FVCBANKCORP, INC., 10-K filed on 3/21/2024
Annual Report
v3.24.1
Cover - USD ($)
12 Months Ended
Dec. 31, 2023
Mar. 19, 2024
Jun. 30, 2023
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2023    
Current Fiscal Year End Date --12-31    
Document Transition Report false    
Entity File Number 001-38647    
Entity Registrant Name FVCBankcorp, Inc.    
Entity Incorporation, State or Country Code VA    
Entity Tax Identification Number 47-5020283    
Entity Address, Address Line One 11325 Random Hills Road, Suite 240    
Entity Address, City or Town Fairfax    
Entity Address, State or Province VA    
Entity Address, Postal Zip Code 22030    
City Area Code 703    
Local Phone Number 436-3800    
Title of 12(b) Security Common Stock, $0.01 par value    
Trading Symbol FVCB    
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    
ICFR Auditor Attestation Flag true    
Entity Shell Company false    
Entity Public Float     $ 171,653,908
Entity Common Stock, Shares Outstanding   17,877,051  
Documents Incorporated by Reference
DOCUMENTS INCORPORATED BY REFERENCE
Portions of the registrant's definitive Proxy Statement for the 2024 Annual Meeting of Shareholders are incorporated by reference into Part III of the Form 10-K. With the exception of the portions of the Proxy Statement specifically incorporated herein by reference, the Proxy Statement is not deemed to be filed as part of this Form 10-K.
   
Entity Central Index Key 0001675644    
Document Fiscal Year Focus 2023    
Document Fiscal Period Focus FY    
Amendment Flag false    
Entity Emerging Growth Company false    
Document Financial Statement Error Correction [Flag] false    
v3.24.1
Audit Information
12 Months Ended
Dec. 31, 2023
Audit Information [Abstract]  
Auditor Name YOUNT, HYDE & BARBOUR, P.C
Auditor Location Winchester, Virginia
Auditor Firm ID 613
v3.24.1
Consolidated Statements of Condition - USD ($)
Dec. 31, 2023
Dec. 31, 2022
Assets    
Cash and due from banks $ 8,042,000 $ 7,253,000
Interest-bearing deposits at other financial institutions 52,480,000 74,300,000
Securities held-to-maturity (fair value of $252 thousand and $252 thousand for December 31, 2023 and 2022), net of allowance for credit losses of $0 and $0 at December 31, 2023 and 2022 264,000 264,000
Securities available-for-sale, at fair value 171,595,000 278,069,000
Restricted stock, at cost 9,488,000 15,612,000
Loans, net of allowance for credit losses of $18.9 million and $16.0 million at December 31, 2023 and 2022, respectively 1,809,693,000 1,824,394,000
Premises and equipment, net 997,000 1,220,000
Accrued interest receivable 10,321,000 9,435,000
Prepaid expenses 3,506,000 3,273,000
Deferred tax assets, net 14,823,000 18,533,000
Goodwill and intangibles, net 7,585,000 7,790,000
Bank owned life insurance (BOLI) 56,823,000 55,371,000
Operating lease right-of-use assets 8,395,000 9,680,000
Other assets 36,546,000 39,128,000
Total assets 2,190,558,000 2,344,322,000
Deposits:    
Noninterest-bearing 396,724,000 438,269,000
Interest-bearing checking, savings and money market 896,969,000 883,480,000
Time deposits 551,599,000 508,413,000
Total deposits 1,845,292,000 1,830,162,000
Federal funds purchased 0 30,000,000
Federal Home Loan Bank ("FHLB") advances 85,000,000 235,000,000
Subordinated notes, net of issuance costs 19,620,000 19,565,000
Accrued interest payable 2,415,000 1,269,000
Operating lease liabilities 9,241,000 10,394,000
Reserves for unfunded commitments 602,000 0
Accrued expenses and other liabilities 11,271,000 15,550,000
Total liabilities 1,973,441,000 2,141,940,000
Commitments and Contingent Liabilities
Stockholders' Equity    
Preferred stock, $0.01 par value
Common stock, $0.01 par value 178,000 175,000
Additional paid-in capital 125,209,000 123,886,000
Retained earnings 115,890,000 114,888,000
Accumulated other comprehensive (loss), net (24,160,000) (36,567,000)
Total stockholders' equity 217,117,000 202,382,000
Total liabilities and stockholders' equity $ 2,190,558,000 $ 2,344,322,000
v3.24.1
Consolidated Statements of Condition (Parenthetical) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Statement of Financial Position [Abstract]    
Securities held to maturity, fair value $ 252 $ 252
Securities held to maturity, allowance for credit losses 0 0
Allowance for loan losses $ 18,871 $ 16,040
Preferred stock, par value (in dollars per share) $ 0.01 $ 0.01
Shares authorized 1,000,000 1,000,000
Shares issued and outstanding 0 0
Preferred stock, shares outstanding (in shares) 0 0
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Shares authorized 20,000,000 20,000,000
Shares issued and outstanding 17,806,995 17,475,109
Common stock, shares outstanding (in shares) 17,806,995 17,475,109
v3.24.1
Consolidated Statements of Income - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Interest and Dividend Income    
Interest and fees on loans $ 98,373 $ 73,624
Interest and dividends on securities held-to-maturity 6 6
Interest and dividends on securities available-for-sale 4,949 5,959
Dividends on restricted stock 646 408
Interest on deposits at other financial institutions 2,641 685
Total interest and dividend income 106,615 80,682
Interest Expense    
Interest on deposits 47,345 12,468
Interest on federal funds purchased 11 688
Interest on short-term debt 3,833 1,251
Interest on subordinated notes 1,030 1,031
Total interest expense 52,219 15,438
Net Interest Income 54,396 65,244
Provision for credit losses 132 2,629
Net interest income after provision for credit losses 54,264 62,615
Noninterest Income    
Total noninterest income (loss) (13,370) 2,834
Service charges on deposit accounts 1,028 954
BOLI income 1,452 1,200
(Loss) from minority membership interest (1,110) (33)
Loss on sale of securities available-for-sale (15,577) 0
Other income 837 713
Noninterest Expenses    
Salaries and employee benefits 20,643 20,316
Occupancy and equipment expense 2,357 2,190
Internet banking and software expense 2,505 1,707
Data processing and network administration 2,468 2,303
State franchise taxes 2,338 2,036
Audit, legal and consulting fees 858 1,210
Merger and acquisition expense 0 125
Loan related (benefit)/expenses (10) 555
FDIC insurance 1,433 620
Director fees 660 668
Core deposit intangible amortization 205 262
Office space reduction costs 273 0
Tax credit amortization 126 126
Other operating expenses 2,806 2,342
Total noninterest expenses 36,662 34,460
Net income 3,822 24,984
Net income before income tax expense 4,232 30,989
Income tax expense $ 410 $ 6,005
Earnings per share, basic $ 0.22 $ 1.43
Earnings per share, diluted $ 0.21 $ 1.35
v3.24.1
Consolidated Statements of Comprehensive Income (Loss) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Statement of Comprehensive Income [Abstract]    
Net income $ 3,822 $ 24,984
Other comprehensive income (loss):    
Unrealized gain (loss) on securities available for sale, net of tax expense of $0.4 million and net of tax benefit of $11.0 million in 2023 and 2022, respectively. 1,300 (37,943)
Unrealized (loss) gain on interest rate swaps, net of tax benefit of $0.3 million and net of tax expense of $0.9 million in 2023 and 2022, respectively. (1,043) 3,419
Reclassification adjustment for securities losses realized in income, net of tax expense of $3.4 million and $0 for 2023 and 2022, respectively. (12,150) 0
Other comprehensive (loss) income, net of tax 12,407 (34,524)
Total comprehensive (loss) income $ 16,229 $ (9,540)
v3.24.1
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Statement of Comprehensive Income [Abstract]    
Tax benefit, securities available for sale $ 400 $ 11,000
Unrealized gain on interest rate swaps, tax expense 300 900
Reclassification adjustment for securities losses realized in income, net of tax expense $ 3,400 $ 0
v3.24.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Cash Flows From Operating Activities    
Net income $ 3,822 $ 24,984
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation 390 424
Provision for credit losses 132 2,629
Net amortization of premium of securities 593 607
Net accretion of deferred loan costs and fees (1,855) (2,255)
Net accretion of acquisition accounting adjustments (421) (315)
Debt Securities, Available-for-Sale, Gain (Loss) (15,577) 0
Gains (Losses) on Sales of Other Real Estate 273 0
(Loss) from minority membership interest 1,110 33
Amortization of subordinated debt issuance costs 55 55
Core deposit intangible amortization 205 262
Tax credit amortization 126 126
Equity-based compensation expense 1,143 1,183
BOLI income (1,452) (1,200)
Deferred income tax expense 934 395
Changes in assets and liabilities:    
Decrease in accrued interest receivable, prepaid expenses and other assets (16) (9,094)
Increase (decrease) in accrued interest payable, accrued expenses and other liabilities (4,347) 4,558
Net Cash Provided by (Used in) Operating Activities, Total 16,269 22,392
Cash Flows From Investing Activities    
(Increase) decrease in interest-bearing deposits at other financial institutions 21,820 142,045
Purchases of securities available-for-sale 0 (47,160)
Proceeds from sales of securities available-for-sale 86,922 0
Proceeds from redemptions of securities available-for-sale 20,795 37,076
Net redemption (purchase) of restricted stock 6,124 (9,240)
Net increase (decrease) in loans 13,777 (334,426)
Purchase of bank-owned life insurance 0 (15,000)
Distribution received from minority owned investment 0 1,040
Purchases of premises and equipment, net (212) (166)
Net cash provided by (used in) investing activities 149,226 (225,831)
Cash Flows From Financing Activities    
Net (decrease) increase in noninterest-bearing, interest-bearing checking, savings, and money market deposits (28,056) (330,603)
Net increase (decrease) in time deposits 43,179 276,989
Redemption of subordinated debt, net 0 (1,250)
(Decrease) increase in federal funds purchased (30,000) 30,000
Net (decrease) increase in FHLB advances (150,000) 210,000
Repurchase of shares of common stock (1,460) (730)
Taxes From Vesting Of Restricted Stock Units (113) 0
Common stock issuance 1,744 1,673
Net cash (used in) provided by financing activities (164,706) 186,079
Net increase (decrease) in cash and cash equivalents 789 (17,360)
Cash and cash equivalents, beginning of year 7,253 24,613
Cash and cash equivalents, end of year $ 8,042 $ 7,253
v3.24.1
Consolidated Statements of Changes in Stockholders' Equity - USD ($)
$ in Thousands
Total
Revision of Prior Period, Accounting Standards Update, Adjustment
Common Stock
Additional Paid-in Capital
Retained Earnings
Retained Earnings
Revision of Prior Period, Accounting Standards Update, Adjustment
Accumulated Other Comprehensive Income (Loss)
Balance at the beginning of the period (in shares) at Dec. 31, 2021     13,727        
Balance at the beginning of the period at Dec. 31, 2021 $ 209,796   $ 137 $ 121,798 $ 89,904   $ (2,043)
Increase (Decrease) in Stockholders' Equity              
Net income 24,984       24,984    
Other comprehensive (loss) income, net of tax (34,524)           (34,524)
Repurchase of common stock (in shares)     (37)        
Repurchase of common stock (730)     (730)      
Common stock issuance for options exercised (in shares)     242        
Common stock issuance for options exercised 1,673   $ 3 1,670      
StockIssuedDuringPeriodValueNewIssuesandRestrictedStockNetofForfeitures     48        
5-for-4 stock split (in shares)     3,495        
5-for-4 stock split 0   $ 35 (35)      
Stock-based compensation expense $ 1,183     1,183      
Balance at the end of the period (in shares) at Dec. 31, 2022 17,475,109   17,475        
Balance at the end of the period at Dec. 31, 2022 $ 202,382   $ 175 123,886 114,888   (36,567)
Increase (Decrease) in Stockholders' Equity              
Net income 3,822       3,822    
Other comprehensive (loss) income, net of tax 12,407           12,407
Repurchase of common stock (in shares)     (116)        
Repurchase of common stock (1,460)   $ (1) (1,447) (12)    
Common stock issuance for options exercised (in shares)     364        
Common stock issuance for options exercised 1,744   $ 4 1,740      
StockIssuedDuringPeriodValueNewIssuesandRestrictedStockNetofForfeitures       (113)      
StockIssuedDuringPeriodValueNewIssuesandRestrictedStockNetofForfeitures     84        
Stock-based compensation expense $ 1,143     1,143      
Balance at the end of the period (in shares) at Dec. 31, 2023 17,806,995   17,807        
Balance at the end of the period at Dec. 31, 2023 $ 217,117 $ (2,808) $ 178 $ 125,209 $ 115,890 $ (2,808) $ (24,160)
v3.24.1
Organization and Summary of Significant Accounting Policies
12 Months Ended
Dec. 31, 2023
Accounting Policies [Abstract]  
Organization and Summary of Significant Accounting Policies Organization and Summary of Significant Accounting Policies
Organization
FVCBankcorp, Inc. (the "Company"), a Virginia corporation, was formed in 2015 and is registered as a bank holding company under the Bank Holding Company Act of 1956, as amended. The Company is headquartered in Fairfax, Virginia. The Company conducts its business activities through the branch offices of its wholly owned subsidiary bank, FVCbank (the "Bank"). The Company exists primarily for the purposes of holding the stock of its subsidiary, the Bank.
The Bank was organized under the laws of the Commonwealth of Virginia to engage in a general banking business serving the Washington, D.C. and Baltimore metropolitan areas. The Bank commenced operations on November 27, 2007 and is a member of the Federal Reserve System (the "Federal Reserve"). It is subject to the regulations of the Board of Governors of the Federal Reserve and the State Corporation Commission of Virginia. Consequently, it undergoes periodic examinations by these regulatory authorities.
On August 31, 2021, the Bank made an investment in Atlantic Coast Mortgage, LLC ("ACM") for $20.4 million. As a result of this investment, the Bank obtained a 28.7% ownership interest in ACM. The investment is accounted for using the equity method of accounting. In addition, the Bank provides a warehouse lending facility to ACM, which includes a construction-to-permanant financing line, and has developed portfolio mortgage products to diversify the Bank's held to investment loan portfolio.
On December 15, 2022, the Company announced that the Board of Directors approved a five-for-four split of the Company's common stock in the form of a 25% stock dividend for shareholders of record on January 9, 2023, payable on January 31, 2023. Earnings per share and all other per share information reflected in the Company's consolidated financial statements have been adjusted for the five-for-four split of the Company's common stock for comparative purposes.
Summary of Significant Accounting Policies
The accounting and reporting policies of the Company are in accordance with accounting principles generally accepted in the United States of America ("GAAP") and conform to general practices within the banking industry.
(a)    Principles of Consolidation
The consolidated financial statements include the accounts of the Company. All material intercompany balances and transactions have been eliminated in consolidation.
(b)    Use of Estimates
In preparing consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates, judgments, and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and contingent liabilities, as of the date of the consolidated financial statements and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to accounting for impairment testing of goodwill, the allowance for credit losses - loans, the allowance for credit losses - securities, and the valuation of deferred tax assets.
(c)    Accounting for Business Combinations
Business combinations are accounted for under the acquisition method. The acquisition method requires that the assets acquired and liabilities assumed be recorded, based on their estimated fair values at the date of acquisition. The excess of the cost of an acquired entity over the net of the amounts assigned to assets acquired and liabilities assumed, including identifiable intangibles, is recorded as goodwill.
(d)    Cash and Cash Equivalents
For purposes of the statements of cash flows, cash and cash equivalents include cash on hand, amounts due from banks and federal funds sold. Generally, federal funds are purchased and sold for one day periods.
(e)    Investment Securities
Debt securities are classified as held-to-maturity and carried at amortized cost when management has the positive intent and ability to hold them to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Securities available-for-sale are carried at fair value, with unrealized holding gains and losses reported in other comprehensive (loss) income, net of tax. Equity securities are carried at fair value, with changes in fair value reported in net income. Equity securities without readily determinable fair values are carried at cost, minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment.
An individual debt security is impaired when the fair value of the security is less than its amortized cost. If the Company intends to sell an available-for-sale security in an unrealized loss position or it is more likely than not will be reversed through our provision for credit losses, then the difference between the amortized cost basis of the security and its fair value is recognized in the Company's consolidated statements of income. For impaired debt securities that the Company has both the intent and ability to hold, the securities are evaluated to determine if a credit loss exists. The allowance for credit losses on the investment securities is recognized through our provision for credit losses and limited by the unrealized losses of a security measured as the difference between the security’s amortized cost and fair value.

The Company charges off any portion of an investment security that it determines is uncollectible. The amortized cost basis, excluding accrued interest, is charged off through the allowance for credit losses. Accrued interest is charged off as a reduction to interest income. Recoveries of previously charged off principal amounts are recognized in our provision for credit losses when received.
Interest income and dividends on securities are recognized in interest income on an accrual basis. Premiums and discounts are recognized in interest income using the effective interest method. Prepayments of the mortgages securing mortgage-backed securities may affect the yield to maturity. The Company uses actual principal prepayment experience and estimates of future principal prepayments in calculating the yield necessary to apply the effective interest method.
(f)    Loans and Allowance for Credit Losses
Allowance for Credit Losses
The Company adopted the current expected credit loss model ("CECL") under Accounting Standards Update ("ASU") 2016-13, "Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” on January 1, 2023. The Company recorded a net reduction of retained earnings of $2.8 million upon adoption. The adoption adjustment included an increase in the allowance for credit losses on loans of $2.9 million in addition to an increase of $800 thousand to the reserve for unfunded commitments.

Allowance for Credit Losses - Loans and Unfunded Commitments
The allowance for credit losses ("ACL") represents an estimate of the expected credit losses in the Company's held for investment loan portfolio as of a valuation date. Accounting Standards Codification ("ASC") 326 replaced the incurred loss impairment model that recognizes losses when it becomes probable that a credit loss will be incurred, with a requirement to recognize lifetime expected credit losses immediately when a financial asset is originated or purchased. The ACL is a valuation account that is deducted from the amortized cost basis of loans to present the net amount expected to be collected on the held for investment loan portfolio. Loans, or portions thereof, are charged off against the ACL when they are deemed uncollectible. Expected recoveries are recorded to the extent they do not exceed the aggregate of amounts previously charged-off and expected to be charged-off.
Reserves on loans that do not share risk characteristics are evaluated on an individual basis. Nonaccrual loans are specifically reviewed for loss potential and when deemed appropriate are assigned a reserve based on an individual evaluation. The remainder of the portfolio, representing all loans not evaluated individually for impairment, is segmented
based on call report code and processed through a cash flow valuation model. In particular, loan-level probability of default ("PD") and severity (also referred to as loss given default ("LGD")) is applied to derive a baseline expected loss as of the valuation date. These expected default and severity rates, which are regression-derived and based on peer historical loan-level performance data, are calibrated to incorporate the Company's reasonable and supportable forecast of future losses as well as any necessary qualitative adjustments.
Typically, financial institutions use their historical loss experience and trends in losses for each loan segment which are then adjusted for portfolio trends and economic and environmental factors in determining the ACL. Since the Bank’s inception in 2007, the Company has experienced minimal loss history within its loan portfolio. Due to the fact that limited internal loss history exists to generate statistical significance, management determined it was most prudent to rely on peer data when deriving its best estimate of PD and LGD. As part of the Company's estimation process, management will continue to assess the reasonableness of the data, assumptions, and model methodology utilized to derive its allowance for credit losses.
For each of the modeled loan segments, the Company generates cash flow projections at the instrument level wherein payment expectations are adjusted for estimated prepayment speeds, PD rates, and LGD rates. The modeling of expected prepayment speeds is based on internal loan-level historical data. The Company utilizes national unemployment for its reasonable and supportable forecasting of expected default within the cash flow model. To further adjust the allowance for credit losses for expected losses not already within the quantitative component of the calculation, the Company may consider qualitative factors as prescribed in ASC 326.
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 Company's exposure to credit loss in the event of nonperformance by the other party to the financial instrument for off-balance sheet loan commitments is represented by the contractual amount of those instruments. Such financial instruments are recorded when they are funded. The Company records a reserve for unfunded commitments on off-balance sheet credit exposures through a charge to provision for credit loss expense in its Consolidated Statement of Income. The reserve for unfunded commitments is estimated by call report code segmentation as of the valuation date under the CECL model using the same methodologies as portfolio loans taking utilization rates into consideration. The reserve for unfunded commitments is reflected as a liability on the Company's Consolidated Balance Sheet.
The Company's methodology utilized in the estimation of the ACL, which is performed at least quarterly, is designed to be dynamic and responsive to changes in its loan portfolio credit quality, composition, and forecasted economic conditions. The review of the reasonableness and appropriateness of the ACL is reviewed by the ACL Committee for approval as of the valuation date. Additionally, information is provided to the Board of Directors on a quarterly basis along with the Company's consolidated financial statements.

Collateral Dependent Financial Assets
Loans that do not share risk characteristics are evaluated on an individual basis. For collateral dependent financial assets where the Company has determined that foreclosure of the collateral is probable, or where the borrower is experiencing financial difficulty and the Company expects repayment of the financial asset to be provided substantially through the sale of the collateral, the ACL is measured based on the difference between the fair value of the collateral and the amortized cost basis of the asset as of the measurement date. When repayment is expected to be from the operation of the collateral, expected credit losses are calculated as the amount by which the amortized cost basis of the financial asset exceeds the net present value ("NPV") from the operation of the collateral. When repayment is expected to be from the sale of the collateral, expected credit losses are calculated as the amount by which the amortized cost basis of the financial asset exceeds the fair value of the underlying collateral less estimated cost to sell. The ACL may be zero if the fair value of the collateral at the measurement date exceeds the amortized cost basis of the financial asset.
Allowance for Credit Losses - Securities
The Company evaluates its available-for-sale and held-to-maturity debt securities portfolios for expected credit losses as of the valuation date under ASC 326. For available-for-sale debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or if it is more likely than not that it would be required to sell, the security before recovery of its amortized cost basis. If either criterion is met, the security’s amortized cost basis is written down to fair value through income during the current period. For available-for-sale debt securities that do not meet the aforementioned criteria, the Company evaluates whether the decline in fair value has resulted from credit losses or other driving factors. If the Company's assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security is compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, an ACL is recorded for the credit loss (which represents the difference between the expected cash flows and amortized cost basis), limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an ACL is recognized in other comprehensive income.
The entire amount of an impairment loss is recognized in earnings only when: (1) the Company intends to sell the security; or (2) it is more likely than not that the Company will have to sell the security before recovery of the Company's amortized cost basis; or (3) the Company does not expect to recover the entire amortized cost basis of the security. In all other situations, only the portion of the impairment loss representing the credit loss must be recognized in earnings, with the remaining portion being recognized in shareholders' equity as comprehensive income, net of deferred taxes.
Changes in the ACL are recorded as a provision for (or reversal of) credit losses. Losses are charged against the ACL when the Company believes the uncollectibility of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Any impairment not recorded through an allowance for credit loss is recognized in other comprehensive income as a noncredit-related impairment.
As part of its estimation process, the Company have made a policy election to exclude accrued interest from the amortized cost basis of available-for-sale debt securities and report accrued interest separately in other assets in the Consolidated Balance Sheet. Available-for-sale debt securities are placed on nonaccrual status when we no longer expect to receive all contractual amounts due, which is generally at 90 days past due. Accrued interest receivable is reversed against interest income when a security is placed on nonaccrual status. Accordingly, the Company does not recognize an allowance for credit loss against accrued interest receivable. This approach is consistent with the Company's nonaccrual policy implemented for its loan portfolio.
The Company separately evaluates its held-to-maturity investment securities for any credit losses. If it determines that a security indicates evidence of deteriorated credit quality, the security is individually-evaluated and a discounted cash flow analysis is performed and compared to the amortized cost basis. As of December 31, 2023, the Company had one security classified as held-to-maturity with an amortized cost basis of $264 thousand with the remainder of the securities portfolio held as available-for-sale.
(g)    Premises, Equipment, and Leases
Land is carried at cost. Premises, furniture, equipment, and leasehold improvements are carried at cost less accumulated depreciation and amortization. Depreciation of premises, furniture and equipment is computed using the straight-line method over estimated useful lives from three to seven years. Amortization of leasehold improvements is computed using the straight-line method over the useful lives of the improvements or the lease term, whichever is shorter. Purchased computer software which is capitalized is amortized over estimated useful lives of one to three years.
The Company follows ASU 2016-02 "Leases (Topic 842)" and all subsequent ASUs that modified Topic 842. Contracts are evaluated to determine whether they are or contain a lease in accordance with Topic 842. Lease liabilities represent the Company's obligation to make lease payments and are presented at each reporting date as the net present value of the remaining contractual cash flows. Cash flows are discounted at the Company's incremental borrowing rate in effect at the commencement date of the lease. Right-of-use assets represent the Company's right to use the underlying asset for the lease term and are calculated as the sum of the lease liability and if applicable, prepaid rent, initial direct costs and any incentives received from the lessor.
Lease payments for short-term leases are recognized as lease expense on a straight-line basis over the lease term, or for variable lease payments, in the period in which the obligation was incurred. Payments for leases with terms longer than twelve months are included in the determination of the lease liability. Payments may be fixed for the term of the lease or variable. If the lease agreement provides a known escalator, such as a specified percentage increase per year or a stated increase at a specified time, the variable payment is included in the cash flows used to determine the lease liability. If the variable payment is based upon an unknown escalator, such as the consumer price index at a future date, the increase is not included in the cash flows used to determine the lease liability. The Company's leases provide known escalators that are included in the determination of the lease liability, with the exception of three lease agreements.
Most of the Company's leases offer the option to extend the lease term. For each of the leases, the Company is reasonably certain it will exercise the options and has included the additional time and lease payments in the calculation of the lease liability. None of the Company's leases provide for residual value guarantees and none provide restrictions or covenants that would impact dividends or require incurring additional financial obligations.
(h)    Goodwill and Intangible Assets
Goodwill, which represents the excess of purchase price over fair value of net assets acquired, is not amortized but is evaluated at least annually for impairment by comparing its fair value with its carrying amount. Impairment is indicated when the carrying amount of a reporting unit exceeds its estimated fair value.
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 and intangible assets acquired in a purchase business combination and determined to have an indefinite useful life are not amortized, but tested for impairment at least annually or more frequently if events and circumstances exist; that indicate that a goodwill impairment test should be performed. The Company performs the impairment test annually during the fourth quarter. Intangible assets with definite useful lives are amortized over their estimated useful lives to their estimated residual values. Goodwill is the only intangible asset with an indefinite life on our balance sheet.
No impairment was recorded for 2023 and 2022.
(i)    Other Real Estate Owned
Assets acquired through, or in lieu of, loan foreclosure are held for sale. At the time of acquisition, these properties are recorded at fair value less estimated selling costs, with any write down charged to the ACL and any gain on foreclosure recorded in net income, establishing a new cost basis. Subsequent to foreclosure, valuations of the assets are periodically performed by management, and these assets are subsequently accounted for at lower of cost or fair value less estimated selling costs. Adjustments are made for subsequent decline in the fair value of the assets less selling costs. Revenue and expenses from operations and valuation changes are charged to operating income in the year of the transaction. The Company had no other real estate owned ("OREO") at December 31, 2023 and 2022.
(j)    Bank Owned Life Insurance
The Company has purchased life insurance policies on certain key employees. Bank owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance date, which is the cash surrender value. The increase in the cash surrender value over time is recorded as other non-interest income. The Company monitors the financial strength and condition of the counterparties.
(k)    Transfers of Financial Assets
Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed surrendered when (1) the assets have been isolated from the Company – put presumptively beyond reach of the transferor and its creditors, even in bankruptcy or other receivership, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity or the ability to unilaterally cause the holder to return specific assets.
(l)    Income Taxes
Deferred taxes are provided on a liability method whereby deferred tax assets and liabilities are recognized for deductible temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax basis. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment.
Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term more likely than not means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances, and information available at the reporting date and is subject to management's judgment. The Company had no such liability recorded as of December 31, 2023 and 2022. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized.
(m)    Comprehensive Income (Loss)
Comprehensive income (loss) consists of net income and other comprehensive income (loss). Other comprehensive income (loss) includes unrealized gains (losses) on securities available-for-sale and interest rate swaps for 2023 and 2022, which are also recognized as separate components of equity.
(n)    Fair Value of Financial Instruments
Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in Note 16. Fair value estimates involve uncertainties and matters of significant judgment. Changes in assumptions or in market conditions could significantly affect the estimates.
(o)    Equity-based Compensation
The Company recognizes in the income statement the grant date fair value of stock options and other equity-based compensation. The Company classifies stock awards as either an equity award or a liability award. Equity classified awards are valued as of the grant date using either an observable market price or a valuation methodology. Liability classified awards are valued at fair value at each reporting date. For the years presented, all of the Company's stock options are classified as equity awards.
The fair value related to forfeitures of stock options and other equity-based compensation are recorded to the income statement as they occur, reducing equity-based compensation expense in that period. During 2018, the Company began granting restricted stock units which are granted at the fair market value of the Company's common stock on the grant date. Most restricted stock units vest in one-quarter increments on the anniversary date of the grant. The Company did not grant stock options in the years ended December 31, 2023 and 2022.
(p)    401(k) Plan
Employee 401(k) plan expense is the amount of matching contributions paid by the Company. 401(k) plan expense was $431 thousand and $424 thousand for the years ended December 31, 2023 and 2022, respectively.
(q)    Earnings Per Share
Basic earnings per share represent income available to common shareholders divided by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflect additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. Common stock equivalents that may be issued by the Company consist primarily
of outstanding stock options and restricted stock units, and the dilutive potential common shares resulting from outstanding stock options and restricted stock units are determined using the treasury method. The effects of anti-dilutive common stock equivalents are excluded from the calculation of diluted earnings per share.
(r)    Reclassifications
Certain prior year amounts have been reclassified to conform to the current year's method of presentation. None of these reclassifications were significant.
(s)    Recent Accounting Pronouncements
In August 2020, the Financial Accounting Standard Board ("FASB") issued ASU 2020-06 "Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity's Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity's Own Equity". The ASU simplifies accounting for convertible instruments by removing major separation models required under current GAAP. Consequently, more convertible debt instruments will be reported as a single liability instrument and more convertible preferred stock as a single equity instrument with no separate accounting for embedded conversion features. The ASU removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception, which will permit more equity contracts to qualify for it. The ASU also simplifies the diluted earnings per share calculation in certain areas. In addition, the amendment updates the disclosure requirements for convertible instruments to increase the information transparency. For public business entities, excluding smaller reporting companies, the amendments in the ASU are effective for fiscal years beginning after December 15, 2021, and interim periods within those fiscal years. For all other entities, including the Company, the standard will be effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted. The Company does not expect the adoption of ASU 2020-06 to have a material impact on its consolidated financial statements.
In June 2022, the FASB issued ASU 2022-03, "Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions". ASU 2022-03 clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, is not considered in measuring fair value. The ASU is effective for fiscal years, including interim periods within those fiscal years, beginning after December 15, 2023. Early adoption is permitted. The Company does not expect the adoption of ASU 2022-03 to have a material impact on its consolidated financial statements.
In March 2023, the FASB issued ASU 2023-02, “Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method”. These amendments allow reporting entities to elect to account for qualifying tax equity investments using the proportional amortization method, regardless of the program giving rise to the related income tax credits. The ASU is effective for public business entities for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted for all entities in any interim period. The Company does not expect the adoption of ASU 2023-02 to have a material impact on its consolidated financial statements.
