payments to select executive officers upon retirement based upon a compensation formula determined by Ohio Valley’s Board of Directors. The present value of payments expected to be provided are accrued during the service period of the covered individuals and amounted to $9,716 and $9,192 at December 31, 2023 and 2022. Expenses related to the plans for each of the last two years amounted to $807 and $458. In association with the split-dollar life insurance plan, the present value of the postretirement benefit totaled $3,526 at December 31, 2023 and $3,309 at December 31, 2022. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value of Financial Instruments | Note O - Fair Value of Financial Instruments Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2: Significant other observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. The following is a description of the Company’s valuation methodologies used to measure and disclose the fair values of its financial assets and liabilities on a recurring or nonrecurring basis: Securities: Individually Evaluated Collateral Dependent Loans: The fair value of individually evaluated collateral dependent loans is generally based on the fair value of collateral, less costs to sell. When carried at fair value, individually evaluated collateral dependent loans generally receive specific allocations of the ACL. For collateral dependent loans, fair value is commonly based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. Non-real estate collateral may be valued using an appraisal, net book value per the borrower’s financial statements, or aging reports, adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and management’s expertise and knowledge of the client and client’s business, resulting in a Level 3 fair value classification. In some instances, fair value adjustments can be made based on a quoted price from an observable input, such as a purchase agreement. Such adjustments would be classified as a Level 2 classification. Individually evaluated collateral dependent loans are evaluated on a quarterly basis for additional impairment and adjusted accordingly. Other Real Estate Owned: Appraisals for both collateral-dependent impaired loans and other real estate owned are performed by certified general appraisers (for commercial properties) or certified residential appraisers (for residential properties) whose qualifications and licenses have been reviewed and verified by the Company. Once received, a member of management reviews the assumptions and approaches utilized in the appraisal as well as the overall resulting fair value in comparison with management’s own assumptions of fair value based on factors that include recent market data or industry-wide statistics. On an as-needed basis, the Company reviews the fair value of collateral, taking into consideration current market data, as well as all selling costs, which typically amount to approximately 10% of the fair value of such collateral. Interest Rate Swap Agreements: Assets and Liabilities Measured on a Recurring Basis Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurements at December 31, 2023, Using Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: U.S. Government securities $ 50,297 $ — $ — U.S. Government sponsored entity securities — 5,877 — Agency mortgage-backed securities, residential — 106,084 — Interest rate swap derivatives — 1,147 — Liabilities: Interest rate swap derivatives — (1,147 ) — Fair Value Measurements at December 31, 2022, Using Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: U.S. Government securities $ 54,792 $ — $ — U.S. Government sponsored entity securities — 7,983 — Agency mortgage-backed securities, residential — 121,299 — Interest rate swap derivatives — 1,340 — Liabilities: Interest rate swap derivatives — (1,340 ) — Assets and Liabilities Measured on a Nonrecurring Basis There were no assets or liabilities measured at fair value on a nonrecurring basis at December 31, 2023 and 2022. There was no other real estate owned that was measured at fair value less costs to sell at December 31, 2023 and 2022. Furthermore, there were no corresponding write downs during the years ended December 31, 2023 and 2022. There was no quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at December 31, 2023 and 2022. The carrying amounts and estimated fair values of financial instruments at December 31, 2023 and December 31, 2022 are as follows: Fair Value Measurements at December 31, 2023 Using: Carrying Value Level 1 Level 2 Level 3 Total Financial Assets: Cash and cash equivalents $ 128,126 $ 128,126 $ — $ — $ 128,126 Certificates of deposit in financial institutions — — — — — Securities available for sale 162,258 50,297 111,961 — 162,258 Securities held to maturity 7,986 — 4,281 3,109 7,390 Loans, net 963,133 — — 944,544 944,544 Interest rate swap derivatives 1,147 — 1,147 — 1,147 Accrued interest receivable 3,606 — 466 3,140 3,606 Financial Liabilities: Deposits 1,127,136 748,013 379,455 — 1,127,468 Other borrowed funds 44,593 — 45,799 — 45,799 Subordinated debentures 8,500 — 8,500 — 8,500 Interest rate swap derivatives 1,147 — 1,147 — 1,147 Accrued interest payable 6,597 1 6,596 — 6,597 Fair Value Measurements at December 31, 2022 Using: Carrying Value Level 1 Level 2 Level 3 Total Financial Assets: Cash and cash equivalents $ 45,990 $ 45,990 $ — $ — $ 45,990 Certificates of deposit in financial institutions 1,862 — 1,862 — 1,862 Securities available for sale 184,074 54,792 129,282 — 184,074 Securities held to maturity 9,226 — 4,987 3,473 8,460 Loans, net 879,780 — — 846,870 846,870 Interest rate swap derivatives 1,340 — 1,340 — 1,340 Accrued interest receivable 3,112 — 485 2,627 3,112 Financial Liabilities: Deposits 1,027,655 875,736 149,974 — 1,025,710 Other borrowed funds 17,945 — 16,364 — 16,364 Subordinated debentures 8,500 — 8,500 — 8,500 Interest rate swap derivatives 1,340 — 1,340 — 1,340 Accrued interest payable 432 1 431 — 432 Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument. Because no market exists for a significant portion of the Company’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. |
Regulatory Matters
Regulatory Matters | 12 Months Ended |
Dec. 31, 2023 | |
Regulatory Matters [Abstract] | |
Regulatory Matters | Note P - Regulatory Matters Banks and bank holding companies are subject to regulatory capital requirements administered by federal banking agencies. Capital adequacy guidelines and, additionally for banks, prompt corrective action regulations, involve quantitative measures of assets, liabilities, and certain off-balance-sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgements by regulators. Failure to meet capital requirements can initiate regulatory action. The net unrealized gain or loss on available for sale securities is not included in computing regulatory capital. Management believes as of December 31, 2023, the Bank met all capital adequacy requirements to which they are subject. Prompt corrective action regulations applicable to insured depository institutions provide five classifications: well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized, and critically undercapitalized, although these terms are not used to represent overall financial condition. If adequately capitalized, regulatory approval is required to accept brokered deposits. If undercapitalized, capital distributions are limited, as is asset growth and expansion, and capital restoration plans are required. At year-end 2023 and 2022, the Bank met the capital requirements to be deemed well capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since year-end 2023 and 2022 that management believes have changed the institution’s well capitalized category. In 2019, the federal banking agencies jointly issued a final rule that provides for an optional, simplified measure of capital adequacy, the community bank leverage ratio (“CBLR”) framework, for qualifying community banking organizations (banks and holding companies), consistent with Section 201 of the Economic Growth, Regulatory Relief, and Consumer Protection Act. The final rule became effective on January 1, 2020 and was elected by the Bank as of March 31, 2020. In April 2020, the federal banking agencies issued an interim final rule that made temporary changes to the CBLR framework, pursuant to Section 4012 of the CARES Act, and a second interim final rule that provided a graduated increase in the CBLR requirement after the expiration of the temporary changes implemented pursuant to Section 4012 of the CARES Act. The CBLR removes the requirement for qualifying banking organizations to calculate and report risk-based capital and only requires a Tier 1 to average assets (“leverage”) ratio. Qualifying banking organizations that elect to use the CBLR framework and that maintain a leverage ratio of greater than required minimums are considered to have satisfied the generally applicable risk based and leverage capital requirements in the agencies’ capital rules and, if applicable, are considered to have met the well capitalized ratio requirements for purposes of Section 38 of the Federal Deposit Insurance Act. Under the interim final rules, the CBLR minimum requirement was 8% as of December 31, 2020, 8.5% for calendar year 2021, and 9% for calendar year 2022 and beyond. The interim rule allowed for a two-quarter grace period to correct a ratio that fell below the required amount, provided that the Bank maintained a leverage ratio of 7% as of December 31, 2020, 7.5% for calendar year 2021, and 8% for calendar year 2022 and beyond. Under the final rule, an eligible banking organization can opt out of the CBLR framework and revert back to the risk-weighting framework without restriction. As of December 31, 2023 and 2022, the Bank qualified as a community banking organization as defined by the federal banking agencies and elected to measure capital adequacy under the CBLR framework. The current rules were impacted by the Company’s adoption of ASC 326 and its election to apply the 3-year CECL transition provision on January 1, 2023. By making this election, the Bank, in accordance with Section 301 of the regulatory capital rules, will increase it retained earnings (Tier 1 Capital) and average assets by 75% of its CECL transition amount during the first year of the transition period, 50% of its CECL transition amount during the second year, and 25% of its CECL transitional amount during the third year of the transition period. The Bank’s transition amount from the adoption of CECL totaled $2,276, which resulted in the add-back of $1,707 to both Tier 1 capital and average assets as part of the CBLR calculation for December 31, 2023. The following tables summarize the actual and required capital amounts of the Bank as of year-end. Actual To Be Well Capitalized Under Prompt Corrective Action Regulations Bank Amount Ratio Amount Ratio Tier 1 capital (to average assets) December 31, 2023 $ 142,895 10.8 % $ 118,910 9.0 % December 31, 2022 135,404 11.0 110,806 9.0 Dividends paid by the subsidiaries are the primary source of funds available to Ohio Valley for payment of dividends to shareholders and for other working capital needs. The payment of dividends by the subsidiaries to Ohio Valley is subject to restrictions by regulatory authorities and state law. These restrictions generally limit dividends to the current and prior two years retained earnings of the Bank and Loan Central, Inc. At January 1, 2024 approximately $17,895 of the subsidiaries’ retained earnings were available for dividends under these guidelines. The ability of Ohio Valley to borrow funds from the Bank is limited as to amount and terms by banking regulations. The Board of Governors of the Federal Reserve System also has a policy requiring Ohio Valley to provide notice to the FRB in advance of the payment of a dividend to Ohio Valley’s shareholders under certain circumstances, and the FRB may disapprove of such dividend payment if the FRB determines the payment would be an unsafe or unsound practice. |
Parent Company Only Condensed F
Parent Company Only Condensed Financial Information | 12 Months Ended |
Dec. 31, 2023 | |
Parent Company Only Condensed Financial Information [Abstract] | |
Parent Company Only Condensed Financial Information | Note Q - Parent Company Only Condensed Financial Information Below is condensed financial information of Ohio Valley. In this information, Ohio Valley’s investment in its subsidiaries is stated at cost plus equity in undistributed earnings of the subsidiaries since acquisition. This information should be read in conjunction with the consolidated financial statements of the Company. CONDENSED STATEMENTS OF CONDITION Years ended December 31: Assets 2023 2022 Cash and cash equivalents $ 6,248 $ 4,697 Investment in subsidiaries 148,597 141,402 Notes receivable 2,683 2,365 Other assets 293 259 Total assets $ 157,821 $ 148,723 Liabilities Notes payable $ 2,394 $ 2,376 Subordinated debentures 8,500 8,500 Other liabilities 2,920 2,819 Total liabilities 13,814 13,695 Shareholders’ Equity Total shareholders’ equity 144,007 135,028 Total liabilities and shareholders’ equity $ 157,821 $ 148,723 CONDENSED STATEMENTS OF INCOME Years ended December 31: Income: 2023 2022 Interest on notes $ 91 $ 29 Dividends from subsidiaries 5,020 4,180 Expenses: Interest on notes 91 29 Interest on subordinated debentures 598 296 Operating expenses 369 396 Income before income taxes and equity in undistributed earnings of subsidiaries 4,053 3,488 Income tax benefit 196 141 Equity in undistributed earnings of subsidiaries 8,382 9,709 Net Income $ 12,631 $ 13,338 Other comprehensive income (loss), net of tax 3,385 (15,521 ) Comprehensive Income $ 16,016 $ (2,183 ) CONDENSED STATEMENTS OF CASH FLOWS Years ended December 31: Cash flows from operating activities: 2023 2022 Net Income $ 12,631 $ 13,338 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed earnings of subsidiaries (8,382 ) (9,709 ) Common stock issued to ESOP 124 575 Change in other assets (34 ) (221 ) Change in other liabilities 101 72 Net cash provided by operating activities 4,440 4,055 Cash flows from investing activities: Proceeds from closing of OVBC Captive 2,364 — Change in notes receivable (318 ) (242 ) Net cash provided by (used in) investing activities 2,046 (242 ) Cash flows from financing activities: Change in notes payable 18 238 Purchases of treasury stock (82 ) — Cash dividends paid (4,871 ) (4,720 ) Net cash used in financing activities (4,935 ) (4,482 ) Cash and cash equivalents: Change in cash and cash equivalents 1,551 (669 ) Cash and cash equivalents at beginning of year 4,697 5,366 Cash and cash equivalents at end of year $ 6,248 $ 4,697 |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2023 | |
Segment Information [Abstract] | |
Segment Information | Note R - Segment Information The reportable segments are determined by the products and services offered, primarily distinguished between banking and consumer finance. They are also distinguished by the level of information provided to the chief operating decision maker, who uses such information to review performance of various components of the business which are then aggregated if operating performance, products/services, and customers are similar. Loans, investments, and deposits provide the majority of the net revenues from the banking operation, while loans provide the majority of the net revenues for the consumer finance segment. All Company segments are domestic. Total revenues from the banking segment, which accounted for the majority of the Company’s total revenues, totaled 95.2% and 94.2% of total consolidated revenues for the years ended December 31, 2023 and 2022, respectively. The accounting policies used for the Company’s reportable segments are the same as those described in Note A - Summary of Significant Accounting Policies. Income taxes are allocated based on income before tax expense. All goodwill is in the Banking segment. Segment information is as follows: Year Ended December 31, 2023 Banking Consumer Finance Total Company Net interest income $ 43,711 $ 2,316 $ 46,027 Provision for (recovery of) loan losses 2,025 65 2,090 Noninterest income 11,513 1,116 12,629 Noninterest expense 38,833 2,535 41,368 Provision for income taxes 2,394 173 2,567 Net income 11,972 659 12,631 Assets 1,336,861 15,274 1,352,135 Year Ended December 31, 2022 Banking Consumer Finance Total Net interest income $ 42,529 $ 2,249 $ 44,778 Provision for (recovery of) loan losses (100 ) 68 (32 ) Noninterest income 9,121 1,041 10,162 Noninterest expense 36,612 2,428 39,040 Provision for income taxes 2,429 165 2,594 Net income 12,709 629 13,338 Assets 1,195,974 14,813 1,210,787 |
Risks and Uncertainties
Risks and Uncertainties | 12 Months Ended |
Dec. 31, 2023 | |
Risks and Uncertainties [Abstract] | |
Risks and Uncertainties | Note S - Risks and Uncertainties The risks pertinent to our bank regarding liquidity and rising deposit costs have increased due to an elevated interest rate environment and increased deposit competition within our markets. Our liquidity position is supported by the management of liquid assets such as cash and interest-bearing deposits with banks, and liabilities such as core deposits. The bank can also access other sources of funds such as brokered deposits and FHLB advances. With the present economic conditions putting a strain on liquidity and higher borrowing costs, the Company believes it has sufficient liquid assets and funding sources should there be a liquidity need. |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Insider Trading Arrangements [Line Items] | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies [Abstract] | |
