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)
1221 Avenue of the Americas, New York, New York 10020
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(Address of principal executive offices) (Zip code)
Ronald Robison
1221 Avenue of the Americas, New York, New York 10020
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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: 4/30/06
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, 2006.
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 4/30/06
CALIFORNIA VALUE MUNICIPAL INCOME TRUST
SYMBOL: VCV
------------------------------------------------------------
AVERAGE ANNUAL BASED ON BASED ON
TOTAL RETURNS NAV MARKET PRICE
Since Inception (4/30/93) 7.13% 6.74%
10-year 7.77 9.32
5-year 7.72 8.68
1-year 2.92 11.12
6-month 2.19 8.94
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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 ADVISOR. 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 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, 2006
MARKET CONDITIONS
The economy continued to grow during the six-month period ended April 30, 2006,
demonstrating some resiliency in the face of rising oil and other commodity
prices, the Gulf Coast hurricanes, and emerging weakness in the housing market.
This expansion was more modest in the final months of 2005, but gained
considerable momentum in the first quarter.
Against the backdrop of growth and good employment data, the Federal Open Market
Committee (the "Fed") continued raising the federal funds target rate during the
period, implementing four additional increases of 25 basis points each. These
moves brought the target rate to 4.75 percent. The final hike of the period
represented the fifteenth consecutive increase--the longest stretch of increases
in 25 years. As the period came to a close, market observers speculated about
the Fed's near-term intentions, given the central bank's view that although
longer-term inflation currently appeared contained, commodity prices could
amplify inflationary pressures.
Returns across the municipal bond market varied significantly. As investors
sought income opportunities, lower rated bonds outpaced investment-grade bonds
by a wide margin. Long-term bonds earned the best returns, broadly speaking,
while bonds in the three-to-seven year range posted the most muted gains.
Municipal bond issuance was robust during the final months of 2005. (In fact,
2005 marked a record high for municipal bond volume.) The tide changed in 2006,
however. As rising rates discouraged issuers from refinancing debt, national
municipal issuance dropped by approximately 25 percent in the first four months
of the year versus the same period in 2005. While supply ebbed, the market's
appetite for municipal bonds remained strong, with particularly heavy demand
from high yield municipal bond funds.
The State of California continued to lead the nation in municipal issuance.
Moreover, although new volume dipped during 2006, declines were not so steep as
the national average. California's municipal market has benefited from the
continued strengthening of its credit fundamentals; and the near-term credit
outlook for the state is stable. California's large and diverse economy
continued to grow and employment gains were in line with the national average.
On the fiscal front, a rebound in capital gains and stock option taxes
contributed to higher revenues. While his popularity has ebbed, Governor
Schwarzenegger has nonetheless made progress advancing a number of his municipal
funding proposals. The state still faces challenges, however, with budget
deficits, pension funding litigation and immigration issues among the most
significant.
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 outperformed
its benchmark index, the Lehman Brothers California Municipal Bond Index.
TOTAL RETURNS FOR THE SIX-MONTH PERIOD ENDED APRIL 30, 2006
---------------------------------------------------------------------
BASED ON BASED ON LEHMAN BROTHERS
NAV MARKET PRICE CALIFORNIA MUNICIPAL BOND INDEX
2.19% 8.94% 1.58%
---------------------------------------------------------------------
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.
The trust uses leverage to enhance its dividend to common shareholders. The
trust borrows money at short-term rates through the issuance of preferred
shares. The proceeds are reinvested in longer-term securities, taking advantage
of the difference between short- and longer-term rates. The Fed's policy of
raising interest rates throughout the period made the trust's borrowing activity
more expensive, which reduced the benefits of the trust's leverage activities.
We managed the trust according to our long-standing "relative value" discipline.
Our strategy involved buying bonds when our research indicates they are
attractively valued, and then selling them when they reached our return targets.
We then invested the proceeds into bonds which we believe offered greater future
total return prospects. We used rigorous research to seek fundamentally strong
issues with high liquidity. (Liquid securities are those for which there is a
robust market of purchasers and sellers.)
We positioned the portfolio to reflect our view that yields would continue to
rise, with the yields of short-term bonds rising more rapidly than those of
long-term bonds. Reflecting this analysis, we kept the trust's duration shorter
than that of its benchmark; and this strategy served the trust well. (Duration
is a measure of interest rate sensitivity.)
The trust also benefited from our view that the long-term segment of the yield
curve was most compelling. We sold shorter-maturity bonds, including pre-
refunded issues, capturing appreciation gains. We invested these proceeds into
longer-term bonds (generally those with maturities of 25 to 30 years), favoring
issues with premium coupons and defensive characteristics. In contrast, we
3
avoided non-callable bonds and zero-coupon bonds, as these tend to underperform
during periods of rising interest rates. Our discipline typically led us away
from bonds subject to the federal alternative minimum tax, as well.
The trust maintained a high overall credit quality, with approximately 58
percent of the bonds in the portfolio rated AAA at the close of the period.
Within the framework of our quality-focused discipline, we actively sought
opportunities to invest in higher yielding securities. This led us to BBB rated
securities, which accounted for approximately 22 percent of bonds as of April
30, 2006. Tobacco and health care issues were well represented within this
portion of the portfolio.
The trust further benefited from its investments in non-rated issues, totaling
8.5 percent of the portfolio as of April 30, 2006. These holdings were subject
to our rigorous scrutiny, and we invested in them only after our internal
research determined that the bonds offered credit characteristics comparable to
investment-grade bonds. Real estate development issues ("Mello-Roos" bonds)
dominated the ranks of non-rated positions.
The trust's preference for well-known issues enhanced performance, as these
bonds enjoyed demand on the national level. Within its well-diversified
portfolio, the trust reflected a bias toward the essential services sector of
the market; and this emphasis proved advantageous. As of the close of the
period, the trust's largest sector weightings were in the water and sewer,
transportation, and education sectors. In contrast, we avoided housing bonds
because, broadly speaking, the yields in the housing sector fell short of our
criteria.
During the reporting period, Van Kampen California Municipal Trust was
reorganized into Van Kampen California Value Municipal Income Trust.
VCV's procedure for reinvesting all dividends and distributions in common shares
is through purchases in the open market. This method helps support the market
value of the Trust's shares. In addition, we would like to remind you that the
Trustees have approved a procedure whereby the Trust may, when appropriate,
purchase shares in the open market or in privately negotiated transactions at a
price not above market value or net asset value, whichever is lower at the time
of purchase.
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.
4
TOP 5 SECTORS AS OF 4/30/06
Tax Allocation 12.4%
Public Education 11.8
Master Tobacco Settlement 9.8
Public Building 9.4
Special Tax Districts 7.4
RATINGS ALLOCATION AS OF 4/30/06
AAA/Aaa 57.9%
AA/Aa 3.8
A/A 8.0
BBB/Baa 21.8
Non-Rated 8.5
-----
100.0%
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.
5
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 trust 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 trust 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, DC. 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) 847-2424.
