Eaton Vance Pennsylvania Municipal Income Trust

0001193125-17-146635.txt : 20170428 0001193125-17-146635.hdr.sgml : 20170428 20170428123103 ACCESSION NUMBER: 0001193125-17-146635 CONFORMED SUBMISSION TYPE: N-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20170228 FILED AS OF DATE: 20170428 DATE AS OF CHANGE: 20170428 EFFECTIVENESS DATE: 20170428 FILER: COMPANY DATA: COMPANY CONFORMED NAME: EATON VANCE PENNSYLVANIA MUNICIPAL INCOME TRUST CENTRAL INDEX KEY: 0001074687 IRS NUMBER: 046880053 FILING VALUES: FORM TYPE: N-Q SEC ACT: 1940 Act SEC FILE NUMBER: 811-09151 FILM NUMBER: 17793281 BUSINESS ADDRESS: STREET 1: TWO INTERNATIONAL PLACE CITY: BOSTON STATE: MA ZIP: 02110 BUSINESS PHONE: 617-482-8260 MAIL ADDRESS: STREET 1: TWO INTERNATIONAL PLACE CITY: BOSTON STATE: MA ZIP: 02110 N-Q 1 d336206dnq.htm EATON VANCE PENNSYLVANIA MUNICIPAL INCOME TRUST Eaton Vance Pennsylvania 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

811-09151

Investment Company Act File Number

Eaton Vance Pennsylvania 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, 2017

Date of Reporting Period

Item 1. Schedule of Investments

Eaton Vance

Pennsylvania Municipal Income Trust

February 28, 2017

PORTFOLIO OF INVESTMENTS (Unaudited)

Tax-Exempt Municipal Securities — 157.0%


Security	Principal Amount (000’s omitted)		Value
Cogeneration — 0.4%
Northampton County Industrial Development Authority, (Northampton Generating), 5.00%, 12/31/23⁽¹⁾	$	378	$	150,909

			$	150,909

Education — 29.4%
Allegheny County Higher Education Building Authority, (Duquesne University), 5.00%, 3/1/29	$	470	$	542,460
Bucks County Industrial Development Authority, (George School), 5.00%, 9/15/39		500		534,490
Cumberland County Municipal Authority, (Dickinson College), 5.00%, 11/1/39		1,200		1,273,920
Delaware County Authority, (Villanova University), 4.00%, 8/1/45		1,000		1,017,170
Lehigh County General Purpose Authority, (Muhlenberg College), 5.00%, 2/1/32		830		949,329
Northampton County General Purpose Authority, (Lafayette College), 5.00%, 11/1/32		750		857,153
Northampton County General Purpose Authority, (Moravian College), 5.00%, 10/1/24		45		50,759
Northampton County General Purpose Authority, (Moravian College), 5.00%, 10/1/25		65		73,466
Northampton County General Purpose Authority, (Moravian College), 5.00%, 10/1/26		140		159,058
Northampton County General Purpose Authority, (Moravian College), 5.00%, 10/1/27		90		101,601
Northampton County General Purpose Authority, (Moravian College), 5.00%, 10/1/30		130		143,953
Northampton County General Purpose Authority, (Moravian College), 5.00%, 10/1/31		110		121,081
Northampton County General Purpose Authority, (Moravian College), 5.00%, 10/1/40		205		220,008
Northeastern Pennsylvania Hospital and Education Authority, (Wilkes University), 5.00%, 3/1/27		625		694,281
Pennsylvania Higher Educational Facilities Authority, (Saint Joseph’s University), 5.00%, 11/1/40		440		482,376
Pennsylvania Higher Educational Facilities Authority, (Thomas Jefferson University), 5.00%, 3/1/42		600		657,954
Pennsylvania State University, 5.00%, 9/1/34		750		871,268
State Public School Building Authority, (Northampton County Area Community College), 5.50%, 3/1/31		750		841,560
Swarthmore Borough Authority, (Swarthmore College), 5.00%, 9/15/38		250		287,690
Washington County Industrial Development Authority, (Washington and Jefferson College), 5.25%, 11/1/30		575		628,607