In November 2023, the FASB issued ASU 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.” The amendments in this ASU are intended to improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. This ASU requires disclosure of significant segment expenses that are regularly provided to the chief operating decision mark ("CODM"), an amount for other segment items by reportable segment and a description of its composition, all annual disclosures required by FASB ASU Topic 280 in interim periods as well, and the title and position of the CODM and how the CODM uses the reported measures. Additionally, this ASU requires that at least one of the reported segment profit and loss measures should be the measure that is most consistent with the measurement principles used in an entity’s consolidated financial statements. Lastly, this ASU requires public business entities with a single reportable segment to provide all disclosures required by these amendments in this ASU and all existing segment disclosures in Topic 280. This ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The amendments should be applied retrospectively. The Bank does not expect the adoption of ASU 2023-06 to have a material impact on its (consolidated) financial statements
In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” The amendments in this ASU require an entity to disclose specific categories in the rate reconciliation and
provide additional information for reconciling items that meet a quantitative threshold, which is greater than five percent of the amount computed by multiplying pretax income by the entity’s applicable statutory rate, on an annual basis. Additionally, the amendments in this ASU require an entity to disclose the amount of income taxes paid (net of refunds received) disaggregated by federal, state, and foreign taxes and the amount of income taxes paid (net of refunds received) disaggregated by individual jurisdictions that are equal to or greater than five percent of total income taxes paid (net of refunds received). Lastly, the amendments in this ASU require an entity to disclose income (or loss) from continuing operations before income tax expense (or benefit) disaggregated between domestic and foreign and income tax expense (or benefit) from continuing operations disaggregated by federal, state, and foreign. This ASU is effective for annual periods beginning after December 15, 2024. Early adoption is permitted. The amendments should be applied on a prospective basis; however, retrospective application is permitted. The Bank does not expect the adoption of ASU 2023-06 to have a material impact on its (consolidated) financial statements.
(t)    Recently Adopted Accounting Developments
In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” The ASU, as amended, requires an entity to measure expected credit losses for financial assets carried at amortized cost based on historical experience, current conditions, and reasonable and supportable forecasts. Among other things, the ASU also amended the impairment model for available for sale securities and addressed purchased financial assets with deterioration. This standard is commonly referred to as the current expected credit loss ("CECL") methodology. ASU 2016-13 was effective for the Company on January 1, 2023. The adjustment recorded at adoption to the overall allowance for credit losses, which consisted of adjustments to the allowance for credit losses on loans and reserve for unfunded loan commitments, was $3.7 million. The adjustment, net of tax, recorded to stockholders’ equity totaled $2.8 million at January 1, 2023.
In March 2022, the FASB issued ASU No. 2022-02, “Financial Instruments-Credit Losses (Topic 326), Troubled Debt Restructurings and Vintage Disclosures.” ASU 2022-02 addresses areas identified by the FASB as part of its post-implementation review of the credit losses standard (ASU 2016-13) that introduced the CECL model. The amendments eliminate the accounting guidance for troubled debt restructurings by creditors that have adopted the CECL model and enhance the disclosure requirements for loan refinancings and restructurings made with borrowers experiencing financial difficulty. In addition, the amendments require a public business entity to disclose current-period gross write-offs for financing receivables and net investment in leases by year of origination in the vintage disclosures. The amendments in this ASU should be applied prospectively, except for the transition method related to the recognition and measurement of troubled debt restructuring ("TDRs"), an entity has the option to apply a modified retrospective transition method, resulting in a cumulative-effect adjustment to retained earnings in the period of adoption. ASU 2022-02 was effective for the Company on January 1, 2023. ASU 2022-02 resulted in no material impact to the Company's consolidated financial statements.
In March 2022, the FASB issued ASU No. 2022-01, “Derivatives and Hedging (Topic 815), Fair Value Hedging—Portfolio Layer Method.” ASU 2022-01 clarifies the guidance in ASC 815 on fair value hedge accounting of interest rate risk for portfolios of financial assets and is intended to better align hedge accounting with an organization’s risk management strategies. In 2017, the FASB issued ASU 2017-12 to better align the economic results of risk management activities with hedge accounting. One of the major provisions of that standard was the addition of the last-of-layer hedging method. For a closed portfolio of fixed-rate prepayable financial assets or one or more beneficial interests secured by a portfolio of prepayable financial instruments, such as mortgages or mortgage-backed securities, the last-of-layer method allows an entity to hedge its exposure to fair value changes due to changes in interest rates for a portion of the portfolio that is not expected to be affected by prepayments, defaults, and other events affecting the timing and amount of cash flows. ASU 2022-01 renames that method the portfolio layer method. ASU 2022-01 was effective for the Company on January 1, 2023. ASU 2022-01 resulted in no material impact to the Company's consolidated financial statements.
In October 2021, the FASB issued ASU 2021-08, “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers”. The ASU requires entities to apply Topic 606 to recognize and measure contract assets and contract liabilities in a business combination. The amendments improve comparability after the business combination by providing consistent recognition and measurement guidance for revenue contracts with customers acquired in a business combination and revenue contracts with customers not acquired in a business combination. ASU 2021-08 was effective for the Company on January 1, 2023. ASU 2021-08 resulted in no material impact to the Company's consolidated financial statements.
In March 2020, the FASB issued ASU 2020-04 "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting." These amendments provide temporary optional guidance to ease the potential burden in accounting for reference rate reform. The ASU provides optional expedients and exceptions for applying GAAP to contract modifications and hedging relationships, subject to meeting certain criteria, that reference the London Interbank Offered Rate ("LIBOR"). It is intended to help stakeholders during the global market-wide reference rate transition period. The guidance is effective for all entities as of March 12, 2020 through December 31, 2022. Subsequently, in January 2021, the FASB issued ASU 2021-01 "Reference Rate Reform (Topic 848): Scope." This ASU clarifies that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. The ASU also amends the expedients and exceptions in Topic 848 to capture the incremental consequences of the scope clarification and to tailor the existing guidance to derivative instruments affected by the discounting transition. An entity may elect to apply ASU 2021-01 on contract modifications that change the interest rate used for margining, discounting, or contract price alignment retrospectively as of any date from the beginning of the interim period that includes March 12, 2020, or prospectively to new modifications from any date within the interim period that includes or is subsequent to January 7, 2021, up to the date that financial statements are available to be issued. An entity may elect to apply ASU 2021-01 to eligible hedging relationships existing as of the beginning of the interim period that includes March 12, 2020, and to new eligible hedging relationships entered into after the beginning of the interim period that includes March 12, 2020.
The Company had certain loans, interest rate swap agreements, investment securities, and debt obligations with interest rates indexed to LIBOR. The administrator of LIBOR announced that the most commonly used U.S. dollar LIBOR settings would cease to be published or cease to be representative after June 30, 2023. Central banks and regulators around the world commissioned working groups to find suitable replacements for LIBOR and other benchmark rates and to implement financial benchmark reforms more generally.
The Adjustable Interest Rate (LIBOR) Act, enacted in March 2022, provides a statutory framework to replace LIBOR with a benchmark rate based on Secured Overnight Funding Rate ("SOFR") for contracts governed by U.S. law that have no or ineffective fallbacks. Although governmental authorities have endeavored to facilitate an orderly discontinuation of LIBOR, no assurance can be provided that this aim will be achieved or that the use, level, and volatility of LIBOR or other interest rates, or the value of LIBOR-based securities will not be adversely affected.
To facilitate an orderly transition from interbank offered rates and other benchmark rates to ARRs, the Company established an enterprise-wide initiative led by senior management. The objective of this initiative was to identify, assess and monitor risks associated with the expected discontinuation or unavailability of benchmarks. ASU 2020-04 was effective for the Company on January 1, 2023. Adoption of ASU 2020-04 resulted in no material impact to the Company's consolidated financial statements.
v3.24.1
Investment Securities and Other Investments
12 Months Ended
Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]  
Investment Securities and Other Investments Investment Securities and Other Investments
Amortized cost and fair values of securities held-to-maturity and securities available-for-sale as of December 31, 2023 and 2022, are as follows:
December 31, 2023
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
(Losses)
Fair
Value
Held-to-maturity
Securities of state and local municipalities tax exempt$264 $— $(12)$252 
Total Held-to-maturity Securities$264 $— $(12)$252 
Available-for-sale
Securities of U.S. government and federal agencies
$9,998 $— $(1,528)$8,470 
Securities of state and local municipalities tax exempt1,000 — (3)997 
Securities of state and local municipalities taxable453 — (49)404 
Corporate bonds20,204 — (2,556)17,648 
SBA pass-through securities62 — (5)57 
Mortgage-backed securities170,179 — (29,237)140,942 
Collateralized mortgage obligations3,809 — (732)3,077 
Total Available-for-sale Securities$205,705 $— $(34,110)$171,595 
December 31, 2022
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
(Losses)
Fair
Value
Held-to-maturity
Securities of state and local municipalities tax exempt$264 $— $(12)$252 
Total Held-to-maturity Securities$264 $— $(12)$252 
Available-for-sale
Securities of U.S. government and federal agencies$13,559 $— $(2,555)$11,004 
Securities of state and local municipalities tax exempt1,385 — (9)1,376 
Securities of state and local municipalities taxable506 — (62)444 
Corporate bonds21,212 — (2,154)19,058 
SBA pass-through securities74 — (7)67 
Mortgage-backed securities282,858 — (45,424)237,434 
Collateralized mortgage obligations9,998 — (1,312)8,686 
Total Available-for-sale Securities$329,592 $— $(51,523)$278,069 
No allowance for credit losses was recognized as of December 31, 2023 related to the Company's investment portfolio.
The Company had securities with a market value of $0.0 million and $4.1 million pledged with the Federal Reserve Bank of Richmond (the "FRB") for the years ended December 31, 2023 and 2022, respectively. The Company had securities of $7.2 million and $104.6 million pledged with the Treasury Board of Virginia at the Community Bankers' Bank for the years ended December 31, 2023 and 2022, respectively.
The Company monitors the credit quality of held-to-maturity securities through the use of credit ratings. The Company monitors credit ratings on a periodic basis. The following table summarizes the amortized cost of held-to-maturity securities at December 31, 2023, aggregated by credit quality indicator:
Held-to-maturity
December 31, 2023
Securities of state and local municipalities tax exempt
Aa3$264 
Total$264 
The following table shows fair value and gross unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2023 and 2022, respectively. One security was held as of December 31, 2023 for which the book value and fair value were equal and therefore neither an unrealized gain nor loss was reflected herein. The reference point for determining when securities are in an unrealized loss position is month-end. Therefore, it is possible that a security’s market value exceeded its amortized cost on other days during the past twelve-month period. Available-for-sale securities that have been in a continuous unrealized loss position as of December 31, 2023 are as follows:
Less Than 12 Months12 Months or LongerTotal
At December 31, 2023
Fair
Value
Unrealized
Losses
Fair
Value
Unrealized
Losses
Fair
Value
Unrealized
Losses
Securities of U.S. government and federal agencies$— $— $8,470 $(1,528)$8,470 $(1,528)
Securities of state and local municipalities tax exempt— — 997 (3)997 (3)
Securities of state and local municipalities taxable— — 404 (49)404 (49)
Corporate bonds— — 16,898 (2,556)16,898 (2,556)
SBA pass-through securities— — 57 (5)57 (5)
Mortgage-backed securities— — 140,942 (29,237)140,942 (29,237)
Collateralized mortgage obligations— — 3,077 (732)3,077 (732)
Total$— $— $170,845 $(34,110)$170,845 $(34,110)
Available-for-sale and held-to-maturity securities that have been in a continuous unrealized loss position as of December 31, 2022 are as follows:
Less Than 12 Months12 Months or LongerTotal
At December 31, 2022
Fair
Value
Unrealized
Losses
Fair
Value
Unrealized
Losses
Fair
Value
Unrealized
Losses
Securities of U.S. government and federal agencies$— $— $11,004 $(2,555)$11,004 $(2,555)
Securities of state and local municipalities tax exempt1,628 (21)— — 1,628 (21)
Securities of state and local municipalities taxable— — 444 (62)444 (62)
Corporate bonds12,344 (1,119)5,964 (1,035)18,308 (2,154)
SBA pass-through securities— — 67 (7)67 (7)
Mortgage-backed securities26,486 (1,831)210,948 (43,593)237,434 (45,424)
Collateralized mortgage obligations2,601 (238)6,085 (1,074)8,686 (1,312)
Total$43,059 $(3,209)$234,512 $(48,326)$277,571 $(51,535)
Securities of U.S. government and federal agencies: The unrealized losses on two available-for-sale securities were caused by interest rate increases. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the amortized cost basis of the investments.
Securities of state and local municipalities tax-exempt: The unrealized losses on two of the investments in securities of state and local municipalities was caused by interest rate increases. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the amortized cost basis of the investments. These investments carry an S&P investment grade rating of AA+ and AA3.
Securities of state and local municipalities taxable: The unrealized loss on one of the investments in securities of state and local municipalities was caused by interest rate increases. The contractual terms of this investment does not permit the issuer to settle the securities at a price less than the amortized cost basis of the investments. The investment carries an S&P investment grade rating of AAA.
Corporate bonds: The unrealized losses on the investments in corporate bonds were caused by interest rate increases. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the amortized cost basis of the investments. One of these investments carries an S&P investment grade rating of BBB. The remaining thirteen investments do not carry a rating.
SBA pass-through securities: The unrealized losses on one available-for-sale security was caused by interest rate increases. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the amortized cost basis of the investments.
Mortgage-backed securities: The unrealized losses on the Company’s investment in 36 mortgage-backed securities were caused by interest rate increases. The contractual cash flows of those investments are guaranteed by an agency of the U.S. Government. Accordingly, it is expected that the securities would not be settled at a price less than the amortized cost basis of the Company’s investments. Because the decline in market value is attributable to changes in interest rates and not credit quality, the Company does not consider those investments to be impaired at December 31, 2023.
Collateralized mortgage obligations ("CMOs"): The unrealized loss associated with 11 CMOs was caused by interest rate increases. The contractual cash flows of these investments are guaranteed by an agency of the U.S. Government. Accordingly, it is expected that the securities would not be settled at a price less than the amortized cost basis of the Company’s investments. Because the decline in market value is attributable to changes in interest rates and not credit quality, the Company does not consider those investments to be impaired at December 31, 2023.
The Company has evaluated its available-for-sale investments securities in an unrealized loss position for credit related impairment at December 31, 2023 and 2022 and concluded no impairment existed based on several factors which included: (1) the majority of these securities are of high credit quality, (2) unrealized losses are primarily the result of market volatility and increases in market interest rates, (3) issuers continue to make timely principal and interest payments, and (4) the Company does not intend to sell any of the investments and the accounting standard of “more likely than not” has not been met for the Company to be required to sell any of the investments before recovery of its amortized cost basis. Additionally, the Company’s mortgage-backed investment securities are primarily guaranteed by the Federal National Mortgage Association, Federal Home Loan Mortgage Corporation, or the Government National Mortgage Association and do not have credit risk given the implicit and explicit government guarantees associated with these agencies.
During 2023, the Company executed a balance sheet repositioning strategy and sold available-for-sale investment securities with a total book value of $102.5 million at a pre-tax loss of $15.6 million and used the net proceeds to reduce existing high cost short-term Federal Home Loan Bank of Atlanta ("FHLB") advances and to fund higher yielding newly originated commercial loans. No securities were sold during 2022.
The amortized cost and fair value of securities at December 31, 2023, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations without penalties.
December 31, 2023
Held-to-maturityAvailable-for-sale
Amortized CostFair ValueAmortized CostFair Value
After 3 months through 1 year$— $— $1,000 $997 
After 1 year through 5 years264 252 1,113 1,099 
After 5 years through 10 years— — 30,148 26,033 
After 10 years— — 173,444 143,466 
   Total$264 $252 $205,705 $171,595 
For the years ended December 31, 2023 and 2022, proceeds from principal repayments of securities were $20.8 million and $37.1 million, respectively. There were $86.9 million securities sold during 2023 and none in 2022. There were 15.6 million realized losses in 2023 and none in 2022.

The Company has other investments in the form of restricted stock totaling $9.5 million and $15.6 million at December 31, 2023 and 2022, respectively. The following table discloses the types of investments included in other investments:
20232022
Federal Reserve stock$3,586 $4,378 
FHLB stock5,755 11,087 
Community Bankers' Bank stock122 122 
Atlantic Bankers' Bank stock25 25 
   Total$9,488 $15,612 
As a member of the FRB and the FHLB, the Bank is required to hold stock in these entities. Stock membership in Community Bankers' Bank allows the Company to secure overnight funding and participate in other services offered by this institution. These investments are carried at cost since no active trading markets exist.
v3.24.1
Loans and Allowance for Credit Losses
12 Months Ended
Dec. 31, 2023
Receivables [Abstract]  
Loans and Allowance for Loan Losses Loans and Allowance for Credit Losses
A summary of loan balances by type follows:
December 31, 2023
Total
Commercial real estate$1,091,633 
Commercial and industrial219,873 
Commercial construction147,998 
Consumer real estate363,317 
Consumer nonresidential5,743 
$1,828,564 
Less:
Allowance for credit losses18,871 
Loans, net$1,809,693 
December 31, 2022
OriginatedAcquiredTotal
Commercial real estate$1,085,513 $14,748 $1,100,261 
Commercial and industrial242,307 2,913 245,220 
Commercial construction147,436 503 147,939 
Consumer real estate322,579 17,012 339,591 
Consumer nonresidential7,661 24 7,685 
$1,805,496 $35,200 $1,840,696 
Less:
Allowance for credit losses16,040 — 16,040 
Unearned income and (unamortized premiums), net262 — 262 
Loans, net$1,789,194 $35,200 $1,824,394 
The loan portfolio summary is presented on amortized cost basis as of December 31, 2023. For the year ended December 31, 2022, the loan portfolio is presented at outstanding principal balance.
During 2018, as a result of the Company’s acquisition of Colombo Bank ("Colombo"), the loan portfolio was segregated between loans initially accounted for under the amortized cost method (referred to as “originated” loans) and loans acquired (referred to as “acquired” loans). The loans segregated to the acquired loan portfolio were initially measured at fair value and subsequently accounted for under either ASC 310-30 or ASC 310-20. The outstanding principal balance and related carrying amount of acquired loans included in the consolidated balance sheets as of December 31, 2022 is as follows:
December 31, 2022
Purchased credit impaired acquired loans evaluated individually for future credit losses 
Outstanding principal balance$24 
Carrying amount— 
Other acquired loans
Outstanding principal balance35,604 
Carrying amount35,200 
Total acquired loans
Outstanding principal balance35,628 
Carrying amount35,200 
The following table presents changes during the year ended December 31, 2022, in the accretable yield on purchased credit impaired loans for which the Company applies ASC 310-30.
Balance at January 1, 2022$
Accretion (197)
Reclassification of nonaccretable difference due to improvement in expected cash flows33 
Other changes, net161 
Balance at December 31, 2022
$— 
An analysis of the allowance for credit losses for the years ended December 31, 2023 and 2022 follows:
Commercial
Real Estate
Commercial and
Industrial
Commercial
Construction
Consumer Real
Estate
Consumer
Nonresidential
Total
2023
Allowance for credit losses:
Beginning Balance, Prior to January 1, 2023 Adoption of ASC 326$10,777 $2,623 $1,499 $1,044 $97 $16,040 
Impact of Adoption of ASC 326498 452 70 1,856 (12)2,864 
Charge-offs(53)(350)— — (15)(418)
Recoveries— — 39 43 
Provision (reversal)(1,048)657 (144)921 (44)342 
Ending Balance$10,174 $3,385 $1,425 $3,822 $65 $18,871 
Commercial
Real Estate
Commercial and
Industrial
Commercial
Construction
Consumer Real
Estate
Consumer
Nonresidential
Total
2022
Allowance for credit losses:
Beginning Balance$8,995 $1,827 $2,009 $781 $217 $13,829 
Charge-offs— (396)— — (101)(497)
Recoveries— — — 78 79 
Provision (reversal)1,782 1,192 (510)262 (97)2,629 
Ending Balance$10,777 $2,623 $1,499 $1,044 $97 $16,040 
The following table presents the amortized cost basis of collateral-dependent loans by class of loans as of December 31, 2023:
Real EstateBusiness / Other Assets
Collateral-Dependent Loans
Commercial real estate$20,765 $— 
Commercial and industrial— 1,070 
Commercial construction— — 
Consumer real estate654 — 
Consumer nonresidential— — 
Total$21,419 $1,070 
The following tables present the recorded investment in loans and evaluation method as of December 31, 2022, by portfolio segment:
Allowance for Credit Losses
Commercial
Real Estate
Commercial
and Industrial
Commercial
Construction
Consumer
Real Estate
Consumer
Nonresidential
Total
2022
Allowance for credit losses:
Ending Balance:
Individually evaluated for impairment$— $86 $— $— $— $86 
Purchased credit impaired— — — — — — 
Collectively evaluated for impairment10,777 2,537 1,499 1,044 97 15,954 
$10,777 $2,623 $1,499 $1,044 $97 $16,040 
Loans Receivable
Commercial
Real Estate
Commercial
and Industrial
Commercial
Construction
Consumer
Real Estate
Consumer
Nonresidential
Total
2022
Financing receivables:      
Ending Balance      
Individually evaluated for impairment$1,703 $1,319 $— $1,041 $— $4,063 
Purchased credit impaired loans— — — — — — 
Collectively evaluated for impairment1,098,558 243,901 147,939 338,550 7,685 1,836,633 
$1,100,261 $245,220 $147,939 $339,591 $7,685 $1,840,696 
Impaired loans by class excluding purchased credit impaired at December 31, 2022, are summarized as follows:
Impaired Loans – Originated Loan Portfolio
Recorded
Investment
Unpaid
Principal
Balance
Related
Allowance
Average
Recorded
Investment
Interest
Income
Recognized
2022
With an allowance recorded:
Commercial real estate$— $— $— $— $— 
Commercial and industrial1,319 1,329 86 1,604 107 
Commercial construction— — — — — 
Consumer real estate— — — — — 
Consumer nonresidential— — — — — 
$1,319 $1,329 $86 $1,604 $107 
2022
With no related allowance:
Commercial real estate$1,703 $1,703 $— $1,704 $135 
Commercial and industrial— — — — — 
Commercial construction— — — — — 
Consumer real estate1,041 1,044 — 1,048 34 
Consumer nonresidential— — — — — 
$2,744 $2,747 $— $2,752 $169 
There were no impaired loans in the acquired loan portfolio at December 31, 2022. No additional funds are committed to be advanced in connection with the impaired loans. There were no nonaccrual loans excluded from the impaired loan disclosure.
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, collateral adequacy, credit documentation, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis typically includes larger, non-homogeneous loans such as commercial real estate and commercial and industrial loans. This analysis is performed on an ongoing basis as new information is obtained. The Company uses the following definitions for risk ratings:
Pass — Loans listed as pass include larger non-homogeneous loans not meeting the risk rating definitions below and smaller, homogeneous loans not assessed on an individual basis.
Special Mention — Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date.
Substandard — Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the enhanced possibility that the institution will sustain some loss if the deficiencies are not corrected.
Doubtful — Loans classified as doubtful include those loans which have all the weaknesses inherent in those classified Substandard with the added characteristic that the weaknesses make collection or liquidation in full, based on currently known facts, conditions and values, improbable.
Loss — Loans classified as loss include those loans which are considered uncollectible and of such little value that their continuance as loans is not warranted. Even though partial recovery may be achieved in the future, it is neither practical nor desirable to defer writing off these loans.
Based on the most recent analysis performed, amortized cost basis of loans by risk category, class and year of origination was as follows as of December 31, 2023:
Prior20192020202120222023Revolving Loans Amort. Cost BasisRevolving Loans Convert. to TermTotal
Commercial Real Estate
Grade:
Pass$341,765 $82,924 $70,564 $147,252 $211,786 $57,422 $153,838 $— $1,065,551 
Special mention1,268 1,361 — 2,688 — — — — 5,317 
Substandard— — 849 — — 19,916 — — 20,765 
Doubtful— — — — — — — — — 
Loss— — — — — — — — — 
Total$343,033 $84,285 $71,413 $149,940 $211,786 $77,338 $153,838 $— $1,091,633 
Commercial and Industrial
Grade:
Pass$9,997 $2,285 $6,296 $13,623 $54,784 $42,034 $88,926 $— $217,945 
Special mention— — — 76 — — 782 — 858 
Substandard— — — — 884 — 186 — 1,070 
Doubtful— — — — — — — — — 
Loss— — — — — — — — — 
Total$9,997 $2,285 $6,296 $13,699 $55,668 $42,034 $89,894 $— $219,873 
Commercial Construction
Grade:
Pass$11,149 $— $— $6,204 $— $709 $129,936 $— $147,998 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Loss— — — — — — — — — 
Total$11,149 $— $— $6,204 $— $709 $129,936 $— $147,998 
Consumer Real Estate
Grade:
Pass$35,240 $8,196 $8,914 $28,848 $196,678 $51,767 $32,963 $— $362,606 
Special mention— — — — — — 57 — 57 
Substandard108 — — — — — 546 — 654 
Doubtful— — — — — — — — — 
Loss— — — — — — — — — 
Total$35,348 $8,196 $8,914 $28,848 $196,678 $51,767 $33,566 $— $363,317 
Consumer Nonresidential
Grade:
Pass$659 $— $$$36 $177 $4,861 $— $5,743 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Loss— — — — — — — — — 
Total$659 $— $$$36 $177 $4,861 $— $5,743 
Total Recorded Investment$400,186 $94,766 $86,630 $198,694 $464,168 $172,025 $412,095 $— $1,828,564 
As of December 31, 2023 – Total Loan Portfolio
Total
Grade: 
Pass$1,799,843 
Special mention6,232 
Substandard22,489 
Doubtful— 
Loss— 
Total Recorded Investment$1,828,564 
Based on the most recent analysis performed, the risk category of loans by class of loans was as follows as of December 31, 2022:
As of December 31, 2022 – Originated Loan Portfolio
Commercial Real
Estate
Commercial and
Industrial
Commercial
Construction
Consumer Real
Estate
Consumer
Nonresidential
Total
Grade:
Pass$1,077,526 $237,638 $147,436 $320,735 $7,661 $1,790,996 
Special mention6,284 3,350 — 803 — 10,437 
Substandard1,703 1,319 — 1,041 — 4,063 
Doubtful— — — — — — 
Loss— — — — — — 
Total$1,085,513 $242,307 $147,436 $322,579 $7,661 $1,805,496 
As of December 31, 2022 – Acquired Loan Portfolio
Commercial Real
Estate
Commercial and
Industrial
Commercial
Construction
Consumer Real
Estate
Consumer
Nonresidential
Total
Grade:
Pass$14,748 $2,913 $503 $17,012 $24 $35,200 
Special mention— — — — — — 
Substandard— — — — — — 
Doubtful— — — — — — 
Loss— — — — — — 
Total$14,748 $2,913 $503 $17,012 $24 $35,200 
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, collateral adequacy, credit documentation, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis includes larger non-homogeneous loans such as commercial real estate and commercial and industrial loans. This analysis is performed on an ongoing basis as new information is obtained. At December 31, 2023, the Company had $6.2 million in loans identified as special mention, a decrease from $10.4 million from December 31, 2022. Special mention rated loans are loans that have a potential weakness that deserves management’s close attention; however, the borrower continues to pay in accordance with their contract. Loans rated as special mention do not have a specific reserve and are considered well-secured.
At December 31, 2023, the Company had $22.5 million in loans identified as substandard, an increase of $18.4 million from December 31, 2022. The increase in substandard loans was primarily related to the addition of one loan. Substandard rated loans are loans that are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. For each of these substandard loans, a liquidation analysis is completed At December 31, 2023, an individually assessed allowance for credit losses totaling $0.7 million, has been estimated to supplement any shortfall of collateral. The increase in substandard rated loans from December 31, 2022 was primarily related to one owner-occupied commercial loan totaling $20.0 million, which was downgraded due to concerns regarding
the financial condition of this borrower's parent company. This loan is current and paying as agreed to with no modifications in terms since its origination. No impairment was indicated as a result of the liquidation analysis completed as the loan was and continues to be well-collateralized.
Past due and nonaccrual loans presented by loan class were as follows as of December 31, 2023 and 2022:
As of December 31, 2023
30-59 days past due60-89 days past due90 days or more past dueTotal past due loansCurrentNonaccrualsTotal Recorded Investment in Loans
Commercial real estate$1,115 $— $— $1,115 $1,089,669 $849 $1,091,633 
Commercial and industrial51 1,387 — 1,438 218,249 186 219,873 
Commercial construction2,569 391 — 2,960 145,038 — 147,998 
Consumer real estate1,300 — 134 1,434 361,229 654 363,317 
Consumer nonresidential— — 5,737 — 5,743 
Total$5,035 $1,778 $140 $6,953 $1,819,922 $1,689 $1,828,564 
As of December 31, 2022 – Originated Loan Portfolio
30-59 days past
due
60-89 days past
due
90 days or more
past due
Total past dueCurrentTotal loans90 days past due
and still accruing
Nonaccruals
Commercial real estate$546 $— $2,096 $2,642 $1,082,871 $1,085,513 $393 $1,703 
Commercial and industrial512 — 1,319 1,831 240,476 242,307 — 1,319 
Commercial construction— — 125 125 147,311 147,436 125 — 
Consumer real estate805 — 953 1,758 320,821 322,579 825 128 
Consumer nonresidential— 63 — 63 7,598 7,661 — — 
Total$1,863 $63 $4,493 $6,419 $1,799,077 $1,805,496 $1,343 $3,150 
As of December 31, 2022 – Acquired Loan Portfolio
30-59 days past
due
60-89 days past
due
90 days or more
past due
Total past dueCurrentTotal loans90 days past due
and still accruing
Nonaccruals
Commercial real estate$— $— $— $— $14,748 $14,748 $— $— 
Commercial and industrial— — — — 2,913 2,913 — — 
Commercial construction— — — — 503 503 — — 
Consumer real estate— — — — 17,012 17,012 — — 
Consumer nonresidential— — — — 24 24 — — 
Total$— $— $— $— $35,200 $35,200 $— $— 
The following presents nonaccrual loans as of December 31, 2023:
Nonaccrual with No Allowance for Credit LossesNonaccrual with an Allowance for Credit LossesTotal Nonaccrual LoansInterest Income Recognized
Nonaccrual Loans
Commercial real estate$849 $— $849 $37 
Commercial and industrial— 186 186 19 
Commercial construction— — — — 
Consumer real estate654 — 654 53 
Consumer nonresidential— — — — 
Total$1,503 $186 $1,689 $109 
There were no consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings were in process as of December 31, 2023 and 2022, respectively.
There were overdrafts of $0.1 million and $1.3 million at December 31, 2023 and 2022, respectively, which have been reclassified from deposits to loans. At December 31, 2023 and 2022, loans with a carrying value of $530.2 million and $458.7 million were pledged to the FHLB.
Modifications with Borrowers Experiencing Financial Difficulty
On January 1, 2023, the Company adopted ASU 2022-02, which eliminates the accounting guidance for TDRs and enhances the disclosure requirements for certain loan modifications when a borrower is experiencing financial difficulty ("FDMs"). FDMs occur as a result of loss mitigation activities. A variety of solutions are offered to borrowers, including loan modifications that may result in principal forgiveness, interest rate reductions, term extensions, payment delays, repayment plans or combinations thereof. FDMs exclude loans held for sale and loans accounted for under the fair value option. Loans with guarantor support, or guaranteed loans are included in the Company's disclosed population of FDMs when those loan modifications are granted to a borrower experiencing financial difficulty.
There were five loans of $3.5 million modified during the year ended December 31, 2023 with a combination of payment delays and contractual extension to the maturity of the loan. No loans were modified with principal and interest forgiveness or an interest rate reduction. All loans modified during the year ended December 31, 2023 are performing according the modified contractual terms.
Prior to the adoption of ASC 326, the Company had zero reserves for unfunded commitments as of December 31, 2022. Upon adoption of ASC 326, the Company established a reserve for unfunded commitments of $811 thousand as of January 1, 2023. As of December 31, 2023, the reserve for unfunded commitments increased to $602 thousand.
The following table presents a breakdown of the provision for credit losses included in the Consolidated Statements of Income for the applicable periods:
For the Year Ended
December 31, 2023December 31, 2022
Provision for (reversal of) credit losses - loans$342 $2,629 
Provision for (reversal of) credit losses - unfunded commitments(210)— 
Total provision for credit losses$132 $2,629 
v3.24.1
Goodwill and Intangibles
12 Months Ended
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangibles Goodwill and Intangibles
As a result of the Company's past acquisitions, the Company recognized goodwill and core deposit intangibles.