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) 847-2424 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, 2006 (UNAUDITED)
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
MUNICIPAL BONDS 155.8%
CALIFORNIA 150.4%
$1,020 A B C CA Uni Sch Dist Cap Apprec Ser B (FGIC
Insd)........................................... * 08/01/17 $ 609,521
2,000 A B C CA Uni Sch Dist Cap Apprec Ser B (FGIC
Insd)........................................... * 08/01/21 961,240
1,610 A B C CA Uni Sch Dist Cap Apprec Ser B (FGIC
Insd)........................................... * 08/01/22 734,015
3,390 Abag Fin Auth For Nonprofit Corp CA Ctf Partn
Childrens Hosp Med Ctr (AMBAC Insd)............. 5.875% 12/01/19 3,646,114
500 Abag Fin Auth For Nonprofit Corp CA Ctf Partn
Childrens Hosp Med Ctr (AMBAC Insd)............. 6.000 12/01/29 539,905
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 2,078,280
4,000 Abag Fin Auth For Nonprofit Corp CA Multi-Family
Rev Hsg Utd Dominion Ser A Rfdg (AMT) (Asset Gty
Insd)........................................... 6.400 08/15/30 4,157,920
1,000 Abag Fin Auth For Nonprofit Corp CA Multi-Family
Rev Hsg Utd Dominion Ser B Rfdg (Asset Gty
Insd)........................................... 6.250 08/15/30 1,036,780
1,205 Alameda Cnty, CA Wtr Dist Rev Rfdg (MBIA
Insd)........................................... 4.750 06/01/20 1,216,158
3,540 Anaheim, CA Pub Fin Auth Lease Rev Cap Apprec
Pub Impt Proj Ser C (FSA Insd).................. * 09/01/32 967,871
2,790 Banning, CA Cmnty Redev Agy Tax Alloc Merged
Downtown (Radian Insd).......................... 5.000 08/01/23 2,860,113
2,510 Bay Area Govt Assn CA Lease West Sacramento Ser
A (XLCA Insd) (a)............................... 5.000 09/01/24 2,598,979
5,000 Bay Area Toll Auth CA Toll Brdg Rev San
Francisco Bay Area Ser D........................ 5.000 04/01/17 5,217,950
1,000 Benicia, CA Uni Sch Dist Ser B (MBIA Insd)...... * 08/01/18 529,990
1,725 Bonita, CA Uni Sch Dist Election 2004 Ser A
(MBIA Insd) (a)................................. 5.250 08/01/22 1,841,489
1,055 Borrego, CA Wtr Dist Ctf Partn Wtr Sys
Acquisition (a)................................. 7.000 04/01/27 1,099,964
1,390 Brea & Olinda, CA Uni Sch Dist Ctf Partn Ser A
Rfdg (FSA Insd) (a)............................. 5.500 08/01/19 1,501,589
1,510 Brea & Olinda, CA Uni Sch Dist Ctf Partn Ser A
Rfdg (FSA Insd) (a)............................. 5.500 08/01/20 1,631,223
3,535 Brea, CA Redev Agy Tax Alloc Ser A Rfdg (AMBAC
Insd) (a)....................................... 5.500 08/01/20 3,807,619
250 Burbank, CA Cmnty Fac Dist Spl Tax No 2005-1.... 5.200 12/01/23 252,115
1,500 Burbank, CA Pub Fin Auth Rev Golden State Redev
Proj Ser A (AMBAC Insd)......................... 5.250 12/01/23 1,589,910
2,060 Burbank, CA Wastewtr Treatment Rev Ser A (AMBAC
Insd)........................................... 5.000 06/01/29 2,115,764
2,060 Calexico, CA Uni Sch Dist Ser A (MBIA Insd)
(a)............................................. 5.000 08/01/27 2,130,967
See Notes to Financial Statements 7
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$2,000 California Cnty, CA Tob Sec Agy Tob Asset Bkd
Merced Cnty Ser A Rfdg.......................... 5.125% 06/01/38 $ 1,950,700
5,000 California Cnty, CA Tob Sec Agy Tob Asset Bkd
Merced Cnty Ser A Rfdg.......................... 5.250 06/01/45 4,930,250
5,000 California Cnty, CA Tob Sec Agy Tob Asset Bkd
Sonoma Cnty Corp Rfdg........................... 5.125 06/01/38 4,876,750
3,000 California Cnty, CA Tob Sec Agy Tob Asset Bkd
Los Angeles Cnty Sec (b)........................ 0/5.450 06/01/28 2,329,050
2,000 California Ed Fac Auth Rev CA College Arts...... 5.000 06/01/35 1,971,240
2,500 California Ed Fac Auth Rev Golden Gate Univ..... 5.000 10/01/36 2,463,375
1,000 California Ed Fac Auth Rev Pitzer College Ser
A............................................... 5.000 04/01/30 1,007,480
3,210 California Ed Fac Auth Rev Pitzer College Ser
A............................................... 5.000 04/01/35 3,227,109
2,000 California Ed Fac Auth Rev Pooled College & Univ
Proj Ser B...................................... 5.250 04/01/24 2,040,300
1,000 California Ed Fac Auth Rev Pooled College & Univ
Proj Ser B...................................... 6.625 06/01/20 1,079,890
2,000 California Ed Fac Auth Rev Pooled College & Univ
Proj Ser B...................................... 6.750 06/01/30 2,150,820
375 California Ed Fac Auth Rev Student Ln CA Ln Pgm
Ser A (AMT) (MBIA Insd)......................... 6.000 03/01/16 386,944
1,500 California Ed Fac Auth Rev Univ of Redlands Ser
A............................................... 5.000 10/01/31 1,509,465
2,000 California Hlth Fac Fin Auth Rev Cedars Sinai
Med Ctr Rfdg.................................... 5.000 11/15/27 2,023,420
4,000 California Hlth Fac Fin Auth Rev Cedars Sinai
Med Ctr Rfdg.................................... 5.000 11/15/34 4,027,360
90 California Hlth Fac Fin Auth Rev Hlth Fac Small
Fac Ln Ser A (CA MTG Insd)...................... 6.700 03/01/11 90,191
180 California Hlth Fac Fin Auth Rev Hlth Fac Small
Fac Ln Ser A (CA MTG Insd)...................... 6.750 03/01/20 180,394
2,205 California Hlth Fac Fin Auth Rev Insd Hlth Fac
Vlycare Ser A (CA MTG Insd)..................... 6.125 05/01/12 2,208,462
3,000 California Hsg Fin Agy Rev Multi-Family Hsg III
Ser A (AMT) (MBIA Insd)......................... 5.850 08/01/17 3,069,090
2,000 California Infrastructure & Econ Dev Bk Rev Bay
Area Toll Brdg First Lien Ser A (Prerefunded @
01/01/28) (FGIC Insd)........................... 5.000 07/01/29 2,150,400
1,000 California Pollutn Ctl Fin Auth Pollutn Ctl Rev
Gas & Elec Ser A Rfdg (MBIA Insd)............... 5.900 06/01/14 1,125,780
1,000 California Pollutn Ctl Fin Auth Solid Waste Disp
Rev Waste Mgmt Inc Proj Ser B (AMT)............. 5.000 07/01/27 996,690
2,500 California Pollutn Ctl Fin Auth Solid Waste Disp
Rev Waste Mgmt Inc Proj Ser C (AMT)............. 5.125 11/01/23 2,556,300
65 California Rural Home Mtg Fin Auth Single Family
Mtg Rev Mtg Bkd Sec Pgm Ser B (AMT) (GNMA
Collateralized)................................. 6.150 06/01/20 65,179
8 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 15 California Rural Home Mtg Fin Auth Single Family
Mtg Rev Mtg Bkd Sec Pgm Ser C (AMT) (GNMA
Collateralized)................................. 7.500% 08/01/27 $ 15,147
15 California Rural Home Mtg Fin Auth Single Family
Mtg Rev Mtg Bkd Sec Ser A2 (AMT) (GNMA
Collateralized)................................. 7.950 12/01/24 15,113
95 California Rural Home Mtg Fin Auth Single Family
Mtg Rev Pgm Ser B (AMT) (GNMA Collateralized)... 6.250 12/01/31 95,269
35 California Rural Home Mtg Fin Auth Single Family
Mtg Rev Ser C (AMT) (GNMA Collateralized)....... 7.800 02/01/28 35,390
1,060 California Spl Dist Assn Fin Corp Ctf Part Spl
Dist Fin Pgm Ser KK (FSA Insd) (a).............. 5.800 11/01/29 1,135,059
2,110 California Spl Dist Fin Pgm Ser 00 (MBIA Insd)
(a)............................................. 5.250 12/01/26 2,212,335
2,000 California St (CIFG Insd)....................... 5.000 10/01/22 2,061,380
3,000 California St (FGIC Insd) (a)................... 5.000 10/01/23 3,097,260
1,000 California St (MBIA Insd)....................... 5.000 02/01/26 1,033,420