Description of Business | Description of Business: Ohio Valley Banc Corp. (“Ohio Valley”) is a financial holding company registered under the Bank Holding Company Act of 1956. hio Valley has one banking subsidiary, The Ohio Valley Bank Company (the “Bank”), an Ohio state-chartered bank that is a member of the Federal Reserve Bank (“FRB”) and is regulated primarily by the Ohio Division of Financial Institutions and the Federal Reserve Board. Ohio Valley also has a subsidiary that engages in consumer lending generally to individuals with higher credit risk history, Loan Central, Inc.; and a subsidiary insurance agency that facilitates the receipts of insurance commissions, Ohio Valley Financial Services Agency, LLC. The Bank has one wholly-owned subsidiary, Ohio Valley REO, LLC (“Ohio Valley REO”), an Ohio limited liability company, to which the Bank transfers certain real estate acquired by the Bank through foreclosure for sale by Ohio Valley REO. In December 2023, Ohio Valley ceased operating Race Day Mortgage, Inc. (“Race Day”), which had been a wholly-owned subsidiary of the Bank since April 2021. The decision to cease operating Race Day was made due to low loan demand, poor employee retention, and lack of profitability. In December 2023, Ohio Valley also ceased operating OVBC Captive, Inc. (the “Captive”), which had been a subsidiary of Ohio Valley since July 2014. The decision to cease operating the Captive was the result of proposed IRS regulations that adversely impacted the taxation of small captives and severely limited the Captive’s ability to operate. Ohio Valley and its subsidiaries are collectively referred to herein as the “Company.” The Company provides a full range of commercial and retail banking services from 23 offices located in southeastern Ohio and western West Virginia. It accepts deposits in checking, savings, time and money market accounts and makes personal, commercial, floor plan, student, construction and real estate loans. Substantially all loans are secured by specific items of collateral, including business assets, consumer assets, and commercial and residential real estate. Commercial loans are expected to be repaid from cash flow from business operations. The Company also offers safe deposit boxes, wire transfers and other standard banking products and services. The Bank’s deposits are insured by the Federal Deposit Insurance Corporation (“FDIC”). In addition to accepting deposits and ma The Bank’s trust department provides a wide variety of fiduciary services for trusts, estates and benefit plans and also provides investment and security services as an agent for its customers. |
Principles of Consolidation | Principles of Consolidation: The consolidated financial statements include the accounts of Ohio Valley and its wholly-owned subsidiaries, the Bank, Loan Central, Inc., and Ohio Valley Financial Services Agency, LLC. All material intercompany accounts and transactions have been eliminated. |
Industry Segment Information | Industry Segment Information Internal financial information is primarily reported and aggregated in two lines of business, banking and consumer finance. |
Use of Estimates | Use of Estimates The accounting and reporting policies followed by the Company conform to U.S. generally accepted accounting principles (“US GAAP”) established by the Financial Accounting Standards Board (“FASB”). The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and the disclosures provided, and actual results could differ. |
Cash and Cash Equivalents | Cash and Cash Equivalents: Cash and cash equivalents include cash on hand, noninterest-bearing deposits with banks, federal funds sold and interest-bearing deposits with banks with maturity terms of less than 90 days. Generally, federal funds are purchased and sold for one-day periods. The Company reports net cash flows for customer loan transactions, deposit transactions, short-term borrowings and interest-bearing deposits with other financial institutions. |
Certificates of Deposit in Financial Institutions | Certificates of deposit in financial institutions: Certificates of deposit in financial institutions are carried at cost and have maturity terms of 90 days or greater. The Company had no certificates of deposit in financial institutions at December 31, 2023 |
Debt Securities | Debt Securities: The Company classifies securities into held to maturity (“HTM”) and available for sale (“AFS”) categories. HTM securities are those which the Company has the positive intent and ability to hold to maturity and are reported at amortized cost. Securities classified as AFS include securities that could be sold for liquidity, investment management or similar reasons even if there is not a present intention of such a sale. AFS securities are reported at fair value, with unrealized gains or losses included in other comprehensive income, net of tax. Premium amortization is deducted from, and discount accretion is added to, interest income on securities using the level yield method without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated. Gains and losses are recognized upon the sale of specific identified securities on the completed trade date. |
Allowance for Credit Losses ("ACL") - AFS Securities | Allowance for Credit Losses (“ACL”) – Changes in the ACL are recorded as credit loss expense (or reversal). Losses are charged against the allowance when management believes the uncollectibility of an AFS security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Accrued interest receivable Management classifies the AFS portfolio into the following major security types: U.S. Government securities, U.S. Government sponsored entity securities, and Agency mortgage-backed residential securities. At December 31, 2023, there was no ACL related to AFS debt securities. |
ACL - HTM Securities | ACL – HTM Securities: Management measures expected credit losses on HTM debt securities on a collective basis by major security type with each type sharing similar risk characteristics and considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. The ACL on securities HTM is a contra asset valuation account that is deducted from the carrying amount of HTM securities to present the net amount expected to be collected. HTM securities are charged off against the ACL when deemed uncollectible. Adjustments to the ACL are reported in the Company’s consolidated statements of income in the provision for credit losses. Accrued interest receivable on HTM securities is excluded from the estimate of credit losses. Management classifies the HTM portfolio into two major security types: Obligations of states and political subdivisions and Agency mortgage-backed residential securities. Agency mortgage-backed residential securities consist of only two securities with balances that are not significant. With regard to obligations of states and political subdivisions, management considers (1) issuer bond ratings, (2) historical loss rates for given bond ratings, (3) the financi |
Restricted Investments in Bank Stocks | Restricted Investments in Bank Stocks: As a member of the Federal Home Loan Bank (“FHLB”) system and the FRB system, the Bank is required to own a certain amount of stock based on its level of borrowings and other factors and may invest in additional amounts. FHLB stock and FRB stock are carried at cost, classified as restricted securities, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. The Company has additional investments in other restricted bank stocks that are not material to the financial statements. |
Loans | Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of unearned interest, deferred loan fees and costs, and an ACL. Interest income is reported on an accrual basis using the interest method and includes amortization of net deferred loan fees and costs over the loan term using the level yield method without anticipating prepayments. The amount of the Company’s recorded investment is not materially different than the amount of unpaid principal balance for loans. Interest income is discontinued and the loan moved to non-accrual status when full loan repayment is in doubt, typically when the loan payments are past due 90 days or over unless the loan is well-secured or in process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not received for loans placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis method until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Bank also originates long-term, fixed-rate mortgage loans, with the full intention of being sold to the secondary market. These loans are considered held for sale during the period of time after the principal has been advanced to the borrower by the Bank, but before the Bank has been reimbursed by the Federal Home Loan Mortgage Corporation, typically within a few business days. Loans sold to the secondary market are carried at the lower of aggregate cost or fair value. As of December 31, 2023 and 2022, there were no loans held for sale by the Bank |
ACL - Loans | ACL - Loans: The ACL for loans is a contra asset valuation account that is deducted from the amortized cost basis of loans to present the net amount expected to be collected on the loans. Loans, or portions thereof, are charged off against the ACL when they are deemed uncollectible. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. The ACL is adjusted through the provision for credit losses and reduced by net charge offs of loans. The ACL is an estimate of expected credit losses, measured over the contractual life of a loan, that considers historical loss experience, current conditions and forecasts of future economic conditions. Determination of an appropriate ACL is inherently subjective and may have significant changes from period to period. The methodology for determining the ACL has two main components: evaluation of expected credit losses for certain groups of loans that share similar risk characteristics and evaluation of loans that do not share risk characteristics with other loans. Portfolio Segment Measurement Method Loss Driver Residential real estate Cumulative Undiscounted Expected Loss National Unemployment, National GDP Commercial real estate: Owner-occupied Cumulative Undiscounted Expected Loss National Unemployment, National GDP Nonowner-occupied Cumulative Undiscounted Expected Loss National Unemployment, National GDP Construction Cumulative Undiscounted Expected Loss National Unemployment, National GDP Commercial and industrial Cumulative Undiscounted Expected Loss National Unemployment, National GDP Consumer: Automobile Cumulative Undiscounted Expected Loss National Unemployment Home equity Cumulative Undiscounted Expected Loss National Unemployment Other Cumulative Undiscounted Expected Loss, Remaining Life Method National Unemployment Historical credit loss experience is the basis for the estimation of expected credit losses. We apply historical loss rates to pools of loans with similar risk characteristics. In defining historical loss rates and the prepayment rates and curtailment rates used to determine the expected life of loans, the use of regional and national peer data was used. After consideration of the historic loss calculation, management applies qualitative adjustments to reflect the current conditions and reasonable andsupportable forecasts not already reflected in the historical loss information at the balance sheet date. Our reasonable and supportable forecast adjustment is based on the national unemployment rate and the national gross domestic product forecast for the first year. For periods beyond our reasonable and supportable forecast, we revert to historical loss rates utilizing a straight-line method over a two-year reversion period. The qualitative adjustments for current conditions are based upon changes in lending policies and practices, experience and ability of lending staff, quality of the Company’s loan review system, value of underlying collateral, the volume and severity of past due loans, the value of underlying collateral for collateral dependent loans, the existence of and changes in concentrations and other external factors. Each factor is assigned a value to reflect improving, stable, or declining conditions based on management’s best judgment using relevant information available at the time of the evaluation. Expected credit losses are estimated over the contractual term of the loans, adjusted for expected prepayments when appropriate. The contractual term excludes expected extensions, renewals, and modifications unless either of the following applies: management has a reasonable expectation at the reporting date that a troubled debt restructuring will be executed with an individual borrower, or the extension of renewal options are included in the original or modified contract at the reporting date and are not unconditionally cancellable by the Company. The Company has elected to exclude accrued interest receivable from the measurement of its ACL. When a loan is placed on non-accrual status, any outstanding accrued interest is reversed against interest income. Loans that do not share risk characteristics are evaluated on an individual basis. Loans evaluated individually are not also included in the collective evaluation. We evaluate all loans that meet the following criteria: 1) when it is determined that foreclosure is probable; 2) substandard, doubtful and nonperforming loans when repayment is expected to be provided substantially through the operation or sale of the collateral; 3) when it is determined by management that a loan does not share similar risk characteristics with other loans. Specific reserves are established based on the following three acceptable methods for measuring the ACL: 1) the present value of expected future cash flows discounted at the loan’s original effective interest rate; 2) the loan’s observable market price; or 3) the fair value of the collateral when the loan is collateral dependent. Our individual loan evaluations consist primarily of the fair value of collateral method because most of our loans are collateral dependent. Collateral values are discounted to consider disposition costs when appropriate. A specific reserve is established or a charge-off is taken if the fair value of the loan is less than the loan balance. At December 31, 2023, there was $8,767 in the ACL related to loans, with corresponding provision expense of $2,030 during the year ended December 31, 2023. The Company’s loan portfolio segments have been identified as follows: Commercial and Industrial, Commercial Real Estate, Residential Real Estate, and Consumer. Commercial and industrial: Commercial real estate: Portfolio segment consists of nonfarm, nonresidential loans secured by owner-occupied and nonowner-occupied commercial real estate as well as commercial construction loans. An owner-occupied loan relates to a borrower purchased building or space for which the repayment of principal is dependent upon cash flows from the ongoing business operations conducted by the party, or an affiliate of the party, who owns the property. Owner-occupied loans that are dependent on cash flows from operations can be adversely affected by current market conditions for their product or service. A nonowner-occupied loan is a property loan for which the repayment of principal is dependent upon rental income associated with the property or the subsequent sale of the property. Nonowner-occupied loans that are dependent upon rental income are primarily impacted by the level of interest rates associated with the debt and to local economic conditions, which dictate occupancy rates and the amount of rent charged. The increase in debt service due to higher interest rates may not be able to be passed on to tenants. As part of the origination process, loan interest rates and occupancy rates are stressed to determine the impact on the borrower’s ability to maintain adequate debt service under different economic conditions. Furthermore, the Company monitors the concentration in any one industry and has established limits relative to capital. In addition, credit quality trends are monitored by industry to determine if a change in the risk exposure to a certain industry may warrant a change in our underwriting standards. Commercial construction loans consist of borrowings to purchase and develop raw land into 1-4 family residential properties. Construction loans are extended to individuals as well as corporations for the construction of an individual or multiple properties and are secured by raw land and the subsequent improvements. Repayment of the loans to real estate developers is dependent upon the sale of properties to third parties in a timely fashion upon completion. Should there be delays in construction or a downturn in the market for those properties, there may be significant erosion in value that may be absorbed by the Company Residential real estate: Portfolio segment Consumer: Portfolio segment |
ACL - Off-Balance Sheet Credit Exposures | ACL – Off-Balance Sheet Credit Exposures: The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The ACL on off-balance sheet credit exposures is adjusted through credit loss expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. At December 31, 2023, there was $692 in the ACL related to off-balance sheet credit exposures, with corresponding provision expense of $61 during the year ended December 31, 2023. |
Concentrations of Credit Risk | Concentrations of Credit Risk: T he following represents the composition of the Company’s loan portfolio as of December 31: % of Total Loans 2023 2022 Residential real estate loans 32.88 % 33.56 % Commercial real estate loans 33.22 % 32.63 % Consumer loans 17.72 % 16.72 % Commercial and industrial loans 16.18 % 17.09 % 100.00 % 100.00 % The Bank, in the normal course of its operations, conducts business with correspondent financial institutions. Balances in correspondent accounts, investments in federal funds, certificates of deposit and other short-term securities are closely monitored to ensure that prudent levels of credit and liquidity risks are maintained. At December 31, 2023, the Bank’s primary correspondent balance was $113,136 on deposit at the FRB, Cleveland, Ohio. |
Premises and Equipment | Premises and Equipment Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation, which is computed using the straight-line method over the estimated useful life of the owned asset and, for leasehold improvement, over the remaining term of the leased facility, whichever is shorter. The useful lives range from three seven The Company enters into leases in the normal course of business primarily for branch buildings and office space to conduct business. The Company’s leases have remaining terms ranging from 28 months to 18 years, some of which include options to extend the leases for up to 15 years. The Company includes lease extension and termination options in the lease term if, after considering relevant economic factors, it is reasonably certain the Company will exercise the option. In addition, the Company has elected to account for any non-lease components in its real estate leases as part of the associated lease component. The Company has also elected to not recognize leases with original lease terms of 12 months or less (short-term leases) on the Company’s balance sheet. Leases are classified as operating or finance leases at the lease commencement date. Lease expense for operating leases and short-term leases is recognized on a straight-line basis over the lease term. Right-of-use (“ROU”) assets represent our right to use an underlying asset for the lease term and lease liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. At December 31, 2023 and 2022, the Company did not have any finance leases. The Company’s operating lease ROU assets and operating lease liabilities are valued based on the present value of future minimum lease payments, discounted with an incremental borrowing rate for the same term as the underlying lease. The Company has one lease arrangement that contains variable lease payments that are adjusted periodically for an index. |
