BLACKROCK MUNIYIELD PENNSYLVANIA QUALITY FUND

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-07136

Name of Fund: BlackRock MuniYield Pennsylvania Quality Fund (MPA)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock MuniYield

Pennsylvania Quality Fund, 55 East 52nd Street, New York, NY 10055

Registrant’s telephone number, including area code: (800) 882-0052, Option 4

Date of fiscal year end: 07/31/2014

Date of reporting period: 04/30/2014


Item 1 – Schedule of Investments


Schedule of Investments April 30, 2014 (Unaudited)

  

BlackRock MuniYield Pennsylvania Quality Fund (MPA)

(Percentages shown are based on Net Assets)

 

Municipal Bonds   

Par  

(000)

    Value  

Pennsylvania — 115.6%

                

Corporate — 11.0%

  

 

County of Beaver Pennsylvania IDA, Refunding RB, First Energy, Nuclear Energy Corp. Project, Mandatory Put Bonds, Series A, 3.38%, 1/01/35 (a)

   $ 1,200      $ 1,221,480   

County of Delaware Pennsylvania IDA, Refunding RB, Water Facilities, Aqua Pennsylvania, Inc. Project, Series B, AMT (NPFGC), 5.00%, 11/01/36

     2,520        2,555,658   

County of Northumberland Pennsylvania IDA, Refunding RB, Aqua Pennsylvania, Inc. Project, AMT (NPFGC), 5.05%, 10/01/39

     4,500        4,516,200   

Pennsylvania Economic Development Financing Authority, RB:

    

American Water Co. Project, 6.20%, 4/01/39

     1,300        1,480,804   

Aqua Pennsylvania, Inc. Project, Series B, 4.50%, 12/01/42

     2,630        2,685,519   

Waste Management, Inc. Project, Series A, AMT, 5.10%, 10/01/27

     1,200        1,245,216   

Pennsylvania Economic Development Financing Authority, Refunding RB, Amtrak Project, Series A, AMT, 5.00%, 11/01/41

     5,865        6,099,718   
    

 

 

 
               19,804,595   

County/City/Special District/School District — 31.2%

  

 

Bristol Township School District, GO, 5.25%, 6/01/43

     3,465        3,767,356   

Chambersburg Area School District, GO (NPFGC):

    

5.25%, 3/01/26

     2,115        2,231,071   

5.25%, 3/01/27

     2,500        2,635,350   

City of Philadelphia Pennsylvania, GO, Refunding, Series A:

    

(AGM), 5.25%, 12/15/32

     5,000        5,298,100   

(AGC), 5.00%, 8/01/24

     2,000        2,200,880   

City of Pittsburgh Pennsylvania, GO, Series B, 5.00%, 9/01/26

     970        1,093,539   

County of Lycoming Pennsylvania Water & Sewer Authority, RB (AGM), 5.00%, 11/15/41

     400        416,068   

County of York Pennsylvania, GO, Refunding, 5.00%, 3/01/36

     400        431,456   
Municipal Bonds   

Par  

(000)

    Value  

Pennsylvania (continued)

                

County/City/Special District/School District (continued)

  

 

East Stroudsburg Area School District, GO, Refunding, Series A (AGM), 5.00%, 9/01/25

   $ 3,000      $ 3,308,400   

East Stroudsburg Area School District, GO, Series A:

    

7.75%, 9/01/17 (b)

     960        1,180,128   

7.75%, 9/01/27

     1,040        1,245,567   

Falls Township Authority, RB, Water & Sewer Authority, 5.00%, 12/01/37

     1,070        1,143,712   

Lower Merion School District, GO, Refunding, Series A, 3.25%, 11/15/27

     2,035        2,047,434   

Marple Newtown School District, GO (AGM), 5.00%, 6/01/31

     3,500        3,916,185   

Northeastern School District York County, GO, Series B (NPFGC), 5.00%, 4/01/32

     1,585        1,714,304   

Philadelphia Redevelopment Authority, RB, Quality Redevelopment Neighborhood, Series B, AMT (NPFGC), 5.00%, 4/15/27