835 California St Dept Wtr Res Rev Ser W............ 5.500 12/01/17 900,422
1,000 California St Pub Wks Brd Dept Corrections Ser
C............................................... 5.500 06/01/23 1,074,640
2,340 California St Rfdg (FGIC Insd).................. 5.000 02/01/23 2,402,642
7,500 California St Rfdg.............................. 5.000 03/01/24 7,734,750
4,145 California St Rfdg.............................. 5.000 03/01/26 4,276,479
960 California St Vet Ser BJ (AMT).................. 5.700 12/01/32 981,946
2,230 California Statewide Cmnty Dev Auth CHF-Irvine
LLC UCI East Rfdg............................... 5.000 05/15/38 2,254,173
3,000 California Statewide Cmnty Dev Auth Rev
Daughters of Charity Hlth Ser A................. 5.250 07/01/30 3,051,120
4,355 California Statewide Cmnty Dev Auth Rev
Daughters of Charity Hlth Ser A................. 5.250 07/01/35 4,423,765
3,000 California Statewide Cmnty Dev Auth Rev Hlth Fac
Adventist Hlth Ser A............................ 5.000 03/01/35 3,010,230
1,325 California Statewide Cmnty Dev Auth Wtr &
Wastewtr Rev Pooled Fin Pgm Ser B (FSA Insd).... 5.250 10/01/23 1,409,614
1,280 California Statewide Cmnty Dev Auth Wtr Rev
Pooled Fin Pgm Ser C (FSA Insd)................. 5.250 10/01/28 1,349,478
1,595 Cardiff, CA Sch Dist Cap Apprec (FGIC Insd)
(a)............................................. * 08/01/24 657,268
1,675 Cardiff, CA Sch Dist Cap Apprec (FGIC Insd)
(a)............................................. * 08/01/25 655,042
2,000 Carson, CA Redev Agy Tax Alloc Ser A Rfdg (MBIA
Insd)........................................... 5.000 10/01/23 2,077,220
1,095 Cathedral City, CA Impt Bd Act 1915 Ltd Oblig
Cove Impt Dist 04 02 (a)........................ 5.000 09/02/22 1,098,427
850 Cathedral City, CA Ltd Oblig Cove Impt Dist 04
02.............................................. 5.000 09/02/23 850,246
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a)........................... * 08/01/27 382,745
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a)........................... * 08/01/28 364,441
See Notes to Financial Statements 9
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a)........................... * 08/01/30 $ 329,786
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a)........................... * 08/01/31 313,988
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a)........................... * 08/01/32 298,180
1,085 Cathedral City, CA Pub Fin Auth Rev Cap Apprec
Ser A (MBIA Insd) (a)........................... * 08/01/33 283,109
2,000 Central Vly Fin Auth CA Cogeneration Proj Rev
Carson Ice-Gen Proj Rev (MBIA Insd)............. 5.000% 07/01/17 2,066,060
220 Cerritos, CA Cmnty College Dist Election 2004
Ser A (MBIA Insd) (a)........................... 5.000 08/01/27 227,579
2,500 Chaffey, CA Uni High Sch Dist Ser C (FSA
Insd)........................................... 5.000 05/01/27 2,575,175
1,805 Channel Is Beach, CA Cmnty Svc Dist Swr Rev Ctf
Partn Ser A (Radian Insd) (a)................... 5.250 11/01/35 1,876,207
1,700 Chino Vly Uni Sch Dist CA Ctf Partn Ser A Rfdg
(FSA Insd)...................................... 5.375 09/01/20 1,827,772
2,000 Chula Vista, CA Cmnty Fac Dist Spl Tax No 01-1
Impt Area San Miguel Ser B...................... 5.350 09/01/26 2,038,240
2,000 Chula Vista, CA Indl Dev Rev San Diego Gas Ser
A............................................... 5.300 07/01/21 2,098,280
1,000 Chula Vista, CA Pub Fin Auth Rev Ser A Rfdg
(MBIA Insd)..................................... 5.000 09/01/29 1,028,120
2,335 Chula Vista, CA Redev Agy Tax Alloc Sr Bayfront
Ser D Rfdg...................................... 8.625 09/01/24 2,418,663
1,605 Coachella, CA Fin Auth Tax Alloc Rev Redev Proj
4 Ser B Rfdg (XLCA Insd)........................ 5.250 09/01/34 1,689,760
1,000 Coachella, CA Redev Agy Tax Alloc Proj Area No 3
Rfdg............................................ 5.875 12/01/28 1,030,700
2,900 Colton, CA Jt Uni Sch Dist Ser A (FGIC Insd).... 5.500 08/01/22 3,153,460
2,000 Colton, CA Redev Agy Tax Alloc Mt Vernon
Corridor Redev Proj............................. 6.300 09/01/36 2,111,260
1,600 Commerce, CA Jt Pwr Fin Auth Lease Rev Cmnty Ctr
Proj (XLCA Insd)................................ 5.000 10/01/29 1,640,288
2,000 Commerce, CA Jt Pwr Fin Auth Lease Rev Cmnty Ctr
Proj (XLCA Insd)................................ 5.000 10/01/34 2,045,460
1,230 Compton, CA Uni Sch Dist Election of 2002 Ser B
(MBIA Insd)..................................... 5.500 06/01/25 1,336,051
1,110 Compton, CA Uni Sch Dist Election of 2002 Ser B
(MBIA Insd)..................................... 5.000 06/01/29 1,145,342
1,965 Contra Costa Cnty, CA Ctf Partn Merrithew Mem
Hosp Proj Rfdg (MBIA Insd)...................... 5.500 11/01/22 2,049,456
1,250 Corona Norco, CA Uni Sch Dist Cap Apprec Ser B
(FSA Insd) (c).................................. * 09/01/16 784,712
1,595 Corona Norco, CA Uni Sch Dist Cap Apprec Ser B
(FSA Insd)...................................... * 09/01/17 949,392
10 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$1,735 Corona Norco, CA Uni Sch Dist Cap Apprec Ser B
(FSA Insd) (a).................................. * 09/01/18 $ 977,083
1,360 Csuci Fin Auth Rev CA East Campus Cmnty Ser A
(LOC-Citibank) (MBIA Insd)...................... 5.125% 09/01/21 1,429,047
615 Davis, CA Pub Fac Fin Auth Loc Agy Rev Mace
Ranch Area Ser A................................ 6.500 09/01/15 642,835
1,245 Duarte, CA Multi-Family Rev Hsg Heritage Pk Apt
Ser A (AMT) (FNMA Collateralized)............... 5.850 05/01/30 1,284,155
925 Duarte, CA Redev Agy Tax Alloc Davis Addition
Proj Area Rfdg.................................. 6.700 09/01/14 964,544
2,000 East Bay, CA Muni Util Dist Wtr Sys Rev (MBIA
Insd)........................................... 5.000 06/01/21 2,079,280
4,445 East Bay, CA Muni Util Dist Wtr Sys Rev Sub..... 5.250 06/01/19 4,610,443
1,280 El Cerrito, CA Redev Agy Tax Alloc Redev Proj
Area Ser B Rfdg (AMT) (MBIA Insd) (a)........... 5.250 07/01/15 1,345,037
1,000 El Monte, CA Wtr Auth Rev Wtr Sys Proj (AMBAC
Insd)........................................... 5.600 09/01/29 1,081,310
1,000 El Monte, CA Wtr Auth Rev Wtr Sys Proj (AMBAC
Insd)........................................... 5.600 09/01/34 1,081,310
1,220 Emeryville, CA Pub Fin Auth Rev Assmt Dist
Refin........................................... 5.900 09/02/21 1,244,961
1,000 Emeryville, CA Pub Fin Auth Rev Shellmound Pk
Redev & Hsg Proj Ser B (MBIA Insd).............. 5.000 09/01/19 1,032,680
5,155 Florin, CA Res Consv Dist Cap Impt Elk Grove Wtr
Svc Ser A (MBIA Insd)........................... 5.000 09/01/33 5,297,433
1,010 Folsom Cordova, CA Uni Sch Dist Fac Impt Dist No
1 Cap Apprec Ser A (AMBAC Insd) (a)............. * 10/01/19 534,280
1,060 Folsom Cordova, CA Uni Sch Dist Fac Impt Dist No
1 Cap Apprec Ser A (AMBAC Insd) (a)............. * 10/01/21 503,871
3,000 Folsom, CA Spl Tax Cmnty Fac Dist No 2 Rfdg
(Connie Lee Insd)............................... 5.250 12/01/19 3,125,100
1,000 Fontana, CA Redev Agy Tax Alloc Southeast Indl
Pk Proj (MBIA Insd)............................. 5.000 09/01/22 1,033,100
1,950 Fontana, CA Redev Agy Tax Alloc Southwest Indl
Pk Proj (MBIA Insd)............................. 5.200 09/01/30 2,018,737
10,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev Cap
