UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSRS
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-7404
Van Kampen California Value Municipal Income Trust
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(Exact name of registrant as specified in charter)
522 Fifth Avenue, New York, New York 10036
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(Address of principal executive offices) (Zip code)
Jerry W. Miller
522 Fifth Avenue, New York, New York 10036
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(Name and address of agent for service)
Registrant's telephone number, including area code: 212-762-4000
Date of fiscal year end: 10/31
Date of reporting period: 4/30/08
Item 1. Report to Shareholders.
The Trust's semi-annual report transmitted to shareholders pursuant to Rule
30e-1 under the Investment Company Act of 1940 is as follows:
Welcome, Shareholder
In this report, you'll learn about how your investment in Van Kampen
California Value Municipal Income Trust performed during the semiannual
period. The portfolio management team will provide an overview of the
market conditions and discuss some of the factors that affected
investment performance during the reporting period. In addition, this
report includes the trust's financial statements and a list of trust
investments as of April 30, 2008.
MARKET FORECASTS PROVIDED IN THIS REPORT MAY NOT NECESSARILY COME TO
PASS. THERE IS NO ASSURANCE THAT THE TRUST WILL ACHIEVE ITS INVESTMENT
OBJECTIVE. TRUSTS ARE SUBJECT TO MARKET RISK, WHICH IS THE POSSIBILITY
THAT THE MARKET VALUES OF SECURITIES OWNED BY THE TRUST WILL DECLINE AND
THAT THE VALUE OF TRUST SHARES MAY THEREFORE BE LESS THAN WHAT YOU PAID
FOR THEM. ACCORDINGLY, YOU CAN LOSE MONEY INVESTING IN THIS TRUST.
INCOME MAY SUBJECT CERTAIN INDIVIDUALS TO THE FEDERAL ALTERNATIVE MINIMUM
TAX (AMT).
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NOT FDIC INSURED OFFER NO BANK GUARANTEE MAY LOSE VALUE
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NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY NOT A DEPOSIT
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Performance Summary as of 4/30/08
CALIFORNIA VALUE MUNICIPAL INCOME TRUST
SYMBOL: VCV
------------------------------------------------------------
AVERAGE ANNUAL BASED ON BASED ON
TOTAL RETURNS NAV MARKET PRICE
Since Inception (4/30/93) 5.96% 6.18%
10-year 5.20 6.39
5-year 2.60 4.79
1-year -9.51 -7.92
6-month -5.53 -2.49
------------------------------------------------------------
PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE, WHICH IS NO GUARANTEE OF
FUTURE RESULTS, AND CURRENT PERFORMANCE MAY BE LOWER OR HIGHER THAN THE FIGURES
SHOWN. FOR THE MOST RECENT MONTH-END PERFORMANCE FIGURES, PLEASE VISIT
VANKAMPEN.COM OR SPEAK WITH YOUR FINANCIAL ADVISER. INVESTMENT RETURNS, NET
ASSET VALUE (NAV) AND COMMON SHARE MARKET PRICE WILL FLUCTUATE AND TRUST SHARES,
WHEN SOLD, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST.
NAV per share is determined by dividing the value of the trust's portfolio
securities, cash and other assets, less all liabilities and preferred shares, by
the total number of common shares outstanding. The common share market price is
the price the market is willing to pay for shares of the trust at a given time.
Common share market price is influenced by a range of factors, including supply
and demand and market conditions. Total return assumes an investment at the
beginning of the period, reinvestment of all distributions for the period in
accordance with the trust's dividend reinvestment plan, and sale of all shares
at the end of the period. The Trust's adviser has waived or reimbursed fees and
expenses from time to time; absent such waivers/ reimbursements the Trust's
returns would have been lower.
The Lehman Brothers California Municipal Bond Index is a broad-based statistical
composite of California municipal bonds. The index does not include any
expenses, fees or sales charges, which would lower performance. The Index is
unmanaged and should not be considered an investment. It is not possible to
invest directly in an index.
1
Trust Report
FOR THE SIX-MONTH PERIOD ENDED APRIL 30, 2008
MARKET CONDITIONS
The financial markets experienced significant volatility throughout the six-
month reporting period as many large banks and financial firms began writing
down mortgage-related losses, and liquidity and credit availability became even
more restricted. At the same time, the pace of economic growth began to slow,
with gross domestic product (GDP) growth measuring an anemic 0.6 percent for the
fourth quarter of 2007. As weaker economic data was released in the first
quarter of 2008, fears of recession grew and consumer confidence waned,
prompting investors to continue to seek out the relative safety of high-quality
Treasury securities over other sectors of the fixed income market.
The municipal bond market faced additional headwinds as various monoline bond
insurers experienced credit rating downgrades, which caused spreads to widen,
and the auction rate and variable rate markets deteriorated. As a result, the
municipal market underperformed Treasuries for the overall period, with
municipal bond prices reaching historically attractive levels relative to
Treasury bonds in the first quarter of 2008. While yields on short-dated
municipal securities declined, yields on intermediate- and long-dated securities
rose, leading to the steepest yield curve in the past four years as the spread
between one-year and 30-year maturities reached 343 basis points. After a record
year for new municipal bond issuance in 2007, the amount of new issues coming to
market in the first four months of 2008 declined by roughly nine percent versus
the same period one year earlier due in part to a drop in refunding issuance.
Although issuance by the state of California declined as well, the state
remained one of the largest issuers of municipal bonds in the country.
The Federal Reserve (the "Fed") took various steps to ease the liquidity crisis
and boost the economy during the period. Not only did the Federal Open Market
Committee reduce the target federal funds rate from 4.50 percent to 2.00 percent
by the end of the period, but in an unprecedented move, the Fed granted primary
Treasury dealers (mostly brokerage firms) access to its discount window and
loosened its collateral requirements, extending loans of Treasury securities in
exchange for lower quality, less liquid securities. Finally, in the biggest
headline event, the Fed arranged and supported JPMorgan Chase's purchase of Bear
Stearns, which was viewed by many as necessary to avoid serious market
repercussions had the firm failed.
2
PERFORMANCE ANALYSIS
The Trust's return can be calculated based upon either the market price or the
net asset value (NAV) of its shares. NAV per share is determined by dividing the
value of the Trust's portfolio securities, cash and other assets, less all
liabilities and preferred shares, by the total number of common shares
outstanding, while market price reflects the supply and demand for the shares.
As a result, the two returns can differ, as they did during the reporting
period. On both an NAV basis and a market price basis, the Trust underperformed
its benchmark index, the Lehman Brothers California Municipal Bond Index.
TOTAL RETURN FOR THE SIX-MONTH PERIOD ENDED APRIL 30, 2008
--------------------------------------------------------------
LEHMAN BROTHERS
BASED ON CALIFORNIA MUNICIPAL
BASED ON NAV MARKET PRICE BOND INDEX
-5.53% -2.49% 1.08%
--------------------------------------------------------------
Performance data quoted represents past performance, which is no guarantee of
future results, and current performance may be lower or higher than the figures
shown. Investment return, net asset value and common share market price will
fluctuate and Trust shares, when sold, may be worth more or less than their
original cost. See Performance Summary for additional performance information
and index definition.
We continued our efforts to enhance the Trust's yield during the reporting
period through a variety of strategies. One of these strategies was to increase
the Trust's allocation to BB and BBB rated bonds, many of which were in the form
of inverse floating-rate securities* in the tobacco, health care and housing
sectors. Although these higher-yielding securities served to enhance the Trust's
income and diversification, spread widening in all three sectors hurt their
performance. Additionally, we continued to focus on the long end of the
municipal yield curve, favoring bonds with maturities of 25 years or more for
their higher yields, which led to a longer duration (a measure of interest-rate
sensitivity) for the Trust. To reduce that duration somewhat, we used a Treasury
futures hedge for much of the period. Unfortunately, rising rates on the long
end of the curve coupled with the Treasury market rally caused this positioning
to detract from performance. We did, however, consequently unwind the hedge
prior to the end of the reporting period.
Holdings in other sectors contributed positively to performance. In particular,
the Trust's holdings in education bonds were beneficial given the sector's
favorable performance during the period, as were holdings in state appropriated
and port authority bonds. Additionally, pre-refunded bonds were additive to
performance as these short-maturity securities benefited from falling rates on
the short end of the yield curve.
The Trustees have approved a procedure whereby the trust may, when appropriate,
repurchase its shares in the open market or in privately negotiated transactions
at a price not above market value or NAV, whichever is lower at the time of
purchase. This may help support the market value of the trust's shares.
There is no guarantee that any sectors mentioned will continue to perform as
discussed herein or that securities in such sectors will be held by the Trust in
the future.
* An inverse floating-rate security, or "inverse floater", is a variable rate
security whose coupon rate changes in the opposite direction from the change
in the reference rate used to calculate the coupon rate.
3
RATINGS ALLOCATION AS OF 4/30/08
AAA/Aaa 42.5%
AA/Aa 15.5
A/A 13.1
BBB/Baa 19.8
B/B 0.2
Non-Rated 8.9
TOP FIVE SECTORS AS OF 4/30/08
Tax Allocation/Increment 14.1%
Single-Family 10.3
Master Tobacco Settlement 8.9
Special Tax Districts 7.9
Public Education 7.8
Subject to change daily. Provided for informational purposes only and should not
be deemed as a recommendation to buy or sell the securities mentioned or
securities in the sectors shown above. Ratings are as a percentage of total
investments. Sectors are as a percentage of total long-term investments.
Securities are classified by sectors that represent broad groupings of related
industries. Van Kampen is a wholly owned subsidiary of a global securities firm
which is engaged in a wide range of financial services including, for example,
securities trading and brokerage activities, investment banking, research and
analysis, financing and financial advisory services. Rating allocations based
upon ratings as issued by Standard and Poor's and Moody's, respectively.
4
PORTFOLIO MANAGEMENT CHANGES
Van Kampen California Value Municipal Income Trust is managed by members
of the Adviser's Municipal Fixed Income team. The Municipal Fixed Income
team consists of portfolio managers and analysts. Current members of the
team jointly and primarily responsible for the day-to-day management of
the Trust's portfolio are Robert W. Wimmel, William Black, and Mark
Paris, each an Executive Director of the Adviser.
Mr. Wimmel has been associated with the Adviser in an investment
management capacity since 1996 and began managing the Trust in November
2001. Mr. Black has been associated with the Adviser in an investment
management capacity since 1998 and began managing the Trust in December
2007. Mr. Paris has been associated with the Adviser in an investment
management capacity since 2002 and began managing the Trust in May 2008.
FOR MORE INFORMATION ABOUT PORTFOLIO HOLDINGS
Each Van Kampen trust provides a complete schedule of portfolio holdings
in its semiannual and annual reports within 60 days of the end of the
trust's second and fourth fiscal quarters. The semiannual reports and the
annual reports are filed electronically with the Securities and Exchange
Commission (SEC) on Form N-CSRS and Form N-CSR, respectively. Van Kampen
also delivers the semiannual and annual reports to fund shareholders, and
makes these reports available on its public Web site, www.vankampen.com.
In addition to the semiannual and annual reports that Van Kampen delivers
to shareholders and makes available through the Van Kampen public Web
site, each fund files a complete schedule of portfolio holdings with the
SEC for the trust's first and third fiscal quarters on Form N-Q. Van
Kampen does not deliver the reports for the first and third fiscal
quarters to shareholders, nor are the reports posted to the Van Kampen
public Web site. You may, however, obtain the Form N-Q filings (as well
as the Form N-CSR and N-CSRS filings) by accessing the SEC's Web site,
http://www.sec.gov. You may also review and copy them at the SEC's Public
Reference Room in Washington, D.C. Information on the operation of the
SEC's Public Reference Room may be obtained by calling the SEC at (800)
SEC-0330. You can also request copies of these materials, upon payment of
a duplicating fee, by electronic request at the SEC's e-mail address
(publicinfo@sec.gov) or by writing the Public Reference section of the
SEC, Washington, DC 20549-0102.