Information concerning amortizable intangibles follows:
Acquisition of 1st CommonwealthAcquisition of Colombo BankTotal
Gross Carrying
Amount
Accumulated
Amortization
Gross Carrying
Amount
Accumulated
Amortization
Gross Carrying
Amount
Accumulated
Amortization
Balance at December 31, 2021
$204 $185 $1,950 $1,074 $2,154 $1,259 
2022 activity:
1st Commonwealth amortization— 19 — — — 19 
Colombo Bank amortization— — — 243 — 243 
Balance at December 31, 2022
$204 $204 $1,950 $1,317 $2,154 $1,521 
2023 activity:
1st Commonwealth amortization— — — — — — 
Colombo Bank amortization— — — 205 — 205 
Balance at December 31, 2023
$204 $204 $1,950 $1,522 $2,154 $1,726 
The aggregate amortization expense was $205 thousand for 2023 and $262 thousand for 2022. As of December 31, 2023, the estimated amortization expense for the next five years and thereafter is as follows:
2024$165 
2025125 
202685 
202745 
2028
Thereafter— 
$428 
The carrying amount of goodwill for the years ended December 31, 2023 and 2022 is as follows:
Balance at December 31, 2023 and 2022
$7,157 
v3.24.1
Premises, Equipment, and Leases
12 Months Ended
Dec. 31, 2023
Property, Plant and Equipment [Abstract]  
Premises, Equipment, and Leases Premises, Equipment, and Leases
The following table summarizes the cost and accumulated depreciation of premises and equipment as of December 31, 2023 and 2022:
20232022
Leasehold improvements$2,622 $3,068 
Furniture, fixtures and equipment3,833 4,310 
Computer software1,183 1,169 
Land61 61 
Buildings196 196 
Vehicles47 47 
   Premises and equipment, gross$7,942 $8,851 
Less: accumulated depreciation6,945 7,631 
   Premises and equipment, net$997 $1,220 
For the years ended December 31, 2023 and 2022, depreciation expense was $390 thousand and $424 thousand, respectively.
The Company has entered into operating leases for office space over various terms. The leases cover an agreed upon period of time and generally have options to renew and are subject to annual increases as well as allocations for real estate taxes and certain operating expenses. During the fourth quarter of 2023, the Company reduced its office space and recognized $273 thousand of impairment of existing right-of-use assets and losses on disposals of equipment.
The following tables present information about leases as of and for the years ended December 31, 2023 and 2022:
20232022
Right-of-Use-Asset$8,395 $9,680 
Lease Liability$9,241 $10,394 
Weighted Average Remaining Lease Term (Years)7.17.9
Weighted Average discount rate3.27 %3.21 %
Years Ended December 31,
20232022
Operating Lease Expense$1,733 $1,504 
Cash paid for amounts included in lease liabilities$1,840 $1,541 
Impairment loss on right-of-use asset228 — 
Modification of right-of-use assets and lease liability — 283 
Right-of-use assets obtained in exchange for operating lease liabilities 820 522 
The following table presents a maturity schedule of undiscounted cash flows that contribute to the lease liability as of December 31, 2023:
2024$1,814 
20251,665 
20261,574 
20271,448 
2028814 
Thereafter3,061 
Total$10,376 
Less: discount (1,135)
$9,241 
v3.24.1
Deposits
12 Months Ended
Dec. 31, 2023
Deposits [Abstract]  
Deposits Deposits
Remaining maturities on certificates of deposit are as follows as of December 31, 2023:
2024$438,745 
202581,721 
202612,822 
202717,397 
2028914 
Thereafter— 
$551,599 
Total time deposits greater than $250,000 were $164.9 million and $159.5 million at December 31, 2023 and 2022, respectively.
At December 31, 2023 and 2022, the Company had one customer relationship whose related balance on deposit exceeded 5% of outstanding deposits. This customer relationship comprises 9% of outstanding deposits at December 31, 2023 and 9% of outstanding deposits at December 31, 2022.
Brokered deposits totaled $245.3 million and $248.0 million at December 31, 2023 and 2022, respectively.
v3.24.1
Other Borrowed Funds
12 Months Ended
Dec. 31, 2023
Debt Disclosure [Abstract]  
Other Borrowed Funds Other Borrowed Funds
Other borrowed funds at December 31, 2023 and 2022 consist of the following:
Federal Funds PurchasedFHLB AdvancesSubordinated Debt, net
202320222023202220232022
Balance Outstanding at December 31,$— $30,000 $85,000 $235,000 $19,620 $19,565 
Maximum balance at any month end during the year$— $115,000 $245,000 $235,000 $19,620 $19,565 
Average balance for the year$— $22,164 $101,682 $48,134 $19,590 $19,535 
Weighted average rate on borrowings for the year ended— %3.11 %3.77 %2.60 %5.26 %5.28 %
The Company had $85.0 million and $235.0 million of FHLB advances at each of December 31, 2023 and 2022 respectively. $85.0 million of FHLB advances outstanding at December 31, 2023 mature during the first quarter of 2024. At December 31, 2023, 1-4 family residential loans with a lendable value of $176.6 million, multi-family residential loans with a lendable value of $66.2 million, home equity lines of credit with a lendable value of $4.9 million and commercial real estate loans with a lendable value of $177.7 million were pledged against an available line of credit with the FHLB totaling $575.0 million as of December 31, 2023. The lendable collateral value excess at December 31, 2023 totaled $260.4 million.
The Company has unsecured lines of credit with correspondent banks totaling $185.0 million at December 31, 2023 and $265.0 million at December 31, 2022, available for overnight borrowing. At December 31, 2023, the Company had no advances outstanding and $30 million in December 31, 2022.
On June 20, 2016, the Company issued $25.0 million in fixed-to-floating rate subordinated notes due June 30, 2026 in a private placement transaction. Interest was payable at 6.00% per annum, from and including June 20, 2016 to, but excluding June 30, 2021, payable semi-annually in arrears. From and including June 30, 2021 to the early redemption date, the interest rate was to reset quarterly to an interest rate per annum equal to the then current three-month LIBOR rate plus 487 basis points, payable quarterly in arrears.
The Company had the option, on any scheduled interest payment date on or after June 30, 2021, to redeem the subordinated notes, in whole or in part, upon not fewer than 30 days nor greater than 60 days' notice to holders, at a redemption price equal to 100%of the principal amount of the subordinated notes to be redeemed plus accrued and unpaid interest to, but excluding, the date of redemption. In August 2021, the Company provided a redemption notice to each holder of the subordinated notes that the notes would be redeemed in full on September 30, 2021 or such later date as the holder returned its note to the Company. $23.8 million of principal was redeemed and paid during the year ended December 31, 2021.
On October 13, 2020, the Company completed its private placement of $20 million of its 4.875% fixed-to-floating subordinated notes due 2030 (the "Notes") to certain qualified institutional buyers and accredited investors. The Notes have a maturity date of October 15, 2030 and carry a fixed rate of interest of 4.875% for the first five years. Thereafter, the Notes will pay interest at the then current three-month Secured Overnight Financing Rate plus 471 basis points, resetting quarterly. The Notes include a right of prepayment without penalty on or after October 15, 2025. The Company used the proceeds from the placement of the Notes for general corporate purposes, including to support capital ratios at the Bank, and the repayment of the $25.0 million outstanding subordinated debt called in August 2021. The Notes qualify as Tier 2
capital for the Company to the fullest extent permitted under the Basel III capital rules. When contributed to the capital of the Bank, the proceeds of the subordinated notes may be included in Tier 1 capital for the Bank.
v3.24.1
Income Taxes
12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2023 and 2022 are presented below:
20232022
Deferred Tax Assets:  
Allowance for credit losses$4,304 $3,698 
Net operating loss carryforward – federal and state3,061 2,466 
Bank premises and equipment301 265 
Nonqualified stock options and restricted stock500 658 
Organizational and start-up expenses13 10 
Acquisition accounting adjustments— 257 
Non-accrual loan interest52 59 
Deferred loan costs— 60 
Lease liability2,108 2,396 
Unrealized loss on securities available for sale7,777 11,876 
Reserves for unfunded commitments137 — 
$18,253 $21,745 
Deferred Tax Liabilities:
Right-of-use assets$(1,894)$(2,232)
Deferred loan costs(307)— 
Acquisition accounting adjustments(564)— 
Unrealized gain on interest rate swap(665)(980)
$(3,430)$(3,212)
Net Deferred Tax Assets$14,823 $18,533 
The income tax expense charged to operations for the years ended December 31, 2023 and 2022 consists of the following:
20232022
Current tax (benefit) expense$(524)$5,610 
Deferred tax expense934 395 
$410 $6,005 
Income tax expense differed from amounts computed by applying the U.S. federal income tax rate to income, before income tax expense as a result of the following:
20232022
Computed "expected" tax expense$875 $6,313 
Increase (decrease) in income taxes resulting from:
State income tax expense275 503 
Non-deductible expense163 138 
Tax free income(310)(259)
Tax benefits from exercise of stock options(352)(364)
Other(241)(326)
$410 $6,005 
The Company files income tax returns in the U.S. federal jurisdiction. With few exceptions, the Company is no longer subject to U.S. federal examination by tax authorities for years prior to 2020.
Under the provisions of the Internal Revenue Code, the Company has $10.1 million of net operating loss carryforwards acquired from Colombo which can be offset against future taxable income. The carryforwards expire through December 31, 2037. The full realization of tax benefits associated with carryforwards depends predominately upon the recognition of ordinary income during the carryforward period. The federal portion of net operating loss carryforwards available to offset taxable income is limited to $762 thousand annually under Internal Revenue Code section 382. The Company believes it will generate sufficient future taxable income to fully utilize the remaining deferred tax assets.
v3.24.1
Derivative Financial Instruments
12 Months Ended
Dec. 31, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments Derivative Financial Instruments
The Company enters into interest rate swap agreements ("swap agreements") to facilitate the risk management strategies needed in order to accommodate the needs of its banking customers. The Company mitigates the risk of entering into these loan agreements by entering into equal and offsetting swap agreements with highly-rated third party financial institutions. These back-to-back swap agreements are free-standing derivatives and are recorded at fair value in the Company's consolidated statements of condition (asset positions are included in other assets and liability positions are included in other liabilities) as of December 31, 2023. The Company is party to master netting arrangements with its financial institution counterparty; however, the Company does not offset assets and liabilities under these arrangements for financial statement presentation purposes. The master netting arrangements provide for a single net settlement of all swap agreements, as well as collateral, in the event of default on, or termination of, any one contract. Parties to a centrally cleared over-the-counter derivative exchange daily payments that reflect the daily change in value of the derivative. These payments, commonly referred to as variation margin, are recorded as settlements of the derivatives' mark-to-market exposure rather than collateral against the exposures, which effectively results in any centrally cleared derivative having a Level 2 fair value that approximates zero on a daily basis, and therefore, these swap agreements were not included in the offsetting table in the Fair Value Measurement section. As of December 31, 2023, the Company entered into 17 interest rate swap agreements which were collateralized by $30 thousand in cash. As of December 31, 2022, the Company entered into 15 interest rate swap agreements which were collateralized by $30 thousand in cash.
The notional amount and fair value of the Company's derivative financial instruments as of December 31, 2023 and 2022 were as follows:
December 31, 2023
Notional AmountFair Value
Interest Rate Swap Agreements
Receive Fixed/Pay Variable Swaps$82,483 $2,853 
Pay Fixed/Receive Variable Swaps82,483 (2,853)
December 31, 2022
Notional AmountFair Value
Interest Rate Swap Agreements
Receive Fixed/Pay Variable Swaps$74,178 $4,260 
Pay Fixed/Receive Variable Swaps74,178 (4,260)
Interest Rate Risk Management—Cash Flow Hedging Instruments
The Company uses FHLB advances and other wholesale funding from time to time as a source of funds for use in the Company's lending and investment activities and other general business purposes. This wholesale funding exposes the Company to increased interest rate risk as a result of the variability in cash flows (future interest payments). The Company believes it is prudent to reduce this interest rate risk. To meet this objective, the Company entered into interest rate swap agreements whereby the Company reduces the interest rate risk associated with the Company's variable rate advances (or other wholesale funding) from the designation date and going through the maturity date.
At December 31, 2023 and 2022, the information pertaining to outstanding interest rate swap agreements used to hedge variability in cash flows is as follows:
20232022
Notional amount$250,000 $145,000 
Weighted average pay rate3.25 %2.12 %
Weighted average receive rate5.34 %4.74 %
Weighted average maturity in years4.033.49
Unrealized gain/(loss) relating to interest rate swaps$2,915 $4,251 
These agreements provided for the Company to receive payments determined by a specific index in exchange for making payments at a fixed rate. At December 31, 2023 and 2022, the unrealized loss or gain relating to interest rate swaps designated as hedging instruments of the variability of cash flows associated with wholesale funds are reported in other comprehensive income (loss). These amounts are subsequently reclassified into interest expense as a yield adjustment in the same period in which the related interest on the advance affects earnings. The Company measures cash flow hedging relationships for effectiveness on a monthly basis, and at December 31, 2023 and 2022, the hedges were highly effective and the amount of ineffectiveness reflected in earnings was de minimus.
v3.24.1
Financial Instruments with Off-Balance Sheet Risk
12 Months Ended
Dec. 31, 2023
Financial Instruments with Off-Balance Sheet Risk  
Financial Instruments with Off-Balance Sheet Risk Financial Instruments with Off-Balance Sheet Risk
The Company is party to credit-related 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 and standby letters of credit. Such commitments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the balance sheet.
The Company's exposure to credit loss is represented by the contractual amount of these commitments. The Company follows the same credit policies in making commitments as it does for on-balance sheet instruments.
At December 31, 2023 and 2022, the following financial instruments were outstanding which contract amounts represent credit risk:
20232022
Commitments to grant loans$36,650 $135,441 
Unused commitments to fund loans and lines of credit215,892 235,617 
Commercial and standby letters of credit26,024 6,503 
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. The commitments for equity lines of credit may expire without being drawn upon. Therefore, the total commitment amounts do not necessarily represent future cash requirements. The amount of collateral obtained, if it is deemed necessary by the Company, is based on management's credit evaluation of the customer.
Unfunded commitments under commercial lines of credit, revolving credit lines and overdraft protection agreements are commitments for possible future extensions of credit to existing customers. These lines of credit usually do not contain a specified maturity date and may not be drawn upon to the total extent to which the Company is committed. The amount of collateral obtained, if it is deemed necessary by the Company, is based on management's credit evaluation of the customer.
Commercial and standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Those letters of credit are primarily issued to support public and private borrowing arrangements. Substantially all letters of credit issued have expiration dates within one year. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. The Company generally holds collateral supporting those commitments, if deemed necessary.
The Company enters into rate lock commitments to finance residential mortgage loans with its customers. These commitments offer the borrower an interest rate guarantee provided the loan meets underwriting guidelines and closes within the timeframe established by the Company.
The Company maintains its cash accounts with the FRB and correspondent banks. The total amount of cash on deposit in correspondent banks exceeding the federally insured limits was $41 thousand and $1.4 million at December 31, 2023 and 2022, respectively.
v3.24.1
Minimum Regulatory Capital Requirements
12 Months Ended
Dec. 31, 2023
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]  
Minimum Regulatory Capital Requirements Minimum Regulatory Capital Requirements
Banks and bank holding companies are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory, possibly additional discretionary, actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, financial institutions must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. A financial institution’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors.
In August, 2018, the Federal Reserve updated the Small Bank Holding Company Policy Statement (the “Statement”), in compliance with the Economic Growth, Regulatory Relief and Consumer Protection Act of 2018 (“EGRRCPA”). The Statement, among other things, exempts bank holding companies that have assets below a specified asset threshold from the consolidated regulatory capital requirements. The rule expanded the exemption to bank holding companies with consolidated total assets of less than $3 billion. Prior to August 2018, the statement exempted bank holding companies with consolidated total assets of less than $1 billion. As a result of the rule, the Company qualifies as a small bank holding company and is no longer subject to regulatory capital requirements on a consolidated basis.
The final rules implementing Basel Committee on Banking Supervision’s capital guidelines for U.S. banks (“Basel III”) became effective for the Bank on January 1, 2015 with full compliance with all of the requirements being fully phased in January 1, 2019. As a part of the requirements, the Common Equity Tier 1 Capital ratio is calculated and utilized in the assessment of capital for all institutions. Under the Basel III rules, institutions must hold a capital conservation buffer above the adequately capitalized risk-based capital ratios.
Prompt corrective action regulations, which also apply to the Bank, 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.
Pursuant to the EGRRCPA, federal banking agencies have provided for an optional, simplified measure of capital adequacy, the community bank leverage ratio (“CBLR”) framework, for qualifying community bank organizations with
less than $10 billion in consolidated total assets. Organizations that qualify could opt in to the CBLR framework beginning January 1, 2020 or any time thereafter. An institution that maintains a leverage ratio that exceeds the CBLR is considered to have met all generally applicable leverage and risk based capital requirements (including the Basel III rules), the capital ratio requirements for “well capitalized” status under the prompt corrective action regulations, and any other leverage or capital requirements to which it is subject. On January 1, 2020, the Company opted in to the CBLR framework.
Effective September 30, 2022, we opted out of the CBLR framework. A banking organization that opts out of the CBLR framework can subsequently opt back into the CBLR framework if it meets the criteria proscribed. As of December 31, 2023 and 2022, the Bank meets all capital adequacy requirements to which it is subject and is considered well capitalized under the prompt corrective action regulations.
The capital ratios for the Bank as of December 31, 2023 and 2022 are shown in the following table.
ActualMinimum Capital RequirementMinimum to be Well Capitalized Under Prompt Corrective Action
AmountRatioAmount
Ratio (1)
Amount
Ratio
At December 31, 2023
Total risk-based capital$261,403 13.83 %$198,413 10.50 %$188,965 >10.00 %
Tier 1 risk-based capital241,930 12.80 %160,620 8.50 %151,172 >8.00 %
Common equity tier 1 capital241,930 12.80 %132,275 7.00 %122,827 >6.50 %
Leverage capital ratio241,930 10.77 %89,842 4.00 %112,302 >5.00 %
At December 31, 2022
Total risk-based capital$256,898 13.28 %$203,113 10.50 %$193,441 >10.00 %
Tier 1 risk-based capital240,858 12.45 %164,425 8.50 %154,753 >8.00 %
Common equity tier 1 capital240,858 12.45 %135,409 7.00 %125,737 >6.50 %
Leverage capital ratio240,858 10.75 %87,894 4.00 %109,867 >5.00 %
________________________
(1). Ratios include capital conservation buffer.
Dividend Restrictions – The Company's principal source of funds for dividend payments is dividends received from the Bank. Banking regulations limit the amounts of dividends that may be paid without approval of regulatory agencies. As of December 31, 2023, $33.9 million of retained earnings is available to pay dividends.
v3.24.1
Related Party Transactions
12 Months Ended
Dec. 31, 2023
Related Party Transactions [Abstract]  
Related Party Transactions Related Party Transactions
Officers, directors and their affiliates had borrowings of $47.6 million and $37.9 million at December 31, 2023 and 2022, respectively, with the Company. During the years ended December 31, 2023 and 2022, total principal additions were $10.6 million and $19.9 million, respectively, and total principal payments were $0.9 million and $1.5 million, respectively.
Related party deposits amounted to $33.0 million and $38.4 million at December 31, 2023 and 2022, respectively.
v3.24.1
Stock-Based Compensation Plan
12 Months Ended
Dec. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Plan Stock-Based Compensation Plan
The Company’s Amended and Restated 2008 Option Plan (the "Plan"), which is stockholder-approved, was adopted to advance the interests of the Company by providing selected key employees of the Company, their affiliates, and directors with the opportunity to acquire shares of common stock in connection with their service to the Company. In May 2022, the stockholders approved an amendment to the Plan to extend the term and increase the number of shares authorized for issuance under the Plan by 200,000 shares. The Company has granted stock options and restricted stock units under the Plan.
The maximum number of shares with respect to which awards may be made is 2,929,296 shares of common stock, subject to adjustment for certain corporate events. Option awards are granted with an exercise price equal to the market price of the Company's stock at the date of grant, generally vest annually over four years of continuous service and have a contractual terms of ten years. At December 31, 2023, 146,432 shares were available to grant under the Plan. No options were granted during 2023 and 2022. For the year ended December 31, 2023, 63,634 shares were withheld from issuance upon exercise of options in order to cover the cost of the exercise by the participant. For the year ended December 31, 2022, there were 4,772 shares withheld from issuance upon exercise of options in order to cover the cost of the exercise by the participant.
A summary of option activity under the Plan as of December 31, 2023, and changes during the year then ended is presented below:
OptionsSharesWeighted
Average
Exercise
Price
Weighted
Average
Remaining
Contractual
Term
Aggregate
Intrinsic
Value (1)
Outstanding at January 1, 20231,621,920 $6.82 1.81
Granted— — 
Exercised(427,135)5.99 
Forfeited or expired(20,654)5.76 
Outstanding and Exercisable at December 31, 2023
1,174,131 $7.14 1.3$8,287,812 
________________________
(1)The aggregate intrinsic value of stock options represents the total pre-tax intrinsic value (the amount by which the current market value of the underlying stock exceeds the exercise price of the option) that would have been received by the option holders had all option holders exercised their options on December 31, 2023. This amount changes based on changes in the market value of the Company's stock.
As of December 31, 2023, all outstanding shares of the Plan are fully vested and amortized. Tax benefits recognized for qualified and non-qualified stock option exercises during 2023 and 2022 totaled $352 thousand and $364 thousand, respectively.
A summary of the Company's restricted stock grant activity as of December 31, 2023 is shown below.
Number of
Shares
Weighted Average
Grant Date
Fair Value
Nonvested at January 1, 2023278,245 $14.63 
Granted11,438 10.77 
Vested(96,062)14.67 
Forfeited(14,506)15.36 
Balance at December 31, 2023
179,115 $14.30 
The compensation cost that has been charged to income for the plan was $1.1 million and $1.2 million for 2023 and 2022, respectively. For the year ended December 31, 2023, 10,071 shares were withheld from issuance upon vesting of restricted stock units in order to cover the cost of the exercise by the participant. There were no shares withheld from issuance upon vesting of restricted stock units in order to cover the cost of the vesting by the participant for the year ended December 31, 2022. As of December 31, 2023, there was $1.9 million of total unrecognized compensation cost related to nonvested restricted shares granted under the Plan. The cost is expected to be recognized over a weighted-average period of 25 months .
v3.24.1
Fair Value Measurements
12 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
Determination of Fair Value
The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. In accordance with Fair Value Measurements and Disclosures topic of FASB ASC, the fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date (exit price). Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument.

The fair value guidance provides a consistent definition of fair value, which focuses on exit price in an orderly transaction (that is, not a forced liquidation or distressed sale) between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation technique or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions.
Fair Value Hierarchy
In accordance with this guidance, the Company groups its financial assets and financial liabilities generally measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value.
Level 1 — Valuation is based on quoted prices in active markets for identical assets and liabilities.
Level 2 — Valuation is based on observable inputs including quoted prices in active markets for similar assets and liabilities, quoted prices for identical or similar assets and liabilities in less active markets, and model -based valuation techniques for which significant assumptions can be derived primarily from or corroborated by observable data in the market.
Level 3 — Valuation is based on model-based techniques that use one or more significant inputs or assumptions that are unobservable in the market.
The following describes the valuation techniques used by the Company to measure certain financial assets and liabilities recorded at fair value on a recurring basis in the financial statements:
Securities available-for-sale: Securities available-for-sale are recorded at fair value on a recurring basis. Fair value measurement is based upon quoted market prices, when available (Level 1). If quoted market prices are not available, fair values are measured utilizing independent valuation techniques of identical or similar securities for which significant assumptions are derived primarily from or corroborated by observable market data. Third party vendors compile prices from various sources and may determine the fair value of identical or similar securities by using pricing models that considers observable market data (Level 2).
Derivatives assets and liabilities:
Cash flow hedges: The Company has loan interest rate swap derivatives and interest rate swap derivatives on certain time deposits and borrowings, which the latter are designated as cash flow hedges. These derivatives are recorded at fair value using published yield curve rates from a national valuation service. These observable rates and inputs are applied to a third party industry-wide valuation model, and therefore, the valuations fall into a Level 2 category.
The following table presents the balances of financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2023 and 2022:
Fair Value Measurements at
December 31, 2023 Using
Balance as of
December 31, 2023
Quoted Prices
in Active
Markets for
Identical
Assets
Significant
Other
Observable
Inputs
Significant
Unobservable
Inputs
Description(Level 1)(Level 2)(Level 3)
Assets
Available-for-sale
Securities of U.S. government and federal agencies$8,470 $— $8,470 $— 
Securities of state and local municipalities tax exempt997 — 997 — 
Securities of state and local municipalities taxable404 — 404 — 
Corporate bonds17,648 — 17,648 — 
SBA pass-through securities57 — 57 — 
Mortgage-backed securities140,942 — 140,942 — 
Collateralized mortgage obligations3,077 — 3,077 — 
Total Available-for-Sale Securities$171,595 $— $171,595 $— 
Derivative assets - interest rate swaps$2,853 $— $2,853 $— 
Derivative assets - cash flow hedge2,915 — 2,915 — 
Liabilities
Derivative liabilities - interest rate swaps$2,853 $— $2,853 $— 
Fair Value Measurements at
December 31, 2022 Using
Balance as of
December 31, 2022
Quoted Prices
in Active
Markets for
Identical
Assets
Significant
Other
Observable
Inputs
Significant
Unobservable
Inputs
Description(Level 1)(Level 2)(Level 3)
Assets
Available-for-sale
Securities of U.S. government and federal agencies
$11,004 $— $11,004 $— 
Securities of state and local municipalities tax exempt1,376 — 1,376 $— 
Securities of state and local municipalities taxable444 — 444 — 
Corporate bonds19,058 — 19,058 — 
SBA pass-through securities67 — 67 — 
Mortgage-backed securities237,434 — 237,434 — 
Collateralized mortgage obligations8,686 — 8,686 — 
Total Available-for-Sale Securities$278,069 $— $278,069 $— 
Derivative assets - interest rate swaps$4,260 $— $4,260 $— 
Derivative assets - cash flow hedge$4,251 $— $4,251 — 
Liabilities
Derivative liabilties - interest rate swaps$4,260 $— $4,260 $— 
Certain financial assets are measured at fair value on a nonrecurring basis in accordance with GAAP. Adjustments to the fair value of these assets usually result from the application of lower of cost or market accounting or write-downs of individual assets.
The following describes the valuation techniques used by the Company to measure certain financial assets recorded at fair value on a nonrecurring basis in the financial statements:
At December 31, 2023, all of the Company's individually evaluated loans were evaluated based upon the fair value of the collateral. In accordance with ASC 820, individually evaluated loans where an allowance is established based on the the fair value of collateral (i.e., those loans that are collateral dependent) require classification in the fair value hierarchy. Fair value is measured based on the value of the collateral securing the loans. Collateral may be in the form of real estate or business assets including equipment, inventory, and accounts receivable. The vast majority of the collateral is real estate. The value of real estate collateral is determined utilizing a market valuation approach based on an appraisal conducted by an independent, licensed appraiser outside of the Company using observable market data (Level 2). However, if the collateral is a house or building in the process of construction, has the value derived by discounting comparable sales due to lack of similar properties, or is discounted by the Company due to marketability, then the fair value is considered Level 3. The value of business equipment is based upon an outside appraisal if deemed significant, or the net book value on the applicable business’s financial statements if not considered significant using observable market data. Likewise, values for inventory and accounts receivables collateral are based on financial statement balances or aging reports (Level 3).
Impaired Loans (prior to adoption of ASC 326): Loans are designated as impaired when, in the judgment of management based on current information and events, it is probable that all amounts due according to the contractual terms of the loan agreement will not be collected. The measurement of loss associated with impaired loans can be based on the present value of future cash flows, observable market price of the loan or the fair value of the collateral. Fair value is measured based on the value of the collateral securing the loans. Collateral may be in the form of real estate or business assets including equipment, inventory, and accounts receivable. The vast majority of the collateral is real estate. The value of real estate collateral is determined utilizing a market valuation approach based on an appraisal conducted by an independent, licensed appraiser outside of the Company using observable market data (Level 2). However, if the collateral
is a house or building in the process of construction, has the value derived by discounting comparable sales due to lack of similar properties, or is discounted by the Company due to marketability, then the fair value is considered Level 3. The value of business equipment is based upon an outside appraisal if deemed significant, or the net book value on the applicable business’s financial statements if not considered significant using observable market data. Likewise, values for inventory and accounts receivables collateral are based on financial statement balances or aging reports (Level 3). Impaired loans allocated to the allowance for credit losses are measured at fair value on a nonrecurring basis. Any fair value adjustments are recorded in the period incurred as provision for credit losses on the Consolidated Statements of Income.
The following table summarizes the Company's assets that were measured at fair value on a nonrecurring basis at December 31, 2023 and 2022:
Fair Value Measurements
Using
Balance as of
December 31, 2023
Quoted Prices
in Active
Markets for
Identical
Assets
Significant
Other
Observable
Inputs
Significant
Unobservable
Inputs
Description(Level 1)(Level 2)(Level 3)
Assets
Collateral-dependent loans
Commercial real estate$849 $— $— $849 
Commercial and industrial$396 $— $— $396 
Total Collateral-dependent loans$1,245 $— $— $1,245 
Fair Value Measurements
Using
Balance as of
December 31, 2022
Quoted Prices
in Active
Markets for
Identical
Assets
Significant
Other
Observable
Inputs
Significant
Unobservable
Inputs
Description(Level 1)(Level 2)(Level 3)
Assets
Impaired loans
Commercial and industrial$1,233 $— $— $1,233 
Total Impaired loans$1,233 $— $— $1,233 
The following table displays quantitative information about Level 3 Fair Value Measurements for December 31, 2023 and 2022:
Quantitative information about Level 3 Fair Value Measurements for December 31, 2023
AssetsFair ValueValuation Technique(s)Unobservable input
Range
(Avg.)
Collateral-dependent loans
Commercial real estate$849 Discounted appraised valueMarketability/Selling costs
10% - 10%
10.00 %
Commercial and industrial
$396 Discounted appraised valueMarketability/Selling costs
10% - 10%
10.00 %
Quantitative information about Level 3 Fair Value Measurements for December 31, 2022
AssetsFair ValueValuation Technique(s)Unobservable input
Range
(Avg.)
Impaired loans
Commercial and industrial$1,233 Discounted appraised valueMarketability/Selling costs
8% - 8 %
8.00 %
The following presents the carrying amount, fair value and placement in the fair value hierarchy of the Company's financial instruments as of December 31, 2023 and 2022. Fair values for December 31, 2023 and 2022 are estimated under the exit price notion in accordance with the prospective adoption of ASU 2016-01, "Recognition and Measurement of Financial Assets and Financial Liabilities."