Apprec Rfdg..................................... * 01/15/25 3,411,200
15,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev Cap
Apprec Rfdg..................................... * 01/15/26 4,814,700
11,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev Cap
Apprec Rfdg..................................... * 01/15/30 2,769,250
5,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev Cap
Apprec Rfdg..................................... * 01/15/31 1,183,100
2,950 Foothill/Eastern Corridor Agy CA Toll Rd Rev Cap
Apprec Sr Lien Ser A (Escrowed to Maturity)..... * 01/01/27 1,090,880
5,500 Foothill/Eastern Corridor Agy CA Toll Rd Rev
Conv Cap Apprec Rfdg (b)........................ 0/5.875 01/15/27 4,769,875
See Notes to Financial Statements 11
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$1,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev
Rfdg............................................ 5.750% 01/15/40 $ 1,026,020
1,000 Galt Schs Jt Pwrs Auth CA Rev High Sch & Elem
Sch Ser A Rfdg (MBIA Insd)...................... 5.750 11/01/16 1,049,030
1,115 Garden Grove, CA Pub Fin Auth Rev Ctf Partn Wtr
Svc Cap Impt Pgm (FSA Insd)..................... 5.000 12/15/23 1,157,281
2,500 Glendale, CA Uni Sch Dist Ser C (FSA Insd)...... 5.500 09/01/19 2,653,450
1,680 Glendale, CA Uni Sch Dist Ser D (MBIA Insd)
(a)............................................. 5.250 09/01/17 1,782,077
8,255 Golden St Tob Sec Corp CA Ser A-1............... 6.625 06/01/40 9,122,353
2,000 Golden St Tob Sec Corp CA Tob Settlement Rev
Enhanced Ser A.................................. 5.000 06/01/45 2,013,720
5,275 Golden St Tob Sec Corp CA Tob Settlement Rev Ser
2003 A-1........................................ 6.250 06/01/33 5,721,634
1,000 Golden St Tob Sec Corp CA Tob Settlement Rev Ser
2003 A-1........................................ 6.750 06/01/39 1,113,760
1,000 Huntington Pk, CA Pub Fin Auth Lease Rev
Wastewtr Sys Proj Ser A......................... 6.200 10/01/25 1,033,490
3,000 Imperial Irr Dist CA Ctf Partn Elec Sys Proj
(FSA Insd)...................................... 5.250 11/01/23 3,176,280
3,435 Irvine, CA Pub Fac & Infrastructure Auth Assmt
Rev Ser B (AMBAC Insd) (a)...................... 5.000 09/02/22 3,550,519
2,000 Irvine, CA Uni Sch Dist Fin Auth Spl Tax Group
II Ser A........................................ 5.125 09/01/36 2,000,660
1,660 Jarupa, CA Cmnty Svc Dist Spl Tax Cmnty Fac Dist
No 21 Ser A (d)................................. 5.000 09/01/26 1,646,288
1,000 Kern, CA Cmnty College Sch Fac Impt Dist Mammoth
Campus/Kern Cmnty (AMBAC Insd) (a).............. * 08/01/22 455,180
800 Kern, CA Cmnty College Sch Fac Impt Dist Mammoth
Campus/Kern Cmnty Ser A (AMBAC Insd) (a)........ 5.000 08/01/19 832,392
1,000 La Quinta, CA Fin Auth Loc Ser A (AMBAC Insd)... 5.250 09/01/24 1,063,420
1,420 La Quinta, CA Redev Agy Tax Alloc Redev Proj
Area No 1 (AMBAC Insd).......................... 5.000 09/01/22 1,474,343
1,500 La Quinta, CA Redev Agy Tax Redev Proj Area No 1
(AMBAC Insd).................................... 5.125 09/01/32 1,554,165
1,000 Laguna Hills, CA Ctf Partn Cmnty Ctr Proj (MBIA
Insd)........................................... 5.000 12/01/18 1,043,010
1,185 Lake Elsinore, CA Uni Sch Dist Cmnty Fac Dist
Spl Tax No 2005-1 Impt Area Ser A............... 5.300 09/01/26 1,209,269
1,245 Lake Elsinore, CA Uni Sch Dist Cmnty Fac Dist
Spl Tax No 2005-1 Impt Area Ser A............... 5.400 09/01/35 1,266,003
1,105 Larkspur, CA Sch Dist Cap Apprec Ser A (FGIC
Insd) (a)....................................... * 08/01/20 558,754
1,145 Larkspur, CA Sch Dist Cap Apprec Ser A (FGIC
Insd) (a)....................................... * 08/01/21 548,673
1,020 Larkspur, CA Sch Dist Cap Apprec Ser A (FGIC
Insd)........................................... * 08/01/24 418,445
12 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$1,255 Larkspur, CA Sch Dist Cap Apprec Ser A (FGIC
Insd) (a)....................................... * 08/01/25 $ 487,580
1,000 Lathrop, CA Impt Bd Act 1915 Mossdale Vlg Assmt
Dist 03-1....................................... 5.000% 09/02/25 1,000,220
5,000 Loma Linda, CA Hosp Rev Loma Linda Univ Med Ctr
Ser A........................................... 5.000 12/01/22 5,054,850
1,000 Loma Linda, CA Redev Agy Tax Loma Linda Redev
Proj Rfdg (MBIA Insd)........................... 5.125 07/01/30 1,044,850
1,685 Long Beach, CA Bd Fin Auth North Long Beach
Redev Proj Ser A (AMBAC Insd)................... 5.375 08/01/21 1,793,615
3,555 Long Beach, CA Hbr Rev Ser A (AMT) (FGIC
Insd)........................................... 5.250 05/15/18 3,677,043
2,000 Los Angeles Cnty, CA Met Trans Auth Sales Tax
Rev Prop A First Tier Ser C Rfdg (AMBAC Insd)... 5.000 07/01/23 2,069,240
1,250 Los Angeles Cnty, CA Sch Regionalized Business
Svc Ctf LA Cnty Sch Pooled Fin Proj Ser A (FSA
Insd)........................................... 5.000 09/01/28 1,283,525
1,200 Los Angeles Cnty, CA Sch Regionalized Business
Svc Ctf Partn Cap Apprec Pooled Fin Ser A (AMBAC
Insd)........................................... * 08/01/26 438,468
2,755 Los Angeles Cnty, CA Sch Ser B (MBIA Insd)...... 5.000 11/01/24 2,854,428
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 2,061,180
1,900 Los Angeles, CA Ctf Partn....................... 5.700 02/01/18 1,976,608
1,000 Los Angeles, CA Ctf Partn Dept Pub Social Svc
Ser A (AMBAC Insd).............................. 5.500 08/01/31 1,054,440
3,000 Los Angeles, CA Ctf Partn Sr Sonnenblick Del Rio
W L A (AMBAC Insd).............................. 6.000 11/01/19 3,290,910
2,000 Los Angeles, CA Dept Wtr & Pwr Sys Ser C (MBIA
Insd)........................................... 5.000 07/01/26 2,073,880
2,170 Los Angeles, CA Multi-Family Rev Hsg Earthquake
Rehab Proj Ser A (AMT) (FNMA Collateralized).... 5.700 12/01/27 2,173,646
170 Los Angeles, CA Single Family Home Mtg Rev Pgm
Ser A (AMT) (GNMA Collateralized)............... 6.875 06/01/25 170,350
1,000 Los Angeles, CA Uni Sch Dist Ser A (FSA Insd)... 5.250 07/01/20 1,062,240
1,000 Los Angeles, CA Wtr & Pwr Rev Sys Ser A (MBIA
Insd)........................................... 5.375 07/01/18 1,064,360
1,190 Lynwood, CA Util Auth Enterp Rev (FSA Insd)
(a)............................................. 5.000 06/01/25 1,228,651
3,650 Manhattan Beach, CA Uni Sch Dist Cap Apprec Ser
B (FGIC Insd)................................... * 09/01/22 1,654,727
2,000 Mendocino Cnty, CA Ctf Partn Cnty Pub Fac Corp
(MBIA Insd)..................................... 5.250 06/01/30 2,091,120
3,400 Metropolitan Wtr Dist Southn CA Auth Ser B2
(FGIC Insd)..................................... 5.000 10/01/26 3,515,940
3,720 Midpeninsula Regl Open Space Dist CA Fin Auth
Rev (AMBAC Insd) (a)............................ * 08/01/27 1,051,793
See Notes to Financial Statements 13
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$3,240 Midpeninsula Regl Open Space Dist CA Fin Auth
Rev Cap Apprec Second Issue (AMBAC Insd)........ * 08/01/26 $ 974,722
1,710 Modesto, CA Irr Dist Ctf Partn Cap Impts Ser A
(FSA Insd)...................................... 5.250% 07/01/17 1,815,233
2,500 Modesto, CA Spl Tax Cmnty Fac Dist No 04 1 Vlg
2............................................... 5.150 09/01/36 2,491,825
2,000 Montclair, CA Redev Agy Mobile Home Pk Rev