Foreclosed Assets | Foreclosed assets Assets acquired through or instead of loan foreclosure are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. Physical possession of residential real estate property collateralizing a consumer mortgage loan occurs when legal title is obtained upon completion of foreclosure or when the borrower conveys all interest in the property to satisfy the loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. If fair value declines subsequent to foreclosure, a valuation allowance is recorded through expense. Operating costs after acquisition are expensed. |
Goodwill | Goodwill: Goodwill arises from business combinations and is generally determined as the excess of the fair value of the consideration transferred, plus the fair value of any noncontrolling interests in the acquiree, over the fair value of the net assets acquired and liabilities assumed as of the acquisition date. Goodwill acquired in a purchase business combination and determined to have an indefinite useful life are not amortized but tested for impairment at least annually. Goodwill is the only intangible asset with an indefinite life on our balance sheet. The Company has selected December 31 as the date to perform its annual qualitative impairment test. Given that the Company has been profitable and had positive equity, the qualitative assessment indicated that it was more likely than not that the fair value of goodwill was more than the carrying amount, resulting in no impairment. |
Long-term Assets | Long-term Assets: Premises and equipment and other long-term assets are reviewed for impairment when events indicate their carrying amount may not be recoverable from future undiscounted cash flows. If impaired, the assets are recorded at fair value. |
Mortgage Servicing Rights | Mortgage Servicing Rights: A mortgage servicing right (“MSR”) is a contractual agreement where the right to service a mortgage loan is sold by the original lender to another party. When the Company sells mortgage loans to the secondary market, it retains the servicing rights to these loans. The Company’s MSR is recognized separately when acquired through sales of loans and is initially recorded at fair value with the income statement effect recorded in mortgage banking income. Subsequently, the MSR is then amortized in proportion to and over the period of estimated future servicing income of the underlying loan. The MSR is then evaluated for impairment periodically based upon the fair value of the rights as compared to the carrying amount, with any impairment being recognized through a valuation allowance. Fair value of the MSR is based on market prices for comparable mortgage servicing contracts. Impairment is determined by stratifying rights into groupings based on predominant risk characteristics, such as interest rate, loan type and investor type. If the Company later determines that all or a portion of the impairment no longer exists for a particular grouping, a reduction of the allowance may be recorded as an increase to income. At December 31, 2023 and 2022, the Company’s MSR assets were $403 and $456, respectively. |
Earnings Per Share | Earnings Per Share: Earnings per share is based on net income divided by the following weighted average number of common shares outstanding during the periods: 4,774,607 for 2023 and 4,769,135 for 2022. Ohio Valley had no dilutive effect and no potential common shares issuable under stock options or other agreements for any period presented. |
Income Taxes | Income Taxes: Income tax expense is the sum of the current year income tax due or refundable and the change in deferred tax assets and liabilities. Deferred tax assets and liabilities are the expected future tax consequences of temporary differences between the carrying amounts and tax bases of assets and liabilities, computed using enacted tax rates. The effect on deferred tax assets and liabilities of a change in tax rates is recognized at the time of enactment of such change in tax rates. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. A tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. The Company recognizes interest and/or penalties related to income tax matters in income tax expense. |
Comprehensive Income | Comprehensive Income : |
Loss Contingencies | Loss Contingencies tingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there now are such matters that will have a material effect on the finan |
Bank Owned Life Insurance and Annuity Assets | Bank Owned Life Insurance and Annuity Assets: The Company has purchased life insurance policies on certain key executives. Bank owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement. The Company also purchased an annuity investment for a certain key executive that earns interest. |
Employee Stock Ownership Plan | Employee Stock Ownership Plan: Compensation expense is based on the market price of shares as they are committed to be allocated to participant accounts. |
Dividend Reinvestment Plan | Dividend Reinvestment Plan: The Company maintains a Dividend Reinvestment Plan. The plan enables shareholders to elect to have their cash dividends on all or a portion of shares held automatically reinvested in additional shares of the Company’s common stock. The stock is issued out of the Company’s authorized shares and credited to participant accounts at fair market value. Dividends are reinvested on a quarterly basis. |
Loan Commitments and Related Financial Instruments | Loan Commitments and Related Financial Instruments: Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. These financial instruments are recorded when they are funded. See Note L for more specific disclosure related to loan commitments. |
Dividend Restrictions | Dividend Restrictions: Banking regulations require maintaining certain capital levels and may limit the dividends paid by the Bank to Ohio Valley or by Ohio Valley to its shareholders. See Note P for more specific disclosure related to dividend restrictions. |
Restrictions on Cash | Restrictions on Cash: bank and the FRB totaled $113,136 and $30,908 at year-end 2023 and 2022, respectively, and were subject to clearing requirements but not subject to any regulatory reserve requirements. The balances on deposit with a third-party correspondent do not earn interest. |
Derivatives | Derivatives : Net cash settlements on derivatives that qualify for hedge accounting are recorded in interest income or interest expense, based on the item being hedged. Net cash settlements on derivatives that do not qualify for hedge accounting are reported in noninterest income. Cash flows on hedges are classified in the cash flow statement the same as the cash flows of the items being hedged. At December 31, 2023 and 2022, the only derivative instruments used by the Company were interest rate swaps, which are classified as stand-alone derivatives. See Note H for more specific disclosures related to interest rate swaps. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments: |
Reclassifications | Reclassifications : |
Adoption of New Accounting Pronouncements | Adoption of New Accounting Pronouncements: Financial Instruments - Credit Losses (Topic 326): TDR’s and Vintage Disclosures Effective January 1, 2023, the Company adopted ASU No. 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, The Company adopted ASC 326 using the modified retrospective method for all financial assets measured at amortized cost and off-balance sheet credit exposures. Results for reporting periods beginning after January 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable US GAAP. The Company recorded a net decrease to retained earnings of $2,209 as of January 1, 2023 for the cumulative effect of adopting ASC 326. The following table illustrates the transition adjustment of adopting ASC 326: January 1, 2023 As Reported Under ASC 326 Pre-ASC 326 Adoption Impact of ASC 326 Adoption Assets: ACL - HTM debt securities Obligations of states and political subdivisions $ 3 $ — $ 3 ACL - Loans Residential real estate 2,026 681 1,345 Commercial real estate 2,200 2,038 162 Commercial and industrial 1,177 1,293 (116 ) Consumer 2,028 1,257 771 Total ACL - Loans $ 7,431 $ 5,269 $ 2,162 Deferred tax assets $ 6,853 $ 6,266 $ 587 Liabilities: ACL - Off-balance sheet commitments $ 631 $ — $ 631 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies [Abstract] | |
Composition of Loan Portfolio | T he following represents the composition of the Company’s loan portfolio as of December 31: % of Total Loans 2023 2022 Residential real estate loans 32.88 % 33.56 % Commercial real estate loans 33.22 % 32.63 % Consumer loans 17.72 % 16.72 % Commercial and industrial loans 16.18 % 17.09 % 100.00 % 100.00 % |
Transition Adjustment of Adopting ASC 326 | The following table illustrates the transition adjustment of adopting ASC 326: January 1, 2023 As Reported Under ASC 326 Pre-ASC 326 Adoption Impact of ASC 326 Adoption Assets: ACL - HTM debt securities Obligations of states and political subdivisions $ 3 $ — $ 3 ACL - Loans Residential real estate 2,026 681 1,345 Commercial real estate 2,200 2,038 162 Commercial and industrial 1,177 1,293 (116 ) Consumer 2,028 1,257 771 Total ACL - Loans $ 7,431 $ 5,269 $ 2,162 Deferred tax assets $ 6,853 $ 6,266 $ 587 Liabilities: ACL - Off-balance sheet commitments $ 631 $ — $ 631 |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Securities [Abstract] | |
Amortized Cost and Fair Value of Securities Available-for-sale | The following table summarizes the amortized cost and fair value of securities available for sale and securities held to maturity at December 31, 2023 and 2022, and the corresponding amounts of gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) and gross unrecognized gains and losses: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Securities Available for Sale December 31, 2023 U.S. Government securities $ 52,174 $ — $ (1,877 ) $ 50,297 U.S. Government sponsored entity securities 6,527 — (650 ) 5,877 Agency mortgage-backed securities, residential 118,218 — (12,134 ) 106,084 Total securities $ 176,919 $ — $ (14,661 ) $ 162,258 December 31, 2022 U.S. Government securities $ 57,698 $ — $ (2,906 ) $ 54,792 U.S. Government sponsored entity securities 8,845 — (862 ) 7,983 Agency mortgage-backed securities, residential 136,282 — (14,983 ) 121,299 Total securities $ 202,825 $ — $ (18,751 ) $ 184,074 |
Amortized Cost and Fair Value of Securities Held-to-maturity | Amortized Cost Gross Unrecognized Gains Gross Unrecognized Losses Estimated Fair Value Allowance for Credit Losses Securities Held to Maturity December 31, 2023 Obligations of states and political subdivisions $ 7,987 $ 17 $ (615 ) $ 7,389 $ (2 ) Agency mortgage-backed securities, residential 1 — — 1 — Total securities $ 7,988 $ 17 $ (615 ) $ 7,390 $ (2 ) December 31, 2022 Obligations of states and political subdivisions $ 9,225 $ 32 $ (798 ) $ 8,459 Agency mortgage-backed securities, residential 1 — — 1 Total securities $ 9,226 $ 32 $ (798 ) $ 8,460 |
Amortized Cost and Fair Value of Securities by Contractual Maturity | Securities not due at a single maturity are shown separately. Available for Sale Held to Maturity Debt Securities: Amortized Cost Estimated Fair Value Amortized Cost Estimated Fair Value Due in one year or less $ 17,424 $ 17,257 $ 397 $ 392 Due in one to five years 41,277 38,917 3,974 3,780 Due in five to ten years — — 1,490 1,297 Due after ten years — — 2,126 1,920 Agency mortgage-backed securities, residential 118,218 106,084 1 1 Total debt securities $ 176,919 $ 162,258 $ 7,988 $ 7,390 |
Securities with Unrealized Losses in Continuous Unrealized Loss Position | The following table summarizes debt securities available for sale in an unrealized loss position for which an ACL has not been recorded at December 31, 2023 and December 31, 2022, aggregated by major security type and length of time in a continuous unrealized loss position: December 31, 2023 Less than 12 Months 12 Months or More Total Securities Available for Sale Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. Government securities $ 9,474 $ (52 ) $ 40,823 $ (1,825 ) $ 50,297 $ (1,877 ) U.S. Government sponsored entity securities — — 5,877 (650 ) 5,877 (650 ) Agency mortgage-backed securities, residential — — 106,084 (12,134 ) 106,084 (12,134 ) Total available for sale $ 9,474 $ (52 ) $ 152,784 $ (14,609 ) $ 162,258 $ (14,661 ) December 31, 2022 Less than 12 Months 12 Months or More Total Securities Available for Sale Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. Government securities $ 36,460 $ (977 ) $ 18,332 $ (1,929 ) $ 54,792 $ (2,906 ) U.S. Government sponsored entity securities 2,786 (60 ) 5,197 (802 ) 7,983 (862 ) Agency mortgage-backed securities, residential 71,510 (7,178 ) 49,789 (7,805 ) 121,299 (14,983 ) Total available for sale $ 110,756 $ (8,215 ) $ 73,318 $ (10,536 ) $ 184,074 $ (18,751 ) |
Allowance for Credit Losses for Held to Maturity Debt Securities | The following table presents the activity in the ACL for held to maturity debt securities for the year ended December 31, 2023: Held to Maturity Debt Securities 2023 Allowance for credit losses: Beginning balance $ — Impact of adopting ASC 326 3 Provision for (recovery of) credit loss expense (1 ) Allowance for credit losses ending balance $ 2 |
Loans and Allowance for Credi_2
Loans and Allowance for Credit Losses (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Loans and Allowance for Credit Losses [Abstract] | |
Portfolio Loans | Loans are comprised of the following at December 31: 2023 2022 Residential real estate $ 319,504 $ 297,036 Commercial real estate: Owner-occupied 82,356 72,719 Nonowner-occupied 178,201 182,831 Construction 62,337 33,205 Commercial and industrial 157,298 151,232 Consumer: Automobile 61,461 54,837 Home equity 35,893 27,791 Other 74,850 65,398 971,900 885,049 Less: Allowance for credit losses (8,767 ) (5,269 ) Loans, net $ 963,133 $ 879,780 |
Recorded Investment in Nonaccrual and Loans Past Due Over 90 Days Still on Accrual by Class of Loans | The following table presents the recorded investment of nonaccrual loans and loans past due 90 days or more and still accruing by class of loans as of December 31, 2023 and 2022: December 31, 2023 Loans Past Due 90 Days And Still Accruing Nonaccrual Loans With No ACL Nonaccrual Loans With an ACL Total Nonaccrual Loans Residential real estate $ 9 $ — $ 1,234 $ 1,234 Commercial real estate: Owner-occupied — 775 — 775 Nonowner-occupied — — 61 61 Construction — — 1 1 Commercial and industrial — — 48 48 Consumer: Automobile 56 — 78 78 Home equity — — 95 95 Other 54 — 100 100 Total $ 119 $ 775 $ 1,617 $ 2,392 December 31, 2022 Loans Past Due 90 Days And Still Accruing Nonaccrual Residential real estate $ 100 $ 1,708 Commercial real estate: Owner-occupied — 938 Nonowner-occupied — 70 Construction — 75 Commercial and industrial — 150 Consumer: Automobile 27 82 Home equity — 151 Other 411 59 Total $ 538 $ 3,233 |
Aging of Recorded Investment in Past Due Loans by Class of Loans | The following table presents the aging of the recorded investment of past due loans by class of loans as of December 31, 2023 and 2022: December 31, 2023 30-59 Days Past Due 60-89 Days Past Due 90 Days Or More Past Due Total Past Due Loans Not Past Due Total Residential real estate $ 2,705 $ 368 $ 481 $ 3,554 $ 315,950 $ 319,504 Commercial real estate: Owner-occupied 2,580 — 775 3,355 79,001 82,356 Nonowner-occupied 681 — — 681 177,520 178,201 Construction — — — — 62,337 62,337 Commercial and industrial 3,338 — 48 3,386 153,912 157,298 Consumer: Automobile 782 210 117 1,109 60,352 61,461 Home equity 353 62 95 510 35,383 35,893 Other 658 121 148 927 73,923 74,850 Total $ 11,097 $ 761 $ 1,664 $ 13,522 $ 958,378 $ 971,900 December 31, 2022 30-59 Days Past Due 60-89 Days Past Due 90 Days Or More Past Due Total Past Due Loans Not Past Due Total Residential real estate $ 1,799 $ 701 $ 497 $ 2,997 $ 294,039 $ 297,036 Commercial real estate: Owner-occupied 97 — 938 1,035 71,684 72,719 Nonowner-occupied 626 5 — 631 182,200 182,831 Construction 40 45 17 102 33,103 33,205 Commercial and industrial 21 — 150 171 151,061 151,232 Consumer: Automobile 804 240 97 1,141 53,696 54,837 Home equity 204 — 151 355 27,436 27,791 Other 875 113 452 1,440 63,958 65,398 Total $ 4,466 $ 1,104 $ 2,302 $ 7,872 $ 877,177 $ 885,049 |
Risk Category Loans by Class of Loans | As of December 31, 2023 and 2022, and based on the most recent analysis performed, the risk category of commercial loans by class of loans was as follows: Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Commercial real estate: Owner-occupied Risk Rating Pass $ 18,120 $ 7,911 $ 10,679 $ 5,973 $ 6,125 $ 15,925 $ 459 $ 65,192 Special Mention — — — — — 427 — 427 Substandard — — 13,934 — 498 2,005 300 16,737 Doubtful — — — — — — — — Total $ 18,120 $ 7,911 $ 24,613 $ 5,973 $ 6,623 $ 18,357 $ 759 $ 82,356 Current Period gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Commercial real estate: Nonowner occupied Risk Rating Pass $ 12,688 $ 29,344 $ 32,235 $ 20,484 $ 15,415 $ 61,809 $ 1,128 $ 173,103 Special Mention — — 768 3,226 — 1,034 — 5,028 Substandard — — 70 — — — — 70 Doubtful — — — — — — — — Total $ 12,688 $ 29,344 $ 33,073 $ 23,710 $ 15,415 $ 62,843 $ 1,128 $ 178,201 Current Period gross charge-offs $ — $ — $ 132 $ — $ — $ — $ — $ 132 Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Commercial real estate: Construction Risk Rating Pass $ 28,055 $ 29,174 $ 1,231 $ 302 $ 392 $ 2,937 $ — $ 62,091 Special Mention — — — — — — — — Substandard — — — — — 246 — 246 Doubtful — — — — — — — — Total $ 28,055 $ 29,174 $ 1,231 $ 302 $ 392 $ 3,183 $ — $ 62,337 Current Period gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Commercial and Industrial Risk Rating Pass $ 8,770 $ 30,885 $ 26,806 $ 31,247 $ 344 $ 27,632 $ 27,510 $ 153,194 Special Mention 140 — — — — 8 66 214 Substandard — — 58 1,363 4 182 2,283 3,890 Doubtful — — — — — — — — Total $ 8,910 $ 30,885 $ 26,864 $ 32,610 $ 348 $ 27,822 $ 29,859 $ 157,298 Current Period gross charge-offs $ — $ — $ — $ — $ — $ — $ 29 $ 29 December 31, 2022 Pass Criticized Classified Total Commercial real estate: Owner-occupied $ 68,236 $ 3,545 $ 938 $ 72,719 Nonowner-occupied 177,479 5,352 — 182,831 Construction 33,143 — 62 33,205 Commercial and industrial 147,627 1,879 1,726 151,232 Total $ 426,485 $ 10,776 $ 2,726 $ 439,987 |