Fair Value Measurements as of December 31, 2023 using
Carrying
Amount
Quoted Prices in
Active Markets
for Identical
Assets
Significant
Unobservable
Inputs
Significant
Unobservable
Inputs
Level 1Level 2Level 3
Financial assets:    
Cash and due from banks$8,042 $8,042 $— $— 
Interest-bearing deposits at other institutions52,480 52,480 — — 
Securities held-to-maturity264 — 252 — 
Securities available-for-sale171,595 — 171,595 — 
Restricted stock9,488 — 9,488 — 
Loans, net1,809,693 — — 1,725,785 
Bank owned life insurance56,823 — 56,823 — 
Accrued interest receivable10,321 — 10,321 — 
Derivative assets - interest rate swaps2,853 — 2,853 — 
Derivative assets - cash flow hedge2,915 — 2,915 — 
Financial liabilities:
Checking, savings and money market accounts$1,293,693 $— $1,293,693 $— 
Time deposits551,599 — 551,949 — 
FHLB advances85,000 — 85,000 — 
Subordinated notes19,620 — 18,565 — 
Accrued interest payable2,415 — 2,415 — 
Derivative liabilities - interest rate swaps2,853 — 2,853 — 
Fair Value Measurements as of December 31, 2022 using
Carrying
Amount
Quoted Prices in
Active Markets
for Identical
Assets
Significant
Unobservable
Inputs
Significant
Unobservable
Inputs
Level 1Level 2Level 3
Financial assets:
Cash and due from banks$7,253 $7,253 $— $— 
Interest-bearing deposits at other institutions74,300 74,300 — — 
Securities held-to-maturity264 — 252 — 
Securities available-for-sale278,069 — 278,069 — 
Restricted stock15,612 — 15,612 — 
Loans, net1,824,394 — — 1,756,984 
Bank owned life insurance55,371 — 55,371 — 
Accrued interest receivable9,435 — 9,435 — 
Derivative assets - interest rate swaps4,260 — 4,260 — 
Derivative assets - cash flow hedge4,251 — 4,251 — 
Financial liabilities:
Checking, savings and money market accounts$1,321,749 $— $1,321,749 $— 
Time deposits$508,413 — 510,754 — 
Fed funds purchased30,000 — 30,000 — 
FHLB advances235,000 — 235,000 — 
Subordinated notes19,565 — 18,856 — 
Accrued interest payable1,269 — 1,269 — 
Derivative liabilties - interest rate swaps4,260 — 4,260 — 
v3.24.1
Earnings Per Share
12 Months Ended
Dec. 31, 2023
Earnings Per Share [Abstract]  
Earnings Per Share Earnings Per Share
Basic earnings per share ("EPS") excludes dilution and is computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if contracts to issue common stock were exercised or converted into common stock, or resulted in the issuance of stock which then shared in the earnings of the Company. Weighted average shares – diluted includes only the potential dilution of stock options and unvested restricted stock units as of as of December 31, 2023 and 2022, respectively.
The following shows the weighted average number of shares used in computing earnings per share and the effect of weighted average number of shares of dilutive potential common stock. Dilutive potential common stock has no effect on income available to common shareholders. There were no anti-dilutive shares for each of the years ended December 31, 2023 and 2022.
The holders of restricted stock do not share in dividends and do not have voting rights during the vesting period.
For the Years Ended
December 31,
20232022
Net income$3,822 $24,984 
Weighted average - basic shares17,723 17,431 
Effect of dilutive securities, restricted stock units and options
508 1,053 
Weighted average - diluted shares18,231 18,484 
Basic EPS$0.22 $1.43 
Diluted EPS$0.21 $1.35 
v3.24.1
Supplemental Cash Flow Information
12 Months Ended
Dec. 31, 2023
Supplemental Cash Flow Information [Abstract]  
Supplemental Cash Flow Information Supplemental Cash Flow Information
For the Years Ended
December 31,
(In thousands)20232022
Supplemental Disclosure of Cash Flow Information:
Cash paid for:
Interest on deposits and borrowed funds$51,017 $15,140 
Income taxes2,360 6,070 
Noncash investing and financing activities:
Unrealized gain (loss) on securities available-for-sale
17,413 (48,958)
Unrealized (loss) gain on interest rate swaps(1,337)4,328 
Adoption of CECL accounting standard(2,808)— 
Right-of-use assets obtained in the exchange for lease liabilities during the current period820 522 
Modification of right-of-use assets and lease liability455 283 
v3.24.1
Accumulated Other Comprehensive Income (Loss)
12 Months Ended
Dec. 31, 2023
Statement of Other Comprehensive Income [Abstract]  
Accumulated Other Comprehensive Income (Loss) Accumulated Other Comprehensive Income (Loss)
Changes in accumulated other comprehensive income (loss) ("AOCI") for the years ended December 31, 2023 and 2022 are shown in the following table. The Company has two components of AOCI, which are available-for-sale securities and cash flow hedges, for each of the years ended December 31, 2023 and 2022.
2023
Available-for-
Sale Securities
Cash Flow
 Hedges
Total
Balance, beginning of period $(39,926)$3,359 $(36,567)
Net unrealized (losses) gains during the period1,300 (1,043)257 
Net reclassification adjustment for losses realized in income12,150 — 12,150 
Other comprehensive (loss) income, net of tax13,450 (1,043)12,407 
Balance, end of period $(26,476)$2,316 $(24,160)
2022
Available-for-
Sale Securities
Cash Flow
Hedges
Total
Balance, beginning of period$(1,983)$(60)$(2,043)
Net unrealized (losses) gains during the period(37,943)3,419 (34,524)
Other comprehensive income (loss), net of tax(37,943)3,419 (34,524)
Balance, end of period$(39,926)$3,359 $(36,567)
During 2023, $102.5 million in investment securities available-for-sale, or 31% of the investment portfolio, were sold with a realized after-tax loss of $12.1 million that was reclassified from AOCI into income. There were no gains or losses that were reclassified from AOCI into income for the year ended December 31, 2022, respectively.
v3.24.1
Revenue Recognition
12 Months Ended
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
The Company recognizes revenue in accordance with ASU 2014-09 ‘‘Revenue from Contracts with Customers’’ ("Topic 606") and all subsequent ASUs that modified Topic 606 in recognizing revenue. Topic 606 does not apply to revenue associated with financial instruments, including revenue from loans and securities. In addition, certain non-interest income streams such as fees associated with mortgage servicing rights, gain on sale of securities, bank-owned life insurance income, financial guarantees, derivatives, and certain credit card fees are also not in scope of the new guidance. Topic 606 is applicable to non-interest revenue streams such as trust and asset management income, deposit related fees, interchange fees, merchant income, and insurance commissions. However, the recognition of these revenue streams did not change significantly upon adoption of Topic 606. Substantially all of the Company’s revenue is generated from contracts with customers. Non-interest revenue streams in-scope of Topic 606 are discussed below.
Service Charges on Deposit Accounts
Service charges on deposit accounts consist of account analysis fees (i.e., net fees earned on analyzed business and personal checking accounts), monthly service fees, check orders, and other deposit account related fees. The Company’s performance obligation for account analysis fees and monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. Check orders and other deposit account related fees are largely transactional based, and therefore, the Company’s performance obligation is satisfied, and related revenue recognized, at a point in time. Payment for service charges on deposit accounts is primarily received immediately or in the following month through a direct charge to customers’ accounts.
Fees, Exchange and Other Service Charges
Fees, exchange, and other service charges are primarily comprised of debit and credit card income, ATM fees, merchant services income, and other service charges and are included in other income on the Company’s consolidated statements of income. Debit and credit card income is primarily comprised of interchange fees earned whenever the Company’s debit and credit cards are processed through card payment networks such as Visa. ATM fees are primarily generated when a Company cardholder uses a non-Company ATM or a non-Company cardholder uses a Company ATM. Merchant services income mainly represents fees charged to merchants to process their debit and credit card transactions, in addition to account management fees. Other service charges include revenue from processing wire transfers, bill pay service, cashier’s checks, and other services. The Company’s performance obligation for fees, exchange, and other service charges are largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. This income is reflected in other income on the Company’s consolidated statements of income.
Other Income
Other non-interest income consists of loan swap fees, insurance commissions, and other miscellaneous revenue streams not meeting the criteria above. When the Company enters into an interest rate swap agreement, the Company may receive an additional one-time payment fee which is recognized as income when received. The Company receives monthly recurring commissions based on a percentage of premiums issued and revenue is recognized when received. Any residual miscellaneous fees are recognized as they occur, and therefore, the Company determined this consistent practice satisfies the obligation for performance.
The following presents noninterest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, for the years ended December 31, 2023 and 2022:
Years Ended December 31,
20232022
Non-interest Income
In-scope of Topic 606
Service Charges on Deposit Accounts$1,028 $954 
Fees, Exchange, and Other Service Charges350 374 
Other income96 104 
Non-interest Income (in-scope of Topic 606)1,474 1,432 
Non-interest Income (out-scope of Topic 606)(14,844)1,402 
Total Non-interest (Loss) Income$(13,370)$2,834 
Contract Balances
A contract asset balance occurs when an entity performs a service for a customer before the customer pays consideration (resulting in a contract receivable) or before payment is due (resulting in a contract asset). A contract liability balance is an entity’s obligation to transfer a service to a customer for which the entity has already received payment (or payment is due) from the customer. The Company’s non-interest revenue streams are largely based on transactional activity. Consideration is often received immediately or shortly after the Company satisfies its performance obligation and revenue is recognized. The Company does not typically enter into long-term revenue contracts with customers, and therefore, does not experience significant contract balances. As of December 31, 2023 and 2022, the Company did not have any significant contract balances.
Contract Acquisition Costs
Under Topic 606, an entity is required to capitalize, and subsequently amortize into expense, certain incremental costs of obtaining a contract with a customer if these costs are expected to be recovered. The incremental costs of obtaining a contract are those costs that an entity incurs to obtain a contract with a customer that it would not have incurred if the contract had not been obtained (for example, sales commission). The Company utilizes the practical expedient which allows entities to immediately expense contract acquisition costs when the asset that would have resulted from capitalizing these costs would have been amortized in one year or less. The Company did not capitalize any contract acquisition cost during the years ended December 31, 2023 or 2022.
v3.24.1
Parent Company Only Financial Statements
12 Months Ended
Dec. 31, 2023
Condensed Financial Information Disclosure [Abstract]  
Parent Company Only Financial Statements Parent Company Only Financial Statements
The FVCBankcorp, Inc. (Parent Company only) condensed financial statements are as follows:
PARENT COMPANY ONLY CONDENSED STATEMENTS OF CONDITION
December 31, 2023 and 2022
Assets20232022
Cash and cash equivalents$85 $531 
Securities available-for-sale991 991 
Investment in subsidiary227,658 214,382 
Other assets8,391 6,404 
Total assets$237,125 $222,308 
Liabilities and Stockholders' Equity
Subordinated notes$19,620 $19,565 
Other liabilities388 361 
Total liabilities$20,008 $19,926 
Total stockholders' equity$217,117 $202,382 
Total liabilities and stockholders' equity$237,125 $222,308 
PARENT COMPANY ONLY CONDENSED STATEMENTS OF INCOME
For the Years Ended December 31, 2023 and 2022

20232022
Income:  
Interest on securities available-for-sale$101 $67 
Income from minority membership interest1,654 626 
Dividend income683 730 
Total income$2,438 $1,423 
Expense:
Interest on subordinated notes$1,030 $1,031 
Salaries and employee benefits1,151 1,192 
Occupancy and equipment80 80 
Audit, legal and consulting fees256 375 
Other operating expenses252 194 
Total expense$2,769 $2,872 
Net (loss) before income tax benefit and equity in undistributed earnings of subsidiary$(331)$(1,449)
Income tax benefit(477)(580)
Equity in undistributed earnings of subsidiary3,676 25,853 
Net income$3,822 $24,984 
PARENT COMPANY ONLY CONDENSED STATEMENTS OF CASH FLOWS
For The Years Ended December 31, 2023 and 2022
20232022
Cash Flows From Operating Activities
Net income$3,822 $24,984 
Equity in undistributed earnings of subsidiary(3,676)(25,853)
Amortization of subordinated debt issuance costs55 55 
Stock-based compensation expense1,143 1,183 
Change in other assets and liabilities(1,961)(1,413)
Net cash (used in) provided by operating activities$(617)$(1,044)
Cash Flows From Investing Activities
Net cash used in investing activities$— $— 
Cash Flows From Financing Activities
Repayment of subordinated notes, net$— $(1,250)
Repurchase of shares of common stock(1,460)(730)
Vesting of restricted stock options(113)— 
Common stock issuance1,744 1,673 
Net cash provided by (used in) financing activities$171 $(307)
Net decrease in cash and cash equivalents$(446)$(1,351)
Cash and cash equivalents, beginning of year531 1,882 
Cash and cash equivalents, end of year$85 $531 
v3.24.1
Subsequent Events
12 Months Ended
Dec. 31, 2023
Subsequent Events [Abstract]  
Subsequent Events Subsequent EventsThe Company surrendered $47.9 million of its bank-owned life insurance (“BOLI”). These policies yielded 2.74% (3.34% on a tax-equivalent basis). This transaction resulted in a non-recurring increase of $2.2 million to the Company’s tax provisioning related to the gain associated with the expected cash payout, which will be included in the Company’s first quarter earnings. The projected earn-back period is approximately one year. The Company expects to use the proceeds to pay down high cost funding and fund new loan growth. From an earnings perspective, this balance sheet re-positioning is expected to be accretive to net interest income, net interest margin and return on average assets in future periods.
v3.24.1
Organization and Summary of Significant Accounting Policies (Policies)
12 Months Ended
Dec. 31, 2023
Accounting Policies [Abstract]  
Principles of Consolidation
(a)    Principles of Consolidation
The consolidated financial statements include the accounts of the Company. All material intercompany balances and transactions have been eliminated in consolidation.
Use of Estimates
(b)    Use of Estimates
In preparing consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates, judgments, and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and contingent liabilities, as of the date of the consolidated financial statements and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to accounting for impairment testing of goodwill, the allowance for credit losses - loans, the allowance for credit losses - securities, and the valuation of deferred tax assets.
Accounting for Business Combinations
(c)    Accounting for Business Combinations
Business combinations are accounted for under the acquisition method. The acquisition method requires that the assets acquired and liabilities assumed be recorded, based on their estimated fair values at the date of acquisition. The excess of the cost of an acquired entity over the net of the amounts assigned to assets acquired and liabilities assumed, including identifiable intangibles, is recorded as goodwill.
Cash and Cash Equivalents
(d)    Cash and Cash Equivalents
For purposes of the statements of cash flows, cash and cash equivalents include cash on hand, amounts due from banks and federal funds sold. Generally, federal funds are purchased and sold for one day periods.
Investment Securities
(e)    Investment Securities
Debt securities are classified as held-to-maturity and carried at amortized cost when management has the positive intent and ability to hold them to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Securities available-for-sale are carried at fair value, with unrealized holding gains and losses reported in other comprehensive (loss) income, net of tax. Equity securities are carried at fair value, with changes in fair value reported in net income. Equity securities without readily determinable fair values are carried at cost, minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment.
An individual debt security is impaired when the fair value of the security is less than its amortized cost. If the Company intends to sell an available-for-sale security in an unrealized loss position or it is more likely than not will be reversed through our provision for credit losses, then the difference between the amortized cost basis of the security and its fair value is recognized in the Company's consolidated statements of income. For impaired debt securities that the Company has both the intent and ability to hold, the securities are evaluated to determine if a credit loss exists. The allowance for credit losses on the investment securities is recognized through our provision for credit losses and limited by the unrealized losses of a security measured as the difference between the security’s amortized cost and fair value.

The Company charges off any portion of an investment security that it determines is uncollectible. The amortized cost basis, excluding accrued interest, is charged off through the allowance for credit losses. Accrued interest is charged off as a reduction to interest income. Recoveries of previously charged off principal amounts are recognized in our provision for credit losses when received.
Interest income and dividends on securities are recognized in interest income on an accrual basis. Premiums and discounts are recognized in interest income using the effective interest method. Prepayments of the mortgages securing mortgage-backed securities may affect the yield to maturity. The Company uses actual principal prepayment experience and estimates of future principal prepayments in calculating the yield necessary to apply the effective interest method.
Loans and Allowance for Credit Losses
(f)    Loans and Allowance for Credit Losses
Allowance for Credit Losses
The Company adopted the current expected credit loss model ("CECL") under Accounting Standards Update ("ASU") 2016-13, "Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” on January 1, 2023. The Company recorded a net reduction of retained earnings of $2.8 million upon adoption. The adoption adjustment included an increase in the allowance for credit losses on loans of $2.9 million in addition to an increase of $800 thousand to the reserve for unfunded commitments.

Allowance for Credit Losses - Loans and Unfunded Commitments
The allowance for credit losses ("ACL") represents an estimate of the expected credit losses in the Company's held for investment loan portfolio as of a valuation date. Accounting Standards Codification ("ASC") 326 replaced the incurred loss impairment model that recognizes losses when it becomes probable that a credit loss will be incurred, with a requirement to recognize lifetime expected credit losses immediately when a financial asset is originated or purchased. The ACL is a valuation account that is deducted from the amortized cost basis of loans to present the net amount expected to be collected on the held for investment loan portfolio. Loans, or portions thereof, are charged off against the ACL when they are deemed uncollectible. Expected recoveries are recorded to the extent they do not exceed the aggregate of amounts previously charged-off and expected to be charged-off.
Reserves on loans that do not share risk characteristics are evaluated on an individual basis. Nonaccrual loans are specifically reviewed for loss potential and when deemed appropriate are assigned a reserve based on an individual evaluation. The remainder of the portfolio, representing all loans not evaluated individually for impairment, is segmented
based on call report code and processed through a cash flow valuation model. In particular, loan-level probability of default ("PD") and severity (also referred to as loss given default ("LGD")) is applied to derive a baseline expected loss as of the valuation date. These expected default and severity rates, which are regression-derived and based on peer historical loan-level performance data, are calibrated to incorporate the Company's reasonable and supportable forecast of future losses as well as any necessary qualitative adjustments.
Typically, financial institutions use their historical loss experience and trends in losses for each loan segment which are then adjusted for portfolio trends and economic and environmental factors in determining the ACL. Since the Bank’s inception in 2007, the Company has experienced minimal loss history within its loan portfolio. Due to the fact that limited internal loss history exists to generate statistical significance, management determined it was most prudent to rely on peer data when deriving its best estimate of PD and LGD. As part of the Company's estimation process, management will continue to assess the reasonableness of the data, assumptions, and model methodology utilized to derive its allowance for credit losses.
For each of the modeled loan segments, the Company generates cash flow projections at the instrument level wherein payment expectations are adjusted for estimated prepayment speeds, PD rates, and LGD rates. The modeling of expected prepayment speeds is based on internal loan-level historical data. The Company utilizes national unemployment for its reasonable and supportable forecasting of expected default within the cash flow model. To further adjust the allowance for credit losses for expected losses not already within the quantitative component of the calculation, the Company may consider qualitative factors as prescribed in ASC 326.
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 Company's exposure to credit loss in the event of nonperformance by the other party to the financial instrument for off-balance sheet loan commitments is represented by the contractual amount of those instruments. Such financial instruments are recorded when they are funded. The Company records a reserve for unfunded commitments on off-balance sheet credit exposures through a charge to provision for credit loss expense in its Consolidated Statement of Income. The reserve for unfunded commitments is estimated by call report code segmentation as of the valuation date under the CECL model using the same methodologies as portfolio loans taking utilization rates into consideration. The reserve for unfunded commitments is reflected as a liability on the Company's Consolidated Balance Sheet.
The Company's methodology utilized in the estimation of the ACL, which is performed at least quarterly, is designed to be dynamic and responsive to changes in its loan portfolio credit quality, composition, and forecasted economic conditions. The review of the reasonableness and appropriateness of the ACL is reviewed by the ACL Committee for approval as of the valuation date. Additionally, information is provided to the Board of Directors on a quarterly basis along with the Company's consolidated financial statements.

Collateral Dependent Financial Assets
Loans that do not share risk characteristics are evaluated on an individual basis. For collateral dependent financial assets where the Company has determined that foreclosure of the collateral is probable, or where the borrower is experiencing financial difficulty and the Company expects repayment of the financial asset to be provided substantially through the sale of the collateral, the ACL is measured based on the difference between the fair value of the collateral and the amortized cost basis of the asset as of the measurement date. When repayment is expected to be from the operation of the collateral, expected credit losses are calculated as the amount by which the amortized cost basis of the financial asset exceeds the net present value ("NPV") from the operation of the collateral. When repayment is expected to be from the sale of the collateral, expected credit losses are calculated as the amount by which the amortized cost basis of the financial asset exceeds the fair value of the underlying collateral less estimated cost to sell. The ACL may be zero if the fair value of the collateral at the measurement date exceeds the amortized cost basis of the financial asset.
Allowance for Credit Losses - Securities
The Company evaluates its available-for-sale and held-to-maturity debt securities portfolios for expected credit losses as of the valuation date under ASC 326. For available-for-sale debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or if it is more likely than not that it would be required to sell, the security before recovery of its amortized cost basis. If either criterion is met, the security’s amortized cost basis is written down to fair value through income during the current period. For available-for-sale debt securities that do not meet the aforementioned criteria, the Company evaluates whether the decline in fair value has resulted from credit losses or other driving factors. If the Company's assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security is compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, an ACL is recorded for the credit loss (which represents the difference between the expected cash flows and amortized cost basis), limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an ACL is recognized in other comprehensive income.
The entire amount of an impairment loss is recognized in earnings only when: (1) the Company intends to sell the security; or (2) it is more likely than not that the Company will have to sell the security before recovery of the Company's amortized cost basis; or (3) the Company does not expect to recover the entire amortized cost basis of the security. In all other situations, only the portion of the impairment loss representing the credit loss must be recognized in earnings, with the remaining portion being recognized in shareholders' equity as comprehensive income, net of deferred taxes.
Changes in the ACL are recorded as a provision for (or reversal of) credit losses. Losses are charged against the ACL when the Company believes the uncollectibility of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Any impairment not recorded through an allowance for credit loss is recognized in other comprehensive income as a noncredit-related impairment.
As part of its estimation process, the Company have made a policy election to exclude accrued interest from the amortized cost basis of available-for-sale debt securities and report accrued interest separately in other assets in the Consolidated Balance Sheet. Available-for-sale debt securities are placed on nonaccrual status when we no longer expect to receive all contractual amounts due, which is generally at 90 days past due. Accrued interest receivable is reversed against interest income when a security is placed on nonaccrual status. Accordingly, the Company does not recognize an allowance for credit loss against accrued interest receivable. This approach is consistent with the Company's nonaccrual policy implemented for its loan portfolio.
The Company separately evaluates its held-to-maturity investment securities for any credit losses. If it determines that a security indicates evidence of deteriorated credit quality, the security is individually-evaluated and a discounted cash flow analysis is performed and compared to the amortized cost basis. As of December 31, 2023, the Company had one security classified as held-to-maturity with an amortized cost basis of $264 thousand with the remainder of the securities portfolio held as available-for-sale.
Premises and Equipment
(g)    Premises, Equipment, and Leases
Land is carried at cost. Premises, furniture, equipment, and leasehold improvements are carried at cost less accumulated depreciation and amortization. Depreciation of premises, furniture and equipment is computed using the straight-line method over estimated useful lives from three to seven years. Amortization of leasehold improvements is computed using the straight-line method over the useful lives of the improvements or the lease term, whichever is shorter. Purchased computer software which is capitalized is amortized over estimated useful lives of one to three years.
Leases
The Company follows ASU 2016-02 "Leases (Topic 842)" and all subsequent ASUs that modified Topic 842. Contracts are evaluated to determine whether they are or contain a lease in accordance with Topic 842. Lease liabilities represent the Company's obligation to make lease payments and are presented at each reporting date as the net present value of the remaining contractual cash flows. Cash flows are discounted at the Company's incremental borrowing rate in effect at the commencement date of the lease. Right-of-use assets represent the Company's right to use the underlying asset for the lease term and are calculated as the sum of the lease liability and if applicable, prepaid rent, initial direct costs and any incentives received from the lessor.
Lease payments for short-term leases are recognized as lease expense on a straight-line basis over the lease term, or for variable lease payments, in the period in which the obligation was incurred. Payments for leases with terms longer than twelve months are included in the determination of the lease liability. Payments may be fixed for the term of the lease or variable. If the lease agreement provides a known escalator, such as a specified percentage increase per year or a stated increase at a specified time, the variable payment is included in the cash flows used to determine the lease liability. If the variable payment is based upon an unknown escalator, such as the consumer price index at a future date, the increase is not included in the cash flows used to determine the lease liability. The Company's leases provide known escalators that are included in the determination of the lease liability, with the exception of three lease agreements.
Most of the Company's leases offer the option to extend the lease term. For each of the leases, the Company is reasonably certain it will exercise the options and has included the additional time and lease payments in the calculation of the lease liability. None of the Company's leases provide for residual value guarantees and none provide restrictions or covenants that would impact dividends or require incurring additional financial obligations.
Goodwill and Intangible Assets
(h)    Goodwill and Intangible Assets
Goodwill, which represents the excess of purchase price over fair value of net assets acquired, is not amortized but is evaluated at least annually for impairment by comparing its fair value with its carrying amount. Impairment is indicated when the carrying amount of a reporting unit exceeds its estimated fair value.
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 and intangible assets acquired in a purchase business combination and determined to have an indefinite useful life are not amortized, but tested for impairment at least annually or more frequently if events and circumstances exist; that indicate that a goodwill impairment test should be performed. The Company performs the impairment test annually during the fourth quarter. Intangible assets with definite useful lives are amortized over their estimated useful lives to their estimated residual values. Goodwill is the only intangible asset with an indefinite life on our balance sheet.
Other Real Estate Owned
(i)    Other Real Estate Owned
Assets acquired through, or in lieu of, loan foreclosure are held for sale. At the time of acquisition, these properties are recorded at fair value less estimated selling costs, with any write down charged to the ACL and any gain on foreclosure recorded in net income, establishing a new cost basis. Subsequent to foreclosure, valuations of the assets are periodically performed by management, and these assets are subsequently accounted for at lower of cost or fair value less estimated selling costs. Adjustments are made for subsequent decline in the fair value of the assets less selling costs. Revenue and expenses from operations and valuation changes are charged to operating income in the year of the transaction. The Company had no other real estate owned ("OREO") at December 31, 2023 and 2022.
Bank Owned Life Insurance
(j)    Bank Owned Life Insurance
The Company has purchased life insurance policies on certain key employees. Bank owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance date, which is the cash surrender value. The increase in the cash surrender value over time is recorded as other non-interest income. The Company monitors the financial strength and condition of the counterparties.
Transfers of Financial Assets
(k)    Transfers of Financial Assets
Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed surrendered when (1) the assets have been isolated from the Company – put presumptively beyond reach of the transferor and its creditors, even in bankruptcy or other receivership, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity or the ability to unilaterally cause the holder to return specific assets.
Income Taxes
(l)    Income Taxes
Deferred taxes are provided on a liability method whereby deferred tax assets and liabilities are recognized for deductible temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax basis. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment.
Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term more likely than not means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances, and information available at the reporting date and is subject to management's judgment. The Company had no such liability recorded as of December 31, 2023 and 2022. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized.
Comprehensive Income (Loss)
(m)    Comprehensive Income (Loss)
Comprehensive income (loss) consists of net income and other comprehensive income (loss). Other comprehensive income (loss) includes unrealized gains (losses) on securities available-for-sale and interest rate swaps for 2023 and 2022, which are also recognized as separate components of equity.
Fair Value of Financial Instruments
(n)    Fair Value of Financial Instruments
Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in Note 16. Fair value estimates involve uncertainties and matters of significant judgment. Changes in assumptions or in market conditions could significantly affect the estimates.
Equity-based Compensation
(o)    Equity-based Compensation
The Company recognizes in the income statement the grant date fair value of stock options and other equity-based compensation. The Company classifies stock awards as either an equity award or a liability award. Equity classified awards are valued as of the grant date using either an observable market price or a valuation methodology. Liability classified awards are valued at fair value at each reporting date. For the years presented, all of the Company's stock options are classified as equity awards.
The fair value related to forfeitures of stock options and other equity-based compensation are recorded to the income statement as they occur, reducing equity-based compensation expense in that period. During 2018, the Company began granting restricted stock units which are granted at the fair market value of the Company's common stock on the grant date. Most restricted stock units vest in one-quarter increments on the anniversary date of the grant. The Company did not grant stock options in the years ended December 31, 2023 and 2022.
401(k) Plan
(p)    401(k) Plan
Employee 401(k) plan expense is the amount of matching contributions paid by the Company.
Earnings Per Share
(q)    Earnings Per Share
Basic earnings per share represent income available to common shareholders divided by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflect additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. Common stock equivalents that may be issued by the Company consist primarily
of outstanding stock options and restricted stock units, and the dilutive potential common shares resulting from outstanding stock options and restricted stock units are determined using the treasury method. The effects of anti-dilutive common stock equivalents are excluded from the calculation of diluted earnings per share.
Reclassifications
(r)    Reclassifications
Certain prior year amounts have been reclassified to conform to the current year's method of presentation. None of these reclassifications were significant.
Recent Accounting Pronouncements and Recently Adopted Accounting Developments
(s)    Recent Accounting Pronouncements
In August 2020, the Financial Accounting Standard Board ("FASB") issued ASU 2020-06 "Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity's Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity's Own Equity". The ASU simplifies accounting for convertible instruments by removing major separation models required under current GAAP. Consequently, more convertible debt instruments will be reported as a single liability instrument and more convertible preferred stock as a single equity instrument with no separate accounting for embedded conversion features. The ASU removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception, which will permit more equity contracts to qualify for it. The ASU also simplifies the diluted earnings per share calculation in certain areas. In addition, the amendment updates the disclosure requirements for convertible instruments to increase the information transparency. For public business entities, excluding smaller reporting companies, the amendments in the ASU are effective for fiscal years beginning after December 15, 2021, and interim periods within those fiscal years. For all other entities, including the Company, the standard will be effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted. The Company does not expect the adoption of ASU 2020-06 to have a material impact on its consolidated financial statements.
In June 2022, the FASB issued ASU 2022-03, "Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions". ASU 2022-03 clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, is not considered in measuring fair value. The ASU is effective for fiscal years, including interim periods within those fiscal years, beginning after December 15, 2023. Early adoption is permitted. The Company does not expect the adoption of ASU 2022-03 to have a material impact on its consolidated financial statements.
In March 2023, the FASB issued ASU 2023-02, “Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method”. These amendments allow reporting entities to elect to account for qualifying tax equity investments using the proportional amortization method, regardless of the program giving rise to the related income tax credits. The ASU is effective for public business entities for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted for all entities in any interim period. The Company does not expect the adoption of ASU 2023-02 to have a material impact on its consolidated financial statements.
In November 2023, the FASB issued ASU 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.” The amendments in this ASU are intended to improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. This ASU requires disclosure of significant segment expenses that are regularly provided to the chief operating decision mark ("CODM"), an amount for other segment items by reportable segment and a description of its composition, all annual disclosures required by FASB ASU Topic 280 in interim periods as well, and the title and position of the CODM and how the CODM uses the reported measures. Additionally, this ASU requires that at least one of the reported segment profit and loss measures should be the measure that is most consistent with the measurement principles used in an entity’s consolidated financial statements. Lastly, this ASU requires public business entities with a single reportable segment to provide all disclosures required by these amendments in this ASU and all existing segment disclosures in Topic 280. This ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The amendments should be applied retrospectively. The Bank does not expect the adoption of ASU 2023-06 to have a material impact on its (consolidated) financial statements
In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” The amendments in this ASU require an entity to disclose specific categories in the rate reconciliation and
provide additional information for reconciling items that meet a quantitative threshold, which is greater than five percent of the amount computed by multiplying pretax income by the entity’s applicable statutory rate, on an annual basis. Additionally, the amendments in this ASU require an entity to disclose the amount of income taxes paid (net of refunds received) disaggregated by federal, state, and foreign taxes and the amount of income taxes paid (net of refunds received) disaggregated by individual jurisdictions that are equal to or greater than five percent of total income taxes paid (net of refunds received). Lastly, the amendments in this ASU require an entity to disclose income (or loss) from continuing operations before income tax expense (or benefit) disaggregated between domestic and foreign and income tax expense (or benefit) from continuing operations disaggregated by federal, state, and foreign. This ASU is effective for annual periods beginning after December 15, 2024. Early adoption is permitted. The amendments should be applied on a prospective basis; however, retrospective application is permitted. The Bank does not expect the adoption of ASU 2023-06 to have a material impact on its (consolidated) financial statements.