Hacienda Mobile Home Pk Proj.................... 6.000 11/15/22 2,097,260
3,180 Mount Diablo, CA Uni Sch Dist (FSA Insd)........ 5.000 08/01/26 3,269,167
1,110 Mountain View Los Altos, CA Uni High Sch Dist
Cap Apprec Ser D (FSA Insd) (a)................. * 08/01/24 457,653
1,730 National City, CA Cmnty Dev Commn Tax Alloc
National City Redev Proj Ser A (AMBAC Insd)
(a)............................................. 5.500 08/01/32 1,864,559
1,670 National City, CA Cmnty Dev Commn Tax Alloc
Redev Proj Ser B Rfdg (AMBAC Insd) (a).......... 5.000 08/01/25 1,727,949
1,000 National City, CA Cmnty Dev Commn Tax Alloc
Redev Proj Ser B Rfdg (AMBAC Insd).............. 5.250 08/01/32 1,056,910
2,000 Needles, CA Pub Util Auth Util Sys Acquisition
Proj Ser A...................................... 6.500 02/01/22 2,072,800
1,500 Norco, CA Spl Tax Cmnty Fac Dist No 97-1 Rfdg
(Asset Gty Insd)................................ 4.875 10/01/30 1,505,565
1,225 Novato, CA Uni Sch Dist (FSA Insd).............. 5.000 08/01/28 1,266,344
1,000 Oakland, CA Uni Sch Dist Alameda Cnty (FSA
Insd)........................................... 5.000 08/01/17 1,030,300
995 Oceanside, CA Cmnty Fac No 2001-1 Morro Hills
Dev............................................. 5.500 09/01/34 1,017,288
3,000 Oxnard, CA Harbor Dist Rev Ser B................ 6.000 08/01/24 3,224,820
2,500 Oxnard, CA Spl Tax Cmnty Fac Dist No 3
Seabridge....................................... 5.000 09/01/35 2,456,400
1,000 Oxnard, CA Uni High Sch Dist Ser A Rfdg (MBIA
Insd)........................................... 6.200 08/01/30 1,152,430
1,965 Pacifica, CA Wastewtr Rev Rfdg (AMBAC Insd)
(a)............................................. 5.250 10/01/22 2,094,985
1,230 Palm Desert, CA Fin Auth Tax Alloc Rev Proj Area
No 2 Ser A Rfdg (MBIA Insd) (a)................. 5.000 08/01/21 1,277,539
250 Palm Springs, CA Arpt Sub Palm Springs Intl Arpt
Rfdg (AMT) (d).................................. 5.450 07/01/20 250,657
530 Palm Springs, CA Arpt Sub Palm Springs Intl Arpt
Rfdg (AMT) (d).................................. 5.550 07/01/28 530,811
520 Pasadena, CA Spl Tax Cmnty Fac Dist No 1 Civic
Ctr West (Escrowed to Maturity)................. * 12/01/07 480,350
4,350 Perris, CA Pub Fin Auth Rev Tax Alloc (d)....... 5.350 10/01/36 4,358,265
1,040 Perris, CA Pub Fin Auth Rev Tax Alloc Ser A
(MBIA Insd) (a)................................. 5.000 10/01/24 1,077,201
1,000 Perris, CA Pub Fin Auth Rev Tax Alloc Ser A
(MBIA Insd)..................................... 5.000 10/01/31 1,027,290
1,000 Pico Rivera, CA Wtr Auth Rev Wtr Sys Proj Ser A
(MBIA Insd)..................................... 5.500 05/01/19 1,107,760
1,375 Pittsburg, CA Redev Agy Tax Alloc Los Medanos
Cmnty Dev Proj (AMBAC Insd)..................... * 08/01/26 508,613
14 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$1,000 Pomona, CA Ctf Part Mission Promenade Proj Ser
AE (AMBAC Insd)................................. 5.375% 10/01/32 $ 1,049,680
3,350 Port Oakland, CA Port Rev Ser G (AMT) (MBIA
Insd)........................................... 5.375 11/01/25 3,472,711
3,000 Port Oakland, CA Ser N Rfdg (AMT) (MBIA Insd)... 5.000 11/01/22 3,072,750
1,000 Poway, CA Redev Agy Tax Alloc Paguay Redev Proj
Ser A (MBIA Insd)............................... 5.000 06/15/33 1,023,110
2,500 Poway, CA Uni Sch Dist Spl Tax Cmnty Fac Dist
6-4 S Ranch..................................... 5.125 09/01/35 2,500,750
2,000 Rancho Cordova Cmnty Fac Dist CA Spl Tax No
2003-1 Sunridge Anatolia........................ 6.000 09/01/24 2,058,880
1,000 Rancho Cucamonga, CA Redev Agy Tax Alloc Rancho
Redev Proj (FSA Insd)........................... 5.250 09/01/20 1,048,370
2,540 Rancho Mirage, CA Redev Agy Tax Alloc Redev Plan
1984 Proj Ser A-E (MBIA Insd)................... 5.250 04/01/33 2,642,718
1,220 Rancho Mirage, CA Redev Agy Tax Redev Plan 1984
Proj Ser A 1 (MBIA Insd)........................ 5.000 04/01/26 1,250,415
3,800 Redlands, CA Redev Agy Tax Alloc Redev Proj Ser
A Rfdg (MBIA Insd).............................. 4.750 08/01/21 3,839,862
1,000 Redondo Beach, CA Pub Fin Auth Rev South Bay Ctr
Redev Proj...................................... 7.000 07/01/16 1,023,470
4,000 Redwood City, CA Sch Dist (FGIC Insd)........... 5.000 07/15/23 4,149,480
3,000 Redwood City, CA Sch Dist (FGIC Insd)........... 5.000 07/15/27 3,074,280
900 Richmond, CA Rev YMCA East Bay Proj Rfdg........ 7.250 06/01/17 919,728
1,960 Riverside Cnty, CA Ctf Partn Cap Impt Family Law
Ser A Rfdg (FGIC Insd) (a)...................... 5.000 11/01/23 2,034,362
2,045 Riverside Cnty, CA Ctf Partn Cap Impt Family Law
Ser A Rfdg (FGIC Insd) (a)...................... 5.000 11/01/24 2,119,377
1,505 Riverside Cnty, CA Ctf Partn Historic Ct Hse Ser
B Rfdg (FGIC Insd) (a).......................... 5.000 11/01/23 1,562,100
1,615 Riverside Cnty, CA Ctf Partn Historic Ct Hse Ser
B Rfdg (FGIC Insd) (a).......................... 5.000 11/01/24 1,673,738
1,740 Riverside Cnty, CA Ctf Partn Historic Ct Hse Ser
B Rfdg (FGIC Insd) (a).......................... 5.000 11/01/25 1,800,569
1,650 Roseville, CA Jt Uni High Sch Dist Ser B (FGIC
Insd)........................................... * 06/01/20 819,110
3,750 Sacramento Cnty, CA City Fin Auth Rev Cap Impt
(AMBAC Insd).................................... 5.000 12/01/33 3,846,263
1,000 Sacramento Cnty, CA City Fin Auth Rev Tax Alloc
Ser A (FGIC Insd)............................... 5.000 12/01/34 1,026,480
2,000 Sacramento Cnty, CA Santn Dist Fin Auth Rev Ser
A Rfdg (AMBAC Insd)............................. 5.500 12/01/16 2,217,660
1,000 Salinas Vly, CA Solid Waste Auth Rev (AMT)
(AMBAC Insd).................................... 5.250 08/01/27 1,033,550
2,000 Salinas Vly, CA Solid Waste Auth Rev (AMT)
(AMBAC Insd).................................... 5.250 08/01/31 2,061,620
See Notes to Financial Statements 15
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$2,000 San Bernardino, CA Jt Pwr Fin Auth Ctf Partn
(MBIA Insd)..................................... 5.500% 09/01/20 $ 2,137,780
2,500 San Bernardino, CA Redev Agy Tax Alloc San
Sevaine Redev Proj Ser A (Prerefunded @
09/01/09)....................................... 7.000 09/01/24 2,777,800
1,830 San Diego Cnty, CA Ctf Partn Edgemoor Proj &
Regl Sys Rfdg (AMBAC Insd)...................... 5.000 02/01/25 1,889,475
955 San Diego, CA Hsg Auth Multi-Family Hsg Rev Mtg
Bkd Sec Pgm Ser C (AMT) (GNMA Collateralized)... 5.000 07/20/18 970,796
1,000 San Diego, CA Pub Fac Fin Auth Swr Rev (FGIC
Insd)........................................... 5.000 05/15/20 1,005,900
2,500 San Diego, CA Redev Agy Centre City Redev Proj
Ser A........................................... 6.400 09/01/25 2,620,950
1,000 San Diego, CA Uni Port Dist Ser B (MBIA Insd)... 5.000 09/01/24 1,035,450
1,000 San Dimas, CA Redev Agy Tax Alloc Creative
Growth Ser A (FSA Insd)......................... 5.000 09/01/16 1,046,750
1,185 San Francisco, CA City & Cnty Arpt Commn Intl
Arpt Rev Second Ser Issue 15B (MBIA Insd)....... 4.800 05/01/17 1,205,761
1,660 San Francisco, CA City & Cnty Arpt Commn Intl
Arpt Rev Spl Fac Lease Ser A (AMT) (FSA Insd)... 6.125 01/01/27 1,750,752
2,000 San Francisco, CA City & Cnty Arpt Commn Intl
Arpt Second Ser 27A Rfdg (AMT) (MBIA Insd)...... 5.250 05/01/26 2,057,100
