N-Q 1 d60563dnq.htm EATON VANCE NEW JERSEY MUNICIPAL INCOME TRUST Eaton Vance New Jersey 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

811-09155

Investment Company Act File Number

Eaton Vance New Jersey 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

August 31, 2015

Date of Reporting Period

 

 

 

Item 1. Schedule of Investments

Eaton Vance

New Jersey Municipal Income Trust

August 31, 2015

PORTFOLIO OF INVESTMENTS (Unaudited)

Tax-Exempt Municipal Securities — 154.5%

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

Education — 22.5%

      

Camden County Improvement Authority, (Rowan University School of Osteopathic Medicine), 5.00%, 12/1/32

    $ 1,270       $ 1,416,012   

New Jersey Educational Facilities Authority, (Kean University), 5.50%, 9/1/36

      1,730         1,954,779   

New Jersey Educational Facilities Authority, (Montclair State University), 5.00%, 7/1/33

      620         691,108   

New Jersey Educational Facilities Authority, (Montclair State University), 5.00%, 7/1/34

      380         422,970   

New Jersey Educational Facilities Authority, (Ramapo College), 5.00%, 7/1/37

      640         696,243   

New Jersey Educational Facilities Authority, (Ramapo College), 5.00%, 7/1/40

      1,230         1,343,763   

New Jersey Educational Facilities Authority, (Stevens Institute of Technology),
5.00%, 7/1/27

      1,650         1,735,866   

New Jersey Educational Facilities Authority, (University of Medicine and Dentistry), Prerefunded to 6/1/19, 7.50%, 12/1/32

      965         1,189,584   

New Jersey Institute of Technology, 5.00%, 7/1/42

      1,295         1,420,343   

Rutgers State University, 5.00%, 5/1/33

      1,000         1,136,760   

Rutgers State University, 5.00%, 5/1/39

      1,900         2,114,548   
     

 

 

  
      $ 14,121,976   
     

 

 

  

Escrowed/Prerefunded — 3.1%

      

New Jersey Economic Development Authority, (Seabrook Village), Prerefunded to 11/15/16, 5.25%, 11/15/36

    $ 815       $ 861,341   

New Jersey Health Care Facilities Financing Authority, (Chilton Memorial Hospital), Prerefunded to 7/1/19, 5.75%, 7/1/39

      915         1,072,197   
     

 

 

  
      $ 1,933,538   
     

 

 

  

General Obligations — 6.6%

      

Monmouth County Improvement Authority, 5.00%, 1/15/28

    $ 1,850       $ 2,115,882   

Monmouth County Improvement Authority, 5.00%, 1/15/30

      1,795         2,033,699   
     

 

 

  
      $ 4,149,581   
     

 

 

  

Hospital — 20.8%

      

Camden County Improvement Authority, (Cooper Health System), 5.75%, 2/15/42

    $ 650       $ 732,732   

New Jersey Health Care Facilities Financing Authority, (AHS Hospital Corp.),
5.00%, 7/1/27

      2,290         2,479,589   

New Jersey Health Care Facilities Financing Authority, (Atlanticare Regional Medical Center), 5.00%, 7/1/37

      2,090         2,177,634   

New Jersey Health Care Facilities Financing Authority, (Barnabas Health Obligated Group), 4.25%, 7/1/44

      750         756,847   

New Jersey Health Care Facilities Financing Authority, (Meridian Health System),
5.00%, 7/1/26

      620         695,882   

New Jersey Health Care Facilities Financing Authority, (Palisades Medical Center),
5.25%, 7/1/31

      250         273,020   

New Jersey Health Care Facilities Financing Authority, (Robert Wood Johnson University Hospital), 5.00%, 7/1/31

      2,055         2,245,231   

New Jersey Health Care Facilities Financing Authority, (South Jersey Hospital),
5.00%, 7/1/46

      2,380         2,424,863   

New Jersey Health Care Facilities Financing Authority, (South Jersey Hospital), Prerefunded to 7/1/16, 5.00%, 7/1/46

      60         62,255   

New Jersey Health Care Facilities Financing Authority, (Virtua Health), 5.75%, 7/1/33

      1,075         1,211,987   
     

 

 

  
      $ 13,060,040   
     

 

 

  

Housing — 1.6%

      

New Jersey Housing and Mortgage Finance Agency, (Single Family Housing), (AMT),
4.70%, 10/1/37

    $ 495       $ 500,133   

 

1

 

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

New Jersey Housing and Mortgage Finance Agency, (Single Family Housing), (AMT), 5.00%, 10/1/37

    $ 480       $ 486,874   
     

 

 

  
      $ 987,007   
     

 

 

  

Industrial Development Revenue — 7.6%

      