You may obtain copies of a trust's fiscal quarter filings by contacting
Van Kampen Client Relations at (800) 341-2929.
5
PROXY VOTING POLICY AND PROCEDURES AND PROXY VOTING RECORD
You may obtain a copy of the Trust's Proxy Voting Policy and Procedures
without charge, upon request, by calling toll free (800) 341-2929 or by
visiting our Web site at www.vankampen.com. It is also available on the
Securities and Exchange Commission's Web site at http://www.sec.gov.
You may obtain information regarding how the Trust voted proxies relating
to portfolio securities during the most recent twelve-month period ended
June 30 without charge by visiting our Web site at www.vankampen.com.
This information is also available on the Securities and Exchange
Commission's Web site at http://www.sec.gov.
6
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED)
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
MUNICIPAL BONDS 192.2%
CALIFORNIA 187.0%
$ 2,000 Abag Fin Auth For Nonprofit Corp CA Insd Rev
Ctf Lincoln Glen Manor Sr Citizens (CA MTG
Insd).......................................... 6.100% 02/15/25 $ 2,022,900
1,205 Alameda Cnty, CA Wtr Dist Rev Rfdg (MBIA
Insd).......................................... 4.750 06/01/20 1,218,014
2,000 Aliso Viejo, CA Cmnty Fac Dist Spl Tax No
2005-01 Glenwood at Aliso...................... 6.000 09/01/38 1,969,060
1,000 Allan Hancock CA Jt Cmnty College Dist Election
2006 Ser A (FSA Insd).......................... 4.375 08/01/31 952,360
3,540 Anaheim, CA Pub Fin Auth Lease Rev Cap Apprec
Pub Impt Proj Ser C (FSA Insd)................. * 09/01/32 927,515
4,120 Apple Valley, CA Redev Agy Tax Alloc Proj Area
No 2 (AMBAC Insd).............................. 5.000 06/01/37 4,082,384
2,790 Banning, CA Cmnty Redev Agy Tax Alloc Merged
Downtown (Radian Insd)......................... 5.000 08/01/23 2,791,172
2,510 Bay Area Govt Assn CA Lease West Sacramento Ser
A (XLCA Insd) (a).............................. 5.000 09/01/24 2,534,247
2,000 Bay Area Toll Auth CA Toll Brdg Rev San
Francisco Bay Area Ser A (AMBAC Insd) (b)
(c)............................................ 6.500 04/01/39 2,000,000
925 Benicia, CA Uni Sch Dist Ser B (MBIA Insd)..... * 08/01/18 560,180
1,725 Bonita, CA Uni Sch Dist Election 2004 Ser A
(MBIA Insd) (a)................................ 5.250 08/01/22 1,834,796
1,055 Borrego, CA Wtr Dist Ctf Partn Wtr Sys
Acquisition (a)................................ 7.000 04/01/27 1,062,965
3,535 Brea, CA Redev Agy Tax Alloc Rfdg Ser A (AMBAC
Insd) (a)...................................... 5.500 08/01/20 3,752,226
1,510 Brea & Olinda, CA Uni Sch Dist Ctf Partn Rfdg
Ser A (FSA Insd) (a)........................... 5.500 08/01/20 1,610,913
865 Burbank, CA Pub Fin Auth Rev Golden St Redev
Ser A (AMBAC Insd)............................. 5.250 12/01/23 898,424
2,400 Byron Bethany Jt Pwrs Auth CA Lease Rev
Wastewtr Enterprise Proj Ser A................. 5.625 08/01/39 2,145,264
3,000 California Cnty, CA Tob Sec Agy Tob Asset Bkd
Los Angeles Cnty Sec (d)....................... 0/5.450 06/01/28 2,248,050
2,000 California Cnty, CA Tob Sec Agy Tob Merced Cnty
Rfdg Ser A..................................... 5.125 06/01/38 1,670,560
5,000 California Cnty, CA Tob Sec Agy Tob Merced Cnty
Rfdg Ser A..................................... 5.250 06/01/45 4,145,800
2,000 California Ed Fac Auth Rev CA College Arts..... 5.000 06/01/35 1,754,300
1,000 California Ed Fac Auth Rev Pitzer College Ser
A.............................................. 5.000 04/01/30 992,070
1,445 California Ed Fac Auth Rev Pooled College &
Univ Proj Ser B................................ 5.250 04/01/24 1,382,576
1,000 California Ed Fac Auth Rev Pooled College &
Univ Ser B (Prerefunded @ 06/01/10)............ 6.625 06/01/20 1,094,200
2,000 California Ed Fac Auth Rev Pooled College &
Univ Ser B (Prerefunded @ 06/01/10)............ 6.750 06/01/30 2,193,460
See Notes to Financial Statements 7
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 1,500 California Ed Fac Auth Rev Univ of
Redlands Ser A................................. 5.000% 10/01/31 $ 1,469,520
2,000 California Hlth Fac Fin Auth Rev Cedars Sinai
Med Ctr Rfdg................................... 5.000 11/15/27 2,003,680
10,000 California Hlth Fac Fin Auth Rev Sutter Hlth
Ser A (e)...................................... 5.000 11/15/42 9,759,000
2,500 California Hsg Fin Agy Rev Home Mtg Ser E (FGIC
Insd) (AMT).................................... 5.000 02/01/24 2,441,225
8,480 California Hsg Fin Agy Rev Home Mtg
Ser G (AMT) (e)................................ 4.950 08/01/23 8,207,707
13,400 California Hsg Fin Agy Rev Home Mtg Ser I (AMT)
(e)............................................ 4.800 08/01/36 12,098,897
7,000 California Hsg Fin Agy Rev Home Mtg
Ser I (AMT) (e)................................ 4.875 08/01/41 6,323,065
2,500 California Hsg Fin Agy Rev Home
Mtg Ser J (AMT)................................ 5.050 08/01/27 2,387,200
5,150 California Hsg Fin Agy Rev Home Mtg Ser M (AMT)
(e)............................................ 4.625 08/01/26 4,483,316
3,000 California Hsg Fin Agy Rev Multi-Family Hsg III
Ser A (MBIA Insd) (AMT)........................ 5.850 08/01/17 3,019,770
3,755 California Hsg Fin Agy Rev Ser B (AMT)......... 5.000 02/01/28 3,608,893
1,800 California Infrastructure & Econ Dev Bk Rev San
Francisco Ballet Assn (FGIC Insd) (b) (c)...... 8.000 07/01/36 1,800,000
1,000 California Muni Fin Auth Ed High Tech High
Chula Vista Ser B.............................. 6.000 07/01/28 984,400
1,000 California Pollutn Ctl Fin Auth Pollutn Ctl Rev
Gas & Elec Rfdg Ser A (MBIA-IBC Insd).......... 5.900 06/01/14 1,145,530
4,500 California Pollutn Ctl Fin Auth Solid Waste
Disp Rev Waste Mgmt Inc Proj Ser B (AMT)....... 5.000 07/01/27 3,809,475
2,500 California Pollutn Ctl Fin Auth Solid Waste
Disp Rev Waste Mgmt Inc Proj Ser C (AMT) (c)... 5.125 11/01/23 2,210,850
30 California Rural Home Mtg Fin Auth Single
Family Mtg Rev Mtg Bkd Sec Pgm Ser B (GNMA
Collateralized) (AMT).......................... 6.150 06/01/20 30,826
50 California Rural Home Mtg Fin Auth Single
Family Mtg Rev Mtg Bkd Sec Pgm Ser B (GNMA
Collateralized) (AMT).......................... 6.250 12/01/31 51,422
10 California Rural Home Mtg Fin Auth Single
Family Mtg Rev Mtg Bkd Sec Pgm Ser C (GNMA
Collateralized) (AMT).......................... 7.500 08/01/27 10,214
5 California Rural Home Mtg Fin Auth Single
Family Mtg Rev Mtg Bkd Sec Ser A-2 (GNMA
Collateralized) (AMT).......................... 7.950 12/01/24 5,235
30 California Rural Home Mtg Fin Auth Single
Family Mtg Rev Ser C (GNMA Collateralized)
(AMT).......................................... 7.800 02/01/28 30,674
8 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 1,060 California Spl Dist Assn Fin Corp Ctf Part Spl
Dist Fin Pgm Ser KK (FSA Insd) (a)............. 5.800% 11/01/29 $ 1,101,647
2,110 California Spl Dist Fin Pgm Ser 00 (MBIA Insd)
(a)............................................ 5.250 12/01/26 2,179,356
2,000 California St (CIFG Insd)...................... 5.000 10/01/22 2,071,040
3,000 California St (FGIC Insd) (a).................. 5.000 10/01/23 3,066,000
1,000 California St (MBIA-IBC Insd) (a).............. 5.000 02/01/26 1,014,210
9,000 California St Dept Vet Affairs Home Pur Rev Ser
A (AMT) (e).................................... 4.950 12/01/37 8,354,700
3,000 California St Dept Vet Affairs Home Pur Rev Ser
B (AMT)........................................ 5.150 12/01/27 2,953,320
1,000 California St Pub Wks Brd Dept Corrections Ser
C.............................................. 5.500 06/01/23 1,053,910
2,850 California St Pub Wks Brd Lease Rev Office
Emergency Svc Ser A (FGIC Insd)................ 5.000 03/01/32 2,849,801
960 California St Rfdg (FGIC Insd)................. 5.000 02/01/23 967,987
10,000 California St Univ Rev Syswide Ser D (FSA Insd)
(e)............................................ 4.500 11/01/37 9,582,650
5,000 California St Var Purp (e)..................... 5.000 06/01/37 4,999,400
2,500 California St Var Purp (CIFG Insd)............. 5.000 03/01/33 2,535,950
960 California St Vet Ser BJ (AMT)................. 5.700 12/01/32 962,774
10,650 California St Vet Ser CD (AMT) (e)............. 4.600 12/01/32 10,348,453
2,230 California Statewide Cmnty Dev Auth CHF Irvine
LLC UCI East Rfdg.............................. 5.000 05/15/38 1,956,134
1,250 California Statewide Cmnty Dev Auth Rev CA
Baptist Univ Ser A............................. 5.500 11/01/38 1,175,438
12,000 California Statewide Cmnty Dev Auth Rev
Daughters of Charity Hlth Ser A (e)............ 5.000 07/01/39 10,331,100
3,000 California Statewide Cmnty Dev Auth Rev
Daughters of Charity Hlth Ser A................ 5.250 07/01/30 2,777,760
4,355 California Statewide Cmnty Dev Auth Rev
Daughters of Charity Hlth Ser A................ 5.250 07/01/35 3,941,014
1,500 California Statewide Cmnty Dev Auth Rev Front
Porch Cmnty & Svc Ser A (f).................... 5.125 04/01/37 1,343,370
1,000 California Statewide Cmnty Dev Auth Rev Insd
Hlth Fac Catholic Ser D (FSA Insd) (b) (c)..... 4.170 07/01/41 1,000,000
2,000 California Statewide Cmnty Dev Auth Rev Insd
Ser D (FSA Insd) (b) (c)....................... 4.150 04/01/32 2,000,000
2,365 California Statewide Cmnty Dev Auth Rev Kaiser
Permanente Ser B............................... 5.000 03/01/41 2,272,741
10,000 California Statewide Cmnty Dev Auth Rev Museum
of Art Proj Ser C (FGIC Insd) (b) (c).......... 10.000 12/01/34 10,000,000
1,000 California Statewide Cmnty Dev Auth Rev
Windrush Sch................................... 5.500 07/01/37 879,880
1,325 California Statewide Cmnty Dev Auth Wtr &
Wastewtr Rev Pooled Fin Pgm Ser B (FSA Insd)... 5.250 10/01/23 1,412,251
See Notes to Financial Statements 9
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 1,280 California Statewide Cmnty Dev Auth Wtr Rev
Pooled Fin Pgm Ser C (FSA Insd)................ 5.250% 10/01/28 $ 1,329,408
1,000 California Statewide Cmnty Dev Auth Spl Tax
Cmnty Fac Dist 2007-1 Orinda................... 6.000 09/01/29 967,800
260 Carlsbad, CA Spl Tax Escrow Cmnty Fac 3 Impt
Area 2......................................... 6.050 09/01/28 250,705
845 Carlsbad, CA Spl Tax Escrow Cmnty Fac 3 Impt
Area 2......................................... 6.150 09/01/38 807,879
2,000 Carson, CA Redev Agy Tax Alloc Rfdg Ser A (MBIA
Insd).......................................... 5.000 10/01/23 2,075,460
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a).......................... * 08/01/27 375,356
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a).......................... * 08/01/28 351,041
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a).......................... * 08/01/30 310,646
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a).......................... * 08/01/31 292,342
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a).......................... * 08/01/32 276,968
