Eaton Vance California Municipal Income Trust

 

 

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

811-09157

Investment Company Act File Number

Eaton Vance California Municipal Income Trust

(Exact Name of Registrant as Specified in Charter)

Two International Place, Boston, Massachusetts 02110

(Address of Principal Executive Offices)

Maureen A. Gemma

Two International Place, Boston, Massachusetts 02110

(Name and Address of Agent for Services)

(617) 482-8260

(Registrant’s Telephone Number, Including Area Code)

November 30

Date of Fiscal Year End

February 28, 2019

Date of Reporting Period

 

 

 

Item 1. Schedule of Investments

 

Eaton Vance

California Municipal Income Trust

February 28, 2019

PORTFOLIO OF INVESTMENTS (Unaudited)

Tax-Exempt Municipal Securities — 151.2%

 

                                                 
Security   

Principal

Amount
(000’s omitted)

      Value  

Education — 18.2%

      

California Educational Facilities Authority, (Harvey Mudd College), 5.25%, 12/1/31

    $ 195      $ 213,790  

California Educational Facilities Authority, (Harvey Mudd College), 5.25%, 12/1/36

      330        359,660  

California Educational Facilities Authority, (Loyola Marymount University), 5.00%, 10/1/30

      745        758,566  

California Municipal Finance Authority, (University of San Diego), 5.00%, 10/1/31

      415        447,295  

California Municipal Finance Authority, (University of San Diego), 5.00%, 10/1/35

      285        306,284  

California Municipal Finance Authority, (University of San Diego), 5.25%, 10/1/26

      810        880,446  

California Municipal Finance Authority, (University of San Diego), 5.25%, 10/1/27

      850        923,024  

California Municipal Finance Authority, (University of San Diego), 5.25%, 10/1/28

      895        970,950  

California State University, 5.00%, 11/1/41(1)

      6,275        7,060,755  

University of California, 5.00%, 5/15/46(1)

      4,075        4,567,993  

University of California, Prerefunded to 5/15/19, 5.25%, 5/15/39

      205        206,564  

University of California, Prerefunded to 5/15/19, 5.25%, 5/15/39

      690        695,265  
     

 

 

  
      $ 17,390,592  
     

 

 

  

Electric Utilities — 7.9%

      

Chula Vista, (San Diego Gas and Electric), 5.875%, 2/15/34

    $ 270      $ 272,098  

Los Angeles Department of Water and Power, 5.00%, 7/1/42(1)

      4,000        4,576,040  

Northern California Power Agency, 5.25%, 8/1/24

      1,500        1,548,045  

Southern California Public Power Authority, (Tieton Hydropower), 5.00%, 7/1/35

      680        706,846  

Vernon, Electric System Revenue, 5.125%, 8/1/21

      480        485,909  
     

 

 

  
      $ 7,588,938  
     

 

 

  

Escrowed/Prerefunded — 1.2%

      

California, Prerefunded to 4/1/19, 6.00%, 4/1/38

    $ 265      $ 265,927  

California Educational Facilities Authority, (University of San Francisco), Prerefunded to 10/1/21, 6.125%, 10/1/36

      120        134,225  

California Educational Facilities Authority, (University of San Francisco), Prerefunded to 10/1/21, 6.125%, 10/1/36

      115        128,477  

University of California, Prerefunded to 5/15/19, 5.25%, 5/15/39

      355        357,709  

Vernon, Electric System Revenue, Prerefunded to 8/1/19, 5.125%, 8/1/21

      220        223,276  
     

 

 

  
      $ 1,109,614  
     

 

 

  

General Obligations — 43.1%

      

Alameda City Unified School District, (Election of 2014), 5.00%, 8/1/42(1)

    $ 3,325      $ 3,826,111  

California, 5.50%, 11/1/35

      1,600        1,690,064  

California, 6.00%, 4/1/38

      485        486,576  

Illinois, 5.00%, 12/1/35

      2,000        2,090,780  

La Canada Unified School District, (Election of 2017), 5.00%, 8/1/47(1)

      6,750        7,900,335  

Long Beach Unified School District, (Election of 2008), 5.00%, 8/1/41(1)

      3,500        3,996,230  

Oxnard Union High School District, (Election of 2018), 5.00%, 8/1/42(1)