Recorded Investment of Residential and Consumer Loans | The following table presents the recorded investment of residential and consumer loans by class of loans based on repayment activity as of December 31, 2023 and 2022 : Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Residential Real Estate: Payment Performance Performing $ 50,484 $ 44,640 $ 50,949 $ 44,818 $ 21,854 $ 91,956 $ 13,560 $ 318,261 Nonperforming — — — — 182 1,061 — 1,243 Total $ 50,484 $ 44,640 $ 50,949 $ 44,818 $ 22,036 $ 93,017 $ 13,560 $ 319,504 Current Period gross charge-offs $ — $ — $ 3 $ — $ — $ 118 $ — $ 121 Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Consumer: Automobile Payment Performance Performing $ 28,939 $ 20,376 $ 7,013 $ 3,028 $ 1,212 $ 759 $ — $ 61,327 Nonperforming 34 60 15 1 9 15 — 134 Total $ 28,973 $ 20,436 $ 7,028 $ 3,029 $ 1,221 $ 774 $ — $ 61,461 Current Period gross charge-offs $ 51 $ 163 $ 116 $ 6 $ 29 $ 3 $ — $ 368 Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Consumer: Home Equity Payment Performance Performing $ 1,649 $ 79 $ — $ — $ — $ — $ 34,070 $ 35,798 Nonperforming — — — — — — 95 95 Total $ 1,649 $ 79 $ — $ — $ — $ — $ 34,165 $ 35,893 Current Period gross charge-offs $ — $ — $ — $ — $ — $ — $ 87 $ 87 Term Loans Amortized Cost Basis by Origination Year December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Total Consumer: Other Payment Performance Performing $ 18,377 $ 24,904 $ 10,800 $ 4,482 $ 1,093 $ 953 $ 14,087 $ 74,696 Nonperforming 11 17 67 53 1 4 1 154 Total $ 18,388 $ 24,921 $ 10,867 $ 4,535 $ 1,094 $ 957 $ 14,088 $ 74,850 Current Period gross charge-offs $ 306 $ 119 $ 119 $ 84 $ 28 $ 53 $ 246 $ 955 Consumer December 31, 2022 Automobile Home Equity Other Residential Real Estate Total Performing $ 54,728 $ 27,640 $ 64,928 $ 295,228 $ 442,524 Nonperforming 109 151 470 1,808 2,538 Total $ 54,837 $ 27,791 $ 65,398 $ 297,036 $ 445,062 |
Activity in Allowance for Credit Losses by Portfolio Segment | The following table presents the activity in the ACL by portfolio segment for the years ended December 31, 2023 and 2022: December 31, 2023 Residential Real Estate Commercial Real Estate Commercial & Industrial Consumer Total Allowance for credit losses: Beginning balance $ 681 $ 2,038 $ 1,293 $ 1,257 $ 5,269 Impact of adopting ASC 326 1,345 162 (116 ) 771 2,162 Provision for credit losses 251 824 (85 ) 1,040 2,030 Loans charged off (121 ) (132 ) (29 ) (1,410 ) (1,692 ) Recoveries 57 155 212 574 998 Total ending allowance balance $ 2,213 $ 3,047 $ 1,275 $ 2,232 $ 8,767 December 31, 2022 Residential Real Estate Commercial Real Estate Commercial & Industrial Consumer Total Allowance for credit losses: Beginning balance $ 980 $ 2,548 $ 1,571 $ 1,384 $ 6,483 Provision for credit losses (318 ) (556 ) 283 559 (32 ) Loans charged off (135 ) (36 ) (618 ) (1,399 ) (2,188 ) Recoveries 154 82 57 713 1,006 Total ending allowance balance $ 681 $ 2,038 $ 1,293 $ 1,257 $ 5,269 |
Allowance for Loan Losses and Recorded Investment in Loans by Portfolio Segment Based on Impairment Method | The following table presents the balance in the ACL and the recorded investment of loans by portfolio segment and based on impairment method as of December 31, 2022: December 31, 2022 Residential Real Estate Commercial Real Estate Commercial & Industrial Consumer Total Allowance for credit losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ — $ — $ — $ — $ — Collectively evaluated for impairment 681 2,038 1,293 1,257 5,269 Total ending allowance balance $ 681 $ 2,038 $ 1,293 $ 1,257 $ 5,269 Loans: Loans individually evaluated for impairment $ — $ 1,986 $ — $ 28 $ 2,014 Loans collectively evaluated for impairment 297,036 286,769 151,232 147,998 883,035 Total ending loans balance $ 297,036 $ 288,755 $ 151,232 $ 148,026 $ 885,049 |
Amortized Cost of Collateral Dependent Loans, by Class | The following table presents the amortized cost basis of collateral dependent loans by class of loans as of December 31, 2023: Collateral Type December 31, 2023 Real Estate Business Assets Total Residential real estate $ 1,663 $ — $ 1,663 Commercial real estate: Owner-occupied 700 258 958 Consumer: Home equity 27 — 27 Total collateral dependent loans $ 2,390 $ 258 $ 2,648 |
Loans Individually Evaluated for Impairment by Class of Loans | The following table presents information related to loans individually evaluated for impairment by class of loans as of the years ended December 31, 2022: December 31, 2022 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Impaired Loans Interest Income Recognized Cash Basis Interest Recognized With an allowance recorded: $ — $ — $ — $ — $ — $ — With no related allowance recorded: Commercial real estate: Owner-occupied 1,692 1,607 — 1,662 97 97 Nonowner-occupied 379 379 — 382 29 29 Consumer: Home equity 28 28 — 23 2 2 Total $ 2,099 $ 2,014 $ — $ 2,067 $ 128 $ 128 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Premises and Equipment [Abstract] | |
Premises and Equipment | Following is a summary of premises and equipment at December 31: 2023 2022 Land $ 2,568 $ 2,486 Buildings 23,867 22,526 Leasehold improvements 1,555 1,509 Furniture and equipment 11,137 10,410 39,127 36,931 Less accumulated depreciation 17,677 16,495 Total premises and equipment $ 21,450 $ 20,436 |
Premises and Equipment Held for Sale | Following is a summary of premises and equipment held for sale at December 31: 2023 2022 Land $ 84 $ 84 Buildings 594 594 678 678 Less accumulated depreciation 105 85 Total premises and equipment held for sale $ 573 $ 593 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Balance Sheet Information | Balance sheet information related to leases at December 31 was as follows: 2023 2022 Operating leases: Operating lease right-of-use assets $ 1,205 $ 1,294 Operating lease liabilities 1,205 1,294 |
Components of Lease Cost | The components of lease cost were as follows for the year ending December 31: 2023 2022 Operating lease cost $ 204 $ 185 Short-term lease expense 17 35 |
Maturities of Lease Liabilities | Future undiscounted lease payments for operating leases with initial terms of one year or more as of December 31, 2023 are as follows: Operating Leases 2024 $ 195 2025 195 2026 140 2027 109 2028 111 Thereafter 764 Total lease payments 1,514 Less: Imputed Interest (309 ) Total operating leases $ 1,205 |
Other Information | Other information at December 31 was as follows: 2023 2022 Weighted-average remaining lease term for operating leases 13.0 years 12.1 years Weighted-average discount rate for operating leases 2.91 % 2.70 % |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets [Abstract] | |
Goodwill | The change in goodwill during the year is as follows: Gross Carrying Amount 2023 2022 Goodwill $ 7,319 $ 7,319 |
Acquired Intangible Assets | Acquired intangible assets were as follows at year-end: 2023 2022 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Amortized intangible assets: Core deposit intangibles $ 738 $ 730 $ 738 $ 709 |
Estimated Amortization Expense | Estimated amortization expense for each of the next five years: 2024 $ 8 2025 — 2026 — 2027 — 2028 — Total $ 8 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Deposits [Abstract] | |
Deposits | Following is a summary of deposits at December 31: 2023 2022 Noninterest-bearing deposits $ 322,222 $ 354,413 Interest-bearing deposits: NOW accounts 170,422 209,758 Savings and Money Market 255,369 311,565 Time deposits in denominations of $250 or less 301,323 115,049 Time deposits in denominations of more than $250 77,800 36,870 Total time deposits 379,123 151,919 Total interest-bearing deposits 804,914 673,242 Total deposits $ 1,127,136 $ 1,027,655 |
Maturities of Time Deposits | Following is a summary of total time deposits by remaining maturity at December 31, 2023: 2024 $ 261,922 2025 95,860 2026 19,001 2027 1,139 2028 1,023 Thereafter 178 Total $ 379,123 |
Other Borrowed Funds (Tables)
Other Borrowed Funds (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Other Borrowed Funds [Abstract] | |
Schedule of Federal Home Loan Bank, Advances, by Branch of FHLB Bank | Other borrowed funds at December 31, 2023 and 2022 are comprised of advances from the FHLB of Cincinnati and promissory notes. FHLB Borrowings Promissory Notes Totals 2023 $ 42,199 $ 2,394 $ 44,593 2022 $ 15,569 $ 2,376 $ 17,945 |
Schedule of Maturities of Long-term Debt | Scheduled principal payments over the next five years: FHLB Borrowings Promissory Notes Totals 2024 $ 5,412 $ 2,394 $ 7,806 2025 4,983 — 4,983 2026 12,908 — 12,908 2027 11,397 — 11,397 2028 1,349 — 1,349 Thereafter 6,150 — 6,150 $ 42,199 $ 2,394 $ 44,593 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes [Abstract] | |
Components of Provision for Income Taxes | The provision for income taxes consists of the following components: 2023 2022 Current tax expense $ 3,312 $ 2,306 Deferred tax (benefit) expense (745 ) 288 Total income taxes $ 2,567 $ 2,594 |
Deferred Tax Assets and Liabilities | The source of deferred tax assets and deferred tax liabilities at December 31: 2023 2022 Items giving rise to deferred tax assets: Other reserves $ 152 $ — Allowance for loan losses 1,916 1,146 Unrealized loss on securities available for sale 3,233 3,938 Deferred compensation 2,176 2,058 Deferred loan fees/costs 169 137 Accrued bonus 249 266 Purchase accounting adjustments 11 6 Net operating loss 49 66 Lease liability 332 355 Nonaccrual interest income 113 204 Other 43 294 Items giving rise to deferred tax liabilities: Mortgage servicing rights (88 ) (99 ) FHLB stock dividends (442 ) (676 ) Prepaid expenses (35 ) (231 ) Depreciation and amortization (841 ) (843 ) Right-of-use asset (332 ) (355 ) Other (399 ) — Net deferred tax asset $ 6,306 $ 6,266 |
Reconciliation of Income Tax Provision | The difference between the financial statement tax provision and amounts computed by applying the statutory federal income tax rate of 21% to income before taxes is as follows: 2023 2022 Statutory tax ( 21 $ 3,192 $ 3,346 Effect of nontaxable interest (468 ) (385 ) Effect of nontaxable insurance premiums (205 ) (240 ) Income from bank owned insurance, net (181 ) (168 ) Effect of postretirement benefits 45 (112 ) Effect of state income tax 170 155 Tax credits (25 ) (37 ) Other items 39 35 Total income taxes (1) $ 2,567 $ 2,594 (1) Effective income tax rate was 16.9% for 2023 and 16.3% for 2022 |
Commitments and Contingent Li_2
Commitments and Contingent Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingent Liabilities [Abstract] | |
Commitments | Following is a summary of such commitments at December 31: 2023 2022 Fixed rate $ 1,331 $ 1,110 Variable rate 181,622 177,151 Standby letters of credit 9,210 3,441 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
Summary of Activity on Borrower Relationships with Aggregate Debt | A summary of activity on these borrower relationships with aggregate debt greater than $120 is as follows: Total loans at January 1, 2023 $ 16,696 New loans 855 Repayments (1,065 ) Other changes — Total loans at December 31, 2023 $ 16,486 |
Employee Benefits (Tables)
Employee Benefits (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Employee Benefits [Abstract] | |
Contributions to ESOP | In addition, the subsidiaries made contributions to the ESOP as follows: Years ended December 31 2023 2022 Number of shares issued 4,746 18,522 Fair value of stock contributed $ 125 $ 575 Cash contributed 473 — Total expense $ 598 $ 575 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value of Financial Instruments [Abstract] | |
Assets and Liabilities Measured on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurements at December 31, 2023, Using Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: U.S. Government securities $ 50,297 $ — $ — U.S. Government sponsored entity securities — 5,877 — Agency mortgage-backed securities, residential — 106,084 — Interest rate swap derivatives — 1,147 — Liabilities: Interest rate swap derivatives — (1,147 ) — Fair Value Measurements at December 31, 2022, Using Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: U.S. Government securities $ 54,792 $ — $ — U.S. Government sponsored entity securities — 7,983 — Agency mortgage-backed securities, residential — 121,299 — Interest rate swap derivatives — 1,340 — Liabilities: Interest rate swap derivatives — (1,340 ) — |
Carrying Amounts and Estimated Fair Values of Financial Instruments | The carrying amounts and estimated fair values of financial instruments at December 31, 2023 and December 31, 2022 are as follows: Fair Value Measurements at December 31, 2023 Using: Carrying Value Level 1 Level 2 Level 3 Total Financial Assets: Cash and cash equivalents $ 128,126 $ 128,126 $ — $ — $ 128,126 Certificates of deposit in financial institutions — — — — — Securities available for sale 162,258 50,297 111,961 — 162,258 Securities held to maturity 7,986 — 4,281 3,109 7,390 Loans, net 963,133 — — 944,544 944,544 Interest rate swap derivatives 1,147 — 1,147 — 1,147 Accrued interest receivable 3,606 — 466 3,140 3,606 Financial Liabilities: Deposits 1,127,136 748,013 379,455 — 1,127,468 Other borrowed funds 44,593 — 45,799 — 45,799 Subordinated debentures 8,500 — 8,500 — 8,500 Interest rate swap derivatives 1,147 — 1,147 — 1,147 Accrued interest payable 6,597 1 6,596 — 6,597 Fair Value Measurements at December 31, 2022 Using: Carrying Value Level 1 Level 2 Level 3 Total Financial Assets: Cash and cash equivalents $ 45,990 $ 45,990 $ — $ — $ 45,990 Certificates of deposit in financial institutions 1,862 — 1,862 — 1,862 Securities available for sale 184,074 54,792 129,282 — 184,074 Securities held to maturity 9,226 — 4,987 3,473 8,460 Loans, net 879,780 — — 846,870 846,870 Interest rate swap derivatives 1,340 — 1,340 — 1,340 Accrued interest receivable 3,112 — 485 2,627 3,112 Financial Liabilities: Deposits 1,027,655 875,736 149,974 — 1,025,710 Other borrowed funds 17,945 — 16,364 — 16,364 Subordinated debentures 8,500 — 8,500 — 8,500 Interest rate swap derivatives 1,340 — 1,340 — 1,340 Accrued interest payable 432 1 431 — 432 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Regulatory Matters [Abstract] | |
Capital Ratios Excluding the Capital Conservation Buffer | The following tables summarize the actual and required capital amounts of the Bank as of year-end. Actual To Be Well Capitalized Under Prompt Corrective Action Regulations Bank Amount Ratio Amount Ratio Tier 1 capital (to average assets) December 31, 2023 $ 142,895 10.8 % $ 118,910 9.0 % December 31, 2022 135,404 11.0 110,806 9.0 |
Parent Company Only Condensed_2
Parent Company Only Condensed Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Parent Company Only Condensed Financial Information [Abstract] | |
Condensed Statements of Condition | CONDENSED STATEMENTS OF CONDITION Years ended December 31: Assets 2023 2022 Cash and cash equivalents $ 6,248 $ 4,697 Investment in subsidiaries 148,597 141,402 Notes receivable 2,683 2,365 Other assets 293 259 Total assets $ 157,821 $ 148,723 Liabilities Notes payable $ 2,394 $ 2,376 Subordinated debentures 8,500 8,500 Other liabilities 2,920 2,819 Total liabilities 13,814 13,695 Shareholders’ Equity Total shareholders’ equity 144,007 135,028 Total liabilities and shareholders’ equity $ 157,821 $ 148,723 |
Condensed Statements of Income | CONDENSED STATEMENTS OF INCOME Years ended December 31: Income: 2023 2022 Interest on notes $ 91 $ 29 Dividends from subsidiaries 5,020 4,180 Expenses: Interest on notes 91 29 Interest on subordinated debentures 598 296 Operating expenses 369 396 Income before income taxes and equity in undistributed earnings of subsidiaries 4,053 3,488 Income tax benefit 196 141 Equity in undistributed earnings of subsidiaries 8,382 9,709 Net Income $ 12,631 $ 13,338 Other comprehensive income (loss), net of tax 3,385 (15,521 ) Comprehensive Income $ 16,016 $ (2,183 ) |
Condensed Statements of Cash Flows | CONDENSED STATEMENTS OF CASH FLOWS Years ended December 31: Cash flows from operating activities: 2023 2022 Net Income $ 12,631 $ 13,338 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed earnings of subsidiaries (8,382 ) (9,709 ) Common stock issued to ESOP 124 575 Change in other assets (34 ) (221 ) Change in other liabilities 101 72 Net cash provided by operating activities 4,440 4,055 Cash flows from investing activities: Proceeds from closing of OVBC Captive 2,364 — Change in notes receivable (318 ) (242 ) Net cash provided by (used in) investing activities 2,046 (242 ) Cash flows from financing activities: Change in notes payable 18 238 Purchases of treasury stock (82 ) — Cash dividends paid (4,871 ) (4,720 ) Net cash used in financing activities (4,935 ) (4,482 ) Cash and cash equivalents: Change in cash and cash equivalents 1,551 (669 ) Cash and cash equivalents at beginning of year 4,697 5,366 Cash and cash equivalents at end of year $ 6,248 $ 4,697 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Information [Abstract] | |
Segment Information | Segment information is as follows: Year Ended December 31, 2023 Banking Consumer Finance Total Company Net interest income $ 43,711 $ 2,316 $ 46,027 Provision for (recovery of) loan losses 2,025 65 2,090 Noninterest income 11,513 1,116 12,629 Noninterest expense 38,833 2,535 41,368 Provision for income taxes 2,394 173 2,567 Net income 11,972 659 12,631 Assets 1,336,861 15,274 1,352,135 Year Ended December 31, 2022 Banking Consumer Finance Total Net interest income $ 42,529 $ 2,249 $ 44,778 Provision for (recovery of) loan losses (100 ) 68 (32 ) Noninterest income 9,121 1,041 10,162 Noninterest expense 36,612 2,428 39,040 Provision for income taxes 2,429 165 2,594 Net income 12,709 629 13,338 Assets 1,195,974 14,813 1,210,787 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies, Description of Business, and Industry Segment Information (Details) | 12 Months Ended |
Dec. 31, 2023 Subsidiaries Business Office | |
Description of Business [Abstract] | |
Number of banking subsidiaries | 1 |
Number of wholly-owned subsidiaries | 1 |
Number of stores | Office | 23 |
Industry Segment Information [Abstract] | |
Number of reported lines of business | Business | 2 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies, (ACL) AFS Securities, HTM Securities, Loans, Off-Balance Sheet Credit Exposures and Concentrations of Credit Risk (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Allowance for Loan Losses [Abstract] | |||