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a).......................... * 08/01/33 261,810
2,000 Central Vly Fin Auth CA Cogeneration Proj Rev
Carson Ice Gen Proj Rfdg (MBIA Insd)........... 5.000 07/01/17 2,026,340
220 Cerritos, CA Cmnty College Dist Election 2004
Ser A (MBIA Insd) (a).......................... 5.000 08/01/27 226,164
2,500 Chaffey, CA Uni High Sch Dist Ser C (FSA
Insd).......................................... 5.000 05/01/27 2,558,800
3,000 Chaffey Cmnty College Dist CA Election 2002 Ser
C (MBIA Insd).................................. 5.000 06/01/32 3,088,170
1,700 Chino Vly Uni Sch Dist CA Ctf Partn Rfdg Ser A
(FSA Insd)..................................... 5.375 09/01/20 1,808,715
2,000 Chula Vista, CA Cmnty Fac Dist Spl Tax No 01-1
Impt Area San Miguel Ser B..................... 5.350 09/01/26 1,861,700
2,000 Chula Vista, CA Indl Dev Rev San Diego Gas Ser
A.............................................. 5.300 07/01/21 2,036,760
1,540 Chula Vista, CA Redev Agy Tax Alloc Sub
Bayfront Rfdg Ser B............................ 5.250 10/01/27 1,370,477
1,605 Coachella, CA Fin Auth Tax Alloc Rev Redev Proj
4 Rfdg Ser B (XLCA Insd)....................... 5.250 09/01/34 1,604,888
1,000 Coachella, CA Redev Agy Tax Alloc Proj Area No
3 Rfdg......................................... 5.875 12/01/28 958,510
2,900 Colton, CA Jt Uni Sch Dist Ser A (FGIC Insd)... 5.500 08/01/22 3,104,885
2,000 Colton, CA Redev Agy Tax Alloc Mt Vernon
Corridor Redev Proj............................ 6.300 09/01/36 2,012,240
1,600 Commerce, CA Jt Pwr Fin Auth Lease Rev Cmnty
Ctr Proj (XLCA Insd)........................... 5.000 10/01/29 1,579,232
10 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 2,000 Commerce, CA Jt Pwr Fin Auth Lease Rev Cmnty
Ctr Proj (XLCA Insd)........................... 5.000% 10/01/34 $ 1,968,220
1,525 Crescenta Vly, CA Wtr Dist Rev Ctf Partn Wtr
Sys Impt Proj (FSA Insd)....................... 4.375 06/01/37 1,402,405
2,000 Daly City, CA Hsg Dev Fin Rfdg-Third Tier
Franciscan Ser C............................... 6.500 12/15/47 1,799,280
2,000 Desert Hot Springs, CA Redev Agy Tax Alloc
Merged Proj Ser A-2............................ 5.750 09/01/38 2,007,560
1,235 Duarte, CA Multi-Family Rev Hsg Heritage Pk Apt
Ser A (FNMA Collateralized) (AMT).............. 5.850 05/01/30 1,250,956
1,280 El Cerrito, CA Redev Agy Tax Alloc Redev Proj
Area Rfdg Ser B (MBIA Insd) (AMT) (a).......... 5.250 07/01/15 1,355,072
1,220 Emeryville, CA Pub Fin Auth Rev Assmt Dist
Refin.......................................... 5.900 09/02/21 1,225,026
1,000 Emeryville, CA Pub Fin Auth Rev Shellmound Pk
Redev & Hsg Proj Ser B (MBIA Insd)............. 5.000 09/01/19 1,014,580
1,000 Fairfield, CA Cmnty Fac Dist Spl Tax No 2007-1
Fairfield Commons.............................. 6.875 09/01/38 999,240
2,000 Fairfield, CA Ctf Partn Wtr Ser A (MBIA-IBC
Insd).......................................... 5.000 04/01/42 2,011,940
5,155 Florin, CA Res Consv Dist Cap Impt Elk Grove
Wtr Svc Ser A (MBIA Insd)...................... 5.000 09/01/33 5,139,947
3,000 Folsom, CA Pub Fin Auth Spl Tax Rev Ser A
(AMBAC Insd)................................... 5.000 09/01/28 3,004,230
3,000 Folsom, CA Spl Tax Cmnty Fac Dist No 2 Rfdg
(Connie Lee Insd).............................. 5.250 12/01/19 3,064,350
1,000 Fontana, CA Redev Agy Tax Alloc Southwest Indl
Park Proj (MBIA Insd).......................... 5.000 09/01/22 1,014,920
1,950 Fontana, CA Redev Agy Tax Alloc Southwest Indl
Park Proj (MBIA Insd).......................... 5.200 09/01/30 1,961,856
5,000 Fontana, CA Uni Sch Dist Ctf Partn Fin Proj
(FSA Insd)..................................... 4.500 09/01/35 4,742,750
2,950 Foothill/Eastern Corridor Agy CA Toll Rd Rev
(g)............................................ * 01/01/27 1,199,234
10,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev
Cap Apprec Rfdg................................ * 01/15/25 3,673,100
15,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev
Cap Apprec Rfdg................................ * 01/15/26 5,189,100
11,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev
Cap Apprec Rfdg................................ * 01/15/30 2,931,720
5,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev
Cap Apprec Rfdg................................ * 01/15/31 1,240,100
5,500 Foothill/Eastern Corridor Agy CA Toll Rd Rev
Conv Cap Apprec Rfdg (d)....................... 0/5.875 01/15/27 5,142,170
1,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev
Rfdg........................................... 5.750 01/15/40 986,120
1,000 Galt Schs Jt Pwrs Auth CA Rev High Sch & Elem
Sch Rfdg Ser A (MBIA Insd)..................... 5.750 11/01/16 1,025,350
See Notes to Financial Statements 11
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 1,115 Garden Grove, CA Pub Fin Auth Rev Ctf Partn Wtr
Svc Cap Impt Pgm (FSA Insd).................... 5.000% 12/15/23 $ 1,160,180
2,500 Glendale, CA Uni Sch Dist Ser C (FSA Insd)..... 5.500 09/01/19 2,596,625
2,000 Golden St Tob Sec Corp CA Tob Settlement Rev
Asset Bkd Sr Ser A-1........................... 5.750 06/01/47 1,795,780
6,000 Golden St Tob Sec Corp CA Tob Settlement Rev
Asset Bkd Sr Ser A-1 (e)....................... 5.125 06/01/47 4,855,950
7,000 Golden St Tob Sec Corp CA Tob Settlement Rev
Asset Bkd Sr Ser A-1 (e)....................... 5.750 06/01/47 6,285,335
5,000 Hawthorne, CA Spl Tax Cmnty Fac Dist No 2006-1
(e)............................................ 5.000 09/01/36 4,169,058
5,000 Hesperia, CA Pub Fin Auth Rev Redev & Hsg Proj
Ser A (XLCA Insd).............................. 5.500 09/01/32 5,006,800
5,000 Hollister, CA Jt Pwr Fin Auth Wastewtr Rev Rfdg
& Impt Proj Ser 1 (FSA Insd) (e)............... 4.500 06/01/37 4,773,575
3,000 Imperial Irr Dist CA Ctf Partn Elec Sys Proj
(FSA Insd)..................................... 5.250 11/01/23 3,139,830
250 Independent Cities, CA Lease Fin Auth Mobile
Home Pk Rev Westlake Mobile Home Pk Rfdg Ser
A.............................................. 4.500 10/15/37 198,738
3,000 Indio, CA Redev Agy Tax Alloc Sub Merged Proj
Area Ser A (h)................................. 5.625 08/15/35 3,059,610
3,435 Irvine, CA Pub Fac & Infrastructure Auth Assmt
Rev Ser B (AMBAC Insd) (a)..................... 5.000 09/02/22 3,530,424
1,410 Jurupa, CA Cmnty Svc Dist Spl Tax Cmnty Fac
Dist No 21 Ser A............................... 5.000 09/01/26 1,223,965
1,000 Jurupa, CA Cmnty Svc Dist Spl Tax Cmnty Fac
Dist No 24 Ser A............................... 6.375 09/01/27 1,000,640
1,325 Jurupa, CA Cmnty Svc Dist Spl Tax Cmnty Fac
Dist No 24 Ser A............................... 6.625 09/01/38 1,323,291
800 Kern, CA Cmnty College Sch Fac Impt Dist
Mammoth Campus/Kern Cmnty Ser A (AMBAC Insd)
(a)............................................ 5.000 08/01/19 823,512
1,000 La Quinta, CA Fin Auth Loc Ser A (AMBAC
Insd).......................................... 5.250 09/01/24 1,039,210
1,420 La Quinta, CA Redev Agy Tax Alloc Redev Proj
Area No 1 (AMBAC Insd)......................... 5.000 09/01/22 1,468,962
1,500 La Quinta, CA Redev Agy Tax Redev Proj Area No
1 (AMBAC Insd)................................. 5.125 09/01/32 1,517,685
1,000 Laguna Hills, CA Ctf Partn Cmnty Ctr Proj (MBIA
Insd).......................................... 5.000 12/01/18 1,035,470
1,000 Lathrop, CA Impt Bd Act 1915 Mossdale Vlg Assmt
Dist 03-1...................................... 5.000 09/02/25 876,890
2,000 Lemon Grove, CA Cmnty Dev Agy Tax Alloc Redev
Proj Area (AMBAC Insd)......................... 4.500 08/01/37 1,782,340
1,000 Loma Linda, CA Redev Agy Tax Loma Linda Redev
Proj Rfdg (MBIA Insd).......................... 5.125 07/01/30 1,001,120
12 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 145 Long Beach, CA Bd Fin Auth Tax Alloc Rev North
Long Beach Redev Proj Ser A (AMBAC Insd)....... 5.375% 08/01/21 $ 153,559
3,555 Long Beach, CA Hbr Rev Ser A (FGIC Insd)
(AMT).......................................... 5.250 05/15/18 3,622,083
2,000 Los Angeles, CA Cmnty Redev Agy Cmnty Redev Fin
Auth Rev Bunker Hill Proj Ser A (FSA Insd)..... 5.000 12/01/27 2,056,380
2,215 Los Angeles, CA Cmnty Redev Agy Multi-Family
Hsg Rev Grand Cent Square Rfdg Ser B (AMBAC
Insd) (AMT).................................... 4.750 12/01/26 2,067,016
1,900 Los Angeles, CA Ctf Partn...................... 5.700 02/01/18 1,912,863
1,000 Los Angeles, CA Ctf Partn Dept Pub Social Svc
Ser A (AMBAC Insd)............................. 5.500 08/01/31 1,021,440
3,000 Los Angeles, CA Ctf Partn Sr Sonnenblick Del
Rio W L A (AMBAC Insd)......................... 6.000 11/01/19 3,206,100
2,000 Los Angeles, CA Dept Wtr & Pwr Sys Ser C (MBIA
Insd).......................................... 5.000 07/01/26 2,056,480
2,000 Los Angeles Cnty, CA Metro Tran Auth Sales Tax
Rev Prop A First Tier Sr Rfdg Ser C (AMBAC
Insd).......................................... 5.000 07/01/23 2,045,480
1,200 Los Angeles Cnty, CA Sch Regionalized Business
Svc Ctf Partn Cap Apprec Pooled Fin Ser A
(AMBAC Insd)................................... * 08/01/26 468,480
1,250 Los Angeles Cnty, CA Sch Regionalized Business
Svc Ctf Partn Cap Apprec Pooled Fin Ser A (FSA
Insd).......................................... 5.000 09/01/28 1,276,900
1,190 Lynwood, CA Util Auth Enterp Rev (FSA Insd)
(a)............................................ 5.000 06/01/25 1,227,533
700 Maywood, CA Cmnty Dev Commn Tax Alloc Merged
Maywood Redev Proj Area (Radian Insd).......... 4.500 08/01/27 641,585
2,000 Mendocino Cnty, CA Ctf Partn Cnty Pub Fac Corp
(MBIA Insd).................................... 5.250 06/01/30 2,023,020
3,400 Metropolitan Wtr Dist Southn CA Auth Ser B-2
(FGIC Insd).................................... 5.000 10/01/26 3,498,940
2,000 Montclair, CA Redev Agy Mobile Home Pk Rev
Hacienda Mobile Home Pk Proj................... 6.000 11/15/22 2,025,240
2,325 Morongo Band of Mission Indians CA Enterprise
Rev Indians Enterprise Casino Ser B (f)........ 5.500 03/01/18 2,339,369
2,175 Morongo Band of Mission Indians CA Enterprise
Rev Indians Enterprise Casino Ser B (f)........ 6.500 03/01/28 2,194,075
3,180 Mount Diablo, CA Uni Sch Dist (FSA Insd)....... 5.000 08/01/26 3,249,356
1,730 National City, CA Cmnty Dev Commn Tax Alloc
National City Redev Proj Ser A (AMBAC Insd)
(a)............................................ 5.500 08/01/32 1,772,091
1,670 National City, CA Cmnty Dev Commn Tax Alloc
Redev Proj Rfdg Ser B (AMBAC Insd) (a)......... 5.000 08/01/25 1,680,337
1,000 National City, CA Cmnty Dev Commn Tax Alloc
Redev Proj Rfdg Ser B (AMBAC Insd)............. 5.250 08/01/32 1,014,100
2,000 Needles, CA Pub Util Auth Util Sys Acquisition
Proj Ser A..................................... 6.500 02/01/22 2,010,300
See Notes to Financial Statements 13
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 1,500 Norco, CA Spl Tax Cmnty Fac Dist No 97-1 Rfdg
(AGL Insd)..................................... 4.875% 10/01/30 $ 1,515,285