      6,000        6,744,360  

Palo Alto, (Election of 2008), 5.00%, 8/1/40

      3,655        3,824,409  

San Bruno Park School District, (Election of 2018), 5.00%, 8/1/48

      500        559,030  

San Diego Unified School District, (Election of 2012), 5.00%, 7/1/47(1)

      6,000        6,809,640  

Santa Clara County, (Election of 2008), Prerefunded to 8/1/19, 5.00%, 8/1/39(1)

      3,180        3,227,064  
     

 

 

  
      $ 41,154,599  
     

 

 

  

 

1

 

 

                                                 
Security   

Principal

Amount
(000’s omitted)

      Value  

Hospital — 25.8%

      

California Health Facilities Financing Authority, (Catholic Healthcare West), 5.25%, 3/1/27

    $ 1,000      $ 1,066,510  

California Health Facilities Financing Authority, (Catholic Healthcare West), 5.25%, 3/1/28

      190        202,715  

California Health Facilities Financing Authority, (City of Hope), 5.00%, 11/15/32

      635        700,252  

California Health Facilities Financing Authority, (City of Hope), 5.00%, 11/15/35

      910        1,000,445  

California Health Facilities Financing Authority, (Kaiser Permanente), 4.00%, 11/1/44(1)

      6,000        6,138,120  

California Health Facilities Financing Authority, (Kaiser Permanente), 4.00%, 11/1/44

      430        439,899  

California Health Facilities Financing Authority, (St. Joseph Health System), 5.00%, 7/1/33

      1,145        1,275,564  

California Health Facilities Financing Authority, (St. Joseph Health System), 5.00%, 7/1/37

      535        589,629  

California Health Facilities Financing Authority, (Sutter Health), 5.00%, 11/15/46(1)

      6,000        6,685,200  

California Public Finance Authority, (Henry Mayo Newhall Hospital), 5.00%, 10/15/37

      500        541,790  

California Public Finance Authority, (Henry Mayo Newhall Hospital), 5.00%, 10/15/47

      1,000        1,071,280  

California Public Finance Authority, (Sharp HealthCare), 5.00%, 8/1/47(1)

      3,750        4,230,600  

California Statewide Communities Development Authority, (Methodist Hospital of Southern California), 5.00%, 1/1/48

      600        652,560  
     

 

 

  
      $ 24,594,564  
     

 

 

  

Insured – Escrowed/Prerefunded — 4.7%

      

Foothill/Eastern Transportation Corridor Agency, (AGC), (AGM), Escrowed to Maturity, 0.00%, 1/1/26

    $ 5,130      $ 4,490,597  
     

 

 

  
      $ 4,490,597  
     

 

 

  

Insured – General Obligations — 4.3%

      

Sweetwater Union High School District, (Election of 2000), (AGM), 0.00%, 8/1/25

    $ 4,720      $ 4,081,195  
     

 

 

  
      $ 4,081,195  
     

 

 

  

Insured – Transportation — 6.7%

      

Alameda Corridor Transportation Authority, (AMBAC), 0.00%, 10/1/29

    $ 5,000      $ 3,463,650  

Alameda Corridor Transportation Authority, (NPFG), 0.00%, 10/1/31

      4,500        2,941,155  
     

 

 

  
      $ 6,404,805  
     

 

 

  

Lease Revenue/Certificates of Participation — 1.1%

      

California Public Works Board, 5.00%, 11/1/38

    $ 915      $ 1,011,944  
     

 

 

  
      $ 1,011,944  
     

 

 

  

Other Revenue — 2.9%

      

California Infrastructure and Economic Development Bank, (Academy of Motion Picture Arts and Sciences Obligated Group), 4.00%, 11/1/45

    $ 2,350      $ 2,379,586  

California Infrastructure and Economic Development Bank, (Performing Arts Center of Los Angeles), 5.00%, 12/1/32

      385        385,955  
     

 

 

  
      $ 2,765,541  
     

 

 

  

Senior Living/Life Care — 1.6%

      

ABAG Finance Authority for Nonprofit Corporations, (Episcopal Senior Communities), 6.00%, 7/1/31

    $ 290      $ 313,229  

California Statewide Communities Development Authority, (Southern California Presbyterian Homes), 7.25%, 11/15/41(2)