     4,645        4,804,184   

Philadelphia School District, GO, Refunding (BHAC), 5.00%, 6/01/34

     1,000        1,092,100   

Philadelphia School District, GO, Series E, 6.00%, 9/01/38

     3,300        3,599,937   

Philipsburg-Osceola Pennsylvania Area School District, GO (AGM), 5.00%, 4/01/41

     755        800,496   

Shaler Area School District Pennsylvania, GO, CAB (Syncora), 0.00%, 9/01/30 (c)

     6,145        3,121,230   

State Public School Building Authority, RB (AGM):

    

Community College, Allegheny County Project, 5.00%, 7/15/34

     1,880        2,008,761   

Corry Area School District, CAB, 0.00%, 12/15/22 (c)

     1,640        1,231,000   

Corry Area School District, CAB, 0.00%, 12/15/23 (c)

     1,980        1,409,127   

Corry Area School District, CAB, 0.00%, 12/15/24 (c)

     1,980        1,344,618   

Corry Area School District, CAB, 0.00%, 12/15/25 (c)

     1,770        1,149,615   

State Public School Building Authority, Refunding RB:

    

Harrisburg School District Project, Series A (AGC), 5.00%, 11/15/33

     1,200        1,250,388   

 

                
   BLACKROCK MUNIYIELD PENNSYLVANIA QUALITY FUND    APRIL 30, 2014    1


Schedule of Investments (continued)

  

BlackRock MuniYield Pennsylvania Quality Fund (MPA)

(Percentages shown are based on Net Assets)

 

Municipal Bonds   

Par  

(000)

    Value  

Pennsylvania (continued)

                
County/City/Special District/School District (concluded)  

State Public School Building Authority, Refunding RB (concluded):

    

School District Philadelphia Project, Series B (AGM), 5.00%, 6/01/26

   $ 1,500      $ 1,615,200   
    

 

 

 
               56,056,206   
Education — 7.7%  

County of Adams Pennsylvania IDA, Refunding RB, Gettysburg College, 5.00%, 8/15/26

     100        109,132   

East Hempfield Township IDA, RB, Student Services, Inc., Student Housing Project at Millersville University of Pennsylvania:

    

5.00%, 7/01/35

     385        388,923   

5.00%, 7/01/45

     200        198,114   

Pennsylvania Higher Educational Facilities Authority, RB:

    

Drexel University, Series A (NPFGC), 5.00%, 5/01/37

     1,500        1,589,010   

Shippensburg University Student Services, Student Housing, 5.00%, 10/01/44

     1,195        1,193,100   

Pennsylvania Higher Educational Facilities Authority, Refunding RB:

    

Drexel University, Series A, 5.25%, 5/01/41

     2,750        2,932,215   

La Salle University, 5.00%, 5/01/37

     765        781,470   

La Salle University, 5.00%, 5/01/42

     1,600        1,634,448   

State System of Higher Education, Series AL, 5.00%, 6/15/35

     1,780        1,902,695   

Thomas Jefferson University, 4.00%, 3/01/37

     375        359,228   

Widener University, Series A, 5.25%, 7/15/33

     1,360        1,425,661   

Widener University, Series A, 5.50%, 7/15/38

     340        358,037   

Swarthmore Borough Authority, Refunding RB, Swarthmore College Project, 5.00%, 9/15/38

     830        917,557   
    

 

 

 
               13,789,590   
Municipal Bonds   

Par  

(000)

    Value  

Pennsylvania (continued)

                
Health — 20.4%  

County of Allegheny Pennsylvania Hospital Development Authority, RB, Health Center, UPMC Health, Series B (NPFGC), 6.00%, 7/01/26

   $ 2,000      $ 2,496,440   

County of Berks Pennsylvania Municipal Authority, Refunding RB, Reading Hospital & Medical Center, Series A, 5.00%, 11/01/40

     765        806,761   

County of Centre Pennsylvania Hospital Authority, RB, Mount Nittany Medical Center Project, 7.00%, 11/15/46

     2,020        2,380,590   

County of Cumberland Pennsylvania Municipal Authority, Refunding RB, Diakon Lutheran, 6.38%, 1/01/39

     500        537,960   

County of Lehigh Pennsylvania, RB, Lehigh Valley Health Network, Series A (AGM), 5.00%, 7/01/33

     7,995        8,336,227   

County of Montgomery Pennsylvania Higher Education & Health Authority, Refunding RB, Abington Memorial Hospital Obligated Group, Series A, 5.13%, 6/01/33