970 Oceanside, CA Cmnty Fac No 2001-1 Morro Hills
Dev............................................ 5.500 09/01/34 860,021
3,000 Oxnard, CA Harbor Dist Rev Ser B............... 6.000 08/01/24 3,219,510
1,000 Oxnard, CA Uni High Sch Dist Rfdg Ser A (MBIA
Insd).......................................... 6.200 08/01/30 1,051,740
1,965 Pacifica, CA Wastewtr Rev Rfdg (AMBAC Insd)
(a)............................................ 5.250 10/01/22 2,081,112
1,230 Palm Desert, CA Fin Auth Tax Alloc Rev Proj
Area No 2 Rfdg Ser A (MBIA Insd) (a)........... 5.000 08/01/21 1,274,305
250 Palm Springs, CA Arpt Sub Palm Springs Intl
Arpt Rfdg (AMT)................................ 5.450 07/01/20 235,442
530 Palm Springs, CA Arpt Sub Palm Springs Intl
Arpt Rfdg (AMT)................................ 5.550 07/01/28 470,598
3,000 Palomar Pomerado Hlth Care Dist CA Ctfs Prtn
Ser B (FSA Insd) (b) (c)....................... 4.500 11/01/36 3,000,000
4,350 Perris, CA Pub Fin Auth Rev Tax Alloc.......... 5.350 10/01/36 3,898,470
1,040 Perris, CA Pub Fin Auth Rev Tax Alloc Ser A
(MBIA Insd) (a)................................ 5.000 10/01/24 1,072,770
1,000 Perris, CA Pub Fin Auth Rev Tax Alloc Ser A
(MBIA Insd).................................... 5.000 10/01/31 1,009,800
1,000 Pico Rivera, CA Wtr Auth Rev Wtr Sys Proj Ser A
(MBIA Insd).................................... 5.500 05/01/19 1,097,050
1,375 Pittsburg, CA Redev Agy Tax Alloc Los Medanos
Cmnty Dev Proj (AMBAC Insd).................... * 08/01/26 506,220
2,500 Port Oakland, CA Rfdg Ser N (MBIA Insd)
(AMT).......................................... 5.000 11/01/22 2,454,500
1,000 Poway, CA Redev Agy Tax Alloc Paguay Redev Proj
Ser A (MBIA Insd).............................. 5.000 06/15/33 1,007,130
2,000 Rancho Cordova Cmnty Fac Dist CA Spl Tax No
2003-1 Sunridge Anatolia....................... 6.000 09/01/24 2,011,040
1,000 Rancho Cucamonga, CA Redev Agy Tax Alloc Rancho
Redev Proj (FSA Insd).......................... 5.250 09/01/20 1,032,610
1,500 Rancho Mirage, CA Jt Pwr Fin Auth Rev
Eisenhower Med Ctr Ser A....................... 5.000 07/01/47 1,391,340
1,220 Rancho Mirage, CA Redev Agy Tax Alloc Redev
Plan 1984 Proj Ser A-1 (MBIA Insd)............. 5.000 04/01/26 1,241,216
2,540 Rancho Mirage, CA Redev Agy Tax Alloc Redev
Plan 1984 Proj Ser A-E (MBIA Insd)............. 5.250 04/01/33 2,577,567
3,800 Redlands, CA Redev Agy Tax Alloc Redev Proj
Rfdg Ser A (MBIA Insd)......................... 4.750 08/01/21 3,812,046
4,000 Redwood City, CA Sch Dist (FGIC Insd).......... 5.000 07/15/23 4,103,400
3,000 Redwood City, CA Sch Dist (FGIC Insd).......... 5.000 07/15/27 3,007,680
5,000 Riverside, CA Cmnty College Dist Election 2004
Ser C (MBIA Insd).............................. 5.000 08/01/32 5,133,800
1,740 Riverside Cnty, CA Ctf Partn Historic Ct Hse
Rfdg Ser B (FGIC Insd) (a)..................... 5.000 11/01/25 1,800,482
14 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 2,000 RNR Sch Fin Auth CA Spl Tax Cmnty Fac Dist
No 92 1 Ser A (AMBAC Insd)..................... 5.000% 09/01/36 $ 2,005,280
9,630 Rohnert Park, CA Cmnty Dev Commons Tax Alloc
Rev Hsg Redev Proj Ser H (FGIC Insd)........... 4.375 08/01/37 8,600,938
1,650 Roseville, CA Jt Uni High Sch Dist Ser B (FGIC
Insd).......................................... * 06/01/20 921,541
1,000 Roseville, CA Spl Tax Fountains Cmnty Fac Dis
No 1........................................... 6.125 09/01/38 948,340
5,000 Sacramento, CA Area Flood Ctl Agy Cons-Cap
Assmt Dist Ser A (FGIC Insd)................... 5.000 10/01/37 5,086,250
265 Sacramento, CA City Fin Auth Rev Cap Impt
(AMBAC Insd)................................... 5.000 12/01/33 267,170
1,000 Sacramento, CA City Fin Auth Rev Tax Alloc Ser
A (FGIC Insd).................................. 5.000 12/01/34 956,070
1,500 Sacramento Cnty, CA Spl Tax Cmnty Fac Dist No
05-2 Ser A..................................... 6.000 09/01/37 1,421,805
1,000 Salinas Vly, CA Solid Waste Auth Rev (AMBAC
Insd) (AMT).................................... 5.250 08/01/27 998,710
2,000 Salinas Vly, CA Solid Waste Auth Rev (AMBAC
Insd) (AMT).................................... 5.250 08/01/31 1,962,960
2,000 San Bernardino, CA Jt Pwr Fin Auth Ctf Partn
(MBIA Insd).................................... 5.500 09/01/20 2,091,060
955 San Diego, CA Hsg Auth Multi-Family Hsg Rev Mtg
Bkd Sec Pgm Ser C (GNMA Collateralized)
(AMT).......................................... 5.000 07/20/18 960,062
1,000 San Diego, CA Pub Fac Fin Auth Swr Rev (FGIC
Insd).......................................... 5.000 05/15/20 994,790
2,500 San Diego, CA Redev Agy Centre City Redev Proj
Ser A.......................................... 6.400 09/01/25 2,537,625
925 San Dimas, CA Redev Agy Tax Alloc Creative
Growth Ser A (FSA Insd)........................ 5.000 09/01/16 950,734
1,660 San Francisco, CA City & Cnty Arpt Commn Intl
Arpt Rev Spl Fac Lease Ser A (FSA Insd)
(AMT).......................................... 6.125 01/01/27 1,696,022
2,000 San Francisco, CA City & Cnty Arpt Commn Intl
Arpt Second Rfdg Ser 27A (MBIA Insd) (AMT)..... 5.250 05/01/26 2,003,300
3,000 San Francisco, CA City & Cnty Arpt Commn Intl
Arpt Second Rfdg Ser 27A (MBIA Insd) (AMT)..... 5.250 05/01/31 2,960,580
5,000 San Francisco, CA City & Cnty Arpt Commn Intl
Arpt Second Rfdg Ser 33F (XLCA Insd) (AMT) (b)
(c)............................................ 9.000 05/01/25 5,000,000
1,000 San Joaquin Cnty, CA Pub Fac Fin Corp Rev Ctf
Partn Wastewtr Conveyance Proj................. 6.000 08/01/37 952,980
2,000 Sanger, CA Uni Sch Dist Rfdg (MBIA Insd)....... 5.600 08/01/23 2,126,820
4,820 Santa Ana, CA Uni Sch Dist (MBIA Insd)......... 5.375 08/01/27 5,039,792
1,000 Santa Ana, CA Uni Sch Dist Ctf Partn Cap Apprec
Fin Proj (FSA Insd)............................ * 04/01/36 225,350
See Notes to Financial Statements 15
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 4,200 Semitropic Impt Dist Semitropic Wtr Storage
Dist CA Wtr Ser A (XLCA Insd).................. 5.125% 12/01/35 $ 4,221,924
1,500 Sierra View Loc Hlth Care Dist CA Rev.......... 5.250 07/01/32 1,438,470
3,305 South Orange Cnty, CA Pub Fin Auth Reassmt Rev
(FSA Insd)..................................... 5.800 09/02/18 3,450,255
2,655 South Tahoe, CA Jt Pwr Fin Auth Rev South Tahoe
Redev Proj Area No 1 Rfdg Ser A (AMBAC Insd)... 5.000 10/01/37 2,614,671
1,640 South Tahoe, CA Jt Pwr Fin Auth Rev Tahoe Redev
Proj Area 1-A Rfdg (FSA Insd).................. 5.000 10/01/29 1,676,966
2,250 South Tahoe, CA Jt Pwr Fin Redev Proj Area No 1
Ser A (AMBAC Insd)............................. 5.000 10/01/28 2,249,910
5,000 Southern CA Pub Pwr Auth Pwr Proj Rev
Multi-Proj..................................... 6.750 07/01/12 5,721,000
865 Stanton, CA Multi-Family Rev Hsg Contl Garden
Apts (FNMA Collateralized) (AMT) (c)........... 5.625 08/01/29 879,454
2,745 State Center, CA Cmnty Election 2002 Ser A
(MBIA Insd).................................... 5.500 08/01/28 2,908,300
1,000 Stockton, CA Uni Sch Dist Ctf Partn Cap Proj
(AMBAC Insd)................................... 4.375 02/01/31 923,240
1,000 Stockton, CA Uni Sch Dist Ctf Partn Cap Proj
(AMBAC Insd)................................... 4.500 02/01/36 928,160
1,530 Tejon Ranch, CA Pub Fac Fin Auth Cmnty Fac Dist
No 2000-1 Ser A................................ 5.625 09/01/37 1,372,838
2,850 Temecula, CA Redev Agy Tax Alloc Rev Redev Proj
No 1 Ser A (MBIA Insd)......................... 4.500 08/01/38 2,666,688
1,000 Temecula, CA Redev Agy Tax Alloc Rev Sub Lien
Redev Proj No 1................................ 5.500 12/15/38 893,790
10,000 Tobacco Sec Auth Northn CA Tob Settlement Rev
Asset Bkd Bd Ser A-1........................... 5.375 06/01/38 8,674,200
10,800 Tobacco Sec Auth Northn CA Tob Settlement Rev
Asset Bkd Bd Ser A-1........................... 5.500 06/01/45 9,332,820
4,000 Tobacco Sec Auth Southn CA Tob Settlement Sr
Ser A-1........................................ 5.000 06/01/37 3,324,080
5,000 Tobacco Sec Auth Southn CA Tob Settlement Sr
Ser A-1 (e).................................... 5.125 06/01/46 4,052,300
8,000 Tobacco Sec Auth Southn CA Tob Settlement Sr
Ser A-1........................................ 5.125 06/01/46 6,483,600
1,000 Turlock, CA Hlth Fac Rev Ctf Partn Emanuel Med
Ctr Ser A...................................... 5.125 10/15/31 854,820
1,000 Turlock, CA Hlth Fac Rev Ctf Partn Emanuel Med
Ctr Ser B...................................... 5.125 10/15/37 837,650
10,000 University of CA Regts Ser A (MBIA Insd) (e)... 4.500 05/15/47 9,245,050
3,710 University of CA Rev UCLA Med Ctr Ser A (AMBAC
Insd) (Prerefunded @ 05/15/12)................. 5.250 05/15/30 3,825,752
2,200 Ventura Cnty, CA Cmnty College Ser A (MBIA
Insd).......................................... 5.500 08/01/23 2,357,476
16 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
----------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 2,520 Vista, CA Ctf Partn Cmnty Proj (MBIA Insd)..... 5.000% 05/01/37 $ 2,541,823
2,185 Vista, CA Uni Sch Dist Election 2002 Ser C (FSA
Insd).......................................... 5.000 08/01/28 2,271,832
1,000 Vista, CA Uni Sch Dist Ser A (FSA Insd)........ 5.000 08/01/23 1,043,860
2,000 Woodland, CA Fin Auth Lease Rev Cap Proj Rfdg
(XLCA Insd).................................... 5.000 03/01/25 1,997,600
-------------
579,330,302
-------------
GUAM 0.5%
1,625 Guam Govt Ser A................................ 5.250 11/15/37 1,443,959
-------------
PUERTO RICO 3.7%
5,000 Puerto Rico Comwlth Hwy & Tran Auth Hwy Rev
Rfdg Ser Y (FSA Insd) (e)...................... 6.250 07/01/21 5,905,775
1,780 Puerto Rico Elec Pwr Auth Pwr Rev Ser TT (e)... 5.000 07/01/32 1,709,147
4,000 Puerto Rico Elec Pwr Auth Pwr Rev Ser TT (e)... 5.000 07/01/37 3,840,780
-------------
11,455,702
-------------
U.S. VIRGIN ISLANDS 1.0%
3,000 Virgin Islands Pub Fin Auth Rev Gross Rcpt
Taxes Ln Nt Ser A.............................. 6.375 10/01/19 3,205,680
-------------
TOTAL LONG TERM INVESTMENTS 192.2%
(Cost $613,304,253)......................................................... 595,435,643
-------------
TOTAL SHORT TERM INVESTMENTS 0.0%
(Cost $100,000)............................................................. 100,000
-------------
TOTAL INVESTMENTS 192.2%
(Cost $613,404,253)......................................................... 595,535,643
LIABILITY FOR FLOATING RATE NOTE OBLIGATIONS RELATED TO SECURITIES HELD (31.5%)
(Cost ($97,490,000))
(97,490) Notes with interest rates ranging from 2.410% to 4.500% at April
30, 2008 and contractual maturities of collateral ranging from 2021
to 2047 (See Note 1) (i)........................................... (97,490,000)
-------------
TOTAL NET INVESTMENTS 160.7%
(Cost $515,914,253)......................................................... 498,045,643
OTHER ASSETS IN EXCESS OF LIABILITIES 3.9%................................... 12,075,936