(t)    Recently Adopted Accounting Developments
In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” The ASU, as amended, requires an entity to measure expected credit losses for financial assets carried at amortized cost based on historical experience, current conditions, and reasonable and supportable forecasts. Among other things, the ASU also amended the impairment model for available for sale securities and addressed purchased financial assets with deterioration. This standard is commonly referred to as the current expected credit loss ("CECL") methodology. ASU 2016-13 was effective for the Company on January 1, 2023. The adjustment recorded at adoption to the overall allowance for credit losses, which consisted of adjustments to the allowance for credit losses on loans and reserve for unfunded loan commitments, was $3.7 million. The adjustment, net of tax, recorded to stockholders’ equity totaled $2.8 million at January 1, 2023.
In March 2022, the FASB issued ASU No. 2022-02, “Financial Instruments-Credit Losses (Topic 326), Troubled Debt Restructurings and Vintage Disclosures.” ASU 2022-02 addresses areas identified by the FASB as part of its post-implementation review of the credit losses standard (ASU 2016-13) that introduced the CECL model. The amendments eliminate the accounting guidance for troubled debt restructurings by creditors that have adopted the CECL model and enhance the disclosure requirements for loan refinancings and restructurings made with borrowers experiencing financial difficulty. In addition, the amendments require a public business entity to disclose current-period gross write-offs for financing receivables and net investment in leases by year of origination in the vintage disclosures. The amendments in this ASU should be applied prospectively, except for the transition method related to the recognition and measurement of troubled debt restructuring ("TDRs"), an entity has the option to apply a modified retrospective transition method, resulting in a cumulative-effect adjustment to retained earnings in the period of adoption. ASU 2022-02 was effective for the Company on January 1, 2023. ASU 2022-02 resulted in no material impact to the Company's consolidated financial statements.
In March 2022, the FASB issued ASU No. 2022-01, “Derivatives and Hedging (Topic 815), Fair Value Hedging—Portfolio Layer Method.” ASU 2022-01 clarifies the guidance in ASC 815 on fair value hedge accounting of interest rate risk for portfolios of financial assets and is intended to better align hedge accounting with an organization’s risk management strategies. In 2017, the FASB issued ASU 2017-12 to better align the economic results of risk management activities with hedge accounting. One of the major provisions of that standard was the addition of the last-of-layer hedging method. For a closed portfolio of fixed-rate prepayable financial assets or one or more beneficial interests secured by a portfolio of prepayable financial instruments, such as mortgages or mortgage-backed securities, the last-of-layer method allows an entity to hedge its exposure to fair value changes due to changes in interest rates for a portion of the portfolio that is not expected to be affected by prepayments, defaults, and other events affecting the timing and amount of cash flows. ASU 2022-01 renames that method the portfolio layer method. ASU 2022-01 was effective for the Company on January 1, 2023. ASU 2022-01 resulted in no material impact to the Company's consolidated financial statements.
In October 2021, the FASB issued ASU 2021-08, “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers”. The ASU requires entities to apply Topic 606 to recognize and measure contract assets and contract liabilities in a business combination. The amendments improve comparability after the business combination by providing consistent recognition and measurement guidance for revenue contracts with customers acquired in a business combination and revenue contracts with customers not acquired in a business combination. ASU 2021-08 was effective for the Company on January 1, 2023. ASU 2021-08 resulted in no material impact to the Company's consolidated financial statements.
In March 2020, the FASB issued ASU 2020-04 "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting." These amendments provide temporary optional guidance to ease the potential burden in accounting for reference rate reform. The ASU provides optional expedients and exceptions for applying GAAP to contract modifications and hedging relationships, subject to meeting certain criteria, that reference the London Interbank Offered Rate ("LIBOR"). It is intended to help stakeholders during the global market-wide reference rate transition period. The guidance is effective for all entities as of March 12, 2020 through December 31, 2022. Subsequently, in January 2021, the FASB issued ASU 2021-01 "Reference Rate Reform (Topic 848): Scope." This ASU clarifies that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. The ASU also amends the expedients and exceptions in Topic 848 to capture the incremental consequences of the scope clarification and to tailor the existing guidance to derivative instruments affected by the discounting transition. An entity may elect to apply ASU 2021-01 on contract modifications that change the interest rate used for margining, discounting, or contract price alignment retrospectively as of any date from the beginning of the interim period that includes March 12, 2020, or prospectively to new modifications from any date within the interim period that includes or is subsequent to January 7, 2021, up to the date that financial statements are available to be issued. An entity may elect to apply ASU 2021-01 to eligible hedging relationships existing as of the beginning of the interim period that includes March 12, 2020, and to new eligible hedging relationships entered into after the beginning of the interim period that includes March 12, 2020.
The Company had certain loans, interest rate swap agreements, investment securities, and debt obligations with interest rates indexed to LIBOR. The administrator of LIBOR announced that the most commonly used U.S. dollar LIBOR settings would cease to be published or cease to be representative after June 30, 2023. Central banks and regulators around the world commissioned working groups to find suitable replacements for LIBOR and other benchmark rates and to implement financial benchmark reforms more generally.
The Adjustable Interest Rate (LIBOR) Act, enacted in March 2022, provides a statutory framework to replace LIBOR with a benchmark rate based on Secured Overnight Funding Rate ("SOFR") for contracts governed by U.S. law that have no or ineffective fallbacks. Although governmental authorities have endeavored to facilitate an orderly discontinuation of LIBOR, no assurance can be provided that this aim will be achieved or that the use, level, and volatility of LIBOR or other interest rates, or the value of LIBOR-based securities will not be adversely affected.
To facilitate an orderly transition from interbank offered rates and other benchmark rates to ARRs, the Company established an enterprise-wide initiative led by senior management. The objective of this initiative was to identify, assess and monitor risks associated with the expected discontinuation or unavailability of benchmarks. ASU 2020-04 was effective for the Company on January 1, 2023. Adoption of ASU 2020-04 resulted in no material impact to the Company's consolidated financial statements.
v3.24.1
Investment Securities and Other Investments (Tables)
12 Months Ended
Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]  
Schedule of amortized cost and fair values of securities held-to-maturity and securities available-for-sale
Amortized cost and fair values of securities held-to-maturity and securities available-for-sale as of December 31, 2023 and 2022, are as follows:
December 31, 2023
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
(Losses)
Fair
Value
Held-to-maturity
Securities of state and local municipalities tax exempt$264 $— $(12)$252 
Total Held-to-maturity Securities$264 $— $(12)$252 
Available-for-sale
Securities of U.S. government and federal agencies
$9,998 $— $(1,528)$8,470 
Securities of state and local municipalities tax exempt1,000 — (3)997 
Securities of state and local municipalities taxable453 — (49)404 
Corporate bonds20,204 — (2,556)17,648 
SBA pass-through securities62 — (5)57 
Mortgage-backed securities170,179 — (29,237)140,942 
Collateralized mortgage obligations3,809 — (732)3,077 
Total Available-for-sale Securities$205,705 $— $(34,110)$171,595 
December 31, 2022
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
(Losses)
Fair
Value
Held-to-maturity
Securities of state and local municipalities tax exempt$264 $— $(12)$252 
Total Held-to-maturity Securities$264 $— $(12)$252 
Available-for-sale
Securities of U.S. government and federal agencies$13,559 $— $(2,555)$11,004 
Securities of state and local municipalities tax exempt1,385 — (9)1,376 
Securities of state and local municipalities taxable506 — (62)444 
Corporate bonds21,212 — (2,154)19,058 
SBA pass-through securities74 — (7)67 
Mortgage-backed securities282,858 — (45,424)237,434 
Collateralized mortgage obligations9,998 — (1,312)8,686 
Total Available-for-sale Securities$329,592 $— $(51,523)$278,069 
Schedule of available-for-sale securities that have been in a continuous unrealized loss position Available-for-sale securities that have been in a continuous unrealized loss position as of December 31, 2023 are as follows:
Less Than 12 Months12 Months or LongerTotal
At December 31, 2023
Fair
Value
Unrealized
Losses
Fair
Value
Unrealized
Losses
Fair
Value
Unrealized
Losses
Securities of U.S. government and federal agencies$— $— $8,470 $(1,528)$8,470 $(1,528)
Securities of state and local municipalities tax exempt— — 997 (3)997 (3)
Securities of state and local municipalities taxable— — 404 (49)404 (49)
Corporate bonds— — 16,898 (2,556)16,898 (2,556)
SBA pass-through securities— — 57 (5)57 (5)
Mortgage-backed securities— — 140,942 (29,237)140,942 (29,237)
Collateralized mortgage obligations— — 3,077 (732)3,077 (732)
Total$— $— $170,845 $(34,110)$170,845 $(34,110)
Available-for-sale and held-to-maturity securities that have been in a continuous unrealized loss position as of December 31, 2022 are as follows:
Less Than 12 Months12 Months or LongerTotal
At December 31, 2022
Fair
Value
Unrealized
Losses
Fair
Value
Unrealized
Losses
Fair
Value
Unrealized
Losses
Securities of U.S. government and federal agencies$— $— $11,004 $(2,555)$11,004 $(2,555)
Securities of state and local municipalities tax exempt1,628 (21)— — 1,628 (21)
Securities of state and local municipalities taxable— — 444 (62)444 (62)
Corporate bonds12,344 (1,119)5,964 (1,035)18,308 (2,154)
SBA pass-through securities— — 67 (7)67 (7)
Mortgage-backed securities26,486 (1,831)210,948 (43,593)237,434 (45,424)
Collateralized mortgage obligations2,601 (238)6,085 (1,074)8,686 (1,312)
Total$43,059 $(3,209)$234,512 $(48,326)$277,571 $(51,535)
Schedule of amortized cost and fair value of held-to-maturity securities and available-for-sale securities by contractual maturity
The amortized cost and fair value of securities at December 31, 2023, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations without penalties.
December 31, 2023
Held-to-maturityAvailable-for-sale
Amortized CostFair ValueAmortized CostFair Value
After 3 months through 1 year$— $— $1,000 $997 
After 1 year through 5 years264 252 1,113 1,099 
After 5 years through 10 years— — 30,148 26,033 
After 10 years— — 173,444 143,466 
   Total$264 $252 $205,705 $171,595 
Schedule of other investments
The Company has other investments in the form of restricted stock totaling $9.5 million and $15.6 million at December 31, 2023 and 2022, respectively. The following table discloses the types of investments included in other investments:
20232022
Federal Reserve stock$3,586 $4,378 
FHLB stock5,755 11,087 
Community Bankers' Bank stock122 122 
Atlantic Bankers' Bank stock25 25 
   Total$9,488 $15,612 
Debt Securities, Held-to-Maturity, Credit Quality Indicator
The Company monitors the credit quality of held-to-maturity securities through the use of credit ratings. The Company monitors credit ratings on a periodic basis. The following table summarizes the amortized cost of held-to-maturity securities at December 31, 2023, aggregated by credit quality indicator:
Held-to-maturity
December 31, 2023
Securities of state and local municipalities tax exempt
Aa3$264 
Total$264 
v3.24.1
Loans and Allowance for Credit Losses (Tables)
12 Months Ended
Dec. 31, 2023
Receivables [Abstract]  
Schedule of loan balances
A summary of loan balances by type follows:
December 31, 2023
Total
Commercial real estate$1,091,633 
Commercial and industrial219,873 
Commercial construction147,998 
Consumer real estate363,317 
Consumer nonresidential5,743 
$1,828,564 
Less:
Allowance for credit losses18,871 
Loans, net$1,809,693 
December 31, 2022
OriginatedAcquiredTotal
Commercial real estate$1,085,513 $14,748 $1,100,261 
Commercial and industrial242,307 2,913 245,220 
Commercial construction147,436 503 147,939 
Consumer real estate322,579 17,012 339,591 
Consumer nonresidential7,661 24 7,685 
$1,805,496 $35,200 $1,840,696 
Less:
Allowance for credit losses16,040 — 16,040 
Unearned income and (unamortized premiums), net262 — 262 
Loans, net$1,789,194 $35,200 $1,824,394 
Schedule of acquired loans The loans segregated to the acquired loan portfolio were initially measured at fair value and subsequently accounted for under either ASC 310-30 or ASC 310-20. The outstanding principal balance and related carrying amount of acquired loans included in the consolidated balance sheets as of December 31, 2022 is as follows:
December 31, 2022
Purchased credit impaired acquired loans evaluated individually for future credit losses 
Outstanding principal balance$24 
Carrying amount— 
Other acquired loans
Outstanding principal balance35,604 
Carrying amount35,200 
Total acquired loans
Outstanding principal balance35,628 
Carrying amount35,200 
Schedule of accretable yield on purchased credit impaired loans
The following table presents changes during the year ended December 31, 2022, in the accretable yield on purchased credit impaired loans for which the Company applies ASC 310-30.
Balance at January 1, 2022$
Accretion (197)
Reclassification of nonaccretable difference due to improvement in expected cash flows33 
Other changes, net161 
Balance at December 31, 2022
$— 
Schedule of allowance for credit losses
An analysis of the allowance for credit losses for the years ended December 31, 2023 and 2022 follows:
Commercial
Real Estate
Commercial and
Industrial
Commercial
Construction
Consumer Real
Estate
Consumer
Nonresidential
Total
2023
Allowance for credit losses:
Beginning Balance, Prior to January 1, 2023 Adoption of ASC 326$10,777 $2,623 $1,499 $1,044 $97 $16,040 
Impact of Adoption of ASC 326498 452 70 1,856 (12)2,864 
Charge-offs(53)(350)— — (15)(418)
Recoveries— — 39 43 
Provision (reversal)(1,048)657 (144)921 (44)342 
Ending Balance$10,174 $3,385 $1,425 $3,822 $65 $18,871 
Commercial
Real Estate
Commercial and
Industrial
Commercial
Construction
Consumer Real
Estate
Consumer
Nonresidential
Total
2022
Allowance for credit losses:
Beginning Balance$8,995 $1,827 $2,009 $781 $217 $13,829 
Charge-offs— (396)— — (101)(497)
Recoveries— — — 78 79 
Provision (reversal)1,782 1,192 (510)262 (97)2,629 
Ending Balance$10,777 $2,623 $1,499 $1,044 $97 $16,040 
The following table presents a breakdown of the provision for credit losses included in the Consolidated Statements of Income for the applicable periods:
For the Year Ended
December 31, 2023December 31, 2022
Provision for (reversal of) credit losses - loans$342 $2,629 
Provision for (reversal of) credit losses - unfunded commitments(210)— 
Total provision for credit losses$132 $2,629 
Schedule Of Amortized Cost Basis Of Loans By Class Of Loans
The following table presents the amortized cost basis of collateral-dependent loans by class of loans as of December 31, 2023:
Real EstateBusiness / Other Assets
Collateral-Dependent Loans
Commercial real estate$20,765 $— 
Commercial and industrial— 1,070 
Commercial construction— — 
Consumer real estate654 — 
Consumer nonresidential— — 
Total$21,419 $1,070 
Schedule of recorded investment in loans and impairment by portfolio segment
The following tables present the recorded investment in loans and evaluation method as of December 31, 2022, by portfolio segment:
Allowance for Credit Losses
Commercial
Real Estate
Commercial
and Industrial
Commercial
Construction
Consumer
Real Estate
Consumer
Nonresidential
Total
2022
Allowance for credit losses:
Ending Balance:
Individually evaluated for impairment$— $86 $— $— $— $86 
Purchased credit impaired— — — — — — 
Collectively evaluated for impairment10,777 2,537 1,499 1,044 97 15,954 
$10,777 $2,623 $1,499 $1,044 $97 $16,040 
Loans Receivable
Commercial
Real Estate
Commercial
and Industrial
Commercial
Construction
Consumer
Real Estate
Consumer
Nonresidential
Total
2022
Financing receivables:      
Ending Balance      
Individually evaluated for impairment$1,703 $1,319 $— $1,041 $— $4,063 
Purchased credit impaired loans— — — — — — 
Collectively evaluated for impairment1,098,558 243,901 147,939 338,550 7,685 1,836,633 
$1,100,261 $245,220 $147,939 $339,591 $7,685 $1,840,696 
Schedule of Impaired loans
Impaired loans by class excluding purchased credit impaired at December 31, 2022, are summarized as follows:
Impaired Loans – Originated Loan Portfolio
Recorded
Investment
Unpaid
Principal
Balance
Related
Allowance
Average
Recorded
Investment
Interest
Income
Recognized
2022
With an allowance recorded:
Commercial real estate$— $— $— $— $— 
Commercial and industrial1,319 1,329 86 1,604 107 
Commercial construction— — — — — 
Consumer real estate— — — — — 
Consumer nonresidential— — — — — 
$1,319 $1,329 $86 $1,604 $107 
2022
With no related allowance:
Commercial real estate$1,703 $1,703 $— $1,704 $135 
Commercial and industrial— — — — — 
Commercial construction— — — — — 
Consumer real estate1,041 1,044 — 1,048 34 
Consumer nonresidential— — — — — 
$2,744 $2,747 $— $2,752 $169 
Schedule of risk category of loans
Based on the most recent analysis performed, amortized cost basis of loans by risk category, class and year of origination was as follows as of December 31, 2023:
Prior20192020202120222023Revolving Loans Amort. Cost BasisRevolving Loans Convert. to TermTotal
Commercial Real Estate
Grade:
Pass$341,765 $82,924 $70,564 $147,252 $211,786 $57,422 $153,838 $— $1,065,551 
Special mention1,268 1,361 — 2,688 — — — — 5,317 
Substandard— — 849 — — 19,916 — — 20,765 
Doubtful— — — — — — — — — 
Loss— — — — — — — — — 
Total$343,033 $84,285 $71,413 $149,940 $211,786 $77,338 $153,838 $— $1,091,633 
Commercial and Industrial
Grade:
Pass$9,997 $2,285 $6,296 $13,623 $54,784 $42,034 $88,926 $— $217,945 
Special mention— — — 76 — — 782 — 858 
Substandard— — — — 884 — 186 — 1,070 
Doubtful— — — — — — — — — 
Loss— — — — — — — — — 
Total$9,997 $2,285 $6,296 $13,699 $55,668 $42,034 $89,894 $— $219,873 
Commercial Construction
Grade:
Pass$11,149 $— $— $6,204 $— $709 $129,936 $— $147,998 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Loss— — — — — — — — — 
Total$11,149 $— $— $6,204 $— $709 $129,936 $— $147,998 
Consumer Real Estate
Grade:
Pass$35,240 $8,196 $8,914 $28,848 $196,678 $51,767 $32,963 $— $362,606 
Special mention— — — — — — 57 — 57 
Substandard108 — — — — — 546 — 654 
Doubtful— — — — — — — — — 
Loss— — — — — — — — — 
Total$35,348 $8,196 $8,914 $28,848 $196,678 $51,767 $33,566 $— $363,317 
Consumer Nonresidential
Grade:
Pass$659 $— $$$36 $177 $4,861 $— $5,743 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Loss— — — — — — — — — 
Total$659 $— $$$36 $177 $4,861 $— $5,743 
Total Recorded Investment$400,186 $94,766 $86,630 $198,694 $464,168 $172,025 $412,095 $— $1,828,564 
As of December 31, 2023 – Total Loan Portfolio
Total
Grade: 
Pass$1,799,843 
Special mention6,232 
Substandard22,489 
Doubtful— 
Loss— 
Total Recorded Investment$1,828,564 
Based on the most recent analysis performed, the risk category of loans by class of loans was as follows as of December 31, 2022:
As of December 31, 2022 – Originated Loan Portfolio
Commercial Real
Estate
Commercial and
Industrial
Commercial
Construction
Consumer Real
Estate
Consumer
Nonresidential
Total
Grade:
Pass$1,077,526 $237,638 $147,436 $320,735 $7,661 $1,790,996 
Special mention6,284 3,350 — 803 — 10,437 
Substandard1,703 1,319 — 1,041 — 4,063 
Doubtful— — — — — — 
Loss— — — — — — 
Total$1,085,513 $242,307 $147,436 $322,579 $7,661 $1,805,496 
As of December 31, 2022 – Acquired Loan Portfolio
Commercial Real
Estate
Commercial and
Industrial
Commercial
Construction
Consumer Real
Estate
Consumer
Nonresidential
Total
Grade:
Pass$14,748 $2,913 $503 $17,012 $24 $35,200 
Special mention— — — — — — 
Substandard— — — — — — 
Doubtful— — — — — — 
Loss— — — — — — 
Total$14,748 $2,913 $503 $17,012 $24 $35,200 
Schedule of past due and nonaccrual loans
Past due and nonaccrual loans presented by loan class were as follows as of December 31, 2023 and 2022:
As of December 31, 2023
30-59 days past due60-89 days past due90 days or more past dueTotal past due loansCurrentNonaccrualsTotal Recorded Investment in Loans
Commercial real estate$1,115 $— $— $1,115 $1,089,669 $849 $1,091,633 
Commercial and industrial51 1,387 — 1,438 218,249 186 219,873 
Commercial construction2,569 391 — 2,960 145,038 — 147,998 
Consumer real estate1,300 — 134 1,434 361,229 654 363,317 
Consumer nonresidential— — 5,737 — 5,743 
Total$5,035 $1,778 $140 $6,953 $1,819,922 $1,689 $1,828,564 
As of December 31, 2022 – Originated Loan Portfolio
30-59 days past
due
60-89 days past
due
90 days or more
past due
Total past dueCurrentTotal loans90 days past due
and still accruing
Nonaccruals
Commercial real estate$546 $— $2,096 $2,642 $1,082,871 $1,085,513 $393 $1,703 
Commercial and industrial512 — 1,319 1,831 240,476 242,307 — 1,319 
Commercial construction— — 125 125 147,311 147,436 125 — 
Consumer real estate805 — 953 1,758 320,821 322,579 825 128 
Consumer nonresidential— 63 — 63 7,598 7,661 — — 
Total$1,863 $63 $4,493 $6,419 $1,799,077 $1,805,496 $1,343 $3,150 
As of December 31, 2022 – Acquired Loan Portfolio
30-59 days past
due
60-89 days past
due
90 days or more
past due
Total past dueCurrentTotal loans90 days past due
and still accruing
Nonaccruals
Commercial real estate$— $— $— $— $14,748 $14,748 $— $— 
Commercial and industrial— — — — 2,913 2,913 — — 
Commercial construction— — — — 503 503 — — 
Consumer real estate— — — — 17,012 17,012 — — 
Consumer nonresidential— — — — 24 24 — — 
Total$— $— $— $— $35,200 $35,200 $— $— 
Financing Receivable, Nonaccrual
The following presents nonaccrual loans as of December 31, 2023:
Nonaccrual with No Allowance for Credit LossesNonaccrual with an Allowance for Credit LossesTotal Nonaccrual LoansInterest Income Recognized
Nonaccrual Loans
Commercial real estate$849 $— $849 $37 
Commercial and industrial— 186 186 19 
Commercial construction— — — — 
Consumer real estate654 — 654 53 
Consumer nonresidential— — — — 
Total$1,503 $186 $1,689 $109 
v3.24.1
Goodwill and Intangibles (Tables)
12 Months Ended
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of information concerning amortizable intangibles
Information concerning amortizable intangibles follows:
Acquisition of 1st CommonwealthAcquisition of Colombo BankTotal
Gross Carrying
Amount
Accumulated
Amortization
Gross Carrying
Amount
Accumulated
Amortization
Gross Carrying
Amount
Accumulated
Amortization
Balance at December 31, 2021
$204 $185 $1,950 $1,074 $2,154 $1,259 
2022 activity:
1st Commonwealth amortization— 19 — — — 19 
Colombo Bank amortization— — — 243 — 243 
Balance at December 31, 2022
$204 $204 $1,950 $1,317 $2,154 $1,521 
2023 activity:
1st Commonwealth amortization— — — — — — 
Colombo Bank amortization— — — 205 — 205 
Balance at December 31, 2023
$204 $204 $1,950 $1,522 $2,154 $1,726 
Schedule of estimated amortization expense
The aggregate amortization expense was $205 thousand for 2023 and $262 thousand for 2022. As of December 31, 2023, the estimated amortization expense for the next five years and thereafter is as follows:
2024$165 
2025125 
202685 
202745 
2028
Thereafter— 
$428 
Schedule of carrying amount of goodwill
The carrying amount of goodwill for the years ended December 31, 2023 and 2022 is as follows:
Balance at December 31, 2023 and 2022
$7,157 
v3.24.1
Premises, Equipment, and Leases (Tables)
12 Months Ended
Dec. 31, 2023
Property, Plant and Equipment [Abstract]  
Summary of the cost and accumulated depreciation of premises and equipment
The following table summarizes the cost and accumulated depreciation of premises and equipment as of December 31, 2023 and 2022:
20232022
Leasehold improvements$2,622 $3,068 
Furniture, fixtures and equipment3,833 4,310 
Computer software1,183 1,169 
Land61 61 
Buildings196 196 
Vehicles47 47 
   Premises and equipment, gross$7,942 $8,851 
Less: accumulated depreciation6,945 7,631 
   Premises and equipment, net$997 $1,220 
Schedule of information about leases
The following tables present information about leases as of and for the years ended December 31, 2023 and 2022:
20232022
Right-of-Use-Asset$8,395 $9,680 
Lease Liability$9,241 $10,394 
Weighted Average Remaining Lease Term (Years)7.17.9
Weighted Average discount rate3.27 %3.21 %
Maturity schedule of undiscounted cash flows that contribute to the lease liability
Years Ended December 31,
20232022
Operating Lease Expense$1,733 $1,504 
Cash paid for amounts included in lease liabilities$1,840 $1,541 
Impairment loss on right-of-use asset228 — 
Modification of right-of-use assets and lease liability — 283 
Right-of-use assets obtained in exchange for operating lease liabilities 820 522 
The following table presents a maturity schedule of undiscounted cash flows that contribute to the lease liability as of December 31, 2023:
2024$1,814 
20251,665 
20261,574 
20271,448 
2028814 
Thereafter3,061 
Total$10,376 
Less: discount (1,135)
$9,241 
v3.24.1
Deposits (Tables)
12 Months Ended
Dec. 31, 2023
Deposits [Abstract]  
Schedule of maturities on certificates of deposits
Remaining maturities on certificates of deposit are as follows as of December 31, 2023:
2024$438,745 
202581,721 
202612,822 
202717,397 
2028914 
Thereafter— 
$551,599 
v3.24.1
Other Borrowed Funds (Tables)
12 Months Ended
Dec. 31, 2023
Debt Disclosure [Abstract]  
Schedule of other borrowed funds
Other borrowed funds at December 31, 2023 and 2022 consist of the following:
Federal Funds PurchasedFHLB AdvancesSubordinated Debt, net
202320222023202220232022
Balance Outstanding at December 31,$— $30,000 $85,000 $235,000 $19,620 $19,565 
Maximum balance at any month end during the year$— $115,000 $245,000 $235,000 $19,620 $19,565 
Average balance for the year$— $22,164 $101,682 $48,134 $19,590 $19,535 
Weighted average rate on borrowings for the year ended— %3.11 %3.77 %2.60 %5.26 %5.28 %
v3.24.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Schedule of tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities
The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2023 and 2022 are presented below:
20232022
Deferred Tax Assets:  
Allowance for credit losses$4,304 $3,698 
Net operating loss carryforward – federal and state3,061 2,466 
Bank premises and equipment301 265 
Nonqualified stock options and restricted stock500 658 
Organizational and start-up expenses13 10 
Acquisition accounting adjustments— 257 
Non-accrual loan interest52 59 
Deferred loan costs— 60 
Lease liability2,108 2,396 
Unrealized loss on securities available for sale7,777 11,876 
Reserves for unfunded commitments137 — 
$18,253 $21,745 
Deferred Tax Liabilities:
Right-of-use assets$(1,894)$(2,232)
Deferred loan costs(307)— 
Acquisition accounting adjustments(564)— 
Unrealized gain on interest rate swap(665)(980)
$(3,430)$(3,212)
Net Deferred Tax Assets$14,823 $18,533 
Schedule of income tax expense charged to operations
The income tax expense charged to operations for the years ended December 31, 2023 and 2022 consists of the following:
20232022
Current tax (benefit) expense$(524)$5,610 
Deferred tax expense934 395 
$410 $6,005 
Schedule of income tax expense differed from amounts computed by applying the U.S. federal income tax rate to income, before income tax expense
Income tax expense differed from amounts computed by applying the U.S. federal income tax rate to income, before income tax expense as a result of the following:
20232022
Computed "expected" tax expense$875 $6,313 
Increase (decrease) in income taxes resulting from:
State income tax expense275 503 
Non-deductible expense163 138 
Tax free income(310)(259)
Tax benefits from exercise of stock options(352)(364)
Other(241)(326)
$410 $6,005 
v3.24.1
Derivative Financial Instruments (Tables)
12 Months Ended
Dec. 31, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of notional amount and fair value of derivative financial instruments
The notional amount and fair value of the Company's derivative financial instruments as of December 31, 2023 and 2022 were as follows:
December 31, 2023
Notional AmountFair Value
Interest Rate Swap Agreements
Receive Fixed/Pay Variable Swaps$82,483 $2,853 
Pay Fixed/Receive Variable Swaps82,483 (2,853)
December 31, 2022
Notional AmountFair Value
Interest Rate Swap Agreements
Receive Fixed/Pay Variable Swaps$74,178 $4,260 
Pay Fixed/Receive Variable Swaps74,178 (4,260)
At December 31, 2023 and 2022, the information pertaining to outstanding interest rate swap agreements used to hedge variability in cash flows is as follows:
20232022
Notional amount$250,000 $145,000 
Weighted average pay rate3.25 %2.12 %
Weighted average receive rate5.34 %4.74 %
Weighted average maturity in years4.033.49
Unrealized gain/(loss) relating to interest rate swaps$2,915 $4,251 
v3.24.1
Financial Instruments with Off-Balance Sheet Risk (Tables)
12 Months Ended
Dec. 31, 2023
Financial Instruments with Off-Balance Sheet Risk  
Schedule of financial instruments outstanding which contract amounts represent credit risk
At December 31, 2023 and 2022, the following financial instruments were outstanding which contract amounts represent credit risk:
20232022
Commitments to grant loans$36,650 $135,441 
Unused commitments to fund loans and lines of credit215,892 235,617 
Commercial and standby letters of credit26,024 6,503 
v3.24.1
Minimum Regulatory Capital Requirements (Tables)
12 Months Ended
Dec. 31, 2023
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]  
Schedule of minimum capital requirement and capital position
The capital ratios for the Bank as of December 31, 2023 and 2022 are shown in the following table.
ActualMinimum Capital RequirementMinimum to be Well Capitalized Under Prompt Corrective Action
AmountRatioAmount
Ratio (1)
Amount
Ratio
At December 31, 2023
Total risk-based capital$261,403 13.83 %$198,413 10.50 %$188,965 >10.00 %
Tier 1 risk-based capital241,930 12.80 %160,620 8.50 %151,172 >8.00 %
Common equity tier 1 capital241,930 12.80 %132,275 7.00 %122,827 >6.50 %
Leverage capital ratio241,930 10.77 %89,842 4.00 %112,302 >5.00 %
At December 31, 2022
Total risk-based capital$256,898 13.28 %$203,113 10.50 %$193,441 >10.00 %
Tier 1 risk-based capital240,858 12.45 %164,425 8.50 %154,753 >8.00 %
Common equity tier 1 capital240,858 12.45 %135,409 7.00 %125,737 >6.50 %
Leverage capital ratio240,858 10.75 %87,894 4.00 %109,867 >5.00 %
________________________
(1). Ratios include capital conservation buffer.
v3.24.1
Stock-Based Compensation Plan (Tables)
12 Months Ended
Dec. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Schedule of option activity
A summary of option activity under the Plan as of December 31, 2023, and changes during the year then ended is presented below:
OptionsSharesWeighted
Average
Exercise
Price
Weighted
Average
Remaining
Contractual
Term
Aggregate
Intrinsic
Value (1)
Outstanding at January 1, 20231,621,920 $6.82 1.81
Granted— — 
Exercised(427,135)5.99 
Forfeited or expired(20,654)5.76 
Outstanding and Exercisable at December 31, 2023
1,174,131 $7.14 1.3$8,287,812 
________________________
(1)The aggregate intrinsic value of stock options represents the total pre-tax intrinsic value (the amount by which the current market value of the underlying stock exceeds the exercise price of the option) that would have been received by the option holders had all option holders exercised their options on December 31, 2023. This amount changes based on changes in the market value of the Company's stock.