Essex County Improvement Authority, (Covanta), (AMT), 5.25%, 7/1/45(1)

    $ 965       $ 968,802   

New Jersey Economic Development Authority, (Continental Airlines), (AMT), 5.125%, 9/15/23

      50         54,616   

New Jersey Economic Development Authority, (Continental Airlines), (AMT), 5.25%, 9/15/29

      135         147,033   

New Jersey Economic Development Authority, (Continental Airlines), (AMT), 5.50%, 6/1/33

      750         826,515   

New Jersey Economic Development Authority, (New Jersey-American Water Co., Inc.), (AMT), 5.10%, 6/1/23

      220         243,987   

New Jersey Economic Development Authority, (New Jersey-American Water Co., Inc.), (AMT), 5.70%, 10/1/39

      2,235         2,540,770   
     

 

 

  
      $ 4,781,723   
     

 

 

  

Insured-Electric Utilities — 1.6%

      

Puerto Rico Electric Power Authority, (NPFG), 5.25%, 7/1/29

    $ 135       $ 117,887   

Puerto Rico Electric Power Authority, (NPFG), 5.25%, 7/1/34

      490         415,721   

Puerto Rico Electric Power Authority, (NPFG), 5.25%, 7/1/35

      595         502,460   
     

 

 

  
      $ 1,036,068   
     

 

 

  

Insured-Escrowed/Prerefunded — 4.0%

      

Lakewood Township, (AGC), Prerefunded to 11/1/18, 5.75%, 11/1/31

    $ 1,240       $ 1,426,111   

New Jersey Economic Development Authority, (School Facilities Construction), (AGC), Prerefunded to 12/15/18, 5.50%, 12/15/34

      970         1,112,377   
     

 

 

  
      $ 2,538,488   
     

 

 

  

Insured-Gas Utilities — 5.7%

      

New Jersey Economic Development Authority, (New Jersey Natural Gas Co.), (NPFG), (AMT), 4.90% to 10/1/25 (Put Date), 10/1/40

    $ 3,540       $ 3,553,771   
     

 

 

  
      $ 3,553,771   
     

 

 

  

Insured-General Obligations — 4.9%

      

Hudson County Improvement Authority, (Harrison Parking), (AGC), 5.25%, 1/1/39

    $ 1,015       $ 1,121,869   

Irvington Township, (AGM), 5.00%, 7/15/31

      1,000         1,116,750   

Paterson, (BAM), 5.00%, 1/15/26

      750         826,020   
     

 

 

  
      $ 3,064,639   
     

 

 

  

Insured-Hospital — 4.5%

      

New Jersey Economic Development Authority, (Hillcrest Health Service System), (AMBAC), 0.00%, 1/1/20

    $ 100       $ 88,592   

New Jersey Economic Development Authority, (Hillcrest Health Service System), (AMBAC), 0.00%, 1/1/21

      300         256,014   

New Jersey Health Care Facilities Financing Authority, (Meridian Health System), Series II, (AGC), 5.00%, 7/1/38

      375         397,729   

New Jersey Health Care Facilities Financing Authority, (Meridian Health System), Series V, (AGC), 5.00%, 7/1/38(2)

      500         530,305   

New Jersey Health Care Facilities Financing Authority, (Virtua Health), (AGC), 5.50%, 7/1/38

      1,380         1,527,191   
     

 

 

  
   $ 2,799,831   
     

 

 

  

Insured-Industrial Development Revenue — 3.3%

      

New Jersey Economic Development Authority, (United Water New Jersey, Inc.), (AMBAC), (AMT), 4.875%, 11/1/25

    $ 1,940       $ 2,086,237   
     

 

 

  
   $ 2,086,237   
     

 

 

  

Insured-Lease Revenue/Certificates of Participation — 3.8%

      

New Jersey Economic Development Authority, (School Facilities Construction), (AGC), 5.50%, 12/15/34

    $ 530       $ 584,569   

New Jersey Economic Development Authority, (School Facilities Construction), (AGM), 5.00%, 6/15/33

      640         676,301   

 

2

 

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

New Jersey Economic Development Authority, (School Facilities Construction), (NPFG), 5.50%, 9/1/28

    $ 1,000       $ 1,113,960   
     

 

 

  
   $ 2,374,830   
     

 

 

  

Insured-Special Tax Revenue — 13.2%

      

Garden State Preservation Trust, (AGM), 0.00%, 11/1/25

    $ 5,250       $ 3,937,395   

New Jersey Economic Development Authority, (Motor Vehicle Surcharges), (XLCA),
0.00%, 7/1/26

      4,300         2,802,826   

New Jersey Economic Development Authority, (Motor Vehicle Surcharges), (XLCA),
0.00%, 7/1/27

