The Bank\'s deposits are federally insured up to applicable limits by the FDIC. The Bank was originally formed in 1926. The properties are located in Jonesborough, TN and Johnson City, TN. We believe that these loans satisfy a need in our local market areas. Appraisals are performed in accordance with applicable regulations and policies. At June 30, 2020, unfunded commitments on these lines of credit totaled $245.0 million. Loan proceeds are disbursed based on a percentage of completion. We originate our consumer loans primarily in our market areas. Construction and Development Lending. The subject loan is secured by a 53 16lot residential development in Raleigh, NC. At June 30, 2020, no speculative construction loans were classified as nonaccruing. These risks can also be significantly influenced by supply and demand conditions. Loan terms typically vary from one to five years. The single largest relationship was $4.0 million at that date. Our borrowings consist of advances from the FHLB of Atlanta. Our employees are not represented by any collective bargaining group. The CBLR provides for a simple measure of capital adequacy for qualifying institutions. Insurance of Accounts and Regulation by the FDIC. Community Reinvestment and Consumer Protection Laws. In 2020 and 2019 the tax rate was 5.0%.Tennessee. C. Hunter Westbrook, Senior Executive Vice President and Chief Operating Officer. Mr. VunCannon has served as HomeTrust Bank\'s Chief Financial Officer since July 2006. In 2018, he was named Corporate Secretary. For these reasons, we may experience higher rates of delinquencies, defaults and losses. In addition, our securities portfolio is evaluated periodically for OTTI. Carrying the loans at fair value may also increase the volatility in our earnings. In addition, a substantial amount of our loans have adjustable interest rates. Liquidity is essential to our business.