Accrued interest receivable on AFS debt securities | $ 394 | ||
Debt Securities, Available-for-Sale, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] | Accrued interest receivable | ||
ACL related to AFS debt securities | $ 0 | ||
ACL related to HTM debt securities | 2 | $ 0 | |
ACL related to HTM debt securities, recovery of provision expense | $ (1) | ||
Credit loss, reversion period | 2 years | ||
ACL related to loans | $ 8,767 | 5,269 | $ 6,483 |
Provision expense | $ 2,030 | (32) | |
Loans maturity period | 6 years | ||
ACL related to off-balance sheet credit | $ 692 | 0 | |
ACL related to off-balance sheet credit with corresponding provision expense | 61 | ||
Loans [Abstract] | |||
Loans held for sale | $ 0 | $ 0 | |
Concentrations of Credit Risk [Abstract] | |||
% Total Loans | 100% | 100% | |
Due from Banks | $ 113,136 | ||
Residential Real Estate Loans [Member] | |||
Allowance for Loan Losses [Abstract] | |||
ACL related to loans | 2,213 | $ 681 | 980 |
Provision expense | $ 251 | $ (318) | |
Concentrations of Credit Risk [Abstract] | |||
% Total Loans | 32.88% | 33.56% | |
Commercial Real Estate Loans [Member] | |||
Allowance for Loan Losses [Abstract] | |||
ACL related to loans | $ 3,047 | $ 2,038 | 2,548 |
Provision expense | $ 824 | $ (556) | |
Concentrations of Credit Risk [Abstract] | |||
% Total Loans | 33.22% | 32.63% | |
Consumer Loans [Member] | |||
Allowance for Loan Losses [Abstract] | |||
ACL related to loans | $ 2,232 | $ 1,257 | $ 1,384 |
Provision expense | $ 1,040 | $ 559 | |
Concentrations of Credit Risk [Abstract] | |||
% Total Loans | 17.72% | 16.72% | |
Commercial and Industrial Loans [Member] | |||
Concentrations of Credit Risk [Abstract] | |||
% Total Loans | 16.18% | 17.09% |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies, Premises and Equipment, Goodwill, MSR, EPS and Restrictions on Cash (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | ||
Finance lease | $ 0 | |
Goodwill [Abstract] | ||
Goodwill impairment | 0 | $ 0 |
Mortgage Servicing Rights [Abstract] | ||
MSR assets | $ 403 | $ 456 |
Earnings Per Share [Abstract] | ||
Number of weighted average common shares outstanding (in shares) | 4,774,607 | 4,769,135 |
Restrictions on Cash [Abstract] | ||
Restricted cash | $ 113,136 | $ 30,908 |
Minimum [Member] | ||
Property, Plant and Equipment [Abstract] | ||
Operating lease term | 28 months | |
Maximum [Member] | ||
Property, Plant and Equipment [Abstract] | ||
Operating lease term | 18 years | |
Operating lease renewal term | 15 years | |
Equipment Furniture and Fixtures [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Abstract] | ||
Property, plant and equipment, useful life | 3 years | |
Equipment Furniture and Fixtures [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Abstract] | ||
Property, plant and equipment, useful life | 8 years | |
Building and Building Improvements [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Abstract] | ||
Property, plant and equipment, useful life | 7 years | |
Building and Building Improvements [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Abstract] | ||
Property, plant and equipment, useful life | 39 years |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies, Adoption of New Accounting Pronouncements (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Adoption of New Accounting Pronouncements [Abstract] | |||
HTM debt securities | $ 7,988 | $ 9,226 | |
ACL related to loans | 8,767 | 5,269 | $ 6,483 |
Deferred tax assets | 6,306 | 6,266 | |
ACL related to off-balance sheet credit | 692 | 0 | |
Obligations of States and Political Subdivisions [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
HTM debt securities | 7,987 | 9,225 | |
Residential Real Estate Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 2,213 | 681 | 980 |
Commercial Real Estate Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 3,047 | 2,038 | 2,548 |
Commercial and Industrial [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 1,275 | 1,293 | 1,571 |
Consumer Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | $ 2,232 | 1,257 | $ 1,384 |
Accounting Standards Update 2016-13 [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 7,431 | ||
Deferred tax assets | 6,853 | ||
ACL related to off-balance sheet credit | 631 | ||
Accounting Standards Update 2016-13 [Member] | Obligations of States and Political Subdivisions [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
HTM debt securities | 3 | ||
Accounting Standards Update 2016-13 [Member] | Residential Real Estate Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 2,026 | ||
Accounting Standards Update 2016-13 [Member] | Commercial Real Estate Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 2,200 | ||
Accounting Standards Update 2016-13 [Member] | Commercial and Industrial [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 1,177 | ||
Accounting Standards Update 2016-13 [Member] | Consumer Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 2,028 | ||
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Accounting Standards Update 2016-13 [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 5,269 | ||
Deferred tax assets | 6,266 | ||
ACL related to off-balance sheet credit | 0 | ||
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Accounting Standards Update 2016-13 [Member] | Obligations of States and Political Subdivisions [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
HTM debt securities | 0 | ||
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Accounting Standards Update 2016-13 [Member] | Residential Real Estate Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 681 | ||
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Accounting Standards Update 2016-13 [Member] | Commercial Real Estate Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 2,038 | ||
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Accounting Standards Update 2016-13 [Member] | Commercial and Industrial [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 1,293 | ||
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Accounting Standards Update 2016-13 [Member] | Consumer Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 1,257 | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Accounting Standards Update 2016-13 [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 2,162 | ||
Deferred tax assets | 587 | ||
ACL related to off-balance sheet credit | 631 | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Accounting Standards Update 2016-13 [Member] | Obligations of States and Political Subdivisions [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
HTM debt securities | 3 | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Accounting Standards Update 2016-13 [Member] | Residential Real Estate Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 1,345 | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Accounting Standards Update 2016-13 [Member] | Commercial Real Estate Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | 162 | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Accounting Standards Update 2016-13 [Member] | Commercial and Industrial [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | (116) | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Accounting Standards Update 2016-13 [Member] | Consumer Loans [Member] | |||
Adoption of New Accounting Pronouncements [Abstract] | |||
ACL related to loans | $ 771 |
Securities, Amortized Cost and
Securities, Amortized Cost and Fair Value of Securities Available-for-sale (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Available-for-sale Investment Securities [Abstract] | ||
Amortized Cost | $ 176,919 | $ 202,825 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (14,661) | (18,751) |
Estimated Fair Value | 162,258 | 184,074 |
U.S. Government Securities [Member] | ||
Available-for-sale Investment Securities [Abstract] | ||
Amortized Cost | 52,174 | 57,698 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (1,877) | (2,906) |
Estimated Fair Value | 50,297 | 54,792 |
U.S. Government Sponsored Entity Securities [Member] | ||
Available-for-sale Investment Securities [Abstract] | ||
Amortized Cost | 6,527 | 8,845 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (650) | (862) |
Estimated Fair Value | 5,877 | 7,983 |
Agency Mortgage-backed Securities, Residential [Member] | ||
Available-for-sale Investment Securities [Abstract] | ||
Amortized Cost | 118,218 | 136,282 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (12,134) | (14,983) |
Estimated Fair Value | $ 106,084 | $ 121,299 |
Securities, Amortized Cost an_2
Securities, Amortized Cost and Fair Value of Securities Held-to-maturity (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Debt Securities, Held-to-maturity, Maturity, Amortized Cost [Abstract] | ||
Amortized Cost | $ 7,988 | $ 9,226 |
Gross Unrealized Gains | 17 | 32 |
Gross Unrecognized Losses | (615) | (798) |
Estimated Fair Value | 7,390 | 8,460 |
Allowance for Credit Losses | (2) | 0 |
Unrealized Losses and Other-than-temporary Impairment [Abstract] | ||
Holding of securities issued | 0 | 0 |
Proceeds from sale of debt securities | 1,067 | 10,963 |
Loss on sale of securities | (23) | (1,537) |
Debt securities | 126,994 | 126,318 |
Obligations of States and Political Subdivisions [Member] | ||
Debt Securities, Held-to-maturity, Maturity, Amortized Cost [Abstract] | ||
Amortized Cost | 7,987 | 9,225 |
Gross Unrealized Gains | 17 | 32 |
Gross Unrecognized Losses | (615) | (798) |
Estimated Fair Value | 7,389 | 8,459 |
Allowance for Credit Losses | (2) | |
Agency Mortgage-backed Securities, Residential [Member] | ||
Debt Securities, Held-to-maturity, Maturity, Amortized Cost [Abstract] | ||
Amortized Cost | 1 | 1 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrecognized Losses | 0 | 0 |
Estimated Fair Value | 1 | $ 1 |
Allowance for Credit Losses | $ 0 |
Securities, Amortized Cost an_3
Securities, Amortized Cost and Fair Value of Securities by Contractual Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Amortized cost of Available-for-sale Securities by Contractual Maturity [Abstract] | ||
Due in one year or less | $ 17,424 | |
Due in one to five years | 41,277 | |
Due in five to ten years | 0 | |
Due after ten years | 0 | |
Agency mortgage-backed securities, residential | 118,218 | |
Amortized Cost | 176,919 | $ 202,825 |
Fair Value of Available-for-sale Securities by Contractual Maturity [Abstract] | ||
Due in one year or less | 17,257 | |
Due in one to five years | 38,917 | |
Due in five to ten years | 0 | |
Due after ten years | 0 | |
Agency mortgage-backed securities, residential | 106,084 | |
Estimated Fair Value | 162,258 | 184,074 |
Debt Securities, Held-to-maturity, Maturity, Amortized Cost, Net [Abstract] | ||
Due in one year or less | 397 | |
Due in one to five years | 3,974 | |
Due in five to ten years | 1,490 | |
Due after ten years | 2,126 | |
Agency mortgage-backed securities, residential | 1 | |
Amortized Cost | 7,988 | 9,226 |
Debt Securities, Held-to-maturity, Maturity, Fair Value [Abstract] | ||
Due in one year or less | 392 | |
Due in one to five years | 3,780 | |
Due in five to ten years | 1,297 | |
Due after ten years | 1,920 | |
Agency mortgage-backed securities, residential | 1 | |
Estimated Fair Value | $ 7,390 | $ 8,460 |
Securities, Available-for-sale
Securities, Available-for-sale Securities with Unrealized Losses in Continuous Unrealized Loss Position (Details) $ in Thousands | Dec. 31, 2023 USD ($) Security | Dec. 31, 2022 USD ($) |
Available-for-sale Securities with Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months - Fair Value | $ 9,474 | $ 110,756 |
12 Months or More - Fair Value | 152,784 | 73,318 |
Fair Value | 162,258 | 184,074 |
Available-for-sale Securities with Continuous Unrealized Loss Position, Unrealized Loss [Abstract] | ||
Less than 12 Months - Unrealized Loss | (52) | (8,215) |
12 Months or More - Unrealized Loss | (14,609) | (10,536) |
Unrealized Loss | $ (14,661) | (18,751) |
Number of securities in unrealized loss position | Security | 96 | |
U.S. Government Securities [Member] | ||
Available-for-sale Securities with Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months - Fair Value | $ 9,474 | 36,460 |
12 Months or More - Fair Value | 40,823 | 18,332 |
Fair Value | 50,297 | 54,792 |
Available-for-sale Securities with Continuous Unrealized Loss Position, Unrealized Loss [Abstract] | ||
Less than 12 Months - Unrealized Loss | (52) | (977) |
12 Months or More - Unrealized Loss | (1,825) | (1,929) |
Unrealized Loss | $ (1,877) | (2,906) |
Number of securities in unrealized loss position | Security | 13 | |
U.S. Government Sponsored Entity Securities [Member] | ||
Available-for-sale Securities with Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months - Fair Value | $ 0 | 2,786 |
12 Months or More - Fair Value | 5,877 | 5,197 |
Fair Value | 5,877 | 7,983 |
Available-for-sale Securities with Continuous Unrealized Loss Position, Unrealized Loss [Abstract] | ||
Less than 12 Months - Unrealized Loss | 0 | (60) |
12 Months or More - Unrealized Loss | (650) | (802) |
Unrealized Loss | $ (650) | (862) |
Number of securities in unrealized loss position | Security | 3 | |
Agency Mortgage-backed Securities, Residential [Member] | ||
Available-for-sale Securities with Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months - Fair Value | $ 0 | 71,510 |
12 Months or More - Fair Value | 106,084 | 49,789 |
Fair Value | 106,084 | 121,299 |
Available-for-sale Securities with Continuous Unrealized Loss Position, Unrealized Loss [Abstract] | ||
Less than 12 Months - Unrealized Loss | 0 | (7,178) |
12 Months or More - Unrealized Loss | (12,134) | (7,805) |
Unrealized Loss | $ (12,134) | $ (14,983) |
Number of securities in unrealized loss position | Security | 80 |
Securities, Held-to-Maturity Se
Securities, Held-to-Maturity Securities Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Roll Forward] | ||
Allowance for credit losses beginning balance | $ 0 | |
Provision for (recovery of) credit loss expense | (1) | |
Allowance for credit losses ending balance | $ 2 | $ 0 |
Cumulative loss rate | 0.02% | 0.03% |
ASC 326 [Member] | ||
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Roll Forward] | ||
Allowance for credit losses beginning balance | $ 3 | |
Allowance for credit losses ending balance | $ 3 |
Loans and Allowance for Credi_3
Loans and Allowance for Credit Losses, Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Loans [Abstract] | |||
Total loans | $ 971,900 | $ 885,049 | |
Less: Allowance for credit losses | (8,767) | (5,269) | $ (6,483) |
Net loans | 963,133 | 879,780 | |
Deferred loan origination costs, net | 794 | 663 | |
Unamortized loan purchase premiums, net | 687 | 1,142 | |
Residential Real Estate [Member] | |||
Loans [Abstract] | |||
Total loans | 319,504 | 297,036 | |
Less: Allowance for credit losses | (2,213) | (681) | (980) |
Commercial Real Estate [Member] | |||
Loans [Abstract] | |||
Total loans | 288,755 | ||
Less: Allowance for credit losses | (3,047) | (2,038) | (2,548) |
Commercial Real Estate [Member] | Owner-occupied [Member] | |||
Loans [Abstract] | |||
Total loans | 82,356 | 72,719 | |
Commercial Real Estate [Member] | Nonowner-occupied [Member] | |||
Loans [Abstract] | |||
Total loans | 178,201 | 182,831 | |
Commercial Real Estate [Member] | Construction [Member] | |||
Loans [Abstract] | |||
Total loans | 62,337 | 33,205 | |
Commercial and Industrial [Member] | |||
Loans [Abstract] | |||
Total loans | 157,298 | 151,232 | |
Less: Allowance for credit losses | (1,275) | (1,293) | (1,571) |
Consumer [Member] | |||
Loans [Abstract] | |||
Total loans | 148,026 | ||
Less: Allowance for credit losses | (2,232) | (1,257) | $ (1,384) |
Consumer [Member] | Automobile [Member] | |||
Loans [Abstract] | |||
Total loans | 61,461 | 54,837 | |
Consumer [Member] | Home Equity [Member] | |||
Loans [Abstract] | |||
Total loans | 35,893 | 27,791 | |
Consumer [Member] | Other [Member] | |||
Loans [Abstract] | |||
Total loans | $ 74,850 | $ 65,398 |
Loans and Allowance for Credi_4
Loans and Allowance for Credit Losses, Nonaccrual Loans and Loans Past Due 90 Days or More and Still Accruing (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Recorded Investment in Nonaccrual and Loans Past Due Over90 Days Still on Accrual by Class of Loans [Abstract] | ||
Loans past due 90 days and still accruing | $ 119 | $ 538 |
Nonaccrual Loans With No ACL | 775 | |
Nonaccrual Loans With an ACL | 1,617 | |
Nonaccrual | 2,392 | 3,233 |
Nonaccrual, interest income | 146 | |
Residential Real Estate [Member] | ||
Recorded Investment in Nonaccrual and Loans Past Due Over90 Days Still on Accrual by Class of Loans [Abstract] | ||
Loans past due 90 days and still accruing | 9 | 100 |
Nonaccrual Loans With No ACL | 0 | |
Nonaccrual Loans With an ACL | 1,234 | |
Nonaccrual | 1,234 | 1,708 |
Commercial Real Estate [Member] | Owner-occupied [Member] | ||
Recorded Investment in Nonaccrual and Loans Past Due Over90 Days Still on Accrual by Class of Loans [Abstract] | ||
Loans past due 90 days and still accruing | 0 | 0 |
Nonaccrual Loans With No ACL | 775 | |
Nonaccrual Loans With an ACL | 0 | |
Nonaccrual | 775 | 938 |
Commercial Real Estate [Member] | Nonowner-occupied [Member] | ||
Recorded Investment in Nonaccrual and Loans Past Due Over90 Days Still on Accrual by Class of Loans [Abstract] | ||
Loans past due 90 days and still accruing | 0 | 0 |
Nonaccrual Loans With No ACL | 0 | |
Nonaccrual Loans With an ACL | 61 | |
Nonaccrual | 61 | 70 |
Commercial Real Estate [Member] | Construction [Member] | ||
Recorded Investment in Nonaccrual and Loans Past Due Over90 Days Still on Accrual by Class of Loans [Abstract] | ||
Loans past due 90 days and still accruing | 0 | 0 |
Nonaccrual Loans With No ACL | 0 | |
Nonaccrual Loans With an ACL | 1 | |
Nonaccrual | 1 | 75 |
Commercial and Industrial [Member] | ||
Recorded Investment in Nonaccrual and Loans Past Due Over90 Days Still on Accrual by Class of Loans [Abstract] | ||
Loans past due 90 days and still accruing | 0 | 0 |
Nonaccrual Loans With No ACL | 0 | |
Nonaccrual Loans With an ACL | 48 | |
Nonaccrual | 48 | 150 |
Consumer [Member] | Automobile [Member] | ||
Recorded Investment in Nonaccrual and Loans Past Due Over90 Days Still on Accrual by Class of Loans [Abstract] | ||
Loans past due 90 days and still accruing | 56 | 27 |
Nonaccrual Loans With No ACL | 0 | |
Nonaccrual Loans With an ACL | 78 | |
Nonaccrual | 78 | 82 |
Consumer [Member] | Home Equity [Member] | ||
Recorded Investment in Nonaccrual and Loans Past Due Over90 Days Still on Accrual by Class of Loans [Abstract] | ||