      2,020         1,257,632   

Puerto Rico Sales Tax Financing Corp., (NPFG), 0.00%, 8/1/45

      2,020         319,968   
     

 

 

  
   $ 8,317,821   
     

 

 

  

Insured-Student Loan — 3.1%

      

New Jersey Higher Education Student Assistance Authority, (AGC), (AMT), 6.125%, 6/1/30

    $ 1,805       $ 1,947,270   
     

 

 

  
   $ 1,947,270   
     

 

 

  

Insured-Transportation — 6.6%

      

New Jersey Economic Development Authority, (The Goethals Bridge Replacement), (AGM), (AMT), 5.00%, 1/1/31

    $ 850       $ 938,842   

New Jersey Economic Development Authority, (The Goethals Bridge Replacement), (AGM), (AMT), 5.125%, 1/1/39

      1,500         1,629,030   

New Jersey Transportation Trust Fund Authority, (Transportation System), (AMBAC),
0.00%, 12/15/28

      2,400         1,195,296   

South Jersey Transportation Authority, (AGC), 5.50%, 11/1/33

      315         354,240   
     

 

 

  
   $ 4,117,408   
     

 

 

  

Lease Revenue/Certificates of Participation — 5.9%

      

New Jersey Economic Development Authority, (School Facilities Construction),
5.25%, 12/15/33

    $ 1,100       $ 1,133,385   

New Jersey Economic Development Authority, (School Facilities Construction), Prerefunded to 6/15/19, 5.25%, 12/15/33

      400         460,660   

New Jersey Health Care Facilities Financing Authority, (Hospital Asset Transformation Program), 5.25%, 10/1/38

      1,700         1,818,014   

New Jersey Health Care Facilities Financing Authority, (Hospital Asset Transformation Program), 5.75%, 10/1/31

      250         277,447   
     

 

 

  
   $ 3,689,506   
     

 

 

  

Other Revenue — 4.5%

      

New Jersey Economic Development Authority, (Duke Farms Foundation), 5.00%, 7/1/48

    $ 2,040       $ 2,270,316   

New Jersey Economic Development Authority, (The Seeing Eye, Inc.), 5.00%, 6/1/32

      500         560,345   
     

 

 

  
   $ 2,830,661   
     

 

 

  

Senior Living/Life Care — 3.5%

      

New Jersey Economic Development Authority, (Cranes Mill, Inc.), 5.875%, 7/1/28

    $ 465       $ 483,428   

New Jersey Economic Development Authority, (Cranes Mill, Inc.), 6.00%, 7/1/38

      770         797,759   

New Jersey Economic Development Authority, (United Methodist Homes of New Jersey), 4.50%, 7/1/38

      700         706,636   

New Jersey Economic Development Authority, (United Methodist Homes of New Jersey), 5.00%, 7/1/29

      215         230,772   
     

 

 

  
   $ 2,218,595   
     

 

 

  

Special Tax Revenue — 2.4%

      

New Jersey Economic Development Authority, (Newark Downtown District Management Corp.), 5.125%, 6/15/27

    $ 100       $ 103,070   

New Jersey Economic Development Authority, (Newark Downtown District Management Corp.), 5.125%, 6/15/37

      175         178,811   

Puerto Rico Sales Tax Financing Corp., 5.00%, 8/1/40

      750         471,045   

Puerto Rico Sales Tax Financing Corp., 5.75%, 8/1/37

      500         194,100   

Virgin Islands Public Finance Authority, 6.75%, 10/1/37

      500         564,195   
     

 

 

  
   $ 1,511,221   
     

 

 

  

 

3

 

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

Student Loan — 4.4%

      

New Jersey Higher Education Student Assistance Authority, (AMT), 1.233%, 6/1/36(2)(3)(4)

    $ 2,050       $ 2,037,339   

New Jersey Higher Education Student Assistance Authority, (AMT), 4.75%, 12/1/43

      740         751,285   
     

 

 

  
   $ 2,788,624   
     

 

 

  

Transportation — 18.7%

      

Delaware River Port Authority of Pennsylvania and New Jersey, 5.00%, 1/1/35

    $ 1,060       $ 1,177,830   

Delaware River Port Authority of Pennsylvania and New Jersey, 5.00%, 1/1/40

      1,080         1,194,264   

New Jersey Transportation Trust Fund Authority, (Transportation System), 5.50%, 6/15/31

      1,850         1,938,430   

New Jersey Transportation Trust Fund Authority, (Transportation System), 5.875%, 12/15/38

      250         270,462   

New Jersey Transportation Trust Fund Authority, (Transportation System), 6.00%, 12/15/38

      530         578,373   

New Jersey Turnpike Authority, 5.25%, 1/1/40

      3,600         3,958,236   

Port Authority of New York and New Jersey, (AMT), 5.75%, 3/15/35(2)