     490        511,227   

County of Montgomery Pennsylvania IDA, RB, Acts Retirement-Life Community:

    

Series A, 4.50%, 11/15/36

     145        140,209   

Series A-1, 6.25%, 11/15/29

     235        263,647   

County of Montgomery Pennsylvania IDA, Refunding RB, Acts Retirement-Life Communities:

    

5.00%, 11/15/27

     690        730,834   

5.00%, 11/15/28

     445        468,145   

Geisinger Authority Pennsylvania, RB, Health System, Series A-1, 5.13%, 6/01/41

     6,270        6,713,289   

Lancaster IDA, Refunding RB:

    

5.38%, 5/01/28

     420        438,110   

5.75%, 5/01/35

     745        785,111   

 

                
2    BLACKROCK MUNIYIELD PENNSYLVANIA QUALITY FUND    APRIL 30, 2014   


Schedule of Investments (continued)

  

BlackRock MuniYield Pennsylvania Quality Fund (MPA)

(Percentages shown are based on Net Assets)

 

Municipal Bonds  

Par   

(000)

    Value  

Pennsylvania (continued)

               

Health (concluded)

   

Pennsylvania Higher Educational Facilities Authority, RB, University of Pennsylvania Health System, Series A, 4.00%, 8/15/39

  $ 7,600      $ 7,284,144   

Philadelphia Hospitals & Higher Education Facilities Authority, Refunding RB, Presbyterian Medical Center, 6.65%, 12/01/19 (d)

    2,390        2,815,133   

South Fork Municipal Authority, Refunding RB, Conemaugh Valley Memorial Hospital, Series B (AGC), 5.38%, 7/01/35

    1,840        1,967,659   
   

 

 

 
              36,675,486   

Housing — 9.5%

   

Pennsylvania HFA, RB, S/F Mortgage, Series 114-C:

   

3.65%, 10/01/37

    1,915        1,763,753   

3.70%, 10/01/42

    3,435        3,103,900   

Pennsylvania HFA, Refunding RB, S/F Mortgage:

   

Series 92-A, AMT, 4.75%, 4/01/31

    595        597,261   

Series 96-A, AMT, 4.70%, 10/01/37

    2,730        2,733,604   

Series 99-A, AMT, 5.15%, 4/01/38

    855        861,259   

Series 110-B, 4.75%, 10/01/39

    680        707,268   

Series 113, 4.85%, 10/01/37

    4,125        4,246,976   

Philadelphia Housing Authority, RB, Capital Fund Program, Series A (AGM), 5.50%, 12/01/18

    3,000        3,040,110   
   

 

 

 
              17,054,131   

State — 5.4%

   

Commonwealth of Pennsylvania, GO, 1st Series:

   

5.00%, 11/15/24

    1,000        1,176,130   

5.00%, 4/01/26

    1,140        1,340,435   

5.00%, 6/01/28

    2,300        2,634,420   

Pennsylvania Economic Development Financing Authority, Refunding RB, Unemployment Compensation, Series B, 5.00%, 7/01/23

    600        631,620   
Municipal Bonds  

Par   

(000)

    Value  

Pennsylvania (continued)

               

State (concluded)

   

Pennsylvania Turnpike Commission, RB, Oil Franchise Tax, Remarketing, Series C (NPFGC), 5.00%, 12/01/32

  $ 3,600      $ 3,949,308   
   

 

 

 
              9,731,913   

Transportation — 19.1%

   

City of Philadelphia Pennsylvania, ARB, Series A:

   

5.00%, 6/15/40

    2,500        2,591,875   

AMT (AGM), 5.00%, 6/15/37

    5,595        5,693,360   

Delaware River Port Authority, RB:

   

5.00%, 1/01/37

    1,970        2,138,100   

Series D (AGM), 5.00%, 1/01/40

    1,560        1,645,628   

Pennsylvania Turnpike Commission, RB:

   

CAB, Sub-Series A-3, 0.00%, 12/01/41 (c)

    3,565        853,497   

CAB, Sub-Series A-3, 0.00%, 12/01/42 (c)

    4,100        945,091   

CAB, Sub-Series A-3 (AGM), 0.00%, 12/01/40 (c)