Loans past due 90 days and still accruing | 0 | 0 |
Nonaccrual Loans With No ACL | 0 | |
Nonaccrual Loans With an ACL | 95 | |
Nonaccrual | 95 | 151 |
Consumer [Member] | Other [Member] | ||
Recorded Investment in Nonaccrual and Loans Past Due Over90 Days Still on Accrual by Class of Loans [Abstract] | ||
Loans past due 90 days and still accruing | 54 | 411 |
Nonaccrual Loans With No ACL | 0 | |
Nonaccrual Loans With an ACL | 100 | |
Nonaccrual | $ 100 | $ 59 |
Loans and Allowance for Credi_5
Loans and Allowance for Credit Losses, Past Due Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | $ 971,900 | $ 885,049 |
Residential Real Estate [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 319,504 | 297,036 |
Commercial Real Estate [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 288,755 | |
Commercial Real Estate [Member] | Owner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 82,356 | 72,719 |
Commercial Real Estate [Member] | Nonowner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 178,201 | 182,831 |
Commercial Real Estate [Member] | Construction [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 62,337 | 33,205 |
Commercial and Industrial [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 157,298 | 151,232 |
Consumer [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 148,026 | |
Consumer [Member] | Automobile [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 61,461 | 54,837 |
Consumer [Member] | Home Equity [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 35,893 | 27,791 |
Consumer [Member] | Other [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 74,850 | 65,398 |
Total Past Due [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 13,522 | 7,872 |
Total Past Due [Member] | Residential Real Estate [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 3,554 | 2,997 |
Total Past Due [Member] | Commercial Real Estate [Member] | Owner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 3,355 | 1,035 |
Total Past Due [Member] | Commercial Real Estate [Member] | Nonowner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 681 | 631 |
Total Past Due [Member] | Commercial Real Estate [Member] | Construction [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 0 | 102 |
Total Past Due [Member] | Commercial and Industrial [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 3,386 | 171 |
Total Past Due [Member] | Consumer [Member] | Automobile [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 1,109 | 1,141 |
Total Past Due [Member] | Consumer [Member] | Home Equity [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 510 | 355 |
Total Past Due [Member] | Consumer [Member] | Other [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 927 | 1,440 |
30 to 59 Days Past Due [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 11,097 | 4,466 |
30 to 59 Days Past Due [Member] | Residential Real Estate [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 2,705 | 1,799 |
30 to 59 Days Past Due [Member] | Commercial Real Estate [Member] | Owner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 2,580 | 97 |
30 to 59 Days Past Due [Member] | Commercial Real Estate [Member] | Nonowner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 681 | 626 |
30 to 59 Days Past Due [Member] | Commercial Real Estate [Member] | Construction [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 0 | 40 |
30 to 59 Days Past Due [Member] | Commercial and Industrial [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 3,338 | 21 |
30 to 59 Days Past Due [Member] | Consumer [Member] | Automobile [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 782 | 804 |
30 to 59 Days Past Due [Member] | Consumer [Member] | Home Equity [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 353 | 204 |
30 to 59 Days Past Due [Member] | Consumer [Member] | Other [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 658 | 875 |
60 to 89 Days Past Due [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 761 | 1,104 |
60 to 89 Days Past Due [Member] | Residential Real Estate [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 368 | 701 |
60 to 89 Days Past Due [Member] | Commercial Real Estate [Member] | Owner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 0 | 0 |
60 to 89 Days Past Due [Member] | Commercial Real Estate [Member] | Nonowner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 0 | 5 |
60 to 89 Days Past Due [Member] | Commercial Real Estate [Member] | Construction [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 0 | 45 |
60 to 89 Days Past Due [Member] | Commercial and Industrial [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 0 | 0 |
60 to 89 Days Past Due [Member] | Consumer [Member] | Automobile [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 210 | 240 |
60 to 89 Days Past Due [Member] | Consumer [Member] | Home Equity [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 62 | 0 |
60 to 89 Days Past Due [Member] | Consumer [Member] | Other [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 121 | 113 |
90 Days or More Past Due [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 1,664 | 2,302 |
90 Days or More Past Due [Member] | Residential Real Estate [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 481 | 497 |
90 Days or More Past Due [Member] | Commercial Real Estate [Member] | Owner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 775 | 938 |
90 Days or More Past Due [Member] | Commercial Real Estate [Member] | Nonowner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 0 | 0 |
90 Days or More Past Due [Member] | Commercial Real Estate [Member] | Construction [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 0 | 17 |
90 Days or More Past Due [Member] | Commercial and Industrial [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 48 | 150 |
90 Days or More Past Due [Member] | Consumer [Member] | Automobile [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 117 | 97 |
90 Days or More Past Due [Member] | Consumer [Member] | Home Equity [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 95 | 151 |
90 Days or More Past Due [Member] | Consumer [Member] | Other [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 148 | 452 |
Loans Not Past Due [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 958,378 | 877,177 |
Loans Not Past Due [Member] | Residential Real Estate [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 315,950 | 294,039 |
Loans Not Past Due [Member] | Commercial Real Estate [Member] | Owner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 79,001 | 71,684 |
Loans Not Past Due [Member] | Commercial Real Estate [Member] | Nonowner-occupied [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 177,520 | 182,200 |
Loans Not Past Due [Member] | Commercial Real Estate [Member] | Construction [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 62,337 | 33,103 |
Loans Not Past Due [Member] | Commercial and Industrial [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 153,912 | 151,061 |
Loans Not Past Due [Member] | Consumer [Member] | Automobile [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 60,352 | 53,696 |
Loans Not Past Due [Member] | Consumer [Member] | Home Equity [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | 35,383 | 27,436 |
Loans Not Past Due [Member] | Consumer [Member] | Other [Member] | ||
Aging of Recorded Investment in Past Due Loans by Class of Loans [Abstract] | ||
Total loans balance | $ 73,923 | $ 63,958 |
Loans and Allowance for Credi_6
Loans and Allowance for Credit Losses, Credit Quality Indicators (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
CARES Act [Member] | |
Credit Quality Indicators [Abstract] | |
Aggregate loan amount that are reviewed risk categories | $ 1,000 |
Loans and Allowance for Credi_7
Loans and Allowance for Credit Losses, Risk Category of Commercial Loans by Class of Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | $ 971,900 | $ 885,049 |
Current Period gross charge-offs | 1,692 | 2,188 |
Commercial [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 439,987 | |
Commercial [Member] | Pass [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 426,485 | |
Commercial [Member] | Criticized [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 10,776 | |
Commercial [Member] | Classified [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 2,726 | |
Commercial Real Estate [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 288,755 | |
Current Period gross charge-offs | 132 | 36 |
Commercial Real Estate [Member] | Owner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 18,120 | |
2022 | 7,911 | |
2021 | 24,613 | |
2020 | 5,973 | |
2019 | 6,623 | |
Prior | 18,357 | |
Revolving loans amortized cost basis | 759 | |
Total ending loans balance | 82,356 | 72,719 |
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving loans amortized cost basis | 0 | |
Current Period gross charge-offs | 0 | |
Commercial Real Estate [Member] | Nonowner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 12,688 | |
2022 | 29,344 | |
2021 | 33,073 | |
2020 | 23,710 | |
2019 | 15,415 | |
Prior | 62,843 | |
Revolving loans amortized cost basis | 1,128 | |
Total ending loans balance | 178,201 | 182,831 |
2023 | 0 | |
2022 | 0 | |
2021 | 132 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving loans amortized cost basis | 0 | |
Current Period gross charge-offs | 132 | |
Commercial Real Estate [Member] | Construction [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 28,055 | |
2022 | 29,174 | |
2021 | 1,231 | |
2020 | 302 | |
2019 | 392 | |
Prior | 3,183 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | 62,337 | 33,205 |
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving loans amortized cost basis | 0 | |
Current Period gross charge-offs | 0 | |
Commercial Real Estate [Member] | Pass [Member] | Owner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 18,120 | |
2022 | 7,911 | |
2021 | 10,679 | |
2020 | 5,973 | |
2019 | 6,125 | |
Prior | 15,925 | |
Revolving loans amortized cost basis | 459 | |
Total ending loans balance | 65,192 | 68,236 |
Commercial Real Estate [Member] | Pass [Member] | Nonowner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 12,688 | |
2022 | 29,344 | |
2021 | 32,235 | |
2020 | 20,484 | |
2019 | 15,415 | |
Prior | 61,809 | |
Revolving loans amortized cost basis | 1,128 | |
Total ending loans balance | 173,103 | 177,479 |
Commercial Real Estate [Member] | Pass [Member] | Construction [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 28,055 | |
2022 | 29,174 | |
2021 | 1,231 | |
2020 | 302 | |
2019 | 392 | |
Prior | 2,937 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | 62,091 | 33,143 |
Commercial Real Estate [Member] | Special Mention [Member] | Owner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 427 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | 427 | |
Commercial Real Estate [Member] | Special Mention [Member] | Nonowner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 768 | |
2020 | 3,226 | |
2019 | 0 | |
Prior | 1,034 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | 5,028 | |
Commercial Real Estate [Member] | Special Mention [Member] | Construction [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | 0 | |
Commercial Real Estate [Member] | Substandard [Member] | Owner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 13,934 | |
2020 | 0 | |
2019 | 498 | |
Prior | 2,005 | |
Revolving loans amortized cost basis | 300 | |
Total ending loans balance | 16,737 | |
Commercial Real Estate [Member] | Substandard [Member] | Nonowner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 70 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | 70 | |
Commercial Real Estate [Member] | Substandard [Member] | Construction [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 246 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | 246 | |
Commercial Real Estate [Member] | Doubtful [Member] | Owner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | 0 | |
Commercial Real Estate [Member] | Doubtful [Member] | Nonowner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | 0 | |
Commercial Real Estate [Member] | Doubtful [Member] | Construction [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | 0 | |
Commercial Real Estate [Member] | Criticized [Member] | Owner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 3,545 | |
Commercial Real Estate [Member] | Criticized [Member] | Nonowner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 5,352 | |
Commercial Real Estate [Member] | Criticized [Member] | Construction [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 0 | |
Commercial Real Estate [Member] | Classified [Member] | Owner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 938 | |
Commercial Real Estate [Member] | Classified [Member] | Nonowner-occupied [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 0 | |
Commercial Real Estate [Member] | Classified [Member] | Construction [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 62 | |
Commercial and Industrial [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 8,910 | |
2022 | 30,885 | |
2021 | 26,864 | |
2020 | 32,610 | |
2019 | 348 | |
Prior | 27,822 | |
Revolving loans amortized cost basis | 29,859 | |
Total ending loans balance | 157,298 | 151,232 |
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving loans amortized cost basis | 29 | |
Current Period gross charge-offs | 29 | 618 |
Commercial and Industrial [Member] | Pass [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 8,770 | |
2022 | 30,885 | |
2021 | 26,806 | |
2020 | 31,247 | |
2019 | 344 | |
Prior | 27,632 | |
Revolving loans amortized cost basis | 27,510 | |
Total ending loans balance | 153,194 | 147,627 |
Commercial and Industrial [Member] | Special Mention [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 140 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 8 | |
Revolving loans amortized cost basis | 66 | |
Total ending loans balance | 214 | |
Commercial and Industrial [Member] | Substandard [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 58 | |
2020 | 1,363 | |
2019 | 4 | |
Prior | 182 | |
Revolving loans amortized cost basis | 2,283 | |
Total ending loans balance | 3,890 | |
Commercial and Industrial [Member] | Doubtful [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving loans amortized cost basis | 0 | |
Total ending loans balance | $ 0 | |
Commercial and Industrial [Member] | Criticized [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 1,879 | |
Commercial and Industrial [Member] | Classified [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | $ 1,726 |
Loans and Allowance for Credi_8
Loans and Allowance for Credit Losses, Recorded Investment of Residential and Consumer Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | $ 971,900 | $ 885,049 |
Current Period gross charge-offs | $ 1,692 | $ 2,188 |
Percentage of unsecured loans | 4.37% | 4.52% |
Consumer and Residential [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | $ 445,062 | |
Consumer and Residential [Member] | Performing [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 442,524 | |
Consumer and Residential [Member] | Nonperforming [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 2,538 | |
Residential Real Estate [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | $ 50,484 | |
2022 | 44,640 | |
2021 | 50,949 | |
2020 | 44,818 | |
2019 | 22,036 | |
Prior | 93,017 | |
Revolving Loans Amortized Cost Basis | 13,560 | |
Total ending loans balance | 319,504 | 297,036 |
2023 | 0 | |
2022 | 0 | |
2021 | 3 | |
2020 | 0 | |
2019 | 0 | |
Prior | 118 | |
Revolving Loans Amortized Cost Basis | 0 | |
Current Period gross charge-offs | 121 | 135 |
Residential Real Estate [Member] | Performing [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 50,484 | |
2022 | 44,640 | |
2021 | 50,949 | |
2020 | 44,818 | |
2019 | 21,854 | |
Prior | 91,956 | |
Revolving Loans Amortized Cost Basis | 13,560 | |
Total ending loans balance | 318,261 | 295,228 |
Residential Real Estate [Member] | Nonperforming [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 182 | |
Prior | 1,061 | |
Revolving Loans Amortized Cost Basis | 0 | |
Total ending loans balance | 1,243 | 1,808 |
Consumer [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total ending loans balance | 148,026 | |
Current Period gross charge-offs | 1,410 | 1,399 |
Consumer [Member] | Automobile [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 28,973 | |
2022 | 20,436 | |
2021 | 7,028 | |
2020 | 3,029 | |
2019 | 1,221 | |
Prior | 774 | |
Revolving Loans Amortized Cost Basis | 0 | |
Total ending loans balance | 61,461 | 54,837 |
2023 | 51 | |
2022 | 163 | |
2021 | 116 | |
2020 | 6 | |
2019 | 29 | |
Prior | 3 | |
Revolving Loans Amortized Cost Basis | 0 | |
Current Period gross charge-offs | 368 | |
Consumer [Member] | Home Equity [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 1,649 | |
2022 | 79 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 34,165 | |
Total ending loans balance | 35,893 | 27,791 |
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 87 | |
Current Period gross charge-offs | 87 | |
Consumer [Member] | Other [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 18,388 | |
2022 | 24,921 | |
2021 | 10,867 | |
2020 | 4,535 | |
2019 | 1,094 | |
Prior | 957 | |
Revolving Loans Amortized Cost Basis | 14,088 | |
Total ending loans balance | 74,850 | 65,398 |
2023 | 306 | |
2022 | 119 | |
2021 | 119 | |
2020 | 84 | |
2019 | 28 | |
Prior | 53 | |
Revolving Loans Amortized Cost Basis | 246 | |
Current Period gross charge-offs | 955 | |
Consumer [Member] | Performing [Member] | Automobile [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 28,939 | |
2022 | 20,376 | |
2021 | 7,013 | |
2020 | 3,028 | |
2019 | 1,212 | |
Prior | 759 | |
Revolving Loans Amortized Cost Basis | 0 | |
Total ending loans balance | 61,327 | 54,728 |
Consumer [Member] | Performing [Member] | Home Equity [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 1,649 | |
2022 | 79 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 34,070 | |
Total ending loans balance | 35,798 | 27,640 |
Consumer [Member] | Performing [Member] | Other [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 18,377 | |
2022 | 24,904 | |
2021 | 10,800 | |
2020 | 4,482 | |
2019 | 1,093 | |
Prior | 953 | |
Revolving Loans Amortized Cost Basis | 14,087 | |
Total ending loans balance | 74,696 | 64,928 |
Consumer [Member] | Nonperforming [Member] | Automobile [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 34 | |
2022 | 60 | |
2021 | 15 | |
2020 | 1 | |
2019 | 9 | |
Prior | 15 | |
Revolving Loans Amortized Cost Basis | 0 | |