Schedule of restricted stock grant activity
A summary of the Company's restricted stock grant activity as of December 31, 2023 is shown below.
Number of
Shares
Weighted Average
Grant Date
Fair Value
Nonvested at January 1, 2023278,245 $14.63 
Granted11,438 10.77 
Vested(96,062)14.67 
Forfeited(14,506)15.36 
Balance at December 31, 2023
179,115 $14.30 
v3.24.1
Fair Value Measurements (Tables)
12 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Schedule of financial assets and liabilities measured at fair value on a recurring basis
The following table presents the balances of financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2023 and 2022:
Fair Value Measurements at
December 31, 2023 Using
Balance as of
December 31, 2023
Quoted Prices
in Active
Markets for
Identical
Assets
Significant
Other
Observable
Inputs
Significant
Unobservable
Inputs
Description(Level 1)(Level 2)(Level 3)
Assets
Available-for-sale
Securities of U.S. government and federal agencies$8,470 $— $8,470 $— 
Securities of state and local municipalities tax exempt997 — 997 — 
Securities of state and local municipalities taxable404 — 404 — 
Corporate bonds17,648 — 17,648 — 
SBA pass-through securities57 — 57 — 
Mortgage-backed securities140,942 — 140,942 — 
Collateralized mortgage obligations3,077 — 3,077 — 
Total Available-for-Sale Securities$171,595 $— $171,595 $— 
Derivative assets - interest rate swaps$2,853 $— $2,853 $— 
Derivative assets - cash flow hedge2,915 — 2,915 — 
Liabilities
Derivative liabilities - interest rate swaps$2,853 $— $2,853 $— 
Fair Value Measurements at
December 31, 2022 Using
Balance as of
December 31, 2022
Quoted Prices
in Active
Markets for
Identical
Assets
Significant
Other
Observable
Inputs
Significant
Unobservable
Inputs
Description(Level 1)(Level 2)(Level 3)
Assets
Available-for-sale
Securities of U.S. government and federal agencies
$11,004 $— $11,004 $— 
Securities of state and local municipalities tax exempt1,376 — 1,376 $— 
Securities of state and local municipalities taxable444 — 444 — 
Corporate bonds19,058 — 19,058 — 
SBA pass-through securities67 — 67 — 
Mortgage-backed securities237,434 — 237,434 — 
Collateralized mortgage obligations8,686 — 8,686 — 
Total Available-for-Sale Securities$278,069 $— $278,069 $— 
Derivative assets - interest rate swaps$4,260 $— $4,260 $— 
Derivative assets - cash flow hedge$4,251 $— $4,251 — 
Liabilities
Derivative liabilties - interest rate swaps$4,260 $— $4,260 $— 
Schedule of the Company's assets that were measured at fair value on a nonrecurring basis
The following table summarizes the Company's assets that were measured at fair value on a nonrecurring basis at December 31, 2023 and 2022:
Fair Value Measurements
Using
Balance as of
December 31, 2023
Quoted Prices
in Active
Markets for
Identical
Assets
Significant
Other
Observable
Inputs
Significant
Unobservable
Inputs
Description(Level 1)(Level 2)(Level 3)
Assets
Collateral-dependent loans
Commercial real estate$849 $— $— $849 
Commercial and industrial$396 $— $— $396 
Total Collateral-dependent loans$1,245 $— $— $1,245 
Fair Value Measurements
Using
Balance as of
December 31, 2022
Quoted Prices
in Active
Markets for
Identical
Assets
Significant
Other
Observable
Inputs
Significant
Unobservable
Inputs
Description(Level 1)(Level 2)(Level 3)
Assets
Impaired loans
Commercial and industrial$1,233 $— $— $1,233 
Total Impaired loans$1,233 $— $— $1,233 
Schedule of quantitative information about Level 3 Fair Value Measurements
The following table displays quantitative information about Level 3 Fair Value Measurements for December 31, 2023 and 2022:
Quantitative information about Level 3 Fair Value Measurements for December 31, 2023
AssetsFair ValueValuation Technique(s)Unobservable input
Range
(Avg.)
Collateral-dependent loans
Commercial real estate$849 Discounted appraised valueMarketability/Selling costs
10% - 10%
10.00 %
Commercial and industrial
$396 Discounted appraised valueMarketability/Selling costs
10% - 10%
10.00 %
Quantitative information about Level 3 Fair Value Measurements for December 31, 2022
AssetsFair ValueValuation Technique(s)Unobservable input
Range
(Avg.)
Impaired loans
Commercial and industrial$1,233 Discounted appraised valueMarketability/Selling costs
8% - 8 %
8.00 %
Schedule of carrying amount, fair value and placement in the fair value hierarchy of the Company's financial instruments
The following presents the carrying amount, fair value and placement in the fair value hierarchy of the Company's financial instruments as of December 31, 2023 and 2022. Fair values for December 31, 2023 and 2022 are estimated under the exit price notion in accordance with the prospective adoption of ASU 2016-01, "Recognition and Measurement of Financial Assets and Financial Liabilities."
Fair Value Measurements as of December 31, 2023 using
Carrying
Amount
Quoted Prices in
Active Markets
for Identical
Assets
Significant
Unobservable
Inputs
Significant
Unobservable
Inputs
Level 1Level 2Level 3
Financial assets:    
Cash and due from banks$8,042 $8,042 $— $— 
Interest-bearing deposits at other institutions52,480 52,480 — — 
Securities held-to-maturity264 — 252 — 
Securities available-for-sale171,595 — 171,595 — 
Restricted stock9,488 — 9,488 — 
Loans, net1,809,693 — — 1,725,785 
Bank owned life insurance56,823 — 56,823 — 
Accrued interest receivable10,321 — 10,321 — 
Derivative assets - interest rate swaps2,853 — 2,853 — 
Derivative assets - cash flow hedge2,915 — 2,915 — 
Financial liabilities:
Checking, savings and money market accounts$1,293,693 $— $1,293,693 $— 
Time deposits551,599 — 551,949 — 
FHLB advances85,000 — 85,000 — 
Subordinated notes19,620 — 18,565 — 
Accrued interest payable2,415 — 2,415 — 
Derivative liabilities - interest rate swaps2,853 — 2,853 — 
Fair Value Measurements as of December 31, 2022 using
Carrying
Amount
Quoted Prices in
Active Markets
for Identical
Assets
Significant
Unobservable
Inputs
Significant
Unobservable
Inputs
Level 1Level 2Level 3
Financial assets:
Cash and due from banks$7,253 $7,253 $— $— 
Interest-bearing deposits at other institutions74,300 74,300 — — 
Securities held-to-maturity264 — 252 — 
Securities available-for-sale278,069 — 278,069 — 
Restricted stock15,612 — 15,612 — 
Loans, net1,824,394 — — 1,756,984 
Bank owned life insurance55,371 — 55,371 — 
Accrued interest receivable9,435 — 9,435 — 
Derivative assets - interest rate swaps4,260 — 4,260 — 
Derivative assets - cash flow hedge4,251 — 4,251 — 
Financial liabilities:
Checking, savings and money market accounts$1,321,749 $— $1,321,749 $— 
Time deposits$508,413 — 510,754 — 
Fed funds purchased30,000 — 30,000 — 
FHLB advances235,000 — 235,000 — 
Subordinated notes19,565 — 18,856 — 
Accrued interest payable1,269 — 1,269 — 
Derivative liabilties - interest rate swaps4,260 — 4,260 — 
v3.24.1
Earnings Per Share (Tables)
12 Months Ended
Dec. 31, 2023
Earnings Per Share [Abstract]  
Schedule of earning per share
The holders of restricted stock do not share in dividends and do not have voting rights during the vesting period.
For the Years Ended
December 31,
20232022
Net income$3,822 $24,984 
Weighted average - basic shares17,723 17,431 
Effect of dilutive securities, restricted stock units and options
508 1,053 
Weighted average - diluted shares18,231 18,484 
Basic EPS$0.22 $1.43 
Diluted EPS$0.21 $1.35 
v3.24.1
Supplemental Cash Flow Information (Tables)
12 Months Ended
Dec. 31, 2023
Supplemental Cash Flow Information [Abstract]  
Schedule of supplemental cash flow information
For the Years Ended
December 31,
(In thousands)20232022
Supplemental Disclosure of Cash Flow Information:
Cash paid for:
Interest on deposits and borrowed funds$51,017 $15,140 
Income taxes2,360 6,070 
Noncash investing and financing activities:
Unrealized gain (loss) on securities available-for-sale
17,413 (48,958)
Unrealized (loss) gain on interest rate swaps(1,337)4,328 
Adoption of CECL accounting standard(2,808)— 
Right-of-use assets obtained in the exchange for lease liabilities during the current period820 522 
Modification of right-of-use assets and lease liability455 283 
v3.24.1
Accumulated Other Comprehensive Income (Loss) (Tables)
12 Months Ended
Dec. 31, 2023
Statement of Other Comprehensive Income [Abstract]  
Schedule of changes in accumulated other comprehensive income (AOCI)
Changes in accumulated other comprehensive income (loss) ("AOCI") for the years ended December 31, 2023 and 2022 are shown in the following table. The Company has two components of AOCI, which are available-for-sale securities and cash flow hedges, for each of the years ended December 31, 2023 and 2022.
2023
Available-for-
Sale Securities
Cash Flow
 Hedges
Total
Balance, beginning of period $(39,926)$3,359 $(36,567)
Net unrealized (losses) gains during the period1,300 (1,043)257 
Net reclassification adjustment for losses realized in income12,150 — 12,150 
Other comprehensive (loss) income, net of tax13,450 (1,043)12,407 
Balance, end of period $(26,476)$2,316 $(24,160)
2022
Available-for-
Sale Securities
Cash Flow
Hedges
Total
Balance, beginning of period$(1,983)$(60)$(2,043)
Net unrealized (losses) gains during the period(37,943)3,419 (34,524)
Other comprehensive income (loss), net of tax(37,943)3,419 (34,524)
Balance, end of period$(39,926)$3,359 $(36,567)
v3.24.1
Revenue Recognition (Tables)
12 Months Ended
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]  
Schedule of noninterest income
The following presents noninterest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, for the years ended December 31, 2023 and 2022:
Years Ended December 31,
20232022
Non-interest Income
In-scope of Topic 606
Service Charges on Deposit Accounts$1,028 $954 
Fees, Exchange, and Other Service Charges350 374 
Other income96 104 
Non-interest Income (in-scope of Topic 606)1,474 1,432 
Non-interest Income (out-scope of Topic 606)(14,844)1,402 
Total Non-interest (Loss) Income$(13,370)$2,834 
v3.24.1
Parent Company Only Financial Statements (Tables)
12 Months Ended
Dec. 31, 2023
Condensed Financial Information Disclosure [Abstract]  
Schedule of parent company only condensed statements of condition
The FVCBankcorp, Inc. (Parent Company only) condensed financial statements are as follows:
PARENT COMPANY ONLY CONDENSED STATEMENTS OF CONDITION
December 31, 2023 and 2022
Assets20232022
Cash and cash equivalents$85 $531 
Securities available-for-sale991 991 
Investment in subsidiary227,658 214,382 
Other assets8,391 6,404 
Total assets$237,125 $222,308 
Liabilities and Stockholders' Equity
Subordinated notes$19,620 $19,565 
Other liabilities388 361 
Total liabilities$20,008 $19,926 
Total stockholders' equity$217,117 $202,382 
Total liabilities and stockholders' equity$237,125 $222,308 
Schedule of parent company only condensed statements of operations
20232022
Income:  
Interest on securities available-for-sale$101 $67 
Income from minority membership interest1,654 626 
Dividend income683 730 
Total income$2,438 $1,423 
Expense:
Interest on subordinated notes$1,030 $1,031 
Salaries and employee benefits1,151 1,192 
Occupancy and equipment80 80 
Audit, legal and consulting fees256 375 
Other operating expenses252 194 
Total expense$2,769 $2,872 
Net (loss) before income tax benefit and equity in undistributed earnings of subsidiary$(331)$(1,449)
Income tax benefit(477)(580)
Equity in undistributed earnings of subsidiary3,676 25,853 
Net income$3,822 $24,984 
Schedule of parent company only condensed statements of cash flows
PARENT COMPANY ONLY CONDENSED STATEMENTS OF CASH FLOWS
For The Years Ended December 31, 2023 and 2022
20232022
Cash Flows From Operating Activities
Net income$3,822 $24,984 
Equity in undistributed earnings of subsidiary(3,676)(25,853)
Amortization of subordinated debt issuance costs55 55 
Stock-based compensation expense1,143 1,183 
Change in other assets and liabilities(1,961)(1,413)
Net cash (used in) provided by operating activities$(617)$(1,044)
Cash Flows From Investing Activities
Net cash used in investing activities$— $— 
Cash Flows From Financing Activities
Repayment of subordinated notes, net$— $(1,250)
Repurchase of shares of common stock(1,460)(730)
Vesting of restricted stock options(113)— 
Common stock issuance1,744 1,673 
Net cash provided by (used in) financing activities$171 $(307)
Net decrease in cash and cash equivalents$(446)$(1,351)
Cash and cash equivalents, beginning of year531 1,882 
Cash and cash equivalents, end of year$85 $531 
v3.24.1
Organization and Summary of Significant Accounting Policies (Details)
Dec. 15, 2022
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Aug. 31, 2021
USD ($)
Schedule of Equity Method Investments [Line Items]        
Stockholders' Equity Note, Stock Split, Conversion Ratio 1.25      
Common stock, dividend, paid-in-kind, percentage 25.00%      
Other real estate owned (OREO)   $ 0 $ 0  
Atlantic Coast Mortgage LLC        
Schedule of Equity Method Investments [Line Items]        
Equity Method Investment, Aggregate Cost       $ 20,400,000
Equity method investment, ownership percentage       28.70%
v3.24.1
Organization and Summary of Significant Accounting Policies - Loans and Allowance for Credit Losses (Details) - USD ($)
Dec. 31, 2023
Jan. 01, 2023
Dec. 31, 2022
Dec. 31, 2021
Line of Credit Facility [Line Items]        
Retained Earnings (Accumulated Deficit) $ (115,890,000)   $ (114,888,000)  
Allowance for loan losses 18,871,000   16,040,000 $ 13,829,000
Reserves for unfunded commitments 602,000 $ 811,000 0  
Securities held-to-maturity (fair value of $252 thousand and $252 thousand for December 31, 2023 and 2022), net of allowance for credit losses of $0 and $0 at December 31, 2023 and 2022 264,000   $ 264,000  
Cumulative Effect, Period of Adoption, Adjustment        
Line of Credit Facility [Line Items]        
Allowance for loan losses $ 2,864,000      
Cumulative Effect, Period of Adoption, Adjustment | Accounting Standards Update 2016-13        
Line of Credit Facility [Line Items]        
Retained Earnings (Accumulated Deficit)   2,800,000    
Allowance for loan losses   2,900,000    
Reserves for unfunded commitments   800,000    
Financing Receivable, Allowance For Credit Loss And Unfunded Loan Commitments, Excluding Accrued Interest   $ 3,700,000    
v3.24.1
Organization and Summary of Significant Accounting Policies - Premises and Equipment (Details)
Dec. 31, 2023
agreement
Premises and Equipment  
Number of lease arrangements without known escalators 3
Premises, furniture and equipment | Minimum [Member]  
Premises and Equipment  
Estimated useful life (in years) 3 years
Premises, furniture and equipment | Maximum [Member]  
Premises and Equipment  
Estimated useful life (in years) 7 years
Computer software | Minimum [Member]  
Premises and Equipment  
Estimated useful life (in years) 1 year
Computer software | Maximum [Member]  
Premises and Equipment  
Estimated useful life (in years) 3 years
v3.24.1
Organization and Summary of Significant Accounting Policies- Goodwill and Intangible Assets (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Goodwill and Intangible Assets    
Impairment of goodwill and intangible assets $ 0 $ 0
v3.24.1
Organization and Summary of Significant Accounting Policies - 401(k) Plan (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Accounting Policies [Abstract]    
401(K) plan contribution expense $ 431 $ 424
v3.24.1
Investment Securities and Other Investments (Details) - USD ($)
Dec. 31, 2023
Dec. 31, 2022
Held-to-maturity    
Total $ 264,000 $ 264,000
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (12,000) (12,000)
Fair Value 252,000 252,000
Available-for-sale    
Total 205,705,000 329,592,000
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (34,110,000) (51,523,000)
Securities available-for-sale, at fair value 171,595,000 278,069,000
Debt Securities, Available-for-Sale, Allowance for Credit Loss, Excluding Accrued Interest $ 0  
Number Of Securities Held, Equal Book And Fair Value 1  
Securities of state and local municipalities tax exempt    
Held-to-maturity    
Total   264,000
Gross Unrealized Gains   0
Gross Unrealized (Losses)   (12,000)
Fair Value   252,000
Securities of U.S. government and federal agencies    
Available-for-sale    
Total $ 9,998,000 13,559,000
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (1,528,000) (2,555,000)
Securities available-for-sale, at fair value 8,470,000 11,004,000
Federal Reserve Bank Member | Asset Pledged as Collateral    
Available-for-sale    
Debt securities 0 4,100,000
Community Bankers Bank Member | Asset Pledged as Collateral    
Available-for-sale    
Debt securities 7,200,000 104,600,000
Corporate bonds    
Available-for-sale    
Total 20,204,000 21,212,000
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (2,556,000) (2,154,000)
Securities available-for-sale, at fair value 17,648,000 19,058,000
SBA pass-through securities    
Available-for-sale    
Total 62,000 74,000
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (5,000) (7,000)
Securities available-for-sale, at fair value 57,000 67,000
Mortgage-backed securities    
Available-for-sale    
Total 170,179,000 282,858,000
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (29,237,000) (45,424,000)
Securities available-for-sale, at fair value 140,942,000 237,434,000
Collateralized mortgage obligations    
Available-for-sale    
Total 3,809,000 9,998,000
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (732,000) (1,312,000)
Securities available-for-sale, at fair value 3,077,000 8,686,000
Securities Of State And Political Subdivisions, Nontaxable    
Held-to-maturity    
Total 264,000  
Gross Unrealized Gains 0  
Gross Unrealized (Losses) (12,000)  
Fair Value 252,000  
Available-for-sale    
Total 1,000,000 1,385,000
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (3,000) (9,000)
Securities available-for-sale, at fair value 997,000 1,376,000
Securities of state and local municipalities - taxable    
Available-for-sale    
Total 453,000 506,000
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (49,000) (62,000)
Securities available-for-sale, at fair value $ 404,000 $ 444,000
v3.24.1
Investment Securities and Other Investments - Continuous Unrealized Loss Position (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value    
Fair Value, Less than 12 Months $ 0 $ 43,059
Fair Value, 12 Months or Longer 170,845 234,512
Fair Value, Total 170,845 277,571
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Losses    
Unrealized Losses, Less than 12 Months 0 (3,209)
Unrealized Losses, Less than 12 Months (34,110) (48,326)
Unrealized Losses, Total (34,110) (51,535)
Securities of U.S. government and federal agencies    
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value    
Fair Value, Less than 12 Months 0 0
Fair Value, 12 Months or Longer 8,470 11,004
Fair Value, Total 8,470 11,004
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Losses    
Unrealized Losses, Less than 12 Months 0 0
Unrealized Losses, Less than 12 Months (1,528) (2,555)
Unrealized Losses, Total (1,528) (2,555)
Securities of state and local municipalities - taxable    
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value    
Fair Value, Less than 12 Months 0 0
Fair Value, 12 Months or Longer 404 444
Fair Value, Total 404 444
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Losses    
Unrealized Losses, Less than 12 Months 0 0
Unrealized Losses, Less than 12 Months (49) (62)
Unrealized Losses, Total (49) (62)
Corporate bonds    
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value    
Fair Value, Less than 12 Months 0 12,344
Fair Value, 12 Months or Longer 16,898 5,964
Fair Value, Total 16,898 18,308
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Losses    
Unrealized Losses, Less than 12 Months 0 (1,119)
Unrealized Losses, Less than 12 Months (2,556) (1,035)
Unrealized Losses, Total (2,556) (2,154)
SBA pass-through securities    
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value    
Fair Value, Less than 12 Months 0 0
Fair Value, 12 Months or Longer 57 67
Fair Value, Total 57 67
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Losses    
Unrealized Losses, Less than 12 Months 0 0
Unrealized Losses, Less than 12 Months (5) (7)
Unrealized Losses, Total (5) (7)
Mortgage-backed securities    
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value    
Fair Value, Less than 12 Months 0 26,486
Fair Value, 12 Months or Longer 140,942 210,948
Fair Value, Total 140,942 237,434
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Losses    
Unrealized Losses, Less than 12 Months 0 (1,831)
Unrealized Losses, Less than 12 Months (29,237) (43,593)
Unrealized Losses, Total (29,237) (45,424)
Collateralized mortgage obligations    
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value    
Fair Value, Less than 12 Months 0 2,601
Fair Value, 12 Months or Longer 3,077 6,085
Fair Value, Total 3,077 8,686
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Losses    
Unrealized Losses, Less than 12 Months 0 (238)
Unrealized Losses, Less than 12 Months (732) (1,074)
Unrealized Losses, Total (732) (1,312)
Securities Of State And Political Subdivisions, Nontaxable    
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value    
Fair Value, Less than 12 Months 0 1,628
Fair Value, 12 Months or Longer 997 0
Fair Value, Total 997 1,628
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Losses    
Unrealized Losses, Less than 12 Months 0 (21)
Unrealized Losses, Less than 12 Months (3) 0
Unrealized Losses, Total $ (3) $ (21)
v3.24.1
Investment Securities and Other Investments - Continuous Unrealized Loss Position - Additional information (Details)
12 Months Ended
Dec. 31, 2023
security
Securities of U.S. government and federal agencies  
Debt Securities, Available-for-sale  
Number of investment securities 2
Securities of state and local municipalities - taxable  
Debt Securities, Available-for-sale  
Number of investment securities 1
Corporate bonds | Standard & Poor's, BBB Rating  
Debt Securities, Available-for-sale  
Number of investment securities 1
Corporate bonds | Standard Poors No Rating  
Debt Securities, Available-for-sale  
Number of investment securities 13
SBA pass-through securities  
Debt Securities, Available-for-sale  
Number of investment securities 1
Mortgage-backed securities  
Debt Securities, Available-for-sale  
Number of investment securities 36
Collateralized mortgage obligations  
Debt Securities, Available-for-sale  
Number of investment securities 11
Securities Of State And Political Subdivisions, Nontaxable  
Debt Securities, Available-for-sale  
Number of investment securities 2
v3.24.1
Investment Securities and Other Investments - Contractual Maturities (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Held-to-maturity, Amortized Cost    
After 1 year through 5 years $ 264  
After 5 years through 10 years 0  
After 10 years 0  
Total 264 $ 264
Held-to-maturity, Fair Value    
After 1 year through 5 years 252  
After 5 years through 10 years 0  
After 10 years 0  
Total 252 252
Available-for-sale, Amortized Cost    
After 1 year through 5 years 1,000  
After 5 years through 10 years 30,148  
After 10 years 173,444  
Total 205,705 329,592
Available-for-sale, Fair Value    
After 1 year through 5 years 997  
After 5 years through 10 years 26,033  
After 10 years 143,466  
Total 171,595 $ 278,069
Debt Securities, Held-to-Maturity, Amortized Cost, after Allowance for Credit Loss, Maturity, Allocated and Single Maturity Date, Year One 0  
Debt Securities, Held-to-Maturity, Fair Value, Maturity, Allocated and Single Maturity Date, Year One 0  
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year One Through Five 1,113  
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year One Through Five $ 1,099  
v3.24.1
Investment Securities and Other Investments - Contractual Maturities - Additional Information (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Investments, Debt and Equity Securities [Abstract]    
Proceeds from maturities, calls and principal repayments of securities $ 20,800 $ 37,100
Proceeds from sales of securities available-for-sale 86,922 0
Marketable Securities Realized Losses $ 15,600 $ 0
v3.24.1
Investment Securities and Other Investments - Other Investments - Additional Information (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Schedule of Investments [Line Items]    
Restricted stock, at cost $ 9,488 $ 15,612
Debt Securities, Available-For-Sale, Pre Tax Loss 15,600  
Debt Securities, Available-For-Sale, Sold At Book Value 102,500  
Federal Reserve stock    
Schedule of Investments [Line Items]    
Restricted stock, at cost 3,586 4,378
FHLB stock    
Schedule of Investments [Line Items]    
Restricted stock, at cost 5,755 11,087
Community Bankers' Bank stock    
Schedule of Investments [Line Items]    
Restricted stock, at cost 122 122
Atlantic Bankers' Bank stock    
Schedule of Investments [Line Items]    
Restricted stock, at cost $ 25 $ 25
v3.24.1
Investment Securities and Other Investments (Summary of Amortized Cost of Held-to-maturity Securities Credit Quality Indicator (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Schedule of Held-to-Maturity Securities [Line Items]    
Securities held-to-maturity (fair value of $252 thousand and $252 thousand for December 31, 2023 and 2022), net of allowance for credit losses of $0 and $0 at December 31, 2023 and 2022 $ 264 $ 264
Securities Of State And Political Subdivisions, Nontaxable    
Schedule of Held-to-Maturity Securities [Line Items]    
Securities held-to-maturity (fair value of $252 thousand and $252 thousand for December 31, 2023 and 2022), net of allowance for credit losses of $0 and $0 at December 31, 2023 and 2022 264  
Securities Of State And Political Subdivisions, Nontaxable | Moody's, Aa3 Rating    
Schedule of Held-to-Maturity Securities [Line Items]    
Securities held-to-maturity (fair value of $252 thousand and $252 thousand for December 31, 2023 and 2022), net of allowance for credit losses of $0 and $0 at December 31, 2023 and 2022 $ 264  
v3.24.1
Loans and Allowance for Credit Losses - Summary of loan balances by type (Details) - USD ($)
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Loans and Allowance for Loan Losses      
Financing receivables $ 1,828,564,000 $ 1,840,696,000  
Allowance for loan losses 18,871,000 16,040,000 $ 13,829,000
Financing Receivable, Unamortized Loan Cost (Fee) and Purchase Premium (Discount)   262,000  
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 1,809,693,000 1,824,394,000  
Mortgage Loans in Process of Foreclosure, Amount 0 0  
Federal Home Loan Bank of Atlanta | Asset Pledged as Collateral      
Loans and Allowance for Loan Losses      
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 530,200,000 458,700,000  
Adjustment      
Loans and Allowance for Loan Losses      
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 100,000 1,300,000  
Commercial | Real Estate      
Loans and Allowance for Loan Losses      
Financing receivables 1,091,633,000 1,100,261,000  
Allowance for loan losses 10,174,000 10,777,000 8,995,000
Commercial | Commercial and industrial      
Loans and Allowance for Loan Losses      
Financing receivables 219,873,000 245,220,000  
Allowance for loan losses 3,385,000 2,623,000 1,827,000
Commercial | Construction      
Loans and Allowance for Loan Losses      
Financing receivables 147,998,000 147,939,000  
Allowance for loan losses 1,425,000 1,499,000 2,009,000
Consumer | Real Estate      
Loans and Allowance for Loan Losses      
Financing receivables 363,317,000 339,591,000  
Allowance for loan losses 3,822,000 1,044,000 781,000
Consumer | Nonresidential      
Loans and Allowance for Loan Losses      
Financing receivables 5,743,000 7,685,000  
Allowance for loan losses 65,000 97,000 $ 217,000
Originated Loan Portfolio      
Loans and Allowance for Loan Losses      
Financing receivables 1,828,564,000 1,805,496,000  
Allowance for loan losses   16,040,000  
Financing Receivable, Unamortized Loan Cost (Fee) and Purchase Premium (Discount)   262,000  
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss   1,789,194,000  
Originated Loan Portfolio | Commercial | Real Estate      
Loans and Allowance for Loan Losses      
Financing receivables 1,091,633,000 1,085,513,000  
Originated Loan Portfolio | Commercial | Commercial and industrial      
Loans and Allowance for Loan Losses      
Financing receivables 219,873,000 242,307,000  
Originated Loan Portfolio | Commercial | Construction      
Loans and Allowance for Loan Losses      
Financing receivables 147,998,000 147,436,000  
Originated Loan Portfolio | Consumer | Real Estate      
Loans and Allowance for Loan Losses      
Financing receivables 363,317,000 322,579,000  
Originated Loan Portfolio | Consumer | Nonresidential      
Loans and Allowance for Loan Losses      
Financing receivables 5,743,000 7,661,000  
Acquired Loan Portfolio      
Loans and Allowance for Loan Losses      
Financing receivables   35,200,000  
Allowance for loan losses   0  
Financing Receivable, Unamortized Loan Cost (Fee) and Purchase Premium (Discount)   0  
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss   35,200,000  
Acquired Loan Portfolio | Commercial | Real Estate      
Loans and Allowance for Loan Losses      
Financing receivables $ 1,828,564,000 14,748,000  
Acquired Loan Portfolio | Commercial | Commercial and industrial      
Loans and Allowance for Loan Losses      
Financing receivables   2,913,000  
Acquired Loan Portfolio | Commercial | Construction      
Loans and Allowance for Loan Losses      
Financing receivables   503,000  
Acquired Loan Portfolio | Consumer | Real Estate      
Loans and Allowance for Loan Losses      
Financing receivables   17,012,000  
Acquired Loan Portfolio | Consumer | Nonresidential      
Loans and Allowance for Loan Losses      
Financing receivables   $ 24,000  
v3.24.1
Loans and Allowance for Credit Losses - Outstanding principal balance and related carrying amount of acquired loans (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Loans and Allowance for Loan Losses    
Carrying amount   $ 4,063
Changes in the accretable yield on purchased credit impaired loans    
Balance at the beginning of the period $ 3  
Accretion (197)  
Reclassification of nonaccretable difference due to improvement in expected cash flows 33  
Other changes, net 161  
Balance at the end of the period $ 0  
Purchased credit impaired    
Loans and Allowance for Loan Losses    
Outstanding principal balance   24
Carrying amount   0
Other acquired loans    
Loans and Allowance for Loan Losses    
Outstanding principal balance   35,604
Carrying amount   35,200
Acquired Loan Portfolio    
Loans and Allowance for Loan Losses    
Outstanding principal balance   35,628
Carrying amount   $ 35,200
v3.24.1
Loans and Allowance for Credit Losses - Allowance for credit losses (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Allowance for loan losses      
Provision (reversal) $ 342 $ 2,629  
Allowance for credit losses:      
Individually evaluated for impairment   86  
Collectively evaluated for impairment   15,954  
Financing receivables:      
Individually evaluated for impairment   4,063  
Collectively evaluated for impairment   1,836,633  
Loans receivables 1,828,564 1,840,696  
Allowance for loan losses 18,871 16,040 $ 13,829
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff 418 497  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Recovery 43 79  
Cumulative Effect, Period of Adoption, Adjustment      
Financing receivables:      
Allowance for loan losses 2,864    
Purchased credit impaired      
Allowance for credit losses:      
Financing Receivable, Allowance For Credit Losses, Purchased Credit Impaired Loans   0  
Financing receivables:      
Individually evaluated for impairment   0  
Financing Receivable, Purchased Credit Impaired Loans   0  
Commercial | Real Estate      
Allowance for loan losses      
Provision (reversal) (1,048) 1,782  
Allowance for credit losses:      
Individually evaluated for impairment   0  
Collectively evaluated for impairment   10,777  
Financing receivables:      
Individually evaluated for impairment   1,703  
Collectively evaluated for impairment   1,098,558  
Loans receivables 1,091,633 1,100,261  
Allowance for loan losses 10,174 10,777 8,995
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff 53 0  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Recovery 0 0  
Commercial | Real Estate | Cumulative Effect, Period of Adoption, Adjustment      
Financing receivables:      
Allowance for loan losses 498    
Commercial | Real Estate | Purchased credit impaired      
Allowance for credit losses:      
Financing Receivable, Allowance For Credit Losses, Purchased Credit Impaired Loans   0  
Financing receivables:      
Financing Receivable, Purchased Credit Impaired Loans   0  
Commercial | Commercial and industrial      
Allowance for loan losses      
Provision (reversal) 657 1,192  
Allowance for credit losses:      
Individually evaluated for impairment   86  
Collectively evaluated for impairment   2,537  
Financing receivables:      
Individually evaluated for impairment   1,319  
Collectively evaluated for impairment   243,901  
Loans receivables 219,873 245,220  
Allowance for loan losses 3,385 2,623 1,827
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff 350 396  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Recovery 3 0  
Commercial | Commercial and industrial | Cumulative Effect, Period of Adoption, Adjustment      
Financing receivables:      
Allowance for loan losses 452    
Commercial | Commercial and industrial | Purchased credit impaired      
Allowance for credit losses:      
Financing Receivable, Allowance For Credit Losses, Purchased Credit Impaired Loans   0  
Financing receivables:      
Financing Receivable, Purchased Credit Impaired Loans   0  
Commercial | Construction      
Allowance for loan losses      
Provision (reversal) (144) (510)  
Allowance for credit losses:      
Individually evaluated for impairment   0  
Collectively evaluated for impairment   1,499  
Financing receivables:      
Individually evaluated for impairment   0  
Collectively evaluated for impairment   147,939  
Loans receivables 147,998 147,939  
Allowance for loan losses 1,425 1,499 2,009
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff 0 0  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Recovery 0 0  
Commercial | Construction | Cumulative Effect, Period of Adoption, Adjustment      
Financing receivables:      
Allowance for loan losses 70    
Commercial | Construction | Purchased credit impaired      
Allowance for credit losses:      
Financing Receivable, Allowance For Credit Losses, Purchased Credit Impaired Loans   0  
Financing receivables:      
Financing Receivable, Purchased Credit Impaired Loans   0  
Consumer | Real Estate      
Allowance for loan losses      
Provision (reversal) 921 262  
Allowance for credit losses:      
Individually evaluated for impairment   0  
Collectively evaluated for impairment   1,044  
Financing receivables:      
Individually evaluated for impairment   1,041  
Collectively evaluated for impairment   338,550  
Loans receivables 363,317 339,591  
Allowance for loan losses 3,822 1,044 781
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff 0 0  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Recovery 1 1  
Consumer | Real Estate | Cumulative Effect, Period of Adoption, Adjustment      
Financing receivables:      
Allowance for loan losses 1,856    
Consumer | Real Estate | Purchased credit impaired      
Allowance for credit losses:      
Financing Receivable, Allowance For Credit Losses, Purchased Credit Impaired Loans   0  
Financing receivables:      
Financing Receivable, Purchased Credit Impaired Loans   0  