3,000 San Francisco, CA City & Cnty Arpt Commn Intl
Arpt Second Ser 27A Rfdg (AMT) (MBIA Insd)...... 5.250 05/01/31 3,068,160
275 San Francisco, CA City & Cnty Redev Agy Lease
Rev George Moscone (XLCA Insd).................. * 07/01/12 214,429
1,630 San Francisco, CA City & Cnty Redev Agy Lease
Rev George Moscone (XLCA Insd).................. * 07/01/14 1,146,575
8,000 San Jose, CA Fin Auth Lease Rev Convention Ctr
Proj Ser F Rfdg (MBIA Insd)..................... 5.000 09/01/17 8,367,200
1,600 San Leandro, CA Ctf Partn Lib & Fire Stations
Fin (AMBAC Insd)................................ 5.700 11/01/20 1,725,136
2,000 San Leandro, CA Ctf Partn Lib & Fire Stations
Fin (AMBAC Insd)................................ 5.750 11/01/29 2,155,840
2,500 San Marcos, CA Pub Fac Auth Rev Rols RR II R 514
(Acquired 02/10/06, Cost $2,775,050) (Inverse
Fltg) (AMBAC Insd) (e).......................... 6.089 10/01/31 2,670,275
1,000 San Marcos, CA Pub Fac Auth Rev Sub Tax Incrmnt
Proj Area No 3 Ser A (Prerefunded @ 10/01/10)... 6.750 10/01/30 1,138,430
500 San Marcos, CA Pub Fac Auth Tax Alloc Rev Proj
Areas No 2 & 3 Fin Proj Ser C (AMBAC Insd)...... 5.000 08/01/20 522,385
595 San Marcos, CA Pub Fac Auth Tax Alloc Rev Proj
Areas No 2 & 3 Fin Proj Ser C (AMBAC Insd)...... 4.750 08/01/24 600,063
2,000 Sanger, CA Uni Sch Dist Rfdg (MBIA Insd)........ 5.600 08/01/23 2,286,620
1,350 Santa Ana, CA Uni Sch Dist (MBIA Insd) (a)...... 5.375 08/01/21 1,442,948
4,820 Santa Ana, CA Uni Sch Dist (MBIA Insd).......... 5.375 08/01/27 5,130,649
16 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$1,000 Santa Ana, CA Uni Sch Dist Ctf Partn Cap Apprec
Fin Proj (FSA Insd)............................. * 04/01/36 $ 211,710
700 Santa Ana, CA Uni Sch Dist Spl Tax Cmnty Fac
Dist No 2004-1.................................. 5.050% 09/01/30 700,728
4,200 Semitropic Impt Dist Semitropic Wtr Storage Dist
CA Wtr Ser A (XLCA Insd)........................ 5.125 12/01/35 4,353,342
1,220 Simi Vly, CA Cmnty Dev Agy Tax Alloc Tapo Canyon
& West End Proj Rfdg (FGIC Insd) (a)............ 5.250 09/01/20 1,291,846
1,285 Simi Vly, CA Cmnty Dev Agy Tax Alloc Tapo Canyon
& West End Proj Rfdg (FGIC Insd) (a)............ 5.250 09/01/21 1,359,838
1,350 Simi Vly, CA Cmnty Dev Agy Tax Alloc Tapo Canyon
& West End Proj Rfdg (FGIC Insd) (a)............ 5.250 09/01/22 1,429,502
3,305 South Orange Cnty, CA Pub Fin Auth Reassmt Rev
(FSA Insd)...................................... 5.800 09/02/18 3,542,960
1,640 South Tahoe, CA Jt Pwr Fin Auth Rev Tahoe Redev
Proj Area 1-A Rfdg (FSA Insd)................... 5.000 10/01/29 1,684,756
2,250 South Tahoe, CA Jt Pwr Fin Redev Proj Area No 1
Ser A (AMBAC Insd).............................. 5.000 10/01/28 2,324,205
5,000 Southern CA Pub Pwr Auth Pwr Proj Rev
Multi-Projs..................................... 6.750 07/01/12 5,685,350
915 Stanton, CA Multi-Family Rev Hsg Contl Garden
Apts (AMT) (FNMA Collateralized)................ 5.625 08/01/29 945,634
2,745 State Center, CA Cmnty Election 2002 Ser A (MBIA
Insd)........................................... 5.500 08/01/28 2,980,686
1,300 Taft, CA City Elem Sch Dist Ser A (MBIA Insd)
(a)............................................. * 08/01/22 591,734
1,605 Tehachapi, CA Redev Agy Tax Alloc Tehachapi
Redev Proj (Radian Insd)........................ 5.250 12/01/35 1,671,287
10,000 Tobacco Sec Auth Northn CA Tob Settlement Rev
Asset Bkd Bd Ser A-1............................ 5.375 06/01/38 10,071,000
10,800 Tobacco Sec Auth Northn CA Tob Settlement Rev
Asset Bkd Bd Ser A-1............................ 5.500 06/01/45 10,926,468
4,000 University of CA Ctf Part San Diego Campus Proj
Ser A........................................... 5.250 01/01/32 4,132,200
10,000 University of CA Rev Hosp UCLA Med Ctr Ser A
(AMBAC Insd).................................... 5.250 05/15/30 10,494,600
1,000 University of CA Rev Multi Purp Proj Ser M (FGIC
Insd)........................................... 5.125 09/01/17 1,048,120
1,000 University of CA Rev Resh Fac Ser E (AMBAC
Insd)........................................... 5.000 09/01/19 1,040,270
2,200 Ventura Cnty, CA Cmnty College Ser A (MBIA
Insd)........................................... 5.500 08/01/23 2,381,742
1,660 Ventura Cnty, CA Ctf Partn Pub Fin Auth Ser I
(FSA Insd)...................................... 5.250 08/15/15 1,738,037
1,000 Vista, CA Mobile Home Pk Rev Estrella De Oro
Mobile Home Ser A (Prerefunded @ 02/01/25)...... 5.875 02/01/28 1,056,260
See Notes to Financial Statements 17
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
---------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$1,000 Vista, CA Uni Sch Dist Ser A (FSA Insd)......... 5.000% 08/01/23 $ 1,037,430
2,000 Woodland, CA Fin Auth Lease Rev Cap Proj Rfdg
(XLCA Insd)..................................... 5.000 03/01/25 2,064,060
-------------
532,728,985
-------------
PUERTO RICO 3.6%
2,500 Childrens Tr Fd PR Tob Settlement Rev Asset Bkd
Bd.............................................. 5.625 05/15/43 2,568,150
5,000 Puerto Rico Comwlth Hwy & Tran Auth Hwy Rev Ser
Y Rfdg (FSA Insd)............................... 6.250 07/01/21 6,031,350
4,000 Puerto Rico Elec Pwr Auth Pwr Rev Ser II (XLCA
Insd)........................................... 5.375 07/01/17 4,314,560
-------------
12,914,060
-------------
U. S. VIRGIN ISLANDS 1.8%
3,000 Virgin Islands Pub Fin Auth Rev Gross Rcpt Taxes
Ln Nt Ser A..................................... 6.375 10/01/19 3,287,100
2,000 Virgin Islands Pub Fin Auth Rev Gross Rcpt Taxes
Ln Nt Ser A..................................... 6.500 10/01/24 2,193,760
1,000 Virgin Islands Pub Fin Auth Rev Gross Rcpt Taxes
Ln Nt Ser A (ACA Insd).......................... 6.125 10/01/29 1,084,440
-------------
6,565,300
-------------
TOTAL LONG-TERM INVESTMENTS 155.8%
(Cost $529,378,927)........................................................ 552,208,345
SHORT-TERM INVESTMENT 0.7%
(Cost $2,500,000).......................................................... 2,500,000
-------------
TOTAL INVESTMENTS 156.5%
(Cost $531,878,927)........................................................ 554,708,345
LIABILITIES IN EXCESS OF OTHER ASSETS (5.7%)................................ (147,781)
PREFERRED SHARES (INCLUDING ACCRUED DISTRIBUTIONS) (50.8%).................. (200,247,397)
-------------
NET ASSETS APPLICABLE TO COMMON SHARES 100.0%............................... $ 354,313,167
=============
Percentages are calculated as a percentage of net assets applicable to common
shares.
* Zero coupon bond
(a) The Trust owns 100% of the outstanding bond issuance.
(b) Security is a "step-up" bond where the coupon increases or steps up at a
predetermined date.
(c) All or a portion of this security has been physically segregated in
connection with open futures contracts.
18 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2006 (UNAUDITED) continued
(d) Securities purchased on a when-issued or delayed delivery basis.
(e) This security is restricted and may be resold only in transactions exempt
from registration which are normally those transactions with qualified
institutional buyers. The restricted security comprises 0.8% of net assets
applicable to common shares.
ACA--American Capital Access
AMBAC--AMBAC Indemnity Corp.