    1,425        368,733   

Series A, 5.00%, 12/01/38

    3,000        3,251,340   

Series A (AMBAC), 5.25%, 12/01/32

    350        358,796   

Series A (AMBAC), 5.50%, 12/01/31

    7,800        8,007,402   

Sub-Series A, 6.00%, 12/01/41

    700        769,328   

Pennsylvania Turnpike Commission, Refunding RB, Sub-Series B (AGM), 5.25%, 6/01/39

    3,500        3,808,910   

Southeastern Pennsylvania Transportation Authority, RB, Capital Grant Receipts:

   

5.00%, 6/01/28

    1,570        1,719,715   

5.00%, 6/01/29

    2,080        2,266,077   
   

 

 

 
              34,417,852   

Utilities — 11.3%

   

City of Philadelphia Pennsylvania Gas Works, RB:

   

1998 General Ordinance, 4th Series (AGM), 5.00%, 8/01/32

    3,300        3,310,890   

9th Series, 5.25%, 8/01/40

    1,430        1,576,961   

 

                
   BLACKROCK MUNIYIELD PENNSYLVANIA QUALITY FUND    APRIL 30, 2014    3


Schedule of Investments (continued)

  

BlackRock MuniYield Pennsylvania Quality Fund (MPA)

(Percentages shown are based on Net Assets)

 

 

Municipal Bonds   

Par  

(000)

    Value  

Pennsylvania (concluded)

                

Utilities (concluded)

    

City of Philadelphia Pennsylvania Water & Wastewater, RB:

    

Series A, 5.25%, 1/01/36

   $ 700      $ 744,555   

Series C (AGM), 5.00%, 8/01/40

     3,000        3,138,990   

County of Allegheny Pennsylvania Sanitary Authority, RB, Sewer Improvement, 5.25%, 12/01/41

     1,215        1,315,772   

County of Allegheny Pennsylvania Sanitary Authority, Refunding RB, Series A (NPFGC), 5.00%, 12/01/30

     5,000        5,270,650   

County of Bucks Pennsylvania Water & Sewer Authority, RB, Water System (AGM), 5.00%, 12/01/41

     150        161,557   

County of Delaware Pennsylvania Regional Water Quality Control Authority, RB, Sewer Improvements, 5.00%, 5/01/33

     350        386,543   

Pennsylvania Economic Development Financing Authority, RB, Philadelphia Biosolids Facility, 6.25%, 1/01/32

     1,420        1,457,318   

Reading Area Water Auhtority Pennsylvania, RB (AGM), 5.00%, 12/01/27

     2,680        2,914,259   
    

 

 

 
               20,277,495   
Total Municipal Bonds in Pennsylvania        207,807,268   

Guam — 0.5%

                

State — 0.5%

    

Territory of Guam, RB, Section 30, Series A, 5.63%, 12/01/29

     805        875,333   
Total Municipal Bonds116.1%              208,682,601   
    
                  
Municipal Bonds Transferred to
Tender Option Bond (TOB) Trusts (e)
 

Pennsylvania — 39.7%

                

County/City/Special District/School District — 5.0%

    

County of Erie Pennsylvania Conventional Center Authority, RB, 5.00%, 1/15/36

     8,850        8,898,929   
Municipal Bonds Transferred to
Tender Option Bond (TOB) Trusts (e)
  

Par  

(000)

    Value  

Pennsylvania (concluded)

                

Education — 9.2%

    

Pennsylvania Higher Educational Facilities Authority, RB:

    

Series AE (NPFGC), 4.75%, 6/15/32

   $ 8,845      $ 9,194,724   

University of Pennsylvania Health System, Series A, 5.75%, 8/15/41

     4,270        4,766,900   

University of Pittsburgh, RB, The Commonwealth System of Higher Education, Capital Project, Series B, 5.00%, 9/15/28

     2,202        2,511,844   
    

 

 

 
               16,473,468   

Health — 6.1%

    

Geisinger Authority Pennsylvania, RB, Health System, Series A:

    

5.13%, 6/01/34

     2,500        2,670,875   

5.25%, 6/01/39

     3,128        3,342,251   

Philadelphia Hospitals & Higher Education Facilities Authority, RB, The Children’s Hospital of Philadelphia Project,
Series C, 5.00%, 7/01/41

