Company: CMTV
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001654954-25-009542
Chunk: 69

Company: COMMUNITY BANCORP /VT
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 69
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2025, compared to the same periods in 2024, with significant changes noted in the following:

 ·Although an increase is noted in salaries and wages for the second quarter of 2025, a decrease is noted year over year which reflects changes in senior leadership as well as unfilled positions in 2025.    ·The increase in employee benefits is attributable to an increase in health insurance claims year over year under the Company’s self-insured health insurance plan.    ·The increase in occupancy expense year over year is primarily due to normal increases in contracted services, including increased expenses for plowing and sanding during the winter months as well as increases in maintenance on buildings.    ·The Company received a recovery for a $53 thousand fraudulent check during the first quarter of 2025 that was charged off in 2024, accounting for most of the decrease in charged-off checks year over year.    ·The decrease in outsourcing expense is attributable to a renegotiated contract from the Company’s core provider.    ·The year over year increase in service contracts - administrative is due to a combination of new contracts, an increase in transaction-based pricing for certain contracts, and contractual inflationary adjustment factors that are higher than historical increase adjustments. The quarter over quarter decrease is due to the timing of credits from a vendor to correct prior year invoices.    ·The increase in FDIC insurance is attributable to an increase in the assessment multiplier.    ·The increase in consultant services is attributable to an increased utilization of these services for branch network and technology projects during 2025.    ·Collection & non-accruing loan expenses were lower year over year due to the recovery of expenses associated with properties in foreclosure that were resolved.    ·ATM & debit card expenses are transaction-based and reflect increased customer activity year over year, as well as annual contractual price adjustments.    ·The increase in state deposit tax is attributable to an increase in average deposits which is used in the calculation of taxes due.

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APPLICABLE INCOME TAXES 

The provision for income taxes increased $276,660, or 51.0%, for the second quarter of 2025 and $384,544, or 35.0%, for the first six months of 2025 compared to the same periods in 2024, which is consistent with the increase in income before income taxes.  Tax credits, which consist of credits from affordable housing investments and NMTC, amounted to $249,