			$	10,508,184

Escrowed/Prerefunded — 21.1%
Allegheny County Higher Education Building Authority, (Duquesne University), Prerefunded to 3/1/21, 5.50%, 3/1/31	$	1,050	$	1,219,480
Chester County, Prerefunded to 7/15/19, 5.00%, 7/15/27		395		431,628
Daniel Boone Area School District, Prerefunded to 8/15/18, 5.00%, 8/15/32		435		461,274
Daniel Boone Area School District, Prerefunded to 8/15/18, 5.00%, 8/15/32		315		333,932
Daniel Boone Area School District, Prerefunded to 8/15/18, 5.00%, 8/15/32		220		233,222
Dauphin County General Authority, (Pinnacle Health System), Prerefunded to 6/1/19, 6.00%, 6/1/29		360		399,686
Northampton County General Purpose Authority, (Lehigh University), Prerefunded to 5/15/19, 5.00%, 11/15/39		500		543,455
Pennsylvania Higher Educational Facilities Authority, (Thomas Jefferson University), Prerefunded to 3/1/20, 5.00%, 3/1/40		625		695,363
Pennsylvania Turnpike Commission, Prerefunded to 6/1/18, 5.625%, 6/1/29		750		795,210


Security	Principal Amount (000’s omitted)		Value
Pennsylvania Turnpike Commission, Prerefunded to 6/1/19, 5.25%, 6/1/39	$	420	$	459,589
Pennsylvania Turnpike Commission, Prerefunded to 6/1/19, 5.25%, 6/1/39		65		71,127
Pennsylvania Turnpike Commission, Prerefunded to 12/1/20, 5.35%, 12/1/30		495		569,141
Philadelphia School District, Prerefunded to 9/1/18, 6.00%, 9/1/38		985		1,059,978
Philadelphia School District, Prerefunded to 9/1/18, 6.00%, 9/1/38		15		16,142
Philadelphia, Gas Works Revenue, Prerefunded to 8/1/20, 5.25%, 8/1/40		235		266,556

			$	7,555,783

General Obligations — 8.5%
Chester County, 4.00%, 7/15/29	$	750	$	832,132
Chester County, 5.00%, 7/15/27		105		114,219
Daniel Boone Area School District, 5.00%, 8/15/32		30		31,464
Delaware Valley Regional Finance Authority, 5.75%, 7/1/32		1,000		1,222,440
West York Area School District, 5.00%, 4/1/33		750		825,908

			$	3,026,163

Hospital — 21.2%
Allegheny County Hospital Development Authority, (University of Pittsburgh Medical Center), 5.50%, 8/15/34	$	500	$	541,110
Chester County Health and Education Facilities Authority, (Jefferson Health System), 5.00%, 5/15/40		750		805,365
Dauphin County General Authority, (Pinnacle Health System), 6.00%, 6/1/29		390		428,551
Lehigh County General Purpose Authority, (Lehigh Valley Health Network), 4.00%, 7/1/33		500		507,190
Lehigh County General Purpose Authority, (Lehigh Valley Health Network), 4.00%, 7/1/35		235		235,536
Lycoming County Authority, (Susquehanna Health System), 5.75%, 7/1/39		750		818,520
Montgomery County Higher Education and Health Authority, (Abington Memorial Hospital Obligated Group), 5.00%, 6/1/31		1,095		1,199,080
Montgomery County Higher Education and Health Authority, (Holy Redeemer Health System), 5.00%, 10/1/27		500		552,060
Northampton County General Purpose Authority, (Saint Luke’s Hospital), 5.50%, 8/15/33		250		272,650
Pennsylvania Higher Educational Facilities Authority, (UPMC Health System), 5.00%, 5/15/31		675		727,211
South Fork Municipal Authority, (Conemaugh Health System), Prerefunded to 7/1/20, 5.50%, 7/1/29		250		284,753
Southcentral Pennsylvania General Authority, (WellSpan Health Obligated Group), 5.00%, 6/1/34		1,085		1,199,446

			$	7,571,472

Housing — 1.3%
East Hempfield Township Industrial Development Authority, (Student Services, Inc.), 5.00%, 7/1/39	$	175	$	181,940
Pennsylvania Housing Finance Agency, SFMR, (AMT), 4.70%, 10/1/37		265		265,109

			$	447,049

Industrial Development Revenue — 9.5%
Delaware County Industrial Development Authority, (Covanta), 5.00%, 7/1/43⁽²⁾	$	750	$	750,383
Luzerne County Industrial Development Authority, (Pennsylvania-American Water Co.), 5.50%, 12/1/39		200		218,194
Montgomery County Industrial Development Authority, (Aqua Pennsylvania, Inc.), (AMT), 5.25%, 7/1/42		750		781,987
Pennsylvania Economic Development Financing Authority, (Pennsylvania-American Water Co.), 6.20%, 4/1/39		250		272,885
Pennsylvania Economic Development Financing Authority, (Procter & Gamble Paper Products Co.), (AMT), 5.375%, 3/1/31		1,115		1,356,007

			$	3,379,456


Security	Principal Amount (000’s omitted)		Value
Insured-Education — 3.7%
State Public School Building Authority, (Delaware County Community College), (AGM), Prerefunded to 4/1/18, 5.00%, 10/1/29	$	375	$	391,999
State Public School Building Authority, (Delaware County Community College), (AGM), Prerefunded to 4/1/18, 5.00%, 10/1/32		875		914,664