AMT--Alternative Minimum Tax
Asset Gty--Asset Guaranty Insurance Co.
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.
Radian--Radian Asset Assurance
XLCA--XL Capital Assurance Inc.
FUTURES CONTRACTS OUTSTANDING AS OF APRIL 30, 2006:
UNREALIZED
APPRECIATION/
CONTRACTS DEPRECIATION
SHORT CONTRACTS:
U.S. Treasury Notes 5-Year Futures June 2006
(Current Notional Value of $104,156)...................... 298 $94,214
=== =======
SWAP AGREEMENTS OUTSTANDING AS OF APRIL 30, 2006:
INTEREST RATE SWAPS
PAY/
RECEIVE NOTIONAL UNREALIZED
FLOATING FIXED EXPIRATION AMOUNT APPRECIATION/
COUNTERPARTY FLOATING RATE INDEX RATE RATE DATE (000) DEPRECIATION
JP Morgan Chase Bank,
N.A. ............... USD-BMA Municipal
Swap Index Receive 4.375% 07/11/26 $7,510 $ 7,665
JP Morgan Chase Bank,
N.A. ............... USD-BMA Municipal
Swap Index Receive 4.137 06/28/26 2,200 63,697
-------------
$71,362
=============
See Notes to Financial Statements 19
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
FINANCIAL STATEMENTS
Statement of Assets and Liabilities
April 30, 2006 (Unaudited)
ASSETS:
Total Investments (Cost $531,878,927)....................... $554,708,345
Cash........................................................ 122,277
Receivables:
Interest.................................................. 7,715,905
Investments Sold.......................................... 295,000
Swap Contracts.............................................. 71,362
Other....................................................... 4,706
------------
Total Assets............................................ 562,917,595
------------
LIABILITIES:
Payables:
Investments Purchased..................................... 6,758,624
Investment Advisory Fee................................... 251,122
Income Distributions--Common Shares....................... 84,305
Variation Margin on Futures............................... 46,562
Other Affiliates.......................................... 9,297
Trustees' Deferred Compensation and Retirement Plans........ 1,125,750
Accrued Expenses............................................ 81,371
------------
Total Liabilities....................................... 8,357,031
Preferred Shares (including accrued distributions).......... 200,247,397
------------
NET ASSETS APPLICABLE TO COMMON SHARES...................... $354,313,167
============
NET ASSET VALUE PER COMMON SHARE ($354,313,167 divided by
21,909,989 shares outstanding)............................ $ 16.17
============
NET ASSETS CONSIST OF:
Common Shares ($.01 par value with an unlimited number of
shares authorized, 21,909,989 shares issued and
outstanding).............................................. $ 219,100
Paid in Surplus............................................. 329,888,117
Net Unrealized Appreciation................................. 22,994,994
Accumulated Net Realized Gain............................... 1,305,151
Accumulated Undistributed Net Investment Income............. (94,195)
------------
NET ASSETS APPLICABLE TO COMMON SHARES...................... $354,313,167
============
PREFERRED SHARES ($.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....................... $554,313,167
============
20 See Notes to Financial Statements
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
FINANCIAL STATEMENTS continued
Statement of Operations
For the Six Months Ended April 30, 2006 (Unaudited)
INVESTMENT INCOME:
Interest.................................................... $13,919,135
-----------
EXPENSES:
Investment Advisory Fee..................................... 1,501,742
Preferred Share Maintenance................................. 272,864
Trustees' Fees and Related Expenses......................... 72,967
Legal....................................................... 36,735
Custody..................................................... 27,589
Other....................................................... 216,856
-----------
Total Expenses.......................................... 2,128,753
-----------
NET INVESTMENT INCOME....................................... $11,790,382
===========
REALIZED AND UNREALIZED GAIN/LOSS:
Realized Gain/Loss:
Investments............................................... $ 2,138,030
Futures................................................... (254,745)
-----------
Net Realized Gain........................................... 1,883,285
-----------
Unrealized Appreciation/Depreciation During the Period:
Investments............................................... (3,327,888)
Futures................................................... (484,539)
Swap Contracts............................................ 71,362
-----------
Net Unrealized Depreciation During the Period............... (3,741,065)
-----------
NET REALIZED AND UNREALIZED LOSS............................ $(1,857,780)
===========
DISTRIBUTIONS TO PREFERRED SHAREHOLDERS..................... $(2,994,516)
===========
NET INCREASE IN NET ASSETS APPLICABLE TO COMMON SHARES FROM
OPERATIONS................................................ $ 6,938,086
===========
See Notes to Financial Statements 21
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, 2006 OCTOBER 31, 2005
------------------------------------
FROM INVESTMENT ACTIVITIES:
Operations:
Net Investment Income................................... $ 11,790,382 $ 10,173,880
Net Realized Gain....................................... 1,883,285 3,888,865
Net Unrealized Depreciation During the Period........... (3,741,065) (10,594,853)
Distributions to Preferred Shareholders:
Net Investment Income................................. (2,231,789) (1,791,481)
Net Realized Gain..................................... (762,727) (38,648)
------------ ------------
Change in Net Assets Applicable to Common Shares from
Operations............................................ 6,938,086 1,637,763
Distributions to Common Shareholders:
Net Investment Income................................. (9,705,262) (8,974,894)
Net Realized Gain..................................... (3,667,732) (524,522)
------------ ------------
NET CHANGE IN NET ASSETS APPLICABLE TO COMMON SHARES
FROM INVESTMENT ACTIVITIES............................ (6,434,908) (7,861,653)
FROM CAPITAL TRANSACTIONS:
Proceeds from Common Shares Acquired Through Merger..... 31,694,766 234,479,859
------------ ------------
TOTAL INCREASE IN NET ASSETS APPLICABLE TO COMMON
SHARES................................................ 25,259,858 226,618,206
NET ASSETS APPLICABLE TO COMMON SHARES:
Beginning of the Period................................. 329,053,309 102,435,103
------------ ------------
End of the Period (Including accumulated undistributed
net investment income of $(94,195) and $(26,703),
respectively)......................................... $354,313,167 $329,053,309
============ ============
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, ------------------------------------------------
2006 2005 2004 2003 2002 (f) 2001
-------------------------------------------------------------
NET ASSET VALUE, BEGINNING OF THE PERIOD.............. $ 16.47 $ 16.95 $ 16.84 $ 17.02 $ 17.02 $ 15.92
------- ------- ------- ------- ------- -------
Net Investment Income................................ .55(a) 1.04 1.07 1.12 1.17 1.16
Net Realized and Unrealized Gain/Loss................ (.10) (.30) .54 .03 (.05) 1.15
Common Share Equivalent of Distributions Paid to
Preferred Shareholders:
Net Investment Income.............................. (.10) (.18) (.08) (.09) (.13) (.31)
Net Realized Gain.................................. (.03) (.01) (.03) -0- -0- -0-*
------- ------- ------- ------- ------- -------
Total from Investment Operations...................... .32 .55 1.50 1.00 .99 2.00
Distributions Paid to Common Shareholders:
Net Investment Income.............................. (.45) (.94) (1.03) (1.11) (.99) (.90)
Net Realized Gain.................................. (.17) (.09) (.36) (.07) -0- -0-
------- ------- ------- ------- ------- -------
NET ASSET VALUE, END OF THE PERIOD.................... $ 16.17 $ 16.47 $ 16.95 $ 16.84 $ 17.02 $ 17.02
======= ======= ======= ======= ======= =======
Common Share Market Price at End of the Period........ $ 15.50 $ 14.81 $ 15.50 $ 16.67 $ 16.16 $ 15.92
Total Return (b)...................................... 8.94%** 2.25% 1.32% 10.83% 7.95% 22.12%
Net Assets Applicable to Common Shares at End of the
Period (In millions)................................. $ 354.3 $ 329.1 $ 102.4 $ 101.6 $ 102.6 $ 102.6
Ratio of Expenses to Average Net Assets Applicable to
Common Shares (c).................................... 1.21% 1.34% 1.42% 1.43% 1.49% 1.71%
Ratio of Net Investment Income to Average Net Assets
Applicable to Common Shares (c)...................... 6.71% 6.34% 6.40% 6.56% 7.00% 7.08%
Portfolio Turnover.................................... 16%** 30% 11% 25% 21% 10%
SUPPLEMENTAL RATIOS:
Ratio of Expenses to Average Net Assets Including
Preferred Shares (c)................................. .78% .86% .89% .90% .93% 1.06%
Ratio of Net Investment Income to Average Net Assets
Applicable to Common Shares (d)...................... 5.44% 5.22% 5.94% 6.04% 6.23% 5.19%
SENIOR SECURITIES:
Total Preferred Shares Outstanding.................... 8,000 7,200 2,400 2,400 2,400 2,400
Asset Coverage Per Preferred Share (e)................ $69,320 $70,713 $67,686 $67,320 $67,759 $67,765
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
* Amount is less than $.01.