Total ending loans balance | 134 | 109 |
Consumer [Member] | Nonperforming [Member] | Home Equity [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 95 | |
Total ending loans balance | 95 | 151 |
Consumer [Member] | Nonperforming [Member] | Other [Member] | ||
Financing Receivable, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 11 | |
2022 | 17 | |
2021 | 67 | |
2020 | 53 | |
2019 | 1 | |
Prior | 4 | |
Revolving Loans Amortized Cost Basis | 1 | |
Total ending loans balance | $ 154 | $ 470 |
Loans and Allowance for Credi_9
Loans and Allowance for Credit Losses, Allowance for Credit Losses by Portfolio Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | $ 5,269 | $ 6,483 |
Provision for credit losses | 2,030 | (32) |
Loans charged off | (1,692) | (2,188) |
Recoveries | 998 | 1,006 |
Ending balance | 8,767 | 5,269 |
Residential Real Estate [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 681 | 980 |
Provision for credit losses | 251 | (318) |
Loans charged off | (121) | (135) |
Recoveries | 57 | 154 |
Ending balance | 2,213 | 681 |
Commercial Real Estate [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 2,038 | 2,548 |
Provision for credit losses | 824 | (556) |
Loans charged off | (132) | (36) |
Recoveries | 155 | 82 |
Ending balance | 3,047 | 2,038 |
Commercial and Industrial [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 1,293 | 1,571 |
Provision for credit losses | (85) | 283 |
Loans charged off | (29) | (618) |
Recoveries | 212 | 57 |
Ending balance | 1,275 | 1,293 |
Consumer [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 1,257 | 1,384 |
Provision for credit losses | 1,040 | 559 |
Loans charged off | (1,410) | (1,399) |
Recoveries | 574 | 713 |
Ending balance | 2,232 | 1,257 |
ASU 2016-13 [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 7,431 | |
Ending balance | 7,431 | |
ASU 2016-13 [Member] | Residential Real Estate [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 2,026 | |
Ending balance | 2,026 | |
ASU 2016-13 [Member] | Commercial Real Estate [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 2,200 | |
Ending balance | 2,200 | |
ASU 2016-13 [Member] | Commercial and Industrial [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 1,177 | |
Ending balance | 1,177 | |
ASU 2016-13 [Member] | Consumer [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 2,028 | |
Ending balance | 2,028 | |
ASU 2016-13 [Member] | Impact of Adoption [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 2,162 | |
Ending balance | 2,162 | |
ASU 2016-13 [Member] | Impact of Adoption [Member] | Residential Real Estate [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 1,345 | |
Ending balance | 1,345 | |
ASU 2016-13 [Member] | Impact of Adoption [Member] | Commercial Real Estate [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | 162 | |
Ending balance | 162 | |
ASU 2016-13 [Member] | Impact of Adoption [Member] | Commercial and Industrial [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | (116) | |
Ending balance | (116) | |
ASU 2016-13 [Member] | Impact of Adoption [Member] | Consumer [Member] | ||
Allowance for Credit and Lease Losses [Roll Forward] | ||
Beginning balance | $ 771 | |
Ending balance | $ 771 |
Loans and Allowance for Cred_10
Loans and Allowance for Credit Losses, Allowance for Credit Losses and Recorded Investment in Loans by Portfolio Segment Based on Impairment Method (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Ending allowance balance attributable to loans [Abstract] | |||
Individually evaluated for impairment | $ 0 | ||
Collectively evaluated for impairment | 5,269 | ||
Total ending allowance balance | $ 8,767 | 5,269 | $ 6,483 |
Loans [Abstract] | |||
Loans individually evaluated for impairment | 2,014 | ||
Loans collectively evaluated for impairment | 883,035 | ||
Total ending loans balance | 971,900 | 885,049 | |
Collateral Pledged [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 2,648 | ||
Real Estate [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 2,390 | ||
Business Assets [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 258 | ||
Residential Real Estate [Member] | |||
Ending allowance balance attributable to loans [Abstract] | |||
Individually evaluated for impairment | 0 | ||
Collectively evaluated for impairment | 681 | ||
Total ending allowance balance | 2,213 | 681 | 980 |
Loans [Abstract] | |||
Loans individually evaluated for impairment | 0 | ||
Loans collectively evaluated for impairment | 297,036 | ||
Total ending loans balance | 319,504 | 297,036 | |
Residential Real Estate [Member] | Collateral Pledged [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 1,663 | ||
Residential Real Estate [Member] | Real Estate [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 1,663 | ||
Residential Real Estate [Member] | Business Assets [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 0 | ||
Commercial Real Estate [Member] | |||
Ending allowance balance attributable to loans [Abstract] | |||
Individually evaluated for impairment | 0 | ||
Collectively evaluated for impairment | 2,038 | ||
Total ending allowance balance | 3,047 | 2,038 | 2,548 |
Loans [Abstract] | |||
Loans individually evaluated for impairment | 1,986 | ||
Loans collectively evaluated for impairment | 286,769 | ||
Total ending loans balance | 288,755 | ||
Commercial Real Estate [Member] | Owner-occupied [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 82,356 | 72,719 | |
Commercial Real Estate [Member] | Owner-occupied [Member] | Collateral Pledged [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 958 | ||
Commercial Real Estate [Member] | Owner-occupied [Member] | Real Estate [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 700 | ||
Commercial Real Estate [Member] | Owner-occupied [Member] | Business Assets [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 258 | ||
Commercial and Industrial [Member] | |||
Ending allowance balance attributable to loans [Abstract] | |||
Individually evaluated for impairment | 0 | ||
Collectively evaluated for impairment | 1,293 | ||
Total ending allowance balance | 1,275 | 1,293 | 1,571 |
Loans [Abstract] | |||
Loans individually evaluated for impairment | 0 | ||
Loans collectively evaluated for impairment | 151,232 | ||
Total ending loans balance | 157,298 | 151,232 | |
Consumer [Member] | |||
Ending allowance balance attributable to loans [Abstract] | |||
Individually evaluated for impairment | 0 | ||
Collectively evaluated for impairment | 1,257 | ||
Total ending allowance balance | 2,232 | 1,257 | $ 1,384 |
Loans [Abstract] | |||
Loans individually evaluated for impairment | 28 | ||
Loans collectively evaluated for impairment | 147,998 | ||
Total ending loans balance | 148,026 | ||
Consumer [Member] | Home Equity [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 35,893 | $ 27,791 | |
Consumer [Member] | Home Equity [Member] | Collateral Pledged [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 27 | ||
Consumer [Member] | Home Equity [Member] | Real Estate [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | 27 | ||
Consumer [Member] | Home Equity [Member] | Business Assets [Member] | |||
Loans [Abstract] | |||
Total ending loans balance | $ 0 |
Loans and Allowance for Cred_11
Loans and Allowance for Credit Losses, Impaired Loans (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 USD ($) Property | Dec. 31, 2022 USD ($) Property | |
With an allowance recorded [Abstract] | ||
Unpaid principal balance | $ 0 | |
Recorded investment | 0 | |
Total [Abstract] | ||
Unpaid principal balance | 2,099 | |
Recorded investment | 2,014 | |
Allowance for Loan Losses Allocated | 0 | |
Impaired loans [Abstract] | ||
Average impaired loans - with an allowance recorded | 0 | |
Interest income recognized - with an allowance recorded | 0 | |
Cash basis interest recognized - with an allowance recorded | 0 | |
Average impaired loans | 2,067 | |
Interest income recognized | 128 | |
Cash basis interest recognized | $ 128 | |
Residential Real Estate [Member] | ||
Impaired loans [Abstract] | ||
Number of other real estate owned | Property | 68 | 0 |
Mortgage loans in process of foreclosure | $ 348 | $ 370 |
Commercial Real Estate [Member] | Owner-occupied [Member] | ||
With no related allowance recorded [Abstract] | ||
Unpaid principal balance | 1,692 | |
Recorded investment | 1,607 | |
Impaired loans [Abstract] | ||
Average impaired loans - with no allowance recorded | 1,662 | |
Interest income recognized - with no allowance recorded | 97 | |
Cash basis interest recognized - with no allowance recorded | 97 | |
Commercial Real Estate [Member] | Nonowner-occupied [Member] | ||
With no related allowance recorded [Abstract] | ||
Unpaid principal balance | 379 | |
Recorded investment | 379 | |
Impaired loans [Abstract] | ||
Average impaired loans - with no allowance recorded | 382 | |
Interest income recognized - with no allowance recorded | 29 | |
Cash basis interest recognized - with no allowance recorded | 29 | |
Consumer [Member] | Home Equity [Member] | ||
With no related allowance recorded [Abstract] | ||
Unpaid principal balance | 28 | |
Recorded investment | 28 | |
Impaired loans [Abstract] | ||
Average impaired loans - with no allowance recorded | 23 | |
Interest income recognized - with no allowance recorded | 2 | |
Cash basis interest recognized - with no allowance recorded | $ 2 |
Premises and Equipment (Details
Premises and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Premises and Equipment [Abstract] | ||
Premises and equipment, gross | $ 39,127 | $ 36,931 |
Less accumulated depreciation | 17,677 | 16,495 |
Total premises and equipment | 21,450 | 20,436 |
Premises and Equipment Held for Sale [Abstract] | ||
Premises and equipment held for sale, Gross | 678 | 678 |
Less accumulated depreciation | 105 | 85 |
Total premises and equipment held for sale | 573 | 593 |
Land [Member] | ||
Premises and Equipment [Abstract] | ||
Premises and equipment, gross | 2,568 | 2,486 |
Premises and Equipment Held for Sale [Abstract] | ||
Premises and equipment held for sale, Gross | 84 | 84 |
Buildings [Member] | ||
Premises and Equipment [Abstract] | ||
Premises and equipment, gross | 23,867 | 22,526 |
Premises and Equipment Held for Sale [Abstract] | ||
Premises and equipment held for sale, Gross | 594 | 594 |
Leasehold Improvements [Member] | ||
Premises and Equipment [Abstract] | ||
Premises and equipment, gross | 1,555 | 1,509 |
Furniture and Equipment [Member] | ||
Premises and Equipment [Abstract] | ||
Premises and equipment, gross | $ 11,137 | $ 10,410 |
Leases, Balance Sheet Informati
Leases, Balance Sheet Information (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Balance Sheet Information Related to Leases [Abstract] | ||
Operating lease right-of-use assets | $ 1,205 | $ 1,294 |
Operating lease liabilities | $ 1,205 | $ 1,294 |
Leases, Components of Lease Cos
Leases, Components of Lease Cost (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Lease, Cost [Abstract] | ||
Operating lease cost | $ 204 | $ 185 |
Short-term lease expense | $ 17 | $ 35 |
Leases, Maturities of Lease Lia
Leases, Maturities of Lease Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
2024 | $ 195 | |
2025 | 195 | |
2026 | 140 | |
2027 | 109 | |
2028 | 111 | |
Thereafter | 764 | |
Total lease payments | 1,514 | |
Less: Imputed Interest | (309) | |
Total operating leases | $ 1,205 | $ 1,294 |
Leases, Other Information (Deta
Leases, Other Information (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Other Information [Abstract] | ||
Weighted-average remaining lease term for operating leases | 13 years | 12 years 1 month 6 days |
Weighted-average discount rate for operating leases | 2.91% | 2.70% |
Goodwill and Intangible Assets,
Goodwill and Intangible Assets, Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Gross Carrying Amount [Abstract] | ||
Goodwill | $ 7,319 | $ 7,319 |
Goodwill impairment | $ 0 | $ 0 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets, Acquired Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Acquired Intangible Assets [Abstract] | ||
Aggregate amortization expense | $ 21 | $ 35 |
Core Deposits Intangibles [Member] | ||
Acquired Intangible Assets [Abstract] | ||
Gross Carrying Amount | 738 | 738 |
Accumulated Amortization | $ 730 | $ 709 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets, Future Estimated Amortization Expense (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Estimated Amortization Expense [Abstract] | |
2024 | $ 8 |
2025 | 0 |
2026 | 0 |
2027 | 0 |
2028 | 0 |
Total | $ 8 |
Deposits, Summary (Details)
Deposits, Summary (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deposits [Abstract] | ||
Noninterest-bearing deposits | $ 322,222 | $ 354,413 |
Interest-bearing Deposits [Abstract] | ||
NOW accounts | 170,422 | 209,758 |
Savings and Money Market | 255,369 | 311,565 |
Time deposits in denominations of $250 or less | 301,323 | 115,049 |
Time deposits in denominations of more than $250 | 77,800 | 36,870 |
Total time deposits | 379,123 | 151,919 |
Total interest-bearing deposits | 804,914 | 673,242 |
Total deposits | $ 1,127,136 | $ 1,027,655 |
Deposits, Time Deposits (Detail
Deposits, Time Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Maturities of Time Deposits [Abstract] | ||
2024 | $ 261,922 | |
2025 | 95,860 | |
2026 | 19,001 | |
2027 | 1,139 | |
2028 | 1,023 | |
Thereafter | 178 | |
Total time deposits | 379,123 | $ 151,919 |
Brokered deposits | $ 64,893 | $ 3,999 |
Interest Rate Swaps (Details)
Interest Rate Swaps (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Interest Rate Swaps [Abstract] | ||
Derivative asset, notional amount | $ 12,515 | $ 13,196 |
Derivative asset, fair value | 1,147 | 1,340 |
Derivative liability, fair value | 1,147 | 1,340 |
Collateral deposits | $ 0 | $ 0 |
Other Borrowed Funds (Details)
Other Borrowed Funds (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 USD ($) Promissorynote | Dec. 31, 2022 USD ($) | |
Other Borrowed Funds [Abstract] | ||
Other borrowings | $ 44,593 | $ 17,945 |
FHLB Advances - variable rate loans | 0 | |
Cash management advances, maximum borrowing amount | $ 88,183 | |
Cash management advances, maturity period | 90 days | |
Cash management advances, available borrowing amount | $ 100,000 | |
Number of promissory notes payable to related parties | Promissorynote | 6 | |
Notes Payable, Related Party, Type [Extensible Enumeration] | Related Party [Member] | |
Scheduled Repayments of FHLB Advances [Abstract] | ||
2024 | $ 7,806 | |
2025 | 4,983 | |
2026 | 12,908 | |
2027 | 11,397 | |
2028 | 1,349 | |
Thereafter | 6,150 | |
Other borrowings | $ 44,593 | $ 17,945 |
Minimum [Member] | ||
Other Borrowed Funds [Abstract] | ||
Fixed-rate FHLB advances interest rate | 1.53% | |
Maximum [Member] | ||
Other Borrowed Funds [Abstract] | ||
Fixed-rate FHLB advances interest rate | 4.91% | |
Weighted Average [Member] | ||
Other Borrowed Funds [Abstract] | ||
Fixed-rate FHLB advances interest rate | 3.50% | 2.34% |
Mortgage Loans [Member] | ||
Other Borrowed Funds [Abstract] | ||
Collateral pledged for FHLB Advances | $ 312,767 | |
Commercial Loans [Member] | ||
Other Borrowed Funds [Abstract] | ||
Collateral pledged for FHLB Advances | 33,456 | |
FHLB Stock [Member] | ||
Other Borrowed Funds [Abstract] | ||
Collateral pledged for FHLB Advances | 2,896 | |
Cash management advances, maximum borrowing amount | 182,731 | |
Cash management advances, available borrowing amount | 88,183 | |
FHLB Borrowings [Member] | ||
Other Borrowed Funds [Abstract] | ||
Other borrowings | 42,199 | $ 15,569 |
Scheduled Repayments of FHLB Advances [Abstract] | ||
2024 | 5,412 | |
2025 | 4,983 | |
2026 | 12,908 | |
2027 | 11,397 | |
2028 | 1,349 | |
Thereafter | 6,150 | |
Other borrowings | 42,199 | 15,569 |
Promissory Notes [Member] | ||
Other Borrowed Funds [Abstract] | ||
Other borrowings | $ 2,394 | 2,376 |
Maturity date of promissory notes issued | Nov. 18, 2024 | |
Notes payable to related parties | $ 2,394 | |
Notes payable to other banks | 0 | 0 |
Scheduled Repayments of FHLB Advances [Abstract] | ||
2024 | 2,394 | |
2025 | 0 | |
2026 | 0 | |
2027 | 0 | |
2028 | 0 | |
Thereafter | 0 | |
Other borrowings | $ 2,394 | $ 2,376 |
Promissory Notes [Member] | Minimum [Member] | ||
Other Borrowed Funds [Abstract] | ||
Interest rate | 3.15% | |
Promissory Notes [Member] | Maximum [Member] | ||
Other Borrowed Funds [Abstract] | ||
Interest rate | 5% | |
Promissory Notes [Member] | Weighted Average [Member] | ||
Other Borrowed Funds [Abstract] | ||
Interest rate | 3.79% | 1.35% |
FHLB Line of Credit [Member] | ||
Other Borrowed Funds [Abstract] | ||
Letters of credit issued | $ 52,350 | $ 75,140 |
Subordinated Debentures and T_2
Subordinated Debentures and Trust Preferred Securities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Mar. 15, 2012 | Mar. 22, 2007 | Dec. 31, 2023 | Sep. 15, 2023 | Dec. 31, 2022 | |
Subordinated Debentures and Trust Preferred Securities [Abstract] | |||||
Proceeds from issuance of adjustable rate trust preferred securities | $ 8,500 | ||||
Interest rate | 6.58% | 7.33% | 6.45% | ||
Interest payable term | 5 years | ||||
Term of variable rate | 3 months | ||||
Debt issuance costs | $ 0 | $ 0 | |||
Subordinated debentures must be redeemed no later than | Jun. 15, 2037 | ||||
Trust preferred securities deferrable period for not considering default | 5 years | ||||
3-month LIBOR [Member] | |||||
Subordinated Debentures and Trust Preferred Securities [Abstract] | |||||
Basis spread on variable rate | 1.68% | ||||
3-month CME Term SOFR [Member] | |||||
Subordinated Debentures and Trust Preferred Securities [Abstract] | |||||
Interest rate | 0.26% |
Income Taxes, Components of Pro
Income Taxes, Components of Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | ||
Provision for Income Taxes [Abstract] | |||
Current tax expense | $ 3,312 | $ 2,306 | |
Deferred tax (benefit) expense | (745) | 288 | |
Total income taxes | [1] | $ 2,567 | $ 2,594 |
[1]Effective income tax rate was 16.9% for 2023 and 16.3% for 2022 |
Income Taxes, Deferred Tax Asse
Income Taxes, Deferred Tax Assets and Deferred Tax Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Items Giving Rise to Deferred Tax Assets [Abstract] | ||
Other reserves | $ 152 | $ 0 |
Allowance for loan losses | 1,916 | 1,146 |
Unrealized loss on securities available for sale | 3,233 | 3,938 |
Deferred compensation | 2,176 | 2,058 |
Deferred loan fees/costs | 169 | 137 |
Accrued bonus | 249 | 266 |
Purchase accounting adjustments | 11 | 6 |
Net operating loss | 49 | 66 |
Lease liability | 332 | 355 |
Nonaccrual interest income | 113 | 204 |
Other | 43 | 294 |