Consumer | Nonresidential      
Allowance for loan losses      
Provision (reversal) (44) (97)  
Allowance for credit losses:      
Individually evaluated for impairment   0  
Collectively evaluated for impairment   97  
Financing receivables:      
Individually evaluated for impairment   0  
Collectively evaluated for impairment   7,685  
Loans receivables 5,743 7,685  
Allowance for loan losses 65 97 $ 217
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff 15 101  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Recovery 39 78  
Consumer | Nonresidential | Cumulative Effect, Period of Adoption, Adjustment      
Financing receivables:      
Allowance for loan losses $ (12)    
Consumer | Nonresidential | Purchased credit impaired      
Allowance for credit losses:      
Financing Receivable, Allowance For Credit Losses, Purchased Credit Impaired Loans   0  
Financing receivables:      
Financing Receivable, Purchased Credit Impaired Loans   $ 0  
v3.24.1
Loans and Allowance for Credit Losses - Amortized cost basis of loans (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss $ 1,809,693 $ 1,824,394
Real Estate | Commercial | Real Estate    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 20,765  
Real Estate | Commercial | Commercial and industrial    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 0  
Real Estate | Commercial | Construction    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 0  
Real Estate | Consumer | Real Estate    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 654  
Real Estate | Consumer | Nonresidential    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 0  
Real Estate | Collateral-Dependent Loans    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 21,419  
Business / Other Assets | Commercial | Real Estate    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 0  
Business / Other Assets | Commercial | Commercial and industrial    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 1,070  
Business / Other Assets | Commercial | Construction    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 0  
Business / Other Assets | Consumer | Real Estate    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 0  
Business / Other Assets | Consumer | Nonresidential    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss 0  
Business / Other Assets | Collateral-Dependent Loans    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Financing Receivable, Excluding Accrued Interest, after Allowance for Credit Loss $ 1,070  
v3.24.1
Loans and Allowance for Credit Losses - Impaired Loans (Details)
$ in Thousands
12 Months Ended
Dec. 31, 2022
USD ($)
loan
Interest Income Recognized  
Number of impaired loans | loan 0
Originated Loan Portfolio  
Recorded Investment  
With an allowance recorded $ 1,319
With no related allowance 2,744
Unpaid Principal Balance  
With an allowance recorded 1,329
With no related allowance 2,747
Related Allowance 86
Average Recorded Investment  
With an allowance recorded 1,604
With no related allowance 2,752
Interest Income Recognized  
With an allowance recorded 107
With no related allowance 169
Originated Loan Portfolio | Commercial | Real Estate  
Recorded Investment  
With an allowance recorded 0
With no related allowance 1,703
Unpaid Principal Balance  
With an allowance recorded 0
With no related allowance 1,703
Related Allowance 0
Average Recorded Investment  
With an allowance recorded 0
With no related allowance 1,704
Interest Income Recognized  
With an allowance recorded 0
With no related allowance 135
Originated Loan Portfolio | Commercial | Commercial and industrial  
Recorded Investment  
With an allowance recorded 1,319
With no related allowance 0
Unpaid Principal Balance  
With an allowance recorded 1,329
With no related allowance 0
Related Allowance 86
Average Recorded Investment  
With an allowance recorded 1,604
With no related allowance 0
Interest Income Recognized  
With an allowance recorded 107
With no related allowance 0
Originated Loan Portfolio | Commercial | Construction  
Recorded Investment  
With an allowance recorded 0
With no related allowance 0
Unpaid Principal Balance  
With an allowance recorded 0
With no related allowance 0
Related Allowance 0
Average Recorded Investment  
With an allowance recorded 0
With no related allowance 0
Interest Income Recognized  
With an allowance recorded 0
With no related allowance 0
Originated Loan Portfolio | Consumer | Real Estate  
Recorded Investment  
With an allowance recorded 0
With no related allowance 1,041
Unpaid Principal Balance  
With an allowance recorded 0
With no related allowance 1,044
Related Allowance 0
Average Recorded Investment  
With an allowance recorded 0
With no related allowance 1,048
Interest Income Recognized  
With an allowance recorded 0
With no related allowance 34
Originated Loan Portfolio | Consumer | Nonresidential  
Recorded Investment  
With an allowance recorded 0
With no related allowance 0
Unpaid Principal Balance  
With an allowance recorded 0
With no related allowance 0
Related Allowance 0
Average Recorded Investment  
With an allowance recorded 0
With no related allowance 0
Interest Income Recognized  
With an allowance recorded 0
With no related allowance $ 0
v3.24.1
Loans and Allowance for Credit Losses - Risk category (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior $ 400,186  
2019 94,766  
2020 86,630  
2021 198,694  
2022 464,168  
2023 172,025  
Revolving Loans Amort. Cost Basis 412,095  
Revolving Loans Convert. to Term 0  
Loans receivables 1,828,564 $ 1,840,696
Financing receivables 1,828,564 1,840,696
Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 700  
Financing receivables 700  
Commercial | Real Estate    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 343,033  
2019 84,285  
2020 71,413  
2021 149,940  
2022 211,786  
2023 77,338  
Revolving Loans Amort. Cost Basis 153,838  
Revolving Loans Convert. to Term 0  
Loans receivables 1,091,633 1,100,261
Financing receivables 1,091,633 1,100,261
Commercial | Real Estate | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 341,765  
2019 82,924  
2020 70,564  
2021 147,252  
2022 211,786  
2023 57,422  
Revolving Loans Amort. Cost Basis 153,838  
Revolving Loans Convert. to Term 0  
Loans receivables 1,065,551  
Financing receivables 1,065,551  
Commercial | Real Estate | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 1,268  
2019 1,361  
2020 0  
2021 2,688  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 5,317  
Financing receivables 5,317  
Commercial | Real Estate | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 849  
2021 0  
2022 0  
2023 19,916  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 20,765  
Financing receivables 20,765  
Commercial | Real Estate | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Commercial | Real Estate | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Commercial | Commercial and industrial    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 9,997  
2019 2,285  
2020 6,296  
2021 13,699  
2022 55,668  
2023 42,034  
Revolving Loans Amort. Cost Basis 89,894  
Revolving Loans Convert. to Term 0  
Loans receivables 219,873 245,220
Financing receivables 219,873 245,220
Commercial | Commercial and industrial | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 9,997  
2019 2,285  
2020 6,296  
2021 13,623  
2022 54,784  
2023 42,034  
Revolving Loans Amort. Cost Basis 88,926  
Revolving Loans Convert. to Term 0  
Loans receivables 217,945  
Financing receivables 217,945  
Commercial | Commercial and industrial | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 76  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 782  
Revolving Loans Convert. to Term 0  
Loans receivables 858  
Financing receivables 858  
Commercial | Commercial and industrial | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 884  
2023 0  
Revolving Loans Amort. Cost Basis 186  
Revolving Loans Convert. to Term 0  
Loans receivables 1,070  
Financing receivables 1,070  
Commercial | Commercial and industrial | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Commercial | Commercial and industrial | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Commercial | Construction    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 11,149  
2019 0  
2020 0  
2021 6,204  
2022 0  
2023 709  
Revolving Loans Amort. Cost Basis 129,936  
Revolving Loans Convert. to Term 0  
Loans receivables 147,998 147,939
Financing receivables 147,998 147,939
Commercial | Construction | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 11,149  
2019 0  
2020 0  
2021 6,204  
2022 0  
2023 709  
Revolving Loans Amort. Cost Basis 129,936  
Revolving Loans Convert. to Term 0  
Loans receivables 147,998  
Financing receivables 147,998  
Commercial | Construction | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Commercial | Construction | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Commercial | Construction | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Commercial | Construction | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Consumer | Real Estate    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 35,348  
2019 8,196  
2020 8,914  
2021 28,848  
2022 196,678  
2023 51,767  
Revolving Loans Amort. Cost Basis 33,566  
Revolving Loans Convert. to Term 0  
Loans receivables 363,317 339,591
Financing receivables 363,317 339,591
Consumer | Real Estate | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 35,240  
2019 8,196  
2020 8,914  
2021 28,848  
2022 196,678  
2023 51,767  
Revolving Loans Amort. Cost Basis 32,963  
Revolving Loans Convert. to Term 0  
Loans receivables 362,606  
Financing receivables 362,606  
Consumer | Real Estate | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 57  
Revolving Loans Convert. to Term 0  
Loans receivables 57  
Financing receivables 57  
Consumer | Real Estate | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 108  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 546  
Revolving Loans Convert. to Term 0  
Loans receivables 654  
Financing receivables 654  
Consumer | Real Estate | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Consumer | Real Estate | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Consumer | Nonresidential    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 659  
2019 0  
2020 7  
2021 3  
2022 36  
2023 177  
Revolving Loans Amort. Cost Basis 4,861  
Revolving Loans Convert. to Term 0  
Loans receivables 5,743 7,685
Financing receivables 5,743 7,685
Consumer | Nonresidential | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 659  
2019 0  
2020 7  
2021 3  
2022 36  
2023 177  
Revolving Loans Amort. Cost Basis 4,861  
Revolving Loans Convert. to Term 0  
Loans receivables 5,743  
Financing receivables 5,743  
Consumer | Nonresidential | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Consumer | Nonresidential | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Consumer | Nonresidential | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Consumer | Nonresidential | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Prior 0  
2019 0  
2020 0  
2021 0  
2022 0  
2023 0  
Revolving Loans Amort. Cost Basis 0  
Revolving Loans Convert. to Term 0  
Loans receivables 0  
Financing receivables 0  
Originated Loan Portfolio    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 1,828,564 1,805,496
Financing receivables 1,828,564 1,805,496
Originated Loan Portfolio | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   1,790,996
Financing receivables   1,790,996
Originated Loan Portfolio | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 6,200 10,437
Financing receivables 6,200 10,437
Originated Loan Portfolio | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 22,500 4,063
Financing receivables 22,500 4,063
Decrease in related to loans 18,400  
Originated Loan Portfolio | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Commercial | Real Estate    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 1,091,633 1,085,513
Financing receivables 1,091,633 1,085,513
Originated Loan Portfolio | Commercial | Real Estate | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   1,077,526
Financing receivables   1,077,526
Originated Loan Portfolio | Commercial | Real Estate | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   6,284
Financing receivables   6,284
Originated Loan Portfolio | Commercial | Real Estate | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   1,703
Financing receivables   1,703
Originated Loan Portfolio | Commercial | Real Estate | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Commercial | Real Estate | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Commercial | Commercial and industrial    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 219,873 242,307
Financing receivables 219,873 242,307
Originated Loan Portfolio | Commercial | Commercial and industrial | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   237,638
Financing receivables   237,638
Originated Loan Portfolio | Commercial | Commercial and industrial | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   3,350
Financing receivables   3,350
Originated Loan Portfolio | Commercial | Commercial and industrial | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   1,319
Financing receivables   1,319
Originated Loan Portfolio | Commercial | Commercial and industrial | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Commercial | Commercial and industrial | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Commercial | Construction    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 147,998 147,436
Financing receivables 147,998 147,436
Originated Loan Portfolio | Commercial | Construction | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   147,436
Financing receivables   147,436
Originated Loan Portfolio | Commercial | Construction | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Commercial | Construction | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Commercial | Construction | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Commercial | Construction | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Consumer | Real Estate    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 363,317 322,579
Financing receivables 363,317 322,579
Originated Loan Portfolio | Consumer | Real Estate | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   320,735
Financing receivables   320,735
Originated Loan Portfolio | Consumer | Real Estate | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   803
Financing receivables   803
Originated Loan Portfolio | Consumer | Real Estate | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   1,041
Financing receivables   1,041
Originated Loan Portfolio | Consumer | Real Estate | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Consumer | Real Estate | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Consumer | Nonresidential    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 5,743 7,661
Financing receivables 5,743 7,661
Originated Loan Portfolio | Consumer | Nonresidential | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   7,661
Financing receivables   7,661
Originated Loan Portfolio | Consumer | Nonresidential | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Consumer | Nonresidential | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Consumer | Nonresidential | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Originated Loan Portfolio | Consumer | Nonresidential | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   35,200
Financing receivables   35,200
Acquired Loan Portfolio | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   35,200
Financing receivables   35,200
Acquired Loan Portfolio | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Commercial | Real Estate    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 1,828,564 14,748
Financing receivables 1,828,564 14,748
Acquired Loan Portfolio | Commercial | Real Estate | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 1,799,843 14,748
Financing receivables 1,799,843 14,748
Acquired Loan Portfolio | Commercial | Real Estate | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 6,232 0
Financing receivables 6,232 0
Acquired Loan Portfolio | Commercial | Real Estate | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 22,489 0
Financing receivables 22,489 0
Acquired Loan Portfolio | Commercial | Real Estate | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 0 0
Financing receivables 0 0
Acquired Loan Portfolio | Commercial | Real Estate | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables 0 0
Financing receivables $ 0 0
Acquired Loan Portfolio | Commercial | Commercial and industrial    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   2,913
Financing receivables   2,913
Acquired Loan Portfolio | Commercial | Commercial and industrial | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   2,913
Financing receivables   2,913
Acquired Loan Portfolio | Commercial | Commercial and industrial | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Commercial | Commercial and industrial | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Commercial | Commercial and industrial | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Commercial | Commercial and industrial | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Commercial | Construction    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   503
Financing receivables   503
Acquired Loan Portfolio | Commercial | Construction | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   503
Financing receivables   503
Acquired Loan Portfolio | Commercial | Construction | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Commercial | Construction | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Commercial | Construction | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Commercial | Construction | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Consumer | Real Estate    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   17,012
Financing receivables   17,012
Acquired Loan Portfolio | Consumer | Real Estate | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   17,012
Financing receivables   17,012
Acquired Loan Portfolio | Consumer | Real Estate | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Consumer | Real Estate | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Consumer | Real Estate | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Consumer | Real Estate | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Consumer | Nonresidential    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   24
Financing receivables   24
Acquired Loan Portfolio | Consumer | Nonresidential | Pass    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   24
Financing receivables   24
Acquired Loan Portfolio | Consumer | Nonresidential | Special mention    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Consumer | Nonresidential | Substandard    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Consumer | Nonresidential | Doubtful    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   0
Acquired Loan Portfolio | Consumer | Nonresidential | Loss    
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract]    
Loans receivables   0
Financing receivables   $ 0
v3.24.1
Loans and Allowance for Credit Losses - Past due and Non accrual of loans (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Loans and Allowance for Loan Losses    
Financing receivables $ 1,828,564 $ 1,840,696
Substandard    
Loans and Allowance for Loan Losses    
Financing receivables 700  
Commercial | Real Estate    
Loans and Allowance for Loan Losses    
Financing receivables 1,091,633 1,100,261
Commercial | Real Estate | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables 5,317  
Commercial | Real Estate | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables 20,765  
Commercial | Real Estate | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Commercial | Commercial and industrial    
Loans and Allowance for Loan Losses    
Financing receivables 219,873 245,220
Commercial | Commercial and industrial | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables 858  
Commercial | Commercial and industrial | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables 1,070  
Commercial | Construction    
Loans and Allowance for Loan Losses    
Financing receivables 147,998 147,939
Commercial | Construction | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables 0  
Commercial | Construction | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables 0  
Consumer | Real Estate    
Loans and Allowance for Loan Losses    
Financing receivables 363,317 339,591
Consumer | Real Estate | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables 57  
Consumer | Real Estate | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables 654  
Consumer | Nonresidential    
Loans and Allowance for Loan Losses    
Financing receivables 5,743 7,685
Consumer | Nonresidential | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables 0  
Consumer | Nonresidential | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables 0  
Originated Loan Portfolio    
Loans and Allowance for Loan Losses    
Financing receivables 1,828,564 1,805,496
90 days past due and still accruing   1,343
Nonaccruals 1,689 3,150
Originated Loan Portfolio | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables 6,200 10,437
Originated Loan Portfolio | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables 22,500 4,063
Originated Loan Portfolio | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 5,035 1,863
Originated Loan Portfolio | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 1,778 63
Originated Loan Portfolio | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 140 4,493
Originated Loan Portfolio | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 6,953 6,419
Originated Loan Portfolio | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 1,819,922 1,799,077
Originated Loan Portfolio | Commercial | Real Estate    
Loans and Allowance for Loan Losses    
Financing receivables 1,091,633 1,085,513
90 days past due and still accruing   393
Nonaccruals 849 1,703
Originated Loan Portfolio | Commercial | Real Estate | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables   6,284
Originated Loan Portfolio | Commercial | Real Estate | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables   1,703
Originated Loan Portfolio | Commercial | Real Estate | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 1,115 546
Originated Loan Portfolio | Commercial | Real Estate | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 0  
Originated Loan Portfolio | Commercial | Real Estate | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 0 2,096
Originated Loan Portfolio | Commercial | Real Estate | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 1,115 2,642
Originated Loan Portfolio | Commercial | Real Estate | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 1,089,669 1,082,871
Originated Loan Portfolio | Commercial | Commercial and industrial    
Loans and Allowance for Loan Losses    
Financing receivables 219,873 242,307
90 days past due and still accruing   0
Nonaccruals 186 1,319
Originated Loan Portfolio | Commercial | Commercial and industrial | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables   3,350
Originated Loan Portfolio | Commercial | Commercial and industrial | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables   1,319
Originated Loan Portfolio | Commercial | Commercial and industrial | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 51 512
Originated Loan Portfolio | Commercial | Commercial and industrial | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 1,387 0
Originated Loan Portfolio | Commercial | Commercial and industrial | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 0 1,319
Originated Loan Portfolio | Commercial | Commercial and industrial | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 1,438 1,831
Originated Loan Portfolio | Commercial | Commercial and industrial | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 218,249 240,476
Originated Loan Portfolio | Commercial | Construction    
Loans and Allowance for Loan Losses    
Financing receivables 147,998 147,436
90 days past due and still accruing   125
Nonaccruals 0 0
Originated Loan Portfolio | Commercial | Construction | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables   0
Originated Loan Portfolio | Commercial | Construction | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables   0
Originated Loan Portfolio | Commercial | Construction | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 2,569 0
Originated Loan Portfolio | Commercial | Construction | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 391 0
Originated Loan Portfolio | Commercial | Construction | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 0 125
Originated Loan Portfolio | Commercial | Construction | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 2,960 125
Originated Loan Portfolio | Commercial | Construction | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 145,038 147,311
Originated Loan Portfolio | Consumer | Real Estate    
Loans and Allowance for Loan Losses    
Financing receivables 363,317 322,579
90 days past due and still accruing   825
Nonaccruals 654 128
Originated Loan Portfolio | Consumer | Real Estate | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables   803
Originated Loan Portfolio | Consumer | Real Estate | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables   1,041
Originated Loan Portfolio | Consumer | Real Estate | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 1,300 805
Originated Loan Portfolio | Consumer | Real Estate | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 0 0
Originated Loan Portfolio | Consumer | Real Estate | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 134 953
Originated Loan Portfolio | Consumer | Real Estate | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 1,434 1,758
Originated Loan Portfolio | Consumer | Real Estate | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 361,229 320,821
Originated Loan Portfolio | Consumer | Nonresidential    
Loans and Allowance for Loan Losses    
Financing receivables 5,743 7,661
90 days past due and still accruing   0
Nonaccruals 0 0
Originated Loan Portfolio | Consumer | Nonresidential | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables   0
Originated Loan Portfolio | Consumer | Nonresidential | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables   0
Originated Loan Portfolio | Consumer | Nonresidential | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 0 0
Originated Loan Portfolio | Consumer | Nonresidential | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 0 63
Originated Loan Portfolio | Consumer | Nonresidential | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 6 0
Originated Loan Portfolio | Consumer | Nonresidential | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 6 63
Originated Loan Portfolio | Consumer | Nonresidential | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables 5,737 7,598
Acquired Loan Portfolio    
Loans and Allowance for Loan Losses    
Financing receivables   35,200
Nonaccruals   0
Financing Receivable, Excluding Accrued Interest, 90 Days or More Past Due, Still Accruing   0
Acquired Loan Portfolio | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   35,200
Acquired Loan Portfolio | Commercial | Real Estate    
Loans and Allowance for Loan Losses    
Financing receivables 1,828,564 14,748
Nonaccruals   0
Financing Receivable, Excluding Accrued Interest, 90 Days or More Past Due, Still Accruing   0
Acquired Loan Portfolio | Commercial | Real Estate | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables 6,232 0
Acquired Loan Portfolio | Commercial | Real Estate | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables $ 22,489 0
Acquired Loan Portfolio | Commercial | Real Estate | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Real Estate | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Real Estate | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Real Estate | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Real Estate | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   14,748
Acquired Loan Portfolio | Commercial | Commercial and industrial    
Loans and Allowance for Loan Losses    
Financing receivables   2,913
Nonaccruals   0
Financing Receivable, Excluding Accrued Interest, 90 Days or More Past Due, Still Accruing   0
Acquired Loan Portfolio | Commercial | Commercial and industrial | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Commercial and industrial | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Commercial and industrial | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Commercial and industrial | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Commercial and industrial | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Commercial and industrial | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Commercial and industrial | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   2,913
Acquired Loan Portfolio | Commercial | Construction    
Loans and Allowance for Loan Losses    
Financing receivables   503
Nonaccruals   0
Financing Receivable, Excluding Accrued Interest, 90 Days or More Past Due, Still Accruing   0
Acquired Loan Portfolio | Commercial | Construction | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Construction | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Construction | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Construction | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Construction | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Construction | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Commercial | Construction | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   503
Acquired Loan Portfolio | Consumer | Real Estate    
Loans and Allowance for Loan Losses    
Financing receivables   17,012
Nonaccruals   0
Financing Receivable, Excluding Accrued Interest, 90 Days or More Past Due, Still Accruing   0
Acquired Loan Portfolio | Consumer | Real Estate | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Real Estate | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Real Estate | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Real Estate | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Real Estate | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Real Estate | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Real Estate | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   17,012
Acquired Loan Portfolio | Consumer | Nonresidential    
Loans and Allowance for Loan Losses    
Financing receivables   24
Nonaccruals   0
Financing Receivable, Excluding Accrued Interest, 90 Days or More Past Due, Still Accruing   0
Acquired Loan Portfolio | Consumer | Nonresidential | Special mention    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Nonresidential | Substandard    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Nonresidential | Financial Asset, 30 to 59 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Nonresidential | Financial Asset, 60 to 89 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Nonresidential | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Nonresidential | Financial Asset, Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   0
Acquired Loan Portfolio | Consumer | Nonresidential | Financial Asset, Not Past Due [Member]    
Loans and Allowance for Loan Losses    
Financing receivables   $ 24
v3.24.1
Loans and Allowance for Credit Losses - Non accrual of loans (Details)
$ in Thousands
12 Months Ended
Dec. 31, 2023
USD ($)
Loans and Allowance for Loan Losses  
Nonaccrual with No Allowance for Credit Losses $ 1,503
Nonaccrual with an Allowance for Credit Losses 186
Total Nonaccrual Loans 1,689
Interest Income Recognized 109
Commercial | Real Estate  
Loans and Allowance for Loan Losses  
Nonaccrual with No Allowance for Credit Losses 849
Nonaccrual with an Allowance for Credit Losses 0
Total Nonaccrual Loans 849
Interest Income Recognized 37
Commercial | Commercial and industrial  
Loans and Allowance for Loan Losses  
Nonaccrual with No Allowance for Credit Losses 0
Nonaccrual with an Allowance for Credit Losses 186
Total Nonaccrual Loans 186
Interest Income Recognized 19
Commercial | Construction  
Loans and Allowance for Loan Losses  
Nonaccrual with No Allowance for Credit Losses 0
Nonaccrual with an Allowance for Credit Losses 0
Total Nonaccrual Loans 0
Interest Income Recognized 0
Consumer | Real Estate  
Loans and Allowance for Loan Losses  
Nonaccrual with No Allowance for Credit Losses 654
Nonaccrual with an Allowance for Credit Losses 0
Total Nonaccrual Loans 654
Interest Income Recognized 53
Consumer | Nonresidential  
Loans and Allowance for Loan Losses  
Nonaccrual with No Allowance for Credit Losses 0
Nonaccrual with an Allowance for Credit Losses 0
Total Nonaccrual Loans 0
Interest Income Recognized $ 0
v3.24.1
Loans and Allowance for Credit Losses - Narrative (Details)
12 Months Ended
Dec. 31, 2023
USD ($)
loan
Jan. 01, 2023
USD ($)
Dec. 31, 2022
USD ($)
Receivables [Abstract]      
Financing Receivable, Modifications, Number of Contracts | loan 5    
Financing Receivable, Modified in Period, Amount $ 3,500,000    
Reserves for unfunded commitments 602,000 $ 811,000 $ 0
Loans and allowance - Risk category of loans      
Financing receivables $ 1,828,564,000   1,840,696,000
Financing Receivable, Modifications, Number of Contracts | loan 5    
Financing Receivable, Modified in Period, Amount $ 3,500,000    
Reserves for unfunded commitments 602,000 $ 811,000 0
Originated Loan Portfolio      
Loans and allowance - Risk category of loans      
Financing receivables 1,828,564,000   1,805,496,000
Originated Loan Portfolio | Special mention      
Loans and allowance - Risk category of loans      
Financing receivables $ 6,200,000   $ 10,437,000
v3.24.1
Loans and Allowance for Credit Losses (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Financing Receivable, Allowance for Credit Loss [Line Items]    
Total provision for credit losses $ 132 $ 2,629
Provision for (reversal of) credit losses - loans    
Financing Receivable, Allowance for Credit Loss [Line Items]    
Total provision for credit losses 342 2,629
Provision for (reversal of) credit losses - unfunded commitments    
Financing Receivable, Allowance for Credit Loss [Line Items]    
Total provision for credit losses $ (210) $ 0
v3.24.1
Goodwill and Intangibles - Amortizable intangibles (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Finite-lived Intangible Assets [Roll Forward]    
Gross Carrying Amount, beginning period $ 2,154 $ 2,154
Gross Carrying Amount, ending period 2,154 2,154
Amortization during the period 205 262
Accumulated Amortization, beginning period 1,521 1,259
Accumulated Amortization, ending period 1,726 1,521
1st Commonwealth    
Finite-lived Intangible Assets [Roll Forward]    
Gross Carrying Amount, beginning period 204 204
Gross Carrying Amount, ending period 204 204
Amortization during the period 0 19
Accumulated Amortization, beginning period 204 185
Accumulated Amortization, ending period 204 204
Colombo    
Finite-lived Intangible Assets [Roll Forward]    
Gross Carrying Amount, beginning period 1,950 1,950
Gross Carrying Amount, ending period 1,950 1,950
Amortization during the period 205 243
Accumulated Amortization, beginning period 1,317 1,074
Accumulated Amortization, ending period $ 1,522 $ 1,317
v3.24.1