** 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 the dividend payments to preferred
shareholders.
(d) Ratios reflect the effect of the 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.
(f) As required, effective November 1, 2001, the Trust has adopted the
provisions of the AICPA Audit and Accounting Guide for Investment Companies
and began accreting market discount on fixed income securities. The effect
of this change for the year ended October 31, 2002 was to increase net
investment income per share by $.01, decrease net realized and unrealized
gains and losses per share by $.01 and increase the ratio of net investment
income to average net assets applicable to common shares by .05%. Per share,
ratios and supplemental data for periods prior to October 31, 2002 have not
been restated to reflect this change in presentation.
See Notes to Financial Statements 23
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2006 (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, 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, but may invest up to 20% of its
assets in unrated securities which are believed to be of comparable quality to
those rated investment grade. 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 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 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. 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, 2006, the Trust had $6,758,624 of when-issued or
delayed delivery purchase commitment.
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.
24
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2006 (UNAUDITED) continued
At April 30, 2006, the cost and related gross unrealized appreciation and
depreciation are as follows:
Cost of investments for tax purposes........................ $531,526,102
============
Gross tax unrealized appreciation........................... $ 24,117,953
Gross tax unrealized depreciation........................... (935,710)
------------
Net tax unrealized appreciation on investments.............. $ 23,182,243
============
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 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,
2005 was as follows:
Distributions paid from:
Ordinary income........................................... $ 71,697
Tax-exempt income......................................... 10,570,448
Long-term capital gain.................................... 563,170
-----------
$11,205,315
===========
As of October 31, 2005, the components of distributable earnings on a tax
basis was as follows:
Undistributed ordinary income............................... $ 403,599
Undistributed tax-exempt income............................. 483,704
Undistributed long-term capital gain........................ 4,037,656
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") provides investment advice and facilities to the
Trust for an annual fee payable monthly of .55% of the average daily net assets
of the Trust.
For the six months ended April 30, 2006, the Trust recognized expenses of
approximately $13,100 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,
2006, the Trust recognized expenses of approximately $39,800, representing Van
Kampen Investments Inc.'s or its affiliates' (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
25
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2006 (UNAUDITED) continued
of "Legal" expenses on the Statement of Operations. Services provided pursuant
to the Accounting Services and CCO Employment agreement are reported as part of
"Other" 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, 2006 and for the year ended October 31, 2005,
transactions in common shares were as follows:
SIX MONTHS ENDED YEAR ENDED
APRIL 30, 2006 OCTOBER 31, 2005
Beginning Shares........................................ 19,982,083 6,043,220
Shares Issued Through Merger............................ 1,927,906 13,938,863
---------- ----------
Ending Shares........................................... 21,909,989 19,982,083
========== ==========
On December 2, 2005 the Trust acquired all of the assets and liabilities of
the Van Kampen California Municipal Trust (ticker symbol VKC) through a tax free
reorganization approved by VKC shareholders on November 22, 2005. The Trust
issued 1,927,906 common shares and 800 Auction Preferred Shares (APS) valued at
$31,694,766 and $20,000,000, respectively, in exchange for VKC's net assets. The
shares of VKC were converted into Trust shares at a ratio of 0.591825 to 1 and 1
to 1, for common shares and APS, respectively. Net unrealized appreciation of
VKC as of December 2, 2005 was $2,487,297. The Trust assumed VKC's book to tax
accretion differences, which resulted in a $79,177 increase to accumulated
undistributed net investment income and a corresponding decrease to net
unrealized appreciation. Combined net assets applicable to common shares on the
day of the reorganization were $360,253,217, and net assets including preferred
shares were $560,253,217.
On July 29, 2005 the Trust acquired all of the assets and liabilities of Van
Kampen Trust for Investment Grade California (ticker symbol VIC) and Van Kampen
California Quality Municipal Income Trust (ticker symbol VQC) through a tax free
reorganization approved by VIC and VQC shareholders on July 22, 2005. The Trust
issued 13,938,863 common shares with a net asset value of $234,479,859 and 4,800
APS with a liquidation value of $120,000,000 in exchange for VIC and VQC net
assets. The shares of VIC were converted into Trust shares at a ratio of
0.958305 to 1 and 1 to 1, for common shares and APS, respectively. The shares of
VQC were converted into Trust shares at a ratio of 0.976400 to 1 and 1 to 1, for
common shares and APS, respectively. Net unrealized appreciation of VIC as of
July 29, 2005 was $6,936,810. Net unrealized appreciation of VQC as of July 29,
2005 was $15,801,204. The Trust assumed VIC's and VQC's book to tax accretion
differences, which resulted in a $287,478 increase to accumulated undistributed
net investment income and a corresponding decrease to net unrealized
appreciation. Combined net assets applicable
26
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2006 (UNAUDITED) continued
to common shares on the day of the reorganization were $156,139,159 and combined
net assets including preferred shares were $336,139,159, which included a
deferred compensation and retirement plan balance of $498,498 and gains or
losses of $67,394 recognized for tax purposes on open futures transactions at
merger date of July 29, 2005.
4. INVESTMENT TRANSACTIONS
During the period, the cost of purchases and proceeds from sales of investments,
excluding short-term investments, were $89,639,047 and $100,995,024,
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 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 this instance, 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 different types of derivative financial instruments
used by the Trust.
A. FUTURES CONTRACTS A futures contract is an arrangement 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.
27
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2006 (UNAUDITED) continued
Transactions in futures contracts for the six months ended April 30, 2006,
were as follows:
CONTRACTS
Outstanding at October 31, 2005............................. 784
Futures Opened.............................................. 2,379
Futures Closed.............................................. (2,865)
------
Outstanding at April 30, 2006............................... 298
======
B. INTEREST RATE SWAPS The Trust may enter into interest rate swaps primarily to
preserve a return or spread on a particular investment or portion of its
portfolio, as a duration management technique or to protect against any increase
in the price of securities the Trust anticipates purchasing at a later date.
Interest rate swaps are contractual agreements to exchange periodic interest
payment streams calculated on a predetermined notional principal amount.
Interest rate swaps generally involve one party paying a fixed interest rate and
the other paying a variable rate. The Trust will usually enter into swaps on a
net basis, i.e., the two payment streams are netted out in a cash settlement on
the payment date or dates specified in the instrument, with the Trust receiving
or paying, as the case may be, only the net amount of the two payments. The
Trust accrues the net amount with respect to each swap on a daily basis. This
net amount is recorded within unrealized appreciation/ depreciation on swap
contracts. Upon cash settlement of the periodic payments, the net amount is
recorded as realized gain/loss on swap contracts on the Statement of Operations.
Risks may arise as a result of the potential inability of the counterparties to
meet the terms of their contracts. If there is a default by the counterparty,
the Trust will have contractual remedies pursuant to the agreements related to
the transaction.
C. INDEXED SECURITY An inverse floating rate security is one where the coupon is
inversely indexed to a short-term floating interest rate multiplied by a
specific factor. As the floating rate rises, the coupon is reduced. Conversely,
as the floating rate declines, the coupon is increased. The price of these
securities may be more volatile than the price of a comparable fixed rate
security. These instruments are typically used by the Trust to enhance the yield
of the portfolio. These instruments are identified in the portfolio of
investments.
6. PREFERRED SHARES
As of April 30, 2006, the Trust has outstanding 8,000 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. The
average rate in effect on April 30, 2006 was 3.302%. During the six months ended
April 30, 2006, the rates ranged from 2.000% to 4.750%.
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 "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
28
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2006 (UNAUDITED) continued
certain asset coverage tests and the APS are subject to mandatory redemption if
the tests are not met.
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.
29
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
RONALD E. ROBISON
President and Principal Executive Officer
DENNIS SHEA
Vice President
J. DAVID GERMANY
Vice President
AMY R. DOBERMAN
Vice President
STEFANIE V. CHANG
Vice President and Secretary
JOHN L. SULLIVAN
Chief Compliance Officer
PHILLIP G. GOFF
Chief Financial Officer and Treasurer
INVESTMENT ADVISER
VAN KAMPEN ASSET MANAGEMENT
1221 Avenue of the Americas
New York, New York 10020
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 43010
Providence, Rhode Island 02940-3010
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
* "Interested persons" of the Trust, as defined in the Investment Company Act
of 1940, as amended.
30
VAN KAMPEN CALIFORNIA VALUE MUNICIPAL INCOME TRUST
RESULTS OF SHAREHOLDER VOTES
The Annual Meeting of the Shareholders of the Trust