      1,995         2,184,166   

South Jersey Transportation Authority, 5.00%, 11/1/39

      400         417,920   
     

 

 

  
      $ 11,719,681   
     

 

 

  

Water and Sewer — 2.2%

      

North Hudson Sewerage Authority, 5.00%, 6/1/29

    $ 1,275       $ 1,412,458   
     

 

 

  
      $ 1,412,458   
     

 

 

  

Total Tax-Exempt Municipal Securities — 154.5%
(identified cost $90,395,093)

       $ 97,040,974   
     

 

 

  

Taxable Municipal Securities — 1.6%

      
Security    Principal
Amount
(000’s omitted)		      Value  

General Obligations — 1.6%

      

Atlantic City, 7.50%, 3/1/40

    $ 1,000       $ 1,018,110   
     

 

 

  

Total Taxable Municipal Securities — 1.6%
(identified cost $972,564)

       $ 1,018,110   
     

 

 

  

Corporate Bonds & Notes — 0.7%

      
Security    Principal
Amount
(000’s omitted)		      Value  

Hospital — 0.7%

      

AHS Hospital Corp., 5.024%, 7/1/45

    $ 485       $ 479,549   
     

 

 

  

Total Corporate Bonds & Notes — 0.7%
(identified cost $485,000)

       $ 479,549   
     

 

 

  

Total Investments — 156.8%
(identified cost $91,852,657)

       $ 98,538,633   
     

 

 

  

Auction Preferred Shares Plus Cumulative Unpaid Dividends — (53.2)%

       $ (33,425,426 ) 
     

 

 

  

Other Assets, Less Liabilities — (3.6)%

       $ (2,289,238 ) 
     

 

 

  

Net Assets Applicable to Common Shares — 100.0%

       $ 62,823,969   
     

 

 

  

 

4

 

 

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

 

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.

BAM

   -   Build America Mutual Assurance Co.

NPFG

   -   National Public Finance Guaranty Corp.

XLCA

   -   XL Capital Assurance, Inc.

The Trust invests primarily in debt securities issued by New Jersey 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 August 31, 2015, 32.3% 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 0.8% to 9.1% of total investments.

 

(1) Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933. These securities may be sold in certain transactions (normally to qualified institutional buyers) and remain exempt from registration. At August 31, 2015, the aggregate value of these securities is $968,802 or 1.5% of the Trust’s net assets applicable to common shares.

 

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

 

(3) Security (or a portion thereof) has been pledged as collateral for residual interest bond transactions. The aggregate value of such collateral is $397,339.

 

(4) Variable rate security. The stated interest rate represents the rate in effect at August 31, 2015.

The cost and unrealized appreciation (depreciation) of investments of the Trust at August 31, 2015, as determined on a federal income tax basis, were as follows:

 

Aggregate cost

    $     88,320,561   
  

 

 

  

Gross unrealized appreciation

    $ 7,737,656   

Gross unrealized depreciation

      (939,584 ) 
  

 

 

  

Net unrealized appreciation

    $ 6,798,072   
  

 

 

  

A summary of open financial instruments at August 31, 2015 is as follows:

Futures Contracts

 

Expiration
Month/Year		   

Contracts

    Position    Aggregate Cost     Value     Net Unrealized
Depreciation		  
12/15    30 U.S. Long Treasury Bond    Short    $     (4,636,115 )    $     (4,638,750 )    $     (2,635 ) 

At August 31, 2015, the Trust had sufficient cash and/or securities to cover commitments under these 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 August 31, 2015, the aggregate fair value of open derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) in a liability position and whose primary underlying risk exposure is interest rate risk was $2,635.

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)

 

5

 

 

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 August 31, 2015, 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

    $ —       $ 97,040,974       $     —       $ 97,040,974   

Taxable Municipal Securities

      —         1,018,110         —         1,018,110   

Corporate Bonds & Notes

      —         479,549         —         479,549   

Total Investments

    $ —       $     98,538,633       $ —       $     98,538,633   
Liability Description                                

Futures Contracts

    $ (2,635 )     $ —       $ —       $ (2,635 ) 

Total

    $     (2,635 )     $ —       $ —       $ (2,635 ) 

The Trust held no investments or other financial instruments as of November 30, 2014 whose fair value was determined using Level 3 inputs. At August 31, 2015, 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.

 

6

 

 

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.

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 New Jersey Municipal Income Trust

 

By:   /s/ Payson F. Swaffield
  Payson F. Swaffield
  President
Date:   October 26, 2015

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:   October 26, 2015

 

By:   /s/ James F. Kirchner
  James F. Kirchner
  Treasurer
Date:   October 26, 2015