PREFERRED SHARES (INCLUDING ACCRUED DISTRIBUTIONS) (64.6%)................... (200,279,243)
-------------
NET ASSETS APPLICABLE TO COMMON SHARES 100.0%................................ $ 309,842,336
=============
Percentages are calculated as a percentage of net assets applicable to common
shares.
See Notes to Financial Statements 17
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
* Zero coupon bond
(a) The Trust owns 100% of the outstanding bond issuance.
(b) Security includes a feature allowing the Trust an option on any interest
rate payment date to offer the security for sale at par. The sale is
contingent upon market conditions.
(c) Variable Rate Coupon
(d) Security is a "step-up" bond where the coupon increases or steps up at a
predetermined date.
(e) Underlying security related to Inverse Floaters entered into by the Trust.
See Note 1.
(f) 144A-Private Placement security which is exempt from registration under Rule
144A of the Securities Act of 1933, as amended. This security may only be
resold in transactions exempt from registration which are normally those
transactions with qualified institutional buyers.
(g) Escrowed to Maturity
(h) Security purchased on a when-issued or delayed delivery basis.
(i) Floating rate notes. The interest rates shown reflect the rates in effect at
April 30, 2008.
AGL--Assured Guaranty Ltd.
AMBAC--AMBAC Indemnity Corp.
AMT--Alternative Minimum Tax
CA MTG--California Mortgage Insurance
CIFG--CDC IXIS Financial Guaranty
Connie Lee--Connie Lee Insurance Co.
FGIC--Financial Guaranty Insurance Co.
FNMA--Federal National Mortgage Association
FSA--Financial Security Assurance Inc.
GNMA--Government National Mortgage Association
MBIA--Municipal Bond Investors Assurance Corp.
MBIA-IBC--MBIA Insured Bond Certificates
Radian--Radian Asset Assurance
XLCA--XL Capital Assurance Inc.
18 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
FINANCIAL STATEMENTS
Statement of Assets and Liabilities
April 30, 2008 (Unaudited)
ASSETS:
Total Investments (Cost $613,404,253)....................... $595,535,643
Cash........................................................ 60,258
Receivables:
Investments Sold.......................................... 8,631,411
Interest.................................................. 7,949,827
Other....................................................... 1,106
------------
Total Assets............................................ 612,178,245
------------
LIABILITIES:
Payables:
Floating Rate Note Obligations............................ 97,490,000
Investments Purchased..................................... 3,021,810
Investment Advisory Fee................................... 187,392
Other Affiliates.......................................... 25,605
Trustees' Deferred Compensation and Retirement Plans........ 1,162,738
Accrued Expenses............................................ 169,121
------------
Total Liabilities....................................... 102,056,666
Preferred Shares (including accrued distributions).......... 200,279,243
------------
NET ASSETS APPLICABLE TO COMMON SHARES...................... $309,842,336
============
NET ASSET VALUE PER COMMON SHARE ($309,842,336 divided by
21,963,743 shares outstanding)............................ $ 14.11
============
NET ASSETS CONSIST OF:
Common Shares ($0.01 par value with an unlimited number of
shares authorized, 21,963,743 shares issued and
outstanding).............................................. $ 219,637
Paid in Surplus............................................. 330,802,893
Accumulated Undistributed Net Investment Income............. 710,615
Accumulated Net Realized Loss............................... (4,022,199)
Net Unrealized Depreciation................................. (17,868,610)
------------
NET ASSETS APPLICABLE TO COMMON SHARES...................... $309,842,336
============
PREFERRED SHARES ($0.01 par value, authorized 100,000,000
shares, 8,000 issued with liquidation preference of
$25,000 per share)........................................ $200,000,000
============
NET ASSETS INCLUDING PREFERRED SHARES....................... $509,842,336
============
See Notes to Financial Statements 19
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
FINANCIAL STATEMENTS continued
Statement of Operations
For the Six Months Ended April 30, 2008 (Unaudited)
INVESTMENT INCOME:
Interest.................................................... $ 16,390,477
------------
EXPENSES:
Interest and Residual Trust Expenses........................ 1,684,029
Investment Advisory Fee..................................... 1,420,864
Preferred Share Maintenance................................. 269,684
Accounting and Administrative Expenses...................... 56,438
Custody..................................................... 52,722
Professional Fees........................................... 44,548
Reports to Shareholders..................................... 19,824
Transfer Agent Fees......................................... 13,068
Registration Fees........................................... 10,904
Trustees' Fees and Related Expenses......................... 8,244
Depreciation in Trustees' Deferred Compensation Accounts.... (122,104)
Other....................................................... 15,910
------------
Total Expenses.......................................... 3,474,131
Investment Advisory Fee Reduction....................... 258,339
Less Credits Earned on Cash Balances.................... 1,400
------------
Net Expenses............................................ 3,214,392
------------
NET INVESTMENT INCOME....................................... $ 13,176,085
============
REALIZED AND UNREALIZED GAIN/LOSS:
Realized Gain/Loss:
Investments............................................... $ (903,593)
Futures................................................... (3,800,836)
------------
Net Realized Loss........................................... (4,704,429)
------------
Unrealized Appreciation/Depreciation:
Beginning of the Period................................... 5,809,887
End of the Period......................................... (17,868,610)
------------
Net Unrealized Depreciation During the Period............... (23,678,497)
------------
NET REALIZED AND UNREALIZED LOSS............................ $(28,382,926)
============
DISTRIBUTIONS TO PREFERRED SHAREHOLDERS..................... $ (3,473,317)
============
NET DECREASE IN NET ASSETS APPLICABLE TO COMMON SHARES FROM
OPERATIONS................................................ $(18,680,158)
============
20 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
FINANCIAL STATEMENTS continued
Statements of Changes in Net Assets (Unaudited)
FOR THE FOR THE
SIX MONTHS ENDED YEAR ENDED
APRIL 30, 2008 OCTOBER 31, 2007
------------------------------------
FROM INVESTMENT ACTIVITIES:
Operations:
Net Investment Income................................... $ 13,176,085 $ 24,871,287
Net Realized Gain/Loss.................................. (4,704,429) 604,973
Net Unrealized Depreciation During the Period........... (23,678,497) (28,365,839)
Distributions to Preferred Shareholders:
Net Investment Income................................. (3,473,317) (6,576,384)
Net Realized Gain..................................... -0- (379,200)
------------ ------------
Change in Net Assets Applicable to Common Shares from
Operations............................................ (18,680,158) (9,845,163)
Distributions to Common Shareholders:
Net Investment Income................................. (9,162,857) (17,697,185)
Net Realized Gain..................................... -0- (1,251,061)
------------ ------------
NET CHANGE IN NET ASSETS APPLICABLE TO COMMON SHARES
FROM INVESTMENT ACTIVITIES............................ (27,843,015) (28,793,409)
FROM CAPITAL TRANSACTIONS:
Value of Common Shares Issued Through Dividend
Reinvestment.......................................... 413,317 387,863
------------ ------------
TOTAL DECREASE IN NET ASSETS APPLICABLE TO COMMON
SHARES................................................ (27,429,698) (28,405,546)
NET ASSETS APPLICABLE TO COMMON SHARES:
Beginning of the Period................................. 337,272,034 365,677,580
------------ ------------
End of the Period (Including accumulated undistributed
net investment income of $710,615 and $170,704,
respectively)......................................... $309,842,336 $337,272,034
============ ============
See Notes to Financial Statements 21
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
FINANCIAL STATEMENTS continued
Statement of Cash Flows
For the Six Months Ended April 30, 2008 (Unaudited)
CHANGE IN NET ASSETS FROM OPERATIONS (INCLUDING PREFERRED
SHARE DISTRIBUTIONS)...................................... $(18,680,158)
------------
Adjustments to Reconcile the Change in Net Assets from
Operations to Net Cash Provided by Operating Activities:
Purchases of Investments.................................. (86,827,200)
Proceeds from Sales of Investments........................ 118,886,392
Net Purchases of Short-Term Investments................... (100,000)
Amortization of Premium................................... 237,378
Accretion of Discount..................................... (872,961)
Net Realized Gain on Investments.......................... 903,593
Net Change in Unrealized Depreciation on Investments...... 23,877,785
Decrease in Variation Margin on Futures................... 666,000
Increase in Interest Receivables and Other Assets......... (38,835)
Increase in Receivable for Investments Sold............... (7,720,651)
Decrease in Accrued Expenses and Other Payables........... (114,626)
Decrease in Investments Purchased Payable................. (3,955,952)
Decrease in Custodian Bank Payable........................ (3,863,486)
------------
Total Adjustments....................................... 41,077,437
------------
NET CASH PROVIDED BY OPERATING ACTIVITIES................... 22,397,279
------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Dividends Paid (net of reinvested dividends of
$413,317)............................................... (8,657,021)
Proceeds from and Repayments of Floating Rate Note
Obligations............................................. (13,680,000)
------------
NET CASH USED FOR FINANCING ACTIVITIES...................... (22,337,021)
------------
Net Change in Cash.......................................... 60,258
Cash at the Beginning of the Period......................... -0-
------------
CASH AT THE END OF THE PERIOD............................... $ 60,258
============
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash Paid During the Period for Interest.................. $ 1,684,029
============
22 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
FINANCIAL HIGHLIGHTS (UNAUDITED)
THE FOLLOWING SCHEDULE PRESENTS FINANCIAL HIGHLIGHTS FOR ONE COMMON SHARE OF THE
TRUST OUTSTANDING THROUGHOUT THE PERIODS INDICATED.