     4,680        4,995,994   
    

 

 

 
               11,009,120   

Housing — 1.6%

    

Pennsylvania HFA, Refunding RB, S/F Mortgage, Series 115A, AMT, 4.20%, 10/01/33

     3,000        2,952,900   

State — 17.8%

    

Commonwealth of Pennsylvania, GO, Series 1, 5.00%, 3/15/28

     5,203        5,948,295   

Pennsylvania Turnpike Commission, RB, Oil Franchise Tax, Remaketing, Series C (NPFGC), 5.00%, 12/01/32

     10,000        10,970,300   

State Public School Building Authority, Refunding RB, School Distric of Philadelphia Project, Series B (AGM),
5.00%, 6/01/26

     14,026        15,103,393   
    

 

 

 
               32,021,988   
Total Municipal Bonds Transferred to
Tender Option Bond (TOB) Trusts
39.7%
        71,356,405   

Total Long-Term Investments

(Cost — $266,534,550) — 155.8%

  

  

    280,039,006   

 

 

                
4    BLACKROCK MUNIYIELD PENNSYLVANIA QUALITY FUND    APRIL 30, 2014   


Schedule of Investments (continued)

  

BlackRock MuniYield Pennsylvania Quality Fund (MPA)

(Percentages shown are based on Net Assets)

 

 

Short-Term Securities    Shares     Value  

BIF Pennsylvania Municipal Money Fund, 0.00% (f)(g)

     1,441,528      $ 1,441,528   

Total Short-Term Securities

(Cost — $1,441,528) — 0.8%

  

  

    1,441,528   
Total Investments (Cost — $267,976,078*) — 156.6%        281,480,534   
Other Assets Less Liabilities2.0%        3,601,501   

Liability for TOB Trust Certificates, Including Interest Expense and Fees Payable(21.7%)

   

    (39,011,553
VRDP Shares, at Liquidation Value(36.9%)        (66,300,000
    

 

 

 
Net Assets Applicable to Common Shares100.0%      $ 179,770,482   
    

 

 

 

 

*   As of April 30, 2014, gross unrealized appreciation and depreciation based on cost for federal income tax purposes were as follows:

 

Tax cost

  $  228,399,774   
 

 

 

 

Gross unrealized appreciation

  $ 14,516,437   

Gross unrealized depreciation

    (1,876,858
 

 

 

 

Net unrealized appreciation

  $ 12,639,579   
 

 

 

 

 

 

Notes to Schedule of Investments

 

(a)   Variable rate security. Rate shown is as of report date.

 

(b)   U.S. government securities, held in escrow, are used to pay interest on this security, as well as to retire the bond in full at the date indicated, typically at a premium to par.

 

(c)   Zero-coupon bond.

 

(d)   Security is collateralized by municipal or U.S. Treasury obligations.

 

(e)   Represent bonds transferred to a TOB. In exchange for which the Fund acquired residual interest certificates. These bonds serve as collateral in a financing transaction.

 

(f)   Investments in issuers considered to be an affiliate of the Fund during the period ended April 30, 2014, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliate      Shares Held
at July 31,
2013
       Net
Activity
       Shares Held
at April 30,
2014
       Income  

BIF Pennsylvania Municipal Money Fund

       3,198,164           (1,756,636        1,441,528             

 

(g)   Represents the current yield as of report date.

 

Portfolio Abbreviations

 

AGC      Assured Guarantee Corp.
AGM      Assured Guaranty Municipal Corp.
AMBAC      American Municipal Bond Assurance Corp.
AMT      Alternative Minimum Tax (subject to)
ARB      Airport Revenue Bonds
BHAC      Berkshire Hathaway Assurance Corp.
CAB      Capital Appreciation Bonds
GO      General Obligation Bonds
HFA      Housing Finance Agency
IDA      Industrial Development Authority
NPFGC      National Public Finance Guarantee Corp.
RB      Revenue Bonds
S/F      Single-Family
Syncora      Syncora Guarantee

 

                
   BLACKROCK MUNIYIELD PENNSYLVANIA QUALITY FUND    APRIL 30, 2014    5


Schedule of Investments (continued)

   BlackRock MuniYield Pennsylvania Quality Fund (MPA)

 

Ÿ  

Financial futures contracts outstanding as of April 30, 2014 were as follows:

 

Contracts
Sold
    Issue   Exchange   Expiration   Notional
Value
     Unrealized
Depreciation
 
  (293   10-Year U.S. Treasury Note   Chicago Board of Trade   June 2014   $ 36,455,609       $ (74,250

 

Ÿ  

For Fund compliance purposes, the Fund’s sector classifications refer to any one or more of the sector sub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by the investment advisor. These definitions may not apply for purposes of this report, which may combine such sector sub-classifications for reporting ease.