      600        619,458  

California Statewide Communities Development Authority, (The Redwoods, a Community of Seniors), 5.125%, 11/15/35

      535        603,341  
     

 

 

  
      $ 1,536,028  
     

 

 

  

 

2

 

 

                                                 
Security   

Principal

Amount
(000’s omitted)

      Value  

Special Tax Revenue — 8.1%

      

Aliso Viejo Community Facilities District No. 2005-01, Special Tax Revenue, (Glenwood at Aliso Viejo), 5.00%, 9/1/30

    $ 500      $ 564,785  

Los Angeles County Community Facilities District No. 3, (Valencia/Newhall Area), 5.00%, 9/1/23

      480        519,730  

Los Angeles County Community Facilities District No. 3, (Valencia/Newhall Area), 5.00%, 9/1/24

      240        259,680  

Los Angeles County Community Facilities District No. 3, (Valencia/Newhall Area), 5.00%, 9/1/25

      335        362,215  

Los Angeles County Community Facilities District No. 3, (Valencia/Newhall Area), 5.00%, 9/1/26

      240        259,253  

Los Angeles County Metropolitan Transportation Authority, Sales Tax Revenue, Green Bonds, 5.00%, 7/1/42(1)

      2,100        2,427,495  

San Francisco Bay Area Rapid Transit District, Sales Tax Revenue, Prerefunded to 7/1/20, 5.00%, 7/1/28

      2,400        2,512,344  

South Orange County Public Financing Authority, Special Tax Revenue, (Ladera Ranch), 5.00%, 8/15/28

      725        790,308  
     

 

 

  
      $ 7,695,810  
     

 

 

  

Transportation — 10.4%

      

Bay Area Toll Authority, Toll Bridge Revenue, (San Francisco Bay Area), Prerefunded to 4/1/19, 5.25%, 4/1/29

    $ 1,000      $ 1,002,950  

California Municipal Finance Authority, (LINXS Automated People Mover), (AMT), 5.00%, 12/31/43

      3,000        3,326,760  

Los Angeles Department of Airports, (Los Angeles International Airport), 5.00%, 5/15/35(1)

      2,120        2,203,973  

San Francisco City and County Airport Commission, (San Francisco International Airport), 5.00%, 5/1/35

      2,760        2,850,970  

San Joaquin Hills Transportation Corridor Agency, 5.00%, 1/15/34

      500        550,485  
     

 

 

  
      $ 9,935,138  
     

 

 

  

Water and Sewer — 15.2%

      

Rancho California Water District Financing Authority, 5.00%, 8/1/46(1)

    $ 5,250      $ 5,994,083  

San Francisco City and County Public Utilities Commission, Water Revenue, Green Bonds, 5.00%, 11/1/45(1)

      6,000        6,684,120  

San Mateo, Sewer Revenue, 5.00%, 8/1/36

      1,700        1,821,890  
     

 

 

  
      $ 14,500,093  
     

 

 

  

Total Tax-Exempt Municipal Securities — 151.2%
(identified cost $138,305,419)

       $ 144,259,458  
     

 

 

  

Taxable Municipal Securities — 8.7%

      
Security    Principal
Amount
(000’s omitted)		      Value  

Education — 3.3%

      

California Educational Facilities Authority, (Loyola Marymount University), 4.842%, 10/1/48

    $ 3,000      $ 3,093,570  
     

 

 

  
      $ 3,093,570  
     

 

 

  

 

3

 

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

Hospital — 5.4%

      

California Statewide Communities Development Authority, (Loma Linda University Medical Center), 6.00%, 12/1/24

    $  2,500      $ 2,630,850  

California Statewide Communities Development Authority, (Marin General Hospital), 4.821%, 8/1/45

      2,500        2,555,975  
     

 

 

  
      $ 5,186,825  
     

 

 

  

Total Taxable Municipal Securities — 8.7%
(identified cost $8,074,130)

       $ 8,280,395  
     

 

 

  

Corporate Bonds & Notes — 1.1%

      
Security    Principal
Amount
(000’s omitted)		      Value  

Other — 1.1%

      

Morongo Band of Mission Indians, 7.00%, 10/1/39(2)

    $ 1,040      $ 1,067,102  
     

 

 

  

Total Corporate Bonds & Notes — 1.1%
(identified cost $1,040,000)

       $ 1,067,102  
     

 

 

  

Total Investments — 161.0%
(identified cost $147,419,549)

       $ 153,606,955  
     

 

 

  

Other Assets, Less Liabilities — (61.0)%

       $ (58,189,662 ) 
     

 

 

  

Net Assets Applicable to Common Shares — 100.0%

       $ 95,417,293  
     

 

 

  

The percentage shown for each investment category in the Portfolio of Investments is based on net assets applicable to common shares.

The Trust invests primarily in debt securities issued by California municipalities. The ability of the issuers of the debt securities to meet their obligations may be affected by economic developments in a specific industry or municipality. In order to reduce the risk associated with such economic developments, at February 28, 2019, 9.7% of total investments are backed by bond insurance of various financial institutions and financial guaranty assurance agencies. The aggregate percentage insured by an individual financial institution or financial guaranty assurance agency ranged from 1.9% to 5.6% of total investments.

 

(1)

Security represents the municipal bond held by a trust that issues residual interest bonds.

 

(2)

Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be sold in certain transactions in reliance on an exemption from registration (normally to qualified institutional buyers). At February 28, 2019, the aggregate value of these securities is $1,686,560 or 1.8% of the Trust’s net assets applicable to common shares.

Abbreviations:

 

AGC

   -   Assured Guaranty Corp.

AGM

   -   Assured Guaranty Municipal Corp.

AMBAC

   -   AMBAC Financial Group, Inc.

AMT

   -   Interest earned from these securities may be considered a tax preference item for purposes of the Federal Alternative Minimum Tax.

NPFG

   -   National Public Finance Guarantee Corp.

 

4

 

 

The Trust did not have any open derivative instruments at February 28, 2019.

Under generally accepted accounting principles for fair value measurements, a three-tier hierarchy to prioritize the assumptions, referred to as inputs, is used in valuation techniques to measure fair value. The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

 

•  

Level 1 — quoted prices in active markets for identical investments

 

•  

Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

 

•  

Level 3 — significant unobservable inputs (including a fund’s own assumptions in determining the fair value of investments)

In cases where the inputs used to measure fair value fall in different levels of the fair value hierarchy, the level disclosed is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

At February 28, 2019, the hierarchy of inputs used in valuing the Trust’s investments, which are carried at value, were as follows:

 

Asset Description    Level 1      Level 2      Level 3      Total  

Tax-Exempt Municipal Securities

    $ —      $ 144,259,458      $ —      $ 144,259,458  

Taxable Municipal Securities

      —        8,280,395        —        8,280,395  

Corporate Bonds & Notes

      —        1,067,102        —        1,067,102  

Total Investments

    $     —      $     153,606,955      $     —      $     153,606,955  

For information on the Trust’s policy regarding the valuation of investments and other significant accounting policies, please refer to the Trust’s most recent financial statements included in its semiannual or annual report to shareholders.

 

5

 

 

Item 2. Controls and Procedures

(a) It is the conclusion of the registrant’s principal executive officer and principal financial officer that the effectiveness of the registrant’s current disclosure controls and procedures (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing) provide reasonable assurance that the information required to be disclosed by the registrant on this Form N-Q has been recorded, processed, summarized and reported within the time period specified in the Commission’s rules and forms and that the information required to be disclosed by the registrant on this Form N-Q has been accumulated and communicated to the registrant’s principal executive officer and principal financial officer in order to allow timely decisions regarding required disclosure.

(b) There have been no changes in the registrant’s internal controls over financial reporting during the fiscal quarter for which the report is being filed that have materially affected, or are reasonably likely to materially affect the registrant’s internal control over financial reporting.

Item 3. Exhibits

A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act is attached hereto.

 

Signatures

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.

Eaton Vance California Municipal Income Trust

 

By:   /s/ Payson F. Swaffield
  Payson F. Swaffield
  President
Date:   April 25, 2019

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/ Payson F. Swaffield
  Payson F. Swaffield
  President
Date:   April 25, 2019
By:   /s/ James F. Kirchner
  James F. Kirchner
  Treasurer
Date:   April 25, 2019