SIX MONTHS
ENDED YEAR ENDED OCTOBER 31,
APRIL 30, -------------------------------------------------
2008 2007 2006 2005 2004 2003
--------------------------------------------------------------
NET ASSET VALUE, BEGINNING OF THE PERIOD............ $ 15.38 $ 16.69 $ 16.47 $ 16.95 $ 16.84 $ 17.02
------- ------- ------- ------- ------- -------
Net Investment Income.............................. 0.60(a) 1.13(a) 1.09(a) 1.04 1.07 1.12
Net Realized and Unrealized Gain/Loss.............. (1.29) (1.25) 0.44 (0.30) 0.54 0.03
Common Share Equivalent of Distributions Paid to
Preferred Shareholders:
Net Investment Income............................ (0.16) (0.30) (0.26) (0.18) (0.08) (0.09)
Net Realized Gain................................ -0- (0.02) (0.03) (0.01) (0.03) -0-
------- ------- ------- ------- ------- -------
Total from Investment Operations.................... (0.85) (0.44) 1.24 0.55 1.50 1.00
Distributions Paid to Common Shareholders:
Net Investment Income............................ (0.42) (0.81) (0.85) (0.94) (1.03) (1.11)
Net Realized Gain................................ -0- (0.06) (0.17) (0.09) (0.36) (0.07)
------- ------- ------- ------- ------- -------
NET ASSET VALUE, END OF THE PERIOD.................. $ 14.11 $ 15.38 $ 16.69 $ 16.47 $ 16.95 $ 16.84
======= ======= ======= ======= ======= =======
Common Share Market Price at End of the Period...... $ 14.62 $ 15.44 $ 15.86 $ 14.81 $ 15.50 $ 16.67
Total Return* (b)................................... -2.49%** 2.80% 14.36% 2.25% 1.32% 10.83%
Net Assets Applicable to Common Shares at End of the
Period (In millions)............................... $ 309.8 $ 337.3 $ 365.7 $ 329.1 $ 102.4 $ 101.6
Ratio of Expenses to Average Net Assets Applicable
to Common Shares* (c).............................. 2.02% 1.91% 1.23% 1.34% 1.42% 1.43%
Ratio of Net Investment Income to Average Net Assets
Applicable to Common Shares* (c)................... 8.29% 7.04% 6.66% 6.34% 6.40% 6.56%
Portfolio Turnover.................................. 14%** 38% 25% 30% 11% 25%
* If certain expenses had not been voluntarily assumed by Van Kampen, total return would have been lower and the
ratios would have been as follows:
Ratio of Expenses to Average Net Assets Applicable
to Common Shares (c)............................ 2.19% 2.05% N/A N/A N/A N/A
Ratio of Net Investment Income to Average Net
Assets Applicable to Common Shares (c).......... 8.13% 6.89% N/A N/A N/A N/A
SUPPLEMENTAL RATIOS:
Ratio of Expenses (Excluding Interest and Residual
Trust Expenses) to Average Net Assets Applicable to
Common Shares (c).................................. 0.96% 1.03% 1.21% 1.34% 1.42% 1.43%
Ratio of Expenses (Excluding Interest and Residual
Trust Expenses) to Average Net Assets Applicable
including Preferred Shares (c)..................... 0.59% 0.66% 0.78% 0.86% 0.89% 0.90%
Ratio of Net Investment Income to Average Net Assets
Applicable to Common Shares (d).................... 6.11% 5.18% 5.09% 5.22% 5.94% 6.04%
SENIOR SECURITIES:
Total Preferred Shares Outstanding.................. 8,000 8,000 8,000 7,200 2,400 2,400
Asset Coverage Per Preferred Share (e).............. $63,765 $67,182 $70,730 $70,713 $67,686 $67,320
Involuntary Liquidating Preference Per Preferred
Share.............................................. $25,000 $25,000 $25,000 $25,000 $25,000 $25,000
Average Market Value Per Preferred Share............ $25,000 $25,000 $25,000 $25,000 $25,000 $25,000
** Non-Annualized
(a)Based on average shares outstanding.
(b)Total return assumes an investment at the common share market price at the
beginning of the period indicated, reinvestment of all distributions for the
period in accordance with the Trust's dividend reinvestment plan, and sale of
all shares at the closing common share market price at the end of the period
indicated.
(c)Ratios do not reflect the effect of dividend payments to preferred
shareholders.
(d)Ratios reflect the effect of dividend payments to preferred shareholders.
(e)Calculated by subtracting the Trust's total liabilities (not including the
preferred shares) from the Trust's total assets and dividing this by the
number of preferred shares outstanding.
N/A=Not Applicable
See Notes to Financial Statements 23
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED)
1. SIGNIFICANT ACCOUNTING POLICIES
Van Kampen California Value Municipal Income Trust (the "Trust") is registered
as a diversified, closed-end management investment company under the Investment
Company Act of 1940 (the "1940 Act"), as amended. The Trust's investment
objective is to seek to provide a high level of current income exempt from
federal and California income taxes, consistent with preservation of capital.
The Trust will invest in a portfolio consisting substantially of California
municipal obligations rated investment grade at the time of investment. The
Trust commenced investment operations on April 30, 1993.
The following is a summary of significant accounting policies consistently
followed by the Trust in the preparation of its financial statements. The
preparation of the financial statements in conformity with accounting principles
generally accepted in the United States of America requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of
the financial statements and the reported amounts of revenues and expenses
during the reporting period. Actual results could differ from those estimates.
A. SECURITY VALUATION Municipal bonds are valued by independent pricing services
or dealers using the mean of the last reported bid and asked prices or, in the
absence of market quotations, at fair value based upon yield data relating to
municipal bonds with similar characteristics and general market conditions.
Securities which are not valued by independent pricing services or dealers are
valued at fair value using procedures established in good faith by the Board of
Trustees. Futures contracts are valued at the settlement price established each
day on the exchange on which they are traded. Interest rate swaps are valued
using market quotations obtained from brokers. Short-term securities with
remaining maturities of 60 days or less are valued at amortized cost, which
approximates market value.
B. SECURITY TRANSACTIONS Security transactions are recorded on a trade date
basis. Realized gains and losses are determined on an identified cost basis. The
Trust may purchase and sell securities on a "when-issued" or "delayed delivery"
basis with settlement to occur at a later date. The value of the security so
purchased is subject to market fluctuations during this period. The Trust will
segregate assets with the custodian having an aggregate value at least equal to
the amount of the when-issued or delayed delivery purchase commitments until
payment is made. At April 30, 2008, the Trust had $3,021,810 of when-issued or
delayed delivery purchase commitments.
C. INVESTMENT INCOME Interest income is recorded on an accrual basis. Bond
premium is amortized and discount is accreted over the expected life of each
applicable security.
D. FEDERAL INCOME TAXES It is the Trust's policy to comply with the requirements
of Subchapter M of the Internal Revenue Code applicable to regulated investment
companies and to distribute substantially all of its taxable income to its
shareholders. Therefore, no provision for federal income taxes is required. The
Trust adopted the provisions of the Financial Accounting Standards Board
("FASB") Interpretation No. 48 ("FIN 48") Accounting for Uncertainty in Income
Taxes on April 30, 2008. FIN 48 sets forth a minimum threshold for financial
statement recognition of the benefit of a tax position taken or expected to be
taken in a tax return. The implementation of FIN 48 did not result in any
unrecognized tax
24
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
benefits in the accompanying financial statements. If applicable, the Trust
recognizes interest accrued related to unrecognized tax benefits in "Interest
Expense" and penalties in "Other" expenses on the Statement of Operations. The
Trust files tax returns with the U.S. Internal Revenue Service and various
states. Generally, each of the tax years in the four year period ended October
31, 2007, remains subject to examination by taxing authorities.
The Trust intends to utilize provisions of the federal income tax laws which
allow it to carry a realized capital loss forward for eight years following the
year of the loss and offset such losses against any future realized capital
gains. At October 31, 2007, the Trust had an accumulated capital loss
carryforward for tax purposes of $1,441,133 which will expire on October 31,
2015.
At April 30, 2008, the cost and related gross unrealized appreciation and
depreciation were as follows:
Cost of investments for tax purposes........................ $506,982,267
============
Gross tax unrealized appreciation........................... $ 13,333,234
Gross tax unrealized depreciation........................... (22,269,858)
------------
Net tax unrealized depreciation on investments.............. $(8,936,624)
============
E. DISTRIBUTION OF INCOME AND GAINS The Trust declares and pays monthly
dividends from net investment income to common shareholders. Net realized gains,
if any, are distributed at least annually on a pro rata basis to common and
preferred shareholders. Distributions from net realized gains for book purposes
may include short-term capital gains and a portion of futures gains, which are
included as ordinary income for tax purposes.