Items Giving Rise to Deferred Tax Liabilities [Abstract] | ||
Mortgage servicing rights | (88) | (99) |
FHLB stock dividends | (442) | (676) |
Prepaid expenses | (35) | (231) |
Depreciation and amortization | (841) | (843) |
Right-of-use asset | (332) | (355) |
Other | (399) | 0 |
Net deferred tax asset | 6,306 | $ 6,266 |
Operating Loss Carryforwards [Abstract] | ||
Operating loss carryforwards | $ 233 | |
Operating loss carryforwards, expiration date | Dec. 31, 2026 |
Income Taxes, Income Tax Reconc
Income Taxes, Income Tax Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | ||
Income Taxes [Abstract] | |||
Federal income tax rate | 21% | 21% | |
Reconciliation of Financial Statement Tax Provision [Abstract] | |||
Statutory tax (21%) | $ 3,192 | $ 3,346 | |
Effect of nontaxable interest | (468) | (385) | |
Effect of nontaxable insurance premiums | (205) | (240) | |
Income from bank owned insurance, net | (181) | (168) | |
Effect of postretirement benefits | 45 | (112) | |
Effect of state income tax | 170 | 155 | |
Tax credits | (25) | (37) | |
Other items | 39 | 35 | |
Total income taxes | [1] | $ 2,567 | $ 2,594 |
Effective income tax rate | 16.90% | 16.30% | |
Unrecognized tax benefits | $ 0 | $ 0 | |
Interest and/or penalties related to income tax | $ 0 | $ 0 | |
Open tax years | 2020 2021 2022 | ||
[1]Effective income tax rate was 16.9% for 2023 and 16.3% for 2022 |
Commitments and Contingent Li_3
Commitments and Contingent Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Commitments and conditional obligations [Abstract] | ||
ACL related to off-balance sheet credit | $ 692 | $ 0 |
ACL related to off-balance sheet credit with corresponding provision expense | $ 61 | |
Fixed Rate [Member] | Minimum [Member] | ||
Commitments and conditional obligations [Abstract] | ||
Interest rate | 3.38% | |
Maturity period | 16 years | |
Fixed Rate [Member] | Maximum [Member] | ||
Commitments and conditional obligations [Abstract] | ||
Interest rate | 8.50% | |
Maturity period | 30 years | |
Standby Letters of Credit [Member] | ||
Commitments and conditional obligations [Abstract] | ||
Commitments and conditional obligations | $ 9,210 | 3,441 |
Standby Letters of Credit [Member] | Fixed Rate [Member] | ||
Commitments and conditional obligations [Abstract] | ||
Commitments and conditional obligations | 1,331 | 1,110 |
Standby Letters of Credit [Member] | Variable Rate [Member] | ||
Commitments and conditional obligations [Abstract] | ||
Commitments and conditional obligations | $ 181,622 | $ 177,151 |
Related Party Transactions (Det
Related Party Transactions (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 USD ($) Period | Dec. 31, 2022 USD ($) | |
Related Party Transactions [Abstract] | ||
Minimum related party loan | $ 120 | |
Loans and Leases Receivable, Related Parties [Roll Forward] | ||
Total loans at January 1, 2023 | 16,696 | |
New loans | 855 | |
Repayments | (1,065) | |
Other changes | 0 | |
Total loans at December 31, 2023 | $ 16,486 | |
Related Party Transactions [Abstract] | ||
Number of reporting period of loan | Period | 1 | |
Notes Payable, Related Party, Type [Extensible Enumeration] | Related Party [Member] | |
Principal Officers, Directors and their Affiliates [Member] | ||
Related Party Transactions [Abstract] | ||
Related party deposit liabilities | $ 20,123 | $ 91,782 |
Directors and their Affiliates [Member] | ||
Related Party Transactions [Abstract] | ||
Notes payable to related parties | $ 2,394 | $ 2,376 |
Notes Payable, Related Party, Type [Extensible Enumeration] | Directors and their Affiliates [Member] | Directors and their Affiliates [Member] |
Directors and their Affiliates [Member] | Minimum [Member] | ||
Related Party Transactions [Abstract] | ||
Interest rate | 1.25% | |
Debt instrument, term | 12 months | |
Directors and their Affiliates [Member] | Maximum [Member] | ||
Related Party Transactions [Abstract] | ||
Interest rate | 5% | |
Debt instrument, term | 24 months |
Employee Benefits (Details)
Employee Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Employee Benefit Plans [Abstract] | ||
Total number of shares held by ESOP (in shares) | 317,860 | 313,114 |
Number of ESOP shares allocated (in shares) | 317,860 | 313,114 |
ESOP [Abstract] | ||
Number of shares issued (in shares) | 4,746 | 18,522 |
Fair value of stock contributed | $ 125 | $ 575 |
Cash contributed | 473 | 0 |
Total expense | 598 | 575 |
Cash surrender value of life insurance contracts | 38,426 | |
Cash surrender value of annuity assets | 2,167 | |
Expected payments of covered individuals | 9,716 | 9,192 |
Deferred Profit Sharing [Member] | ||
Employee Benefit Plans [Abstract] | ||
Contributions charged to expense | 270 | 256 |
Supplemental Employee Retirement Plan [Member] | ||
ESOP [Abstract] | ||
Expenses related to plan | 807 | 458 |
Postretirement Benefit [Member] | ||
ESOP [Abstract] | ||
Total postretirement benefit | $ 3,526 | $ 3,309 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments, Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Fair Value of Financial Instruments [Abstract] | ||
Selling costs percentage | 10% | |
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Interest Rate Swap Derivatives [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | $ 0 | $ 0 |
Liabilities, fair value | 0 | 0 |
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | U.S. Government Securities [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | 50,297 | 54,792 |
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | U.S. Government Sponsored Entity Securities [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | 0 | 0 |
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Agency Mortgage-backed Securities, Residential [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | 0 | 0 |
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | Interest Rate Swap Derivatives [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | 1,147 | 1,340 |
Liabilities, fair value | (1,147) | (1,340) |
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | U.S. Government Securities [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | 0 | 0 |
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | U.S. Government Sponsored Entity Securities [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | 5,877 | 7,983 |
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | Agency Mortgage-backed Securities, Residential [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | 106,084 | 121,299 |
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | Interest Rate Swap Derivatives [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | 0 | 0 |
Liabilities, fair value | 0 | 0 |
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | U.S. Government Securities [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | 0 | 0 |
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | U.S. Government Sponsored Entity Securities [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | 0 | 0 |
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | Agency Mortgage-backed Securities, Residential [Member] | ||
Fair Value, Asset and Liabilities [Abstract] | ||
Assets, fair value | $ 0 | $ 0 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments, Assets and Liabilities Measured on Nonrecurring Basis (Details) - Nonrecurring [Member] $ in Thousands | Dec. 31, 2023 USD ($) |
Fair Value, Asset and Liabilities [Abstract] | |
Assets, fair value | $ 0 |
Liabilities, fair value | $ 0 |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments, Quantitative Information about Level 3 Inputs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Fair Value of Financial Instruments [Abstract] | ||
Other real estate | $ 0 | $ 0 |
Other real estate, write-down | $ 0 | $ 0 |
Fair Value of Financial Instr_6
Fair Value of Financial Instruments, Carrying Amounts and Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Financial Assets [Abstract] | ||
Securities available for sale | $ 162,258 | $ 184,074 |
Carrying Amount [Member] | ||
Financial Assets [Abstract] | ||
Cash and cash equivalents | 128,126 | 45,990 |
Certificates of deposit in financial institutions | 0 | 1,862 |
Securities available for sale | 162,258 | 184,074 |
Securities held to maturity | 7,986 | 9,226 |
Loans, net | 963,133 | 879,780 |
Interest rate swap derivatives | 1,147 | 1,340 |
Accrued interest receivable | 3,606 | 3,112 |
Financial Liabilities [Abstract] | ||
Deposits | 1,127,136 | 1,027,655 |
Other borrowed funds | 44,593 | 17,945 |
Subordinated debentures | 8,500 | 8,500 |
Interest rate swap derivatives | 1,147 | 1,340 |
Accrued interest payable | $ 6,597 | $ 432 |
Carrying Amount [Member] | Level 1 [Member] | ||
Financial Assets [Abstract] | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other assets | Other liabilities |
Financial Liabilities [Abstract] | ||
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other assets | Other liabilities |
Estimated Fair Value [Member] | ||
Financial Assets [Abstract] | ||
Cash and cash equivalents | $ 128,126 | $ 45,990 |
Certificates of deposit in financial institutions | 0 | 1,862 |
Securities available for sale | 162,258 | 184,074 |
Securities held to maturity | 7,390 | 8,460 |
Loans, net | 944,544 | 846,870 |
Interest rate swap derivatives | 1,147 | 1,340 |
Accrued interest receivable | 3,606 | 3,112 |
Financial Liabilities [Abstract] | ||
Deposits | 1,127,468 | 1,025,710 |
Other borrowed funds | 45,799 | 16,364 |
Subordinated debentures | 8,500 | 8,500 |
Interest rate swap derivatives | 1,147 | 1,340 |
Accrued interest payable | 6,597 | 432 |
Estimated Fair Value [Member] | Level 1 [Member] | ||
Financial Assets [Abstract] | ||
Cash and cash equivalents | 128,126 | 45,990 |
Certificates of deposit in financial institutions | 0 | 0 |
Securities available for sale | 50,297 | 54,792 |
Securities held to maturity | 0 | 0 |
Loans, net | 0 | 0 |
Interest rate swap derivatives | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Financial Liabilities [Abstract] | ||
Deposits | 748,013 | 875,736 |
Other borrowed funds | 0 | 0 |
Subordinated debentures | 0 | 0 |
Interest rate swap derivatives | 0 | 0 |
Accrued interest payable | 1 | 1 |
Estimated Fair Value [Member] | Level 2 [Member] | ||
Financial Assets [Abstract] | ||
Cash and cash equivalents | 0 | 0 |
Certificates of deposit in financial institutions | 0 | 1,862 |
Securities available for sale | 111,961 | 129,282 |
Securities held to maturity | 4,281 | 4,987 |
Loans, net | 0 | 0 |
Interest rate swap derivatives | 1,147 | 1,340 |
Accrued interest receivable | 466 | 485 |
Financial Liabilities [Abstract] | ||
Deposits | 379,455 | 149,974 |
Other borrowed funds | 45,799 | 16,364 |
Subordinated debentures | 8,500 | 8,500 |
Interest rate swap derivatives | 1,147 | 1,340 |
Accrued interest payable | 6,596 | 431 |
Estimated Fair Value [Member] | Level 3 [Member] | ||
Financial Assets [Abstract] | ||
Cash and cash equivalents | 0 | 0 |
Certificates of deposit in financial institutions | 0 | 0 |
Securities available for sale | 0 | 0 |
Securities held to maturity | 3,109 | 3,473 |
Loans, net | 944,544 | 846,870 |
Interest rate swap derivatives | 0 | 0 |
Accrued interest receivable | 3,140 | 2,627 |
Financial Liabilities [Abstract] | ||
Deposits | 0 | 0 |
Other borrowed funds | 0 | 0 |
Subordinated debentures | 0 | 0 |
Interest rate swap derivatives | 0 | 0 |
Accrued interest payable | $ 0 | $ 0 |
Regulatory Matters (Details)
Regulatory Matters (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 USD ($) Classification | Dec. 31, 2022 USD ($) | |
Regulatory Matters [Abstract] | ||
Number of classifications of prompt corrective action regulations | Classification | 5 | |
Tier 1 capital (to average assets) [Abstract] | ||
Minimum assets SBHCP requires | $ 17,895 | |
Bank [Member] | ||
Tier 1 capital (to average assets) [Abstract] | ||
Actual Amount | $ 142,895 | $ 135,404 |
Actual Ratio | 0.108 | 0.11 |
To Be Well Capitalized Under Prompt Corrective Action Regulations Amount | $ 118,910 | $ 110,806 |
To Be Well Capitalized Under Prompt Corrective Action Regulations Ratio | 0.09 | 0.09 |
Bank [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Accounting Standards Update 2016-13 [Member] | ||
Tier 1 capital (to average assets) [Abstract] | ||
Transition amount from adoption of CECL | $ 2,276 | |
Add-back amount of Tier 1 capital | 1,707 | |
Add-back amount of average assets | $ 1,707 |
Parent Company Only Condensed_3
Parent Company Only Condensed Financial Information, Condensed Statements of Condition (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Assets [Abstract] | |||
Cash and cash equivalents | $ 128,126 | $ 45,990 | |
Other assets | 4,535 | 5,226 | |
Total assets | 1,352,135 | 1,210,787 | |
Liabilities [Abstract] | |||
Subordinated debentures | 8,500 | 8,500 | |
Other liabilities | 26,002 | 20,365 | |
Total liabilities | 1,208,128 | 1,075,759 | |
Shareholders' Equity [Abstract] | |||
Total shareholders' equity | 144,007 | 135,028 | $ 141,356 |
Total liabilities and shareholders' equity | 1,352,135 | 1,210,787 | |
Parent Company [Member] | |||
Assets [Abstract] | |||
Cash and cash equivalents | 6,248 | 4,697 | |
Investment in subsidiaries | 148,597 | 141,402 | |
Notes receivable - subsidiaries | 2,683 | 2,365 | |
Other assets | 293 | 259 | |
Total assets | 157,821 | 148,723 | |
Liabilities [Abstract] | |||
Notes payable | 2,394 | 2,376 | |
Subordinated debentures | 8,500 | 8,500 | |
Other liabilities | 2,920 | 2,819 | |
Total liabilities | 13,814 | 13,695 | |
Shareholders' Equity [Abstract] | |||
Total shareholders' equity | 144,007 | 135,028 | |
Total liabilities and shareholders' equity | $ 157,821 | $ 148,723 | |
Parent Company [Member] | Related Party [Member] | |||
Assets [Abstract] | |||
Other Receivable, after Allowance for Credit Loss, Related Party, Type [Extensible Enumeration] | Related Party [Member] | Related Party [Member] |
Parent Company Only Condensed_4
Parent Company Only Condensed Financial Information, Condensed Statements of Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | ||
Income [Abstract] | |||
Dividends from subsidiaries | $ 324 | $ 316 | |
Expenses [Abstract] | |||
Interest on subordinated debentures | 597 | 296 | |
Income tax benefit | [1] | (2,567) | (2,594) |
NET INCOME | 12,631 | 13,338 | |
Other comprehensive income (loss), net of tax | 3,385 | (15,521) | |
Total comprehensive income | 16,016 | (2,183) | |
Parent Company [Member] | |||
Income [Abstract] | |||
Interest on notes | 91 | 29 | |
Dividends from subsidiaries | 5,020 | 4,180 | |
Expenses [Abstract] | |||
Interest on notes | 91 | 29 | |
Interest on subordinated debentures | 598 | 296 | |
Operating expenses | 369 | 396 | |
Income before income taxes and equity in undistributed earnings of subsidiaries | 4,053 | 3,488 | |
Income tax benefit | 196 | 141 | |
Equity in undistributed earnings of subsidiaries | 8,382 | 9,709 | |
NET INCOME | 12,631 | 13,338 | |
Other comprehensive income (loss), net of tax | 3,385 | (15,521) | |
Total comprehensive income | $ 16,016 | $ (2,183) | |
[1]Effective income tax rate was 16.9% for 2023 and 16.3% for 2022 |
Parent Company Only Condensed_5
Parent Company Only Condensed Financial Information, Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash flows from operating activities [Abstract] | ||
Net Income | $ 12,631 | $ 13,338 |
Adjustments to reconcile net income to net cash provided by operating activities [Abstract] | ||
Common stock issued to ESOP | 125 | 575 |
Change in other assets | 1,477 | (1,291) |
Change in other liabilities | 5,567 | 1,223 |
Net cash provided by operating activities | 20,747 | 15,990 |
Cash flows from investing activities [Abstract] | ||
Net cash provided by (used in) investing activities | (59,787) | (83,392) |
Cash flows from financing activities [Abstract] | ||
Purchases of treasury stock | (82) | 0 |
Cash dividends paid | (4,871) | (4,720) |
Net cash provided by (used in) financing activities | 121,176 | (38,642) |
Cash and cash equivalents [Abstract] | ||
Change in cash and cash equivalents | 82,136 | (106,044) |
Cash and cash equivalents at beginning of year | 45,990 | 152,034 |
Cash and cash equivalents at end of year | 128,126 | 45,990 |
Parent Company [Member] | ||
Cash flows from operating activities [Abstract] | ||
Net Income | 12,631 | 13,338 |
Adjustments to reconcile net income to net cash provided by operating activities [Abstract] | ||
Equity in undistributed earnings of subsidiaries | (8,382) | (9,709) |
Common stock issued to ESOP | 124 | 575 |
Change in other assets | (34) | (221) |
Change in other liabilities | 101 | 72 |
Net cash provided by operating activities | 4,440 | 4,055 |
Cash flows from investing activities [Abstract] | ||
Proceeds from closing of OVBC Captive | 2,364 | 0 |
Change in notes receivable | (318) | (242) |
Net cash provided by (used in) investing activities | 2,046 | (242) |
Cash flows from financing activities [Abstract] | ||
Change in notes payable | 18 | 238 |
Purchases of treasury stock | (82) | 0 |
Cash dividends paid | (4,871) | (4,720) |
Net cash provided by (used in) financing activities | (4,935) | (4,482) |
Cash and cash equivalents [Abstract] | ||
Change in cash and cash equivalents | 1,551 | (669) |
Cash and cash equivalents at beginning of year | 4,697 | 5,366 |
Cash and cash equivalents at end of year | $ 6,248 | $ 4,697 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | ||
Segment Information [Abstract] | |||
Net interest income | $ 46,027 | $ 44,778 | |
Provision for (recovery of) loan losses | 2,090 | (32) | |
Noninterest income | 12,629 | 10,162 | |
Noninterest expense | 41,368 | 39,040 | |
Provision for income taxes | [1] | 2,567 | 2,594 |
Net income | 12,631 | 13,338 | |
Assets | 1,352,135 | 1,210,787 | |
Banking [Member] | |||
Segment Information [Abstract] | |||
Net interest income | 43,711 | 42,529 | |
Provision for (recovery of) loan losses | 2,025 | (100) | |
Noninterest income | 11,513 | 9,121 | |
Noninterest expense | 38,833 | 36,612 | |
Provision for income taxes | 2,394 | 2,429 | |
Net income | 11,972 | 12,709 | |
Assets | $ 1,336,861 | $ 1,195,974 | |
Banking [Member] | Revenues [Member] | Customer Concentration Risk [Member] | |||
Segment Information [Abstract] | |||
Concentration percentage | 95.20% | 94.20% | |
Consumer Finance [Member] | |||
Segment Information [Abstract] | |||
Net interest income | $ 2,316 | $ 2,249 | |
Provision for (recovery of) loan losses | 65 | 68 | |
Noninterest income | 1,116 | 1,041 | |
Noninterest expense | 2,535 | 2,428 | |
Provision for income taxes | 173 | 165 | |
Net income | 659 | 629 | |
Assets | $ 15,274 | $ 14,813 | |
[1]Effective income tax rate was 16.9% for 2023 and 16.3% for 2022 |