Goodwill and Intangibles - Estimated amortization expense (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]    
Amortization during the period $ 205 $ 262
Estimated amortization expense    
2024 165  
2025 125  
2026 85  
2027 45  
2028 8  
Thereafter 0  
Finite-lived intangible assets, total $ 428  
v3.24.1
Goodwill and Intangibles - Carrying amount of goodwill (Details)
$ in Thousands
Dec. 31, 2023
USD ($)
Carrying amount of goodwill  
Beginning balance $ 7,157
Ending balance $ 7,157
v3.24.1
Premises, Equipment, and Leases - Summary (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Premises and Equipment    
Premises and equipment, gross $ 7,942 $ 8,851
Less: accumulated depreciation 6,945 7,631
Premises and equipment, net 997 1,220
Leasehold improvements    
Premises and Equipment    
Premises and equipment, gross 2,622 3,068
Furniture, fixtures and equipment    
Premises and Equipment    
Premises and equipment, gross 3,833 4,310
Computer software    
Premises and Equipment    
Premises and equipment, gross 1,183 1,169
Land    
Premises and Equipment    
Premises and equipment, gross 61 61
Buildings    
Premises and Equipment    
Premises and equipment, gross 196 196
Vehicles    
Premises and Equipment    
Premises and equipment, gross $ 47 $ 47
v3.24.1
Premises, Equipment, and Leases - Narrative (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Property, Plant and Equipment [Abstract]    
Depreciation $ 390 $ 424
Gains (Losses) on Sales of Other Real Estate (273) 0
Office space reduction costs $ 273 $ 0
v3.24.1
Premises, Equipment, and Leases - Lease Information (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Property, Plant and Equipment [Abstract]    
Operating lease right-of-use assets $ 8,395 $ 9,680
Lease liability $ 9,241 $ 10,394
Weighted Average Remaining Lease Term (Years) 7 years 1 month 6 days 7 years 10 months 24 days
Weighted Average discount rate 0.0327% 0.0321%
v3.24.1
Premises, Equipment, and Leases - Supplemental Cash Flow Information (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Property, Plant and Equipment [Abstract]    
Operating Lease Expense $ 1,733 $ 1,504
Cash paid for amounts included in lease liabilities 1,840 1,541
Operating Lease, Impairment Loss 228 0
Modification of right-of-use assets and lease liability 0 283
Right-of-use assets obtained in the exchange for lease liabilities during the current period $ 820 $ 522
v3.24.1
Premises, Equipment, and Leases - Maturity Schedule (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Schedule of undiscounted cash flows    
2024 $ 1,814  
2025 1,665  
2026 1,574  
2027 1,448  
2028 814  
Thereafter 3,061  
Total 10,376  
Less: discount (1,135)  
Operating lease liabilities $ 9,241 $ 10,394
v3.24.1
Deposits (Details)
$ in Thousands
Dec. 31, 2023
USD ($)
customer
Dec. 31, 2022
USD ($)
customer
Maturities on certificates of deposits    
2024 $ 438,745  
2025 81,721  
2026 12,822  
2027 17,397  
2028 914  
Thereafter 0  
Total time deposits 551,599 $ 508,413
Time deposits of $250,000 and greater $ 164,900 $ 159,500
Customer relationships, balance on deposit exceeded 5% of outstanding deposits | customer 1 1
Customer relationships deposits to outstanding deposits (in percent) 9.00% 9.00%
Brokered deposits $ 245,300 $ 248,000
v3.24.1
Other Borrowed Funds - Other borrowed funds (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Federal Funds Purchased    
Balance Outstanding at December 31, $ 0 $ 30,000
Maximum balance at any month end during the year 0 115,000
Average balance for the year $ 0 $ 22,164
Weighted average rate on borrowings for the year ended 0.00% 3.11%
FHLB Advances    
Balance Outstanding at December 31, $ 85,000 $ 235,000
Maximum balance at any month end during the year 245,000 235,000
Average balance for the year $ 101,682 $ 48,134
Weighted average rate on borrowings for the year ended 3.77% 2.60%
Subordinated Debt, net    
Balance Outstanding at December 31, $ 19,620 $ 19,565
Maximum balance at any month end during the year 19,620 19,565
Average balance for the year $ 19,590 $ 19,535
Weighted average rate on borrowings for the year ended 5.26% 5.28%
v3.24.1
Other Borrowed Funds (Details) - USD ($)
12 Months Ended
Oct. 13, 2020
Dec. 31, 2023
Dec. 31, 2022
Jun. 20, 2016
Other Borrowed Funds        
FHLB advances   $ 85,000,000 $ 235,000,000  
FHLB advances outstanding maturing during the next quarter   85,000,000    
Remaining amount of available line of credit   575,000,000    
Remaining lendable collateral value   260,400,000    
Line of credit borrowing capacity   185,000,000 265,000,000  
Amount of advances from correspondent bank     30,000,000  
Repayments of debt   $ 0 1,250,000  
Subordinated Notes        
Other Borrowed Funds        
Face amount       $ 25,000,000
Interest rate       6.00%
Redemption price percentage of outstanding principal amount   100.00%    
Principal amount redeemed     $ 23,800,000  
Subordinated Notes | Minimum [Member]        
Other Borrowed Funds        
Notice period for redeem the subordinated notes   30 days    
Subordinated Notes | Maximum [Member]        
Other Borrowed Funds        
Notice period for redeem the subordinated notes   60 days    
Subordinated Notes | London Inter bank Offered Rate LIBOR Member        
Other Borrowed Funds        
Variable interest rate (as a percent)   4.87%    
Subordinated Notes due 2030        
Other Borrowed Funds        
Face amount $ 20,000,000      
Interest rate 4.875%      
Term for fixed interest rate 5 years      
Subordinated Notes due 2030 | 3-month SOFR        
Other Borrowed Funds        
Variable interest rate (as a percent) 4.71%      
Subordinated debt due June 30, 2021        
Other Borrowed Funds        
Repayments of debt $ 25,000,000      
1-4 family residential loans        
Other Borrowed Funds        
Book value of loans pledged against available line of credit   $ 176,600,000    
Multi-family residential loans        
Other Borrowed Funds        
Book value of loans pledged against available line of credit   66,200,000    
Home equity lines of credit        
Other Borrowed Funds        
Book value of loans pledged against available line of credit   4,900,000    
Commercial real estate loans        
Other Borrowed Funds        
Book value of loans pledged against available line of credit   $ 177,700,000    
v3.24.1
Income Taxes - Deferred tax assets and deferred tax liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Deferred Tax Assets:    
Allowance for credit losses $ 4,304 $ 3,698
Net operating loss carryforward – federal and state 3,061 2,466
Bank premises and equipment 301 265
Nonqualified stock options and restricted stock 500 658
Organizational and start-up expenses 13 10
Acquisition accounting adjustments 0 257
Non-accrual loan interest 52 59
Deferred loan costs 0 60
Lease liability 2,108 2,396
Unrealized loss on securities available for sale 7,777 11,876
Reserves for unfunded commitments 137 0
Total deferred tax assets 18,253 21,745
Deferred Tax Liabilities:    
Right-of-use assets (1,894) (2,232)
Deferred Loan costs (307) 0
Acquisition accounting adjustments (564) 0
Unrealized gain on interest rate swap (665) (980)
Total deferred tax liabilities (3,430) (3,212)
Net Deferred Tax Assets $ 14,823 $ 18,533
v3.24.1
Income Taxes - Charged to operations (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]    
Current tax (benefit) expense $ (524) $ 5,610
Deferred tax expense 934 395
Total income tax expense (benefit) $ 410 $ 6,005
v3.24.1
Income Taxes - Reconciliation of income tax expense (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]    
Computed "expected" tax expense $ 875 $ 6,313
Increase (decrease) in income taxes resulting from:    
State income tax expense 275 503
Non-deductible expense 163 138
Tax free income (310) (259)
Tax benefits from exercise of stock options (352) (364)
Other (241) (326)
Total income tax expense (benefit) $ 410 $ 6,005
v3.24.1
Income Taxes - Net operating loss carryforwards (Details) - Internal Revenue Code - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Income Taxes    
Net operating loss carryforwards $ 10,100  
Net operating loss carryforwards taxable income   $ 762
v3.24.1
Derivative Financial Instruments (Details)
$ in Thousands
12 Months Ended
Dec. 31, 2023
USD ($)
agreement
Dec. 31, 2022
USD ($)
agreement
Swap agreements    
Derivative Financial Instruments    
Number of swap agreements outstanding not included in the offsetting | agreement 17 15
Collateralized amount $ 30 $ 30
Receive Fixed/Pay Variable Swaps    
Derivative Financial Instruments    
Notional Amount 82,483 74,178
Derivative liabilities - interest rate swaps 2,853 4,260
Pay Fixed/Receive Variable Swaps    
Derivative Financial Instruments    
Notional Amount 82,483 74,178
Derivative asset, Fair Value $ (2,853) $ (4,260)
v3.24.1
Derivative Financial Instruments - Interest Rate Risk Management-Cash Flow Hedging Instruments (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Derivative Financial Instruments    
Unrealized gain/(loss) relating to interest rate swaps $ (1,337) $ 4,328
Cash flow hedge    
Derivative Financial Instruments    
Notional amount $ 250,000 $ 145,000
Weighted average pay rate 3.25% 2.12%
Weighted average receive rate 5.34% 4.74%
Weighted average maturity in years 4 years 10 days 3 years 5 months 26 days
Unrealized gain/(loss) relating to interest rate swaps $ 2,915 $ 4,251
v3.24.1
Financial Instruments with Off-Balance Sheet Risk (Details) - USD ($)
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Financial Instruments with Off-Balance Sheet Risk    
Cash on deposit in correspondent banks exceeding the federally insured limits $ 41,000 $ 1,400,000
Commitments to grant loans | Contract credit risk    
Financial Instruments with Off-Balance Sheet Risk    
Financial instruments outstanding 36,650,000 135,441,000
Unused commitments to fund loans and lines of credit | Contract credit risk    
Financial Instruments with Off-Balance Sheet Risk    
Financial instruments outstanding 215,892,000 235,617,000
Commercial and standby letters of credit | Contract credit risk    
Financial Instruments with Off-Balance Sheet Risk    
Financial instruments outstanding $ 26,024,000 $ 6,503,000
Letters of credit expiration period (in years) 1 year  
v3.24.1
Minimum Regulatory Capital Requirements (Details) - FVC bank
$ in Thousands
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Total risk-based capital, actual amount $ 261,403 $ 256,898
Total risk-based capital, actual ratio 0.1383 0.1328
Total risk-based capital, minimum capital requirement, amount $ 198,413 $ 203,113
Total risk-based capital, minimum capital requirement, ratio 0.1050 0.1050
Total risk-based capital, minimum to be well capitalized under prompt corrective action, amount $ 188,965 $ 193,441
Total risk-based capital, minimum to be well capitalized under prompt corrective action, ratio 0.1000 0.1000
Tier 1 risk-based capital, actual amount $ 241,930 $ 240,858
Tier 1 risk-based capital, actual ratio 0.1280 0.1245
Tier 1 risk-based capital, minimum capital requirement, amount $ 160,620 $ 164,425
Tier 1 risk-based capital, minimum capital requirement, ratio 8.50% 8.50%
Tier 1 risk-based capital, minimum to be well capitalized under prompt corrective action, amount $ 151,172 $ 154,753
Tier 1 risk-based capital, minimum to be well capitalized under prompt corrective action, ratio 0.0800 0.0800
Common equity tier 1 capital, actual amount $ 241,930 $ 240,858
Common equity tier 1 capital, actual ratio 0.1280 0.1245
Common equity tier 1 capital, minimum capital requirement, amount $ 132,275 $ 135,409
Common equity tier 1 capital, minimum capital requirement, ratio 0.0700 0.0700
Common equity tier 1 capital, minimum to be well capitalized under prompt corrective action, amount $ 122,827 $ 125,737
Common equity tier 1 capital, minimum to be well capitalized under prompt corrective action, ratio 0.0650 0.0650
Leverage capital ratio, actual, amount $ 241,930 $ 240,858
Leverage capital ratio, actual, ratio 0.1077 0.1075
Leverage capital ratio, minimum capital requirement, amount $ 89,842 $ 87,894
Leverage capital ratio, minimum capital requirement, ratio 0.0400 0.0400
Leverage capital ratio, minimum to be well capitalized under prompt corrective action, amount $ 112,302 $ 109,867
Leverage capital ratio, minimum to be well capitalized under prompt corrective action, ratio 0.0500 0.0500
Retained earnings available to pay dividends $ 33,900  
v3.24.1
Related Party Transactions (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Related Party Transactions    
Related party deposits $ 33.0 $ 38.4
Officers, directors and their affiliates    
Related Party Transactions    
Borrowing 47.6 37.9
Principal Addition 10.6 19.9
Principle payments $ 0.9 $ 1.5
v3.24.1
Stock-Based Compensation Plan (Details) - shares
1 Months Ended 12 Months Ended
May 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Stock-Based Compensation Plan      
Number of shares withheld to cover the cost of the exercise (in shares)   63,634 4,772
Amended and Restated 2008 Option Plan | Stock option      
Stock-Based Compensation Plan      
Additional shares authorized for issuance (in shares) 200,000    
Maximum shares authorized (in shares)   2,929,296  
Vesting period (in years)   4 years  
Contractual term (in years)   10 years  
Shares available for grant (in shares)   146,432  
Options granted (in shares)   0 0
v3.24.1
Stock-Based Compensation Plan - Options (Details) - Stock option - USD ($)
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Additional disclosures    
Total income tax benefits related to stock options exercised $ 352,000 $ 364,000
Compensation cost $ 1,100,000 $ 1,200,000
Amended and Restated 2008 Option Plan    
Shares    
Outstanding at the beginning of the year (in shares) 1,621,920  
Granted (in shares) 0 0
Exercised (in shares) (427,135)  
Forfeited or expired (in shares) (20,654)  
Outstanding at the end of the year (in shares) 1,174,131 1,621,920
Exercisable at the end of the year (in shares) 1,174,131  
Weighted-Average Exercise Price    
Outstanding at the beginning of the year (in dollars per share) $ 6.82  
Granted (in dollars per share) 0  
Exercised (in dollars per share) 5.99  
Forfeited or expired (in dollars per share) 5.76  
Outstanding at the end of the year (in dollars per share) 7.14 $ 6.82
Exercisable at the end of the year (in dollars per share) $ 7.14  
Additional disclosures    
Outstanding Weighted-Average Remaining Contractual Term (in years)   1 year 9 months 21 days
Exercisable Weighted-Average Remaining Contractual Term (in years) 1 year 3 months 18 days  
Exercisable Aggregate Intrinsic Value $ 8,287,812  
v3.24.1
Stock-Based Compensation Plan - Restricted stock (Details) - Restricted stock
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2023
USD ($)
$ / shares
shares
Weighted Average Grant Date Fair Value  
Unrecognized compensation cost | $ $ 1.9
Weighted-average recognition period (in months) 25 months
Amended and Restated 2008 Option Plan  
Number of Shares  
Balance at the beginning of the year (in shares) | shares 278,245
Granted (in shares) | shares 11,438
Vested (in shares) | shares (96,062)
Forfeited (in shares) | shares (14,506)
Balance at the end of the year (in shares) | shares 179,115
Weighted Average Grant Date Fair Value  
Outstanding at the beginning of the year (in dollars per share) | $ / shares $ 14.63
Granted (in dollars per share) | $ / shares 10.77
Vested (in dollars per share) | $ / shares 14.67
Forfeited (in dollars per share) | $ / shares 15.36
Outstanding at the end of the year (in dollars per share) | $ / shares $ 14.30
v3.24.1
Fair Value Measurements - Financial assets and liabilities measured at fair value on a recurring basis (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Assets    
Securities available-for-sale, at fair value $ 171,595 $ 278,069
Carrying Amount    
Assets    
Securities available-for-sale, at fair value 171,595 278,069
Cash flow hedge | Carrying Amount    
Assets    
Derivative assets 2,915 4,251
Interest rate swaps | Carrying Amount    
Assets    
Derivative assets 2,853 4,260
Financial liabilities:    
Derivative liabilities - interest rate swaps 2,853 4,260
Securities of U.S. government and federal agencies    
Assets    
Securities available-for-sale, at fair value 8,470 11,004
Corporate bonds    
Assets    
Securities available-for-sale, at fair value 17,648 19,058
SBA pass-through securities    
Assets    
Securities available-for-sale, at fair value 57 67
Mortgage-backed securities    
Assets    
Securities available-for-sale, at fair value 140,942 237,434
Collateralized mortgage obligations    
Assets    
Securities available-for-sale, at fair value 3,077 8,686
Level 1    
Assets    
Securities available-for-sale, at fair value 0 0
Level 1 | Cash flow hedge    
Assets    
Derivative assets 0 0
Level 1 | Interest rate swaps    
Assets    
Derivative assets 0 0
Financial liabilities:    
Derivative liabilities - interest rate swaps 0 0
Level 2    
Assets    
Securities available-for-sale, at fair value 171,595 278,069
Level 2 | Cash flow hedge    
Assets    
Derivative assets 2,915 4,251
Level 2 | Interest rate swaps    
Assets    
Derivative assets 2,853 4,260
Financial liabilities:    
Derivative liabilities - interest rate swaps 2,853 4,260
Level 3    
Assets    
Securities available-for-sale, at fair value 0 0
Level 3 | Cash flow hedge    
Assets    
Derivative assets 0 0
Level 3 | Interest rate swaps    
Assets    
Derivative assets 0 0
Financial liabilities:    
Derivative liabilities - interest rate swaps 0 0
Recurring    
Assets    
Securities available-for-sale, at fair value 171,595 278,069
Recurring | Securities of U.S. government and federal agencies    
Assets    
Securities available-for-sale, at fair value 8,470 11,004
Recurring | Securities of state and local municipalities tax exempt    
Assets    
Securities available-for-sale, at fair value 997 1,376
Recurring | Securities of state and local municipalities taxable    
Assets    
Securities available-for-sale, at fair value 404 444
Recurring | Corporate bonds    
Assets    
Securities available-for-sale, at fair value 17,648 19,058
Recurring | SBA pass-through securities    
Assets    
Securities available-for-sale, at fair value 57 67
Recurring | Mortgage-backed securities    
Assets    
Securities available-for-sale, at fair value 140,942 237,434
Recurring | Collateralized mortgage obligations    
Assets    
Securities available-for-sale, at fair value 3,077 8,686
Recurring | Level 1    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 1 | Securities of U.S. government and federal agencies    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 1 | Securities of state and local municipalities tax exempt    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 1 | Securities of state and local municipalities taxable    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 1 | Corporate bonds    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 1 | SBA pass-through securities    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 1 | Mortgage-backed securities    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 1 | Collateralized mortgage obligations    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 2    
Assets    
Securities available-for-sale, at fair value 171,595 278,069
Recurring | Level 2 | Securities of U.S. government and federal agencies    
Assets    
Securities available-for-sale, at fair value 8,470 11,004
Recurring | Level 2 | Securities of state and local municipalities tax exempt    
Assets    
Securities available-for-sale, at fair value 997 1,376
Recurring | Level 2 | Securities of state and local municipalities taxable    
Assets    
Securities available-for-sale, at fair value 404 444
Recurring | Level 2 | Corporate bonds    
Assets    
Securities available-for-sale, at fair value 17,648 19,058
Recurring | Level 2 | SBA pass-through securities    
Assets    
Securities available-for-sale, at fair value 57 67
Recurring | Level 2 | Mortgage-backed securities    
Assets    
Securities available-for-sale, at fair value 140,942 237,434
Recurring | Level 2 | Collateralized mortgage obligations    
Assets    
Securities available-for-sale, at fair value 3,077 8,686
Recurring | Level 3    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 3 | Securities of U.S. government and federal agencies    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 3 | Securities of state and local municipalities tax exempt    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 3 | Securities of state and local municipalities taxable    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 3 | Corporate bonds    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 3 | SBA pass-through securities    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 3 | Mortgage-backed securities    
Assets    
Securities available-for-sale, at fair value 0 0
Recurring | Level 3 | Collateralized mortgage obligations    
Assets    
Securities available-for-sale, at fair value $ 0 $ 0
v3.24.1
Fair Value Measurements - Assets measured at fair value on a nonrecurring basis (Details) - Nonrecurring - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Assets    
Impaired loans $ 1,245 $ 1,233
Commercial and industrial    
Assets    
Impaired loans 396 1,233
Nonresidential    
Assets    
Impaired loans 849  
Level 1    
Assets    
Impaired loans 0 0
Level 1 | Commercial and industrial    
Assets    
Impaired loans 0 0
Level 1 | Nonresidential    
Assets    
Impaired loans 0  
Level 2    
Assets    
Impaired loans 0 0
Level 2 | Commercial and industrial    
Assets    
Impaired loans 0 0
Level 2 | Nonresidential    
Assets    
Impaired loans 0  
Level 3    
Assets    
Impaired loans 1,245 1,233
Level 3 | Commercial and industrial    
Assets    
Impaired loans 396 $ 1,233
Level 3 | Nonresidential    
Assets    
Impaired loans $ 849  
v3.24.1
Fair Value Measurements - Quantitative information about Level 3 fair value measurements (Details)
$ in Thousands
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Level 3    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans, Valuation Technique Valuation Technique Discounted Appraised Value [Member] Valuation Technique Discounted Appraised Value [Member]
Impaired loans, Measurement Input Measurement Input, Cost to Sell [Member] Measurement Input, Cost to Sell [Member]
Avg | Level 3 | Commercial and industrial    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans, Range 0.1000 0.0800
Avg | Level 3 | Nonresidential    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans, Range 0.1000  
Minimum [Member] | Level 3 | Commercial and industrial    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans, Range 10 0.08
Minimum [Member] | Level 3 | Nonresidential    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans, Range 0.10  
Maximum [Member] | Level 3 | Commercial and industrial    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans, Range 10 0.08
Maximum [Member] | Level 3 | Nonresidential    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans, Range 0.10  
Nonrecurring    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans $ 1,245 $ 1,233
Nonrecurring | Commercial and industrial    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans 396 1,233
Nonrecurring | Nonresidential    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans 849  
Nonrecurring | Level 3    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans 1,245 1,233
Nonrecurring | Level 3 | Commercial and industrial    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans 396 $ 1,233
Nonrecurring | Level 3 | Nonresidential    
Quantitative information about Level 3 Fair Value Measurements    
Impaired loans $ 849  
v3.24.1
Fair Value Measurements - Carrying amount, fair value and placement in the fair value hierarchy of financial instruments (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Financial assets:    
Cash and due from banks $ 8,042 $ 7,253
Interest-bearing deposits at other institutions 52,480 74,300
Securities available-for-sale 171,595 278,069
Restricted stock 9,488 15,612
Bank owned life insurance 56,823 55,371
Accrued interest receivable 10,321 9,435
Financial liabilities:    
Time deposits 551,599 508,413
Fed funds purchased 0 30,000
Federal Home Loan Bank ("FHLB") advances 85,000 235,000
Subordinated notes 19,620 19,565
Accrued interest payable 2,415 1,269
Carrying Amount    
Financial assets:    
Cash and due from banks 8,042 7,253
Interest-bearing deposits at other institutions 52,480 74,300
Securities held-to-maturity 264 264
Securities available-for-sale 171,595 278,069
Restricted stock 9,488 15,612
Loans, net 1,809,693 1,824,394
Bank owned life insurance 56,823 55,371
Accrued interest receivable 10,321 9,435
Financial liabilities:    
Checking, savings and money market accounts 1,293,693 1,321,749
Time deposits 551,599 508,413
Fed funds purchased   30,000
Federal Home Loan Bank ("FHLB") advances 85,000 235,000
Subordinated notes 19,620 19,565
Accrued interest payable 2,415 1,269
Carrying Amount | Cash flow hedge    
Financial assets:    
Derivative assets 2,915 4,251
Carrying Amount | Swap agreements    
Financial assets:    
Derivative assets 2,853 4,260
Financial liabilities:    
Derivative liabilities - interest rate swaps 2,853 4,260
Level 1    
Financial assets:    
Cash and due from banks 8,042 7,253
Interest-bearing deposits at other institutions 52,480 74,300
Securities held-to-maturity 0 0
Securities available-for-sale 0 0
Restricted stock 0 0
Loans, net 0 0
Bank owned life insurance 0 0
Accrued interest receivable 0 0
Financial liabilities:    
Checking, savings and money market accounts 0 0
Time deposits 0 0
Fed funds purchased   0
Federal Home Loan Bank ("FHLB") advances 0 0
Subordinated notes 0 0
Accrued interest payable 0 0
Level 1 | Cash flow hedge    
Financial assets:    
Derivative assets 0 0
Level 1 | Swap agreements    
Financial assets:    
Derivative assets 0 0
Financial liabilities:    
Derivative liabilities - interest rate swaps 0 0
Level 2    
Financial assets:    
Cash and due from banks 0 0
Interest-bearing deposits at other institutions 0 0
Securities held-to-maturity 252 252
Securities available-for-sale 171,595 278,069
Restricted stock 9,488 15,612
Loans, net 0 0
Bank owned life insurance 56,823 55,371
Accrued interest receivable 10,321 9,435
Financial liabilities:    
Checking, savings and money market accounts 1,293,693 1,321,749
Time deposits 551,949 510,754
Fed funds purchased   30,000
Federal Home Loan Bank ("FHLB") advances 85,000 235,000
Subordinated notes 18,565 18,856
Accrued interest payable 2,415 1,269
Level 2 | Cash flow hedge    
Financial assets:    
Derivative assets 2,915 4,251
Level 2 | Swap agreements    
Financial assets:    
Derivative assets 2,853 4,260
Financial liabilities:    
Derivative liabilities - interest rate swaps 2,853 4,260
Level 3    
Financial assets:    
Cash and due from banks 0 0
Interest-bearing deposits at other institutions 0 0
Securities held-to-maturity 0 0
Securities available-for-sale 0 0
Restricted stock 0 0
Loans, net 1,725,785 1,756,984
Bank owned life insurance 0 0
Accrued interest receivable 0 0
Financial liabilities:    
Checking, savings and money market accounts 0 0
Time deposits 0 0
Fed funds purchased   0
Federal Home Loan Bank ("FHLB") advances 0 0
Subordinated notes 0 0
Accrued interest payable 0 0
Level 3 | Cash flow hedge    
Financial assets:    
Derivative assets 0 0
Level 3 | Swap agreements    
Financial assets:    
Derivative assets 0 0
Financial liabilities:    
Derivative liabilities - interest rate swaps $ 0 $ 0
v3.24.1
Earnings Per Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Earnings Per Share [Abstract]    
Number of anti-dilutive shares excluded from the calculation (in shares) 0 0
Net income $ 3,822 $ 24,984
Weighted average shares - basic (in shares) 17,723 17,431
Effect of dilutive securities (in shares) 508 1,053
Weighted average shares - diluted (in shares) 18,231 18,484
Basic EPS (in dollars per share) $ 0.22 $ 1.43
Diluted EPS (in dollars per share) $ 0.21 $ 1.35
v3.24.1
Supplemental Cash Flow Information (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Supplemental Disclosure of Cash Flow Information:    
Interest on deposits and borrowed funds $ 51,017 $ 15,140
Income taxes 2,360 6,070
Noncash investing and financing activities:    
Unrealized gain (loss) on securities available-for-sale 17,413 (48,958)
Unrealized (loss) gain on interest rate swaps (1,337) 4,328
Adoption Of Current Expected Credit Loss Accounting Standard (2,808) 0
Right-of-use assets obtained in the exchange for lease liabilities during the current period 820 522
Modification of right-of-use assets and lease liability $ 455 $ 283
v3.24.1
Accumulated Other Comprehensive Income (Loss) (Details)
$ in Thousands
12 Months Ended
Dec. 31, 2023
USD ($)
component
Dec. 31, 2022
USD ($)
component
Changes in accumulated other comprehensive income    
Net unrealized (losses) gains during the period $ 257 $ (34,524)
Other comprehensive (loss) income, net of tax 12,407 (34,524)
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Net of Tax 12,150 0
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent 12,150 0
Securities available-for-sale, at fair value $ 171,595 278,069
Investment Portfolio Percentage Sold 31.00%  
Other comprehensive (loss) income, net of tax $ 12,407 (34,524)
Proceeds from sales of securities available-for-sale 86,922 $ 0
Investment portfolio sold $ 102,500  
Accumulated Other Comprehensive Income (Loss)    
Number of securities component of AOCI | component 2 2
Changes in accumulated other comprehensive income    
Balance, beginning of period $ (36,567) $ (2,043)
Balance, end of period (24,160) (36,567)
Other comprehensive (loss) income, net of tax 12,407 (34,524)
Available-for- Sale Securities    
Changes in accumulated other comprehensive income    
Balance, beginning of period (39,926) (1,983)
Net unrealized (losses) gains during the period 1,300 (37,943)
Other comprehensive (loss) income, net of tax 13,450 (37,943)
Balance, end of period (26,476) (39,926)
Cash Flow Hedges    
Changes in accumulated other comprehensive income    
Balance, beginning of period 3,359 (60)
Net unrealized (losses) gains during the period (1,043) 3,419
Other comprehensive (loss) income, net of tax (1,043) 3,419
Balance, end of period 2,316 $ 3,359
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-Sale, Parent    
Changes in accumulated other comprehensive income    
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent 12,150  
Other comprehensive (loss) income, net of tax (12,100)  
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent    
Changes in accumulated other comprehensive income    
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent $ 0  
v3.24.1
Revenue Recognition (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Revenue Recognition    
Non-interest Income (in-scope of Topic 606) $ 1,474 $ 1,432
Non-interest Income (out-scope of Topic 606) (14,844) 1,402
Total noninterest income (loss) (13,370) 2,834
Other income    
Revenue Recognition    
Non-interest Income (in-scope of Topic 606) 96 104
Service Charges on Deposit Accounts    
Revenue Recognition    
Non-interest Income (in-scope of Topic 606) 1,028 954
Fees, Exchange, and Other Service Charges    
Revenue Recognition    
Non-interest Income (in-scope of Topic 606) $ 350 $ 374
v3.24.1
Parent Company Only Financial Statements - Balance sheet (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Assets      
Securities available-for-sale, at fair value $ 171,595 $ 278,069  
Other assets 36,546 39,128  
Total assets 2,190,558 2,344,322  
Liabilities and Stockholders' Equity      
Subordinated notes 19,620 19,565  
Total liabilities 1,973,441 2,141,940  
Total stockholders' equity 217,117 202,382 $ 209,796
Total liabilities and stockholders' equity 2,190,558 2,344,322  
Parent Company | Reportable Entity      
Assets      
Cash and Cash Equivalents, at Carrying Value 85 531  
Securities available-for-sale, at fair value 991 991  
InvestmentsInSubsidiariess 227,658 214,382  
Other assets 8,391 6,404  
Total assets 237,125 222,308  
Liabilities and Stockholders' Equity      
Subordinated notes 19,620 19,565  
Other liabilities 388 361  
Total liabilities 20,008 19,926  
Total stockholders' equity 217,117 202,382  
Total liabilities and stockholders' equity $ 237,125 $ 222,308  
v3.24.1
Parent Company Only Financial Statements - Statement of Operations (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Income:    
Interest on securities available-for-sale $ 4,949 $ 5,959
Expense:    
Interest on subordinated notes 1,030 1,031
Salaries and employee benefits 20,643 20,316
Occupancy and equipment 2,357 2,190
Audit, legal and consulting fees 858 1,210
Income tax benefit 410 6,005
Net income 3,822 24,984
Parent Company | Reportable Entity    
Income:    
Interest on securities available-for-sale 101 67
Income from minority membership interest 1,654 626
Dividend income 683 730
Total income 2,438 1,423
Expense:    
Interest on subordinated notes 1,030 1,031
Salaries and employee benefits 1,151 1,192
Occupancy and equipment 80 80
Audit, legal and consulting fees 256 375
Other operating expenses 252 194
Total expense 2,769 2,872
Net (loss) before income tax benefit and equity in undistributed earnings of subsidiary (331) (1,449)
Income tax benefit (477) (580)
Equity in undistributed earnings of subsidiary 3,676 25,853
Net income $ 3,822 $ 24,984
v3.24.1
Parent Company Only Financial Statements - Statement of Cash Flows (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Cash Flows From Operating Activities    
Amortization of subordinated debt issuance costs $ 55 $ 55
Net Cash Provided by (Used in) Operating Activities, Total 16,269 22,392
Cash Flows From Investing Activities    
Net Cash Provided by (Used in) Investing Activities, Total 149,226 (225,831)
Cash Flows From Financing Activities    
Repayments of Subordinated Debt 0 (1,250)
Repurchase of shares of common stock (1,460) (730)
Net cash (used in) provided by financing activities (164,706) 186,079
Net increase (decrease) in cash and cash equivalents 789 (17,360)
Cash and cash equivalents, beginning of year 7,253 24,613
Cash and cash equivalents, end of year 8,042 7,253
Parent Company | Reportable Entity    
Cash Flows From Operating Activities    
Net income 3,822 24,984
Equity in Undistributed Earnings of Subsidiary (3,676) (25,853)
Amortization of subordinated debt issuance costs 55 55
Share-Based Payment Arrangement, Expense 1,143 1,183
Increase (Decrease) in Other Operating Assets and Liabilities, Net (1,961) (1,413)
Net Cash Provided by (Used in) Operating Activities, Total (617) (1,044)
Cash Flows From Investing Activities    
Net Cash Provided by (Used in) Investing Activities, Total 0 0
Cash Flows From Financing Activities    
Repayments of Subordinated Debt 0 (1,250)
Repurchase of shares of common stock (1,460) (730)
Vesting of restricted stock options 113 0
Proceeds from Stock Options Exercised 1,744 1,673
Net cash (used in) provided by financing activities 171 (307)
Net increase (decrease) in cash and cash equivalents (446) (1,351)
Cash and cash equivalents, beginning of year 531 1,882
Cash and cash equivalents, end of year $ 85 $ 531
v3.24.1
Subsequent Events (Details) - USD ($)
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Subsequent Events [Abstract]    
BOLI income $ 1,452,000 $ 1,200,000
Bank Owned Life Insurance surrendered 47,900,000  
Bank Owned Life Insurance surrendered pre tax yield 0.0274  
Bank Owned Life Insurance surrendered tax- equivalent yield 0.0334  
Bank Owned Life Insurance surrendered Non- recurring gain $ 2,200,000