The tax character of distributions paid during the year ended October 31,
2007 was as follows:
Distributions paid from:
Ordinary income........................................... $ 31,627
Tax-exempt income......................................... 24,289,502
Long-term capital gain.................................... 1,627,026
-----------
$25,948,155
===========
As of October 31, 2007, the components of distributable earnings on a tax
basis were as follows:
Undistributed ordinary income............................... $ -0-
Undistributed tax-exempt income............................. 1,213,780
Undistributed long-term capital gain........................ -0-
Net realized gains or losses may differ for financial reporting and tax
purposes primarily as a result of gains or losses recognized on securities for
tax purposes but not for book purposes.
F. CREDITS EARNED ON CASH BALANCES During the six months ended April 30, 2008,
the Trust's custody fee was reduced by $1,400 as a result of credits earned on
cash balances.
25
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
G. FLOATING RATE NOTE OBLIGATIONS RELATED TO SECURITIES HELD The Trust enters
into transactions in which it transfers to dealer trusts fixed rate bonds in
exchange for cash and residual interests in the dealer trusts' assets and cash
flows, which are in the form of inverse floating rate investments. The dealer
trusts fund the purchases of the fixed rate bonds by issuing floating rate notes
to third parties and allowing the Trust to retain residual interests in the
bonds. The Trust enters into shortfall agreements with the dealer trusts, which
commit the Trust to pay the dealer trusts, in certain circumstances, the
difference between the liquidation value of the fixed rate bonds held by the
dealer trusts and the liquidation value of the floating rate notes held by third
parties, as well as any shortfalls in interest cash flows. The residual
interests held by the Trust (inverse floating rate investments) include the
right of the Trust (1) to cause the holders of the floating rate notes to tender
their notes at par at the next interest rate reset date, and (2) to transfer the
municipal bond from the dealer trusts to the Trust, thereby collapsing the
dealer trusts. The Trust accounts for the transfer of bonds to the dealer trusts
as secured borrowings, with the securities transferred remaining in the Trust's
investment assets, and the related floating rate notes reflected as Trust
liabilities under the caption "Floating Rate Note Obligations" on the Statement
of Assets and Liabilities. The Trust records the interest income from the fixed
rate bonds under the caption "Interest" and records the expenses related to
floating rate note obligations and any administrative expenses of the dealer
trusts under the caption "Interest and Residual Trust Expenses" on the Trust's
Statement of Operations. The notes issued by the dealer trusts have interest
rates that reset weekly and the floating rate note holders have the option to
tender their notes to the dealer trusts for redemption at par at each reset
date. At April 30, 2008, Trust investments with a value of $129,325,258 are held
by the dealer trusts and serve as collateral for the $97,490,000 in floating
rate notes outstanding at that date. Contractual maturities of the floating rate
notes and interest rates in effect at April 30, 2008 are presented on the
Portfolio of Investments. The average floating rate notes outstanding and
average annual interest and fee rate related to residual interests during the
six months ended April 30, 2008 were $106,765,714 and 3.17%, respectively.
2. INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES
Under the terms of the Trust's Investment Advisory Agreement, Van Kampen Asset
Management (the "Adviser") will provide investment advice and facilities to the
Trust for an annual fee payable monthly of .55% of the average daily net assets
including preferred shares of the Trust. The Adviser has agreed to waive
investment advisory fees equal to .10% of the average daily net assets including
preferred shares of the Trust. During the six months ended April 30, 2008, the
Adviser waived $258,339 of its investment advisory fees. This waiver is
voluntary and can be discontinued at any time.
For the six months ended April 30, 2008, the Trust recognized expenses of
approximately $13,300 representing legal services provided by Skadden, Arps,
Slate, Meagher & Flom LLP, of which a trustee of the Trust is a partner of such
firm and he and his law firm provide legal services as legal counsel to the
Trust.
Under separate Legal Services, Accounting Services and Chief Compliance
Officer (CCO) Employment agreements, the Adviser provides accounting and legal
services and the CCO provides compliance services to the Trust. The costs of
these services are allocated to each trust. For the six months ended April 30,
2008, the Trust recognized expenses of approximately $34,500 representing Van
Kampen Investments Inc.'s or its affiliates'
26
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
(collectively "Van Kampen") cost of providing accounting and legal services to
the Trust, as well as the salary, benefits and related costs of the CCO and
related support staff paid by Van Kampen. Services provided pursuant to the
Legal Services agreement are reported as part of "Professional Fees" on the
Statement of Operations. Services provided pursuant to the Accounting Services
and CCO Employment agreement are reported as part of "Accounting and
Administrative Expenses" on the Statement of Operations.
Certain officers and trustees of the Trust are also officers and directors
of Van Kampen. The Trust does not compensate its officers or trustees who are
also officers of Van Kampen.
The Trust provides deferred compensation and retirement plans for its
trustees who are not officers of Van Kampen. Under the deferred compensation
plan, trustees may elect to defer all or a portion of their compensation to a
later date. Benefits under the retirement plan are payable upon retirement for a
ten-year period and are based upon each trustee's years of service to the Trust.
The maximum annual benefit per trustee under the plan is $2,500.
3. CAPITAL TRANSACTIONS
For the six months ended April 30, 2008 and for the year ended October 31, 2007,
transactions in common shares were as follows:
SIX MONTHS ENDED YEAR ENDED
APRIL 30, 2008 OCTOBER 31, 2007
Beginning Shares........................................ 21,934,705 21,909,989
Shares Issued Through Dividend Reinvestment............. 29,038 24,716
Shares Repurchased*..................................... -0- -0-
---------- ----------
Ending Shares........................................... 21,963,743 21,934,705
========== ==========
* On February 28, 2007, the Trust commenced a shares repurchase program for
purposes of enhancing stockholder value and reducing the discount at which
the Trust's shares trade from their net asset value. For the six months
ended April 30, 2008 and the year ended October 31, 2007, the Trust
repurchased none of its shares. The Trust may repurchase its outstanding
shares at such time and in such amounts as it believes such activity will
further the accomplishment of the foregoing objectives, subject to review of
the Trustees.
4. INVESTMENT TRANSACTIONS
During the period, the cost of purchases and proceeds from sales of investments,
excluding short-term investments, were $86,827,200 and $118,886,392,
respectively.
5. DERIVATIVE FINANCIAL INSTRUMENTS
A derivative financial instrument in very general terms refers to a security
whose value is "derived" from the value of an underlying asset, reference rate
or index.
In order to seek to manage the interest rate exposure of the Trust's
portfolio in a changing interest rate environment, the Trust may purchase or
sell financial futures contracts or engage in transactions involving interest
rate swaps, caps, floors or collars. The Trust expects to enter into these
transactions primarily as a hedge against anticipated interest rate or
fixed-income market changes, for duration management or for risk management
purposes, but may also enter into these transactions to generate additional
income. All of the Trust's portfolio holdings, including derivative instruments,
are marked to market each day with the
27
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
change in value reflected in the unrealized appreciation/depreciation. Upon
disposition, a realized gain or loss is recognized accordingly, except when
taking delivery of a security underlying a futures contract. In these instances,
the recognition of gain or loss is postponed until the disposal of the security
underlying the futures contract. Risks may arise as a result of the potential
inability of the counterparties to meet the terms of their contracts.
Summarized below are the specific types of derivative financial instruments
used by the Trust.
A. FUTURES CONTRACTS A futures contract is an agreement involving the delivery
of a particular asset on a specified future date at an agreed upon price. The
Trust generally invests in exchange traded futures contracts on U.S. Treasury
securities and typically closes the contract prior to the delivery date. These
contracts are generally used to manage the Trust's effective maturity and
duration. Upon entering into futures contracts, the Trust maintains an amount of
cash or liquid securities with a value equal to a percentage of the contract
amount with either a futures commission merchant pursuant to the rules and
regulations promulgated under the 1940 Act, as amended, or with its custodian in
an account in the broker's name. This amount is known as initial margin. During
the period the futures contract is open, payments are received from or made to
the broker based upon changes in the value of the contract (the variation
margin). The risk of loss associated with a futures contract is in excess of the
variation margin reflected on the Statement of Assets and Liabilities.
Transactions in futures contracts for the six months ended April 30, 2008
were as follows:
CONTRACTS
Outstanding at October 31, 2007............................. 666
Futures Opened.............................................. 600
Futures Closed.............................................. (1,266)
-------
Outstanding at April 30, 2008............................... -0-
=======
B. INTEREST RATE SWAPS The Trust may enter into forward interest rate swap
transactions intended to help the Trust manage its overall interest rate
sensitivity, either shorter or longer, generally to more closely align the
Trust's interest rate sensitivity with that of the broader municipal market.
Forward interest rate swap transactions involve the Trust's agreement with a
counterparty to pay, in the future, a fixed or variable rate payment in exchange
for the counterparty paying the Trust a variable or fixed rate payment, the
accruals for which would begin at a specified date in the future (the "effective
date"). The amount of the payment obligation is based on the notional amount of
the forward swap contract and the termination date of the swap (which is akin to
a bond's maturity). The value of the Trust's swap commitment would increase or
decrease based primarily on the extent to which long-term interest rates for
bonds having a maturity of the swap's termination date increases or decreases.
The Trust may terminate a swap contract prior to the effective date, at which
point a realized gain or loss is recognized. When a forward swap is terminated,
it ordinarily does not involve the delivery of securities or other underlying
assets or principal, but rather is settled in cash on a net basis. The Trust
intends, but is not obligated, to terminate its forward swaps before the
effective date. Accordingly, the risk of loss with respect to the swap
28
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
counterparty on such transactions is limited to the credit risk associated with
a counterparty failing to honor its commitment to pay any realized gain to the
Trust upon termination. To reduce such credit risk, all counterparties are
required to pledge collateral daily (based on the daily valuation of each swap)
on behalf of the Trust with a value approximately equal to the amount of any
unrealized gain. Reciprocally, when the Trust has an unrealized loss on a swap
contract, the Trust has instructed the custodian to pledge cash or liquid
securities as collateral with a value approximately equal to the amount of the
unrealized loss. Collateral pledges are monitored and subsequently adjusted if
and when the swap valuations fluctuate. Restricted cash, if any, for segregating
purposes is shown on the Statement of Assets and Liabilities.
C. INVERSE FLOATING RATE SECURITIES The Trust may invest a portion of its assets
in inverse floating rate instruments, either through outright purchases of
inverse floating rate securities or through the transfer of bonds to a dealer
trust in exchange for cash and residual interests in the dealer trust. These
investments are typically used by the Trust in seeking to enhance the yield of
the portfolio. These instruments typically involve greater risks than a fixed
rate municipal bond. In particular, these instruments are acquired through
leverage or may have leverage embedded in them and therefore involve many of the
risks associated with leverage. Leverage is a speculative technique that may
expose the Trust to greater risk and increased costs. Leverage may cause the
Trust's net asset value to be more volatile than if it had not been leveraged
because leverage tends to magnify the effect of any increases or decreases in
the value of the Trust's portfolio securities. The use of leverage may also
cause the Trust to liquidate portfolio positions when it may not be advantageous
to do so in order to satisfy its obligations with respect to inverse floating
rate instruments.
6. PREFERRED SHARES
As of April 30, 2008, the Trust has outstanding 8,000 Auction Preferred Shares
(APS). Series A contains 2,400 shares, Series B contains 3,000 shares, Series C
contains 1,800 shares and Series D contains 800 shares. Dividends are cumulative
and the dividend rates are generally reset every 7 days for Series A, while
Series B, Series C and Series D are generally reset every 28 days through an
auction process. Beginning on February 12, 2008 and continuing through April 30,
2008, all series of preferred shares of the Trust were not successfully
remarketed. As a result, the dividend rates of these preferred shares were reset
to the maximum applicable rate on APS. The average rate in effect on April 30,
2008 was 3.101%. During the six months ended April 30, 2008, the rates ranged
from 2.500% to 5.200%.