 

Ÿ  

Fair Value Measurements — Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs to valuation techniques are categorized into a disclosure hierarchy consisting of three broad levels for financial reporting purposes as follows:

 

  Ÿ  

Level 1 — unadjusted price quotations in active markets/exchanges for identical assets or liabilities that the Fund has the ability to access

 

  Ÿ  

Level 2 — other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs)

 

  Ÿ  

Level 3 — unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Fund’s own assumptions used in determining the fair value of investments and derivative financial instruments)

The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety.

Changes in valuation techniques may result in transfers into or out of an assigned level within the disclosure hierarchy. In accordance with the Fund’s policy, transfers between different levels of the fair value disclosure hierarchy are deemed to have occurred as of the beginning of the reporting period. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investment and derivative financial instrument and is not necessarily an indication of the risks associated with investing in those securities. For information about the Fund’s policy regarding valuation of investments and derivative financial instruments, please refer to the Fund’s most recent financial statements as contained in its semi-annual report.

The following tables summarize the Fund’s investments and derivative financial instruments categorized in the disclosure hierarchy as of April 30, 2014:

 

        Level 1        Level 2        Level 3        Total  

Assets:

                   
Investments:                    

Long-Term Investments 1

     $         $ 280,039,006                   $ 280,039,006   

Short-Term Securities

       1,441,528                               1,441,528   
    

 

 

 

Total

     $ 1,441,528         $ 280,039,006                   $ 281,480,534   
    

 

 

 

1   See above Schedule of Investments for values in each sector.

      

        Level 1        Level 2        Level 3        Total  
Derivative Financial Instruments 2             

Liabilities:

                   

Interest rate contracts

     $ (74,250                          $ (74,250

2   Derivative financial instruments are financial futures contracts, which are valued at the unrealized appreciation/depreciation on the instrument.

      

 

                
6    BLACKROCK MUNIYIELD PENNSYLVANIA QUALITY FUND    APRIL 30, 2014   
 


Schedule of Investments (concluded)

   BlackRock MuniYield Pennsylvania Quality Fund (MPA)

 

The carrying amount for certain of the Fund’s assets and/or liabilities approximates fair value for financial reporting purposes. As of April 30, 2014, such assets and/or liabilities are categorized within the disclosure hierarchy as follows:

 

   

     Level 1        Level 2        Level 3        Total  

Assets:

                

Cash pledged for financial futures contracts

  $ 383,000                             $ 383,000   

Liabilities:

                

TOB trust certificates

            $ (38,999,653                  (38,999,653

VRDP Shares

              (66,300,000                  (66,300,000
 

 

 

 

Total

  $ 383,000         $ (105,299,653                $ (104,916,653
 

 

 

 

There were no transfers between levels during the period ended April 30, 2014.

 

 

                
   BLACKROCK MUNIYIELD PENNSYLVANIA QUALITY FUND    APRIL 30, 2014    7


Item 2 – Controls and Procedures

 

2(a) –

   The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended.

2(b) –

   There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.
Item 3 –    Exhibits
   Certifications – Attached hereto


Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

BlackRock MuniYield Pennsylvania Quality Fund

By:

 

/s/ John M. Perlowski

  John M. Perlowski
  Chief Executive Officer (principal executive officer) of
  BlackRock MuniYield Pennsylvania Quality Fund

Date: June 23, 2014

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

By:  

/s/ John M. Perlowski

  John M. Perlowski
  Chief Executive Officer (principal executive officer) of
  BlackRock MuniYield Pennsylvania Quality Fund
Date: June 23, 2014
By:  

/s/ Neal J. Andrews

  Neal J. Andrews
  Chief Financial Officer (principal financial officer) of
  BlackRock MuniYield Pennsylvania Quality Fund

Date: June 23, 2014