			$	1,306,663

Insured-Electric Utilities — 3.1%
Puerto Rico Electric Power Authority, (NPFG), 5.25%, 7/1/34	$	1,080	$	1,125,036

			$	1,125,036

Insured-Escrowed/Prerefunded — 18.1%
Beaver County, (AGM), Prerefunded to 11/15/17, 5.55%, 11/15/31	$	475	$	491,407
Bethlehem Area School District, (AGM), Prerefunded to 1/15/20, 5.25%, 1/15/25		750		836,992
Lehigh County General Purpose Authority, (Lehigh Valley Health Network), (AGM), Prerefunded to 7/1/18, 5.00%, 7/1/35		1,440		1,532,765
Lycoming County Authority, (Pennsylvania College of Technology), (AGC), Prerefunded to 4/1/18, 5.50%, 10/1/37		500		525,600
Pennsylvania Higher Educational Facilities Authority, (Drexel University), (NPFG), Prerefunded to 11/1/17, 5.00%, 5/1/37		1,105		1,136,691
Westmoreland Municipal Authority, (FGIC), Escrowed to Maturity, 0.00%, 8/15/19		2,000		1,937,640

			$	6,461,095

Insured-General Obligations — 3.2%
Beaver County, (AGM), Prerefunded to 11/15/17, 5.55%, 11/15/31	$	25	$	25,864
Laurel Highlands School District, (AGM), 5.00%, 2/1/37		750		823,710
Luzerne County, (AGM), 5.00%, 11/15/29		250		275,550

			$	1,125,124

Insured-Hospital — 0.9%
Allegheny County Hospital Development Authority, (UPMC Health System), (NPFG), 6.00%, 7/1/24	$	250	$	308,823

			$	308,823

Insured-Lease Revenue/Certificates of Participation — 4.9%
Commonwealth Financing Authority, (AGC), 5.00%, 6/1/31	$	500	$	533,890
Philadelphia Authority for Industrial Development, (One Benjamin Franklin), (AGM), 4.75%, 2/15/27		1,195		1,223,728

			$	1,757,618

Insured-Special Tax Revenue — 2.5%
Pittsburgh and Allegheny County Sports & Exhibition Authority, Sales Tax Revenue, (AGM), 5.00%, 2/1/31	$	610	$	668,719
Puerto Rico Sales Tax Financing Corp., (NPFG), 0.00%, 8/1/45		1,235		239,800

			$	908,519

Insured-Transportation — 9.7%
Philadelphia, Airport Revenue, (AGM), (AMT), 5.00%, 6/15/27	$	525	$	531,148
Philadelphia Parking Authority, (AMBAC), 5.25%, 2/15/29		1,005		1,008,889
Puerto Rico Highway and Transportation Authority, (AGC), 5.25%, 7/1/41		1,800		1,912,770

			$	3,452,807

Insured-Water and Sewer — 1.5%
Bucks County Water and Sewer Authority, (AGM), 5.00%, 12/1/35	$	500	$	551,990

			$	551,990


Security	Principal Amount (000’s omitted)		Value
Senior Living/Life Care — 0.3%
Lancaster Industrial Development Authority, (Garden Spot Village), 5.375%, 5/1/28	$	100	$	108,477

			$	108,477

Transportation — 12.2%
Delaware River Port Authority of Pennsylvania and New Jersey, 5.00%, 1/1/35	$	465	$	506,032
Delaware River Port Authority of Pennsylvania and New Jersey, 5.00%, 1/1/40		285		309,900
Pennsylvania Economic Development Financing Authority, (Amtrak), (AMT), 5.00%, 11/1/41		450		475,429
Pennsylvania Turnpike Commission, 5.25%, 6/1/39		515		552,770
Pennsylvania Turnpike Commission, 5.35%, 12/1/30		935		1,032,577
Philadelphia, Airport Revenue, (AMT), 5.00%, 6/15/23		410		452,177
Philadelphia, Airport Revenue, (AMT), 5.00%, 6/15/27		970		1,046,746

			$	4,375,631

Utilities — 1.1%
Philadelphia, Gas Works Revenue, 5.25%, 8/1/40	$	365	$	400,347

			$	400,347

Water and Sewer — 4.4%
Harrisburg Water Authority, 5.25%, 7/15/31	$	750	$	763,545
Philadelphia, Water and Wastewater Revenue, 5.00%, 1/1/36		750		824,317

			$	1,587,862


Total Tax-Exempt Municipal Securities — 157.0% (identified cost $52,961,265)			$	56,109,008


Taxable Municipal Securities — 0.0%⁽³⁾

Security	Principal Amount (000’s omitted)		Value
Cogeneration — 0.0%⁽³⁾
Northampton County Industrial Development Authority, (Northampton Generating), 5.00%, 12/31/23⁽¹⁾	$	37	$	14,724


Total Taxable Municipal Securities — 0.0%⁽³⁾ (identified cost $36,894)			$	14,724


Total Investments — 157.0% (identified cost $52,998,159)			$	56,123,732


Auction Preferred Shares Plus Cumulative Unpaid Dividends — (11.7)%			$	(4,200,126	)


Institutional MuniFund Term Preferred Shares, at Liquidation Value — (47.5)%			$	(16,975,000	)


Other Assets, Less Liabilities — 2.2%			$	799,487


Net Assets Applicable to Common Shares — 100.0%			$	35,748,093

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 Pennsylvania 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, 2017, 30.3% 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 1.8% to 14.7% of total investments.

(1)	Represents a payment-in-kind security which may pay interest in additional principal at the issuer’s discretion.

(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, 2017, the aggregate value of these securities is $750,383 or 2.1% of the Trust’s net assets applicable to common shares.

(3)	Amount is less than 0.05%.

Futures Contracts


Description	Contracts		Position	Expiration Month/Year	Aggregate Cost			Value			Net Unrealized Appreciation
Interest Rate Futures
U.S. Long Treasury Bond		10	Short	Jun-17	$	(1,519,513	)	$	(1,516,563	)	$	2,950

											$	2,950

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.



FGIC	-	Financial Guaranty Insurance Company

NPFG	-	National Public Finance Guaranty Corp.

SFMR	-	Single Family Mortgage Revenue

At February 28, 2017, the Trust had sufficient cash and/or securities to cover commitments under open derivative contracts.

The Trust is subject to interest rate risk in the normal course of pursuing its investment objective. Because the Trust holds fixed-rate bonds, the value of these bonds may decrease if interest rates rise. The Trust enters into U.S. Treasury futures contracts to hedge against changes in interest rates.

At February 28, 2017, the aggregate fair value of open derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) in an asset position and whose primary underlying risk exposure is interest rate risk was $2,950.

The cost and unrealized appreciation (depreciation) of investments of the Trust at February 28, 2017, as determined on a federal income tax basis, were as follows:


Aggregate cost	$	52,902,277

Gross unrealized appreciation	$	3,786,820
Gross unrealized depreciation		(565,365	)

Net unrealized appreciation	$	3,221,455

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, 2017, the hierarchy of inputs used in valuing the Trust’s investments and open derivative instruments, which are carried at value, were as follows:


Asset Description	Level 1		Level 2		Level 3		Total
Tax-Exempt Municipal Securities	$	—	$	56,109,008	$	—	$	56,109,008
Taxable Municipal Securities		—		14,724		—		14,724
Total Investments	$	—	$	56,123,732	$	—	$	56,123,732
Futures Contracts	$	2,950	$	—	$	—	$	2,950
Total	$	2,950	$	56,123,732	$	—	$	56,126,682

The Trust held no investments or other financial instruments as of November 30, 2016 whose fair value was determined using Level 3 inputs. At February 28, 2017, there were no investments transferred between Level 1 and Level 2 during the fiscal year to date then ended.

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.

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 Pennsylvania Municipal Income Trust



By:		/s/ Payson F. Swaffield
		Payson F. Swaffield
		President

Date:		April 27, 2017

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 27, 2017



By:		/s/ James F. Kirchner
		James F. Kirchner
		Treasurer

Date:		April 27, 2017

EX-99.CERT 2 d336206dex99cert.htm EX-99.CERT SECTION 302 CERTIFICATION EX-99.CERT Section 302 Certification

Eaton Vance Pennsylvania Municipal Income Trust

Certification

Pursuant to Rule 302 of the Sarbanes-Oxley Act of 2003

I, Payson F. Swaffield, certify that:

1. I have reviewed this report on Form N-Q of Eaton Vance Pennsylvania Municipal Income Trust;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the schedule of investments included in this report, fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.



By:		/s/ Payson F. Swaffield
		Payson F. Swaffield
		President

Date:		April 27, 2017

Eaton Vance Pennsylvania Municipal Income Trust

Certification

Pursuant to Rule 302 of the Sarbanes-Oxley Act of 2003

I, James F. Kirchner, certify that:

1. I have reviewed this report on Form N-Q of Eaton Vance Pennsylvania Municipal Income Trust;

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.



By:		/s/ James F. Kirchner
		James F. Kirchner
		Treasurer

Date:		April 27, 2017