The Trust pays annual fees equivalent to .25% of the preferred share
liquidation value for the remarketing efforts associated with the preferred
auctions. These fees are included as a component of the "Preferred Share
Maintenance" expense on the Statement of Operations.
The APS are redeemable at the option of the Trust in whole or in part at the
liquidation value of $25,000 per share plus accumulated and unpaid dividends.
The Trust is subject to certain asset coverage tests and the APS are subject to
mandatory redemption if the tests are not met.
29
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
7. INDEMNIFICATIONS
The Trust enters into contracts that contain a variety of indemnifications. The
Trust's maximum exposure under these arrangements is unknown. However, the Trust
has not had prior claims or losses pursuant to these contracts and expects the
risk of loss to be remote.
8. ACCOUNTING PRONOUNCEMENTS
In September 2006, Statement of Financial Accounting Standards No. 157, Fair
Value Measurements (SFAS 157), was issued and is effective for fiscal years
beginning after November 15, 2007. SFAS 157 defines fair value, establishes a
framework for measuring fair value and expands disclosures about fair value
measurements. As of April 30, 2008, the Adviser does not believe the adoption of
SFAS 157 will impact the amounts reported in the financial statements, however,
additional disclosures will be required about the inputs used to develop the
measurements of fair value and the effect of certain measurements reported on
the Statement of Operations for a fiscal period.
On March 19, 2008, Financial Accounting Standards Board released Statement
of Financial Accounting Standards No. 161, Disclosures about Derivative
Instruments and Hedging Activities (SFAS 161). SFAS 161 requires qualitative
disclosures about objectives and strategies for using derivatives, quantitative
disclosures about fair value amounts of and gains and losses on derivative
instruments, and disclosures about credit-risk-related contingent features in
derivative agreements. The application of SFAS 161 is required for fiscal years
and interim periods beginning after November 15, 2008. At this time, management
is evaluating the implications of SFAS 161 and its impact on the financial
statements has not yet been determined.
9. SUBSEQUENT EVENT
On June 13, 2008, the Trust announced plans for the partial redemption of its
preferred shares. The Trust intends to redeem 20% of each of its Series per the
table below. The Board of Trustees previously approved the use of tender option
bonds as a replacement source of funding. The Depository Trust Company, the
securities' holder of record, will determine how the partial series redemptions
will be allocated among each participant broker-dealer account.
SERIES DATE
A........................................................... July 1, 2008
B........................................................... June 30, 2008
C........................................................... July 22, 2008
D........................................................... July 14, 2008
30
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
BOARD OF TRUSTEES, OFFICERS AND IMPORTANT ADDRESSES
BOARD OF TRUSTEES
DAVID C. ARCH
JERRY D. CHOATE
ROD DAMMEYER
LINDA HUTTON HEAGY
R. CRAIG KENNEDY
HOWARD J KERR
JACK E. NELSON
HUGO F. SONNENSCHEIN
WAYNE W. WHALEN* - Chairman
SUZANNE H. WOOLSEY
OFFICERS
JERRY W. MILLER
President and Principal Executive Officer
DENNIS SHEA
Vice President
KEVIN KLINGERT
Vice President
AMY R. DOBERMAN
Vice President
STEFANIE V. CHANG
Vice President and Secretary
JOHN L. SULLIVAN
Chief Compliance Officer
STUART N. SCHULDT
Chief Financial Officer and Treasurer
INVESTMENT ADVISER
VAN KAMPEN ASSET MANAGEMENT
522 Fifth Avenue
New York, New York 10036
CUSTODIAN
STATE STREET BANK
AND TRUST COMPANY
One Lincoln Street
Boston, Massachusetts 02111
TRANSFER AGENT
COMPUTERSHARE TRUST COMPANY, N.A.
C/O COMPUTERSHARE INVESTOR SERVICES
P.O. Box 43078
Providence, Rhode Island 02940-3078
LEGAL COUNSEL
SKADDEN, ARPS, SLATE,
MEAGHER & FLOM LLP
333 West Wacker Drive
Chicago, Illinois 60606
INDEPENDENT REGISTERED
PUBLIC ACCOUNTING FIRM
DELOITTE & TOUCHE LLP
111 South Wacker Drive
Chicago, Illinois 60606-4301
* "Interested persons" of the Trust, as defined in the Investment Company Act
of 1940, as amended.
31
Van Kampen California Value Municipal Income Trust
An Important Notice Concerning Our U.S. Privacy Policy
We are required by federal law to provide you with a copy of our Privacy
Policy annually.
The following Policy applies to current and former individual clients of Van
Kampen Investments Inc., Van Kampen Asset Management, Van Kampen Advisors
Inc., Van Kampen Funds Inc., Van Kampen Investor Services Inc. and Van
Kampen Exchange Corp., as well as current and former individual investors in
Van Kampen mutual funds, unit investment trusts, and related companies.
This Policy is not applicable to partnerships, corporations, trusts or other
non-individual clients or account holders, nor is this Policy applicable to
individuals who are either beneficiaries of a trust for which we serve as
trustee or participants in an employee benefit plan administered or advised
by us. This Policy is, however, applicable to individuals who select us to
be a custodian of securities or assets in individual retirement accounts,
401(k) accounts, 529 Educational Savings Accounts, accounts subject to the
Uniform Gifts to Minors Act, or similar accounts.
Please note that we may amend this Policy at any time, and will inform you
of any changes to this Policy as required by law.
WE RESPECT YOUR PRIVACY
We appreciate that you have provided us with your personal financial
information. We strive to maintain the privacy of such information while we
help you achieve your financial objectives. This Policy describes what
non-public personal information we collect about you, why we collect it, and
when we may share it with others.
We hope this Policy will help you understand how we collect and share
non-public personal information that we gather about you. Throughout this
Policy, we refer to the non-public information that personally identifies
you or your accounts as "personal information."
1. WHAT PERSONAL INFORMATION DO WE COLLECT ABOUT YOU?
To serve you better and manage our business, it is important that we collect
and maintain accurate information about you. We may obtain this information
from applications and other forms you submit to us, from your dealings with
us, from consumer reporting agencies, from our Web sites and from third
parties and other sources.
(continued on next page)
Van Kampen California Value Municipal Income Trust
An Important Notice Concerning Our U.S. Privacy Policy continued
For example:
-- We may collect information such as your name, address, e-mail address,
telephone/fax numbers, assets, income and investment objectives through
applications and other forms you submit to us.
-- We may obtain information about account balances, your use of
account(s) and the types of products and services you prefer to receive
from us through your dealings and transactions with us and other
sources.
-- We may obtain information about your creditworthiness and credit
history from consumer reporting agencies.
-- We may collect background information from and through third-party
vendors to verify representations you have made and to comply with
various regulatory requirements.
-- If you interact with us through our public and private Web sites, we
may collect information that you provide directly through online
communications (such as an e-mail address). We may also collect
information about your Internet service provider, your domain name,
your computer's operating system and Web browser, your use of our Web
sites and your product and service preferences, through the use of
"cookies." "Cookies" recognize your computer each time you return to
one of our sites, and help to improve our sites' content and
personalize your experience on our sites by, for example, suggesting
offerings that may interest you. Please consult the Terms of Use of
these sites for more details on our use of cookies.
2. WHEN DO WE DISCLOSE PERSONAL INFORMATION WE COLLECT ABOUT YOU?
To provide you with the products and services you request, to serve you
better and to manage our business, we may disclose personal information we
collect about you to our affiliated companies and to non-affiliated third
parties as required or permitted by law.
A. INFORMATION WE DISCLOSE TO OUR AFFILIATED COMPANIES. We do not disclose
personal information that we collect about you to our affiliated companies
except to enable them to provide services on our behalf or as otherwise
required or permitted by law.
B. INFORMATION WE DISCLOSE TO THIRD PARTIES. We do not disclose personal
information that we collect about you to non-affiliated third parties except
to enable them to provide services on our behalf, to perform joint marketing
agreements with
(continued on back)
Van Kampen California Value Municipal Income Trust
An Important Notice Concerning Our U.S. Privacy Policy continued
other financial institutions, or as otherwise required or permitted by law.
For example, some instances where we may disclose information about you to
non-affiliated third parties include: for servicing and processing
transactions, to offer our own products and services, to protect against
fraud, for institutional risk control, to respond to judicial process or to
perform services on our behalf. When we share personal information with
these companies, they are required to limit their use of personal
information to the particular purpose for which it was shared and they are
not allowed to share personal information with others except to fulfill that
limited purpose.
3. HOW DO WE PROTECT THE SECURITY AND CONFIDENTIALITY OF PERSONAL
INFORMATION WE COLLECT ABOUT YOU?
We maintain physical, electronic and procedural security measures to help
safeguard the personal information we collect about you. We have internal
policies governing the proper handling of client information. Third parties
that provide support or marketing services on our behalf may also receive
personal information, and we require them to adhere to confidentiality
standards with respect to such information.
Van Kampen Funds Inc.
522 Fifth Avenue
New York, New York 10036
www.vankampen.com
Copyright (C)2008 Van Kampen Funds Inc.
All rights reserved. Member FINRA/SIPC.
VCVSAN 6/08
(VAN KAMPEN INVESTMENTS LOGO) IU08-03197P-Y04/08
Item 2. Code of Ethics.
Not applicable for semi-annual reports.
Item 3. Audit Committee Financial Expert.
Not applicable for semi-annual reports.
Item 4. Principal Accountant Fees and Services.
Not applicable for semi-annual reports.
Item 5. Audit Committee of Listed Registrants.
Not applicable for semi-annual reports.
Item 6. Schedule of Investments.
Please refer to Item #1.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End
Management Investment Companies.
Not applicable for semi-annual reports.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable for semi-annual reports.
Item 9. Purchases of Equity Securities by Closed-End Management Investment
Company and Affiliated Purchasers.
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders.
Not applicable.
Item 11. Controls and Procedures
(a) The Trust's principal executive officer and principal financial officer have
concluded that the Trust's disclosure controls and procedures are sufficient to
ensure that information required to be disclosed by the Trust in this Form
N-CSRS was recorded, processed, summarized and reported within the time periods
specified in the Securities and Exchange Commission's rules and forms, based
upon such officers' evaluation of these controls and procedures as of a date
within 90 days of the filing date of the report.
(b) There were no changes in the registrant's internal control over financial
reporting that occurred during the second fiscal quarter of the period covered
by this report that has materially affected, or is reasonably likely to
materially affect, the registrant's internal control over financial reporting.
Item 12. Exhibits.
(1) Code of Ethics -- Not applicable for semi-annual reports.
(2)(a) A certification for the Principal Executive Officer of the registrant is
attached hereto as part of EX-99.CERT.
(2)(b) A certification for the Principal Financial Officer of the registrant is
attached hereto as part of EX-99.CERT.
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.
(Registrant) Van Kampen California Value Municipal Income Trust
By: /s/ Jerry W. Miller
---------------------
Name: Jerry W. Miller
Title: Principal Executive Officer
Date: June 19, 2008
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed by the following
persons on behalf of the registrant and in the capacities and on the dates
indicated.
By: /s/ Jerry W. Miller
--------------------
Name: Jerry W. Miller
Title: Principal Executive Officer
Date: June 19, 2008
By: /s/ Stuart N. Schuldt
----------------------
Name: Stuart N. Schuldt
Title: Principal Financial Officer
Date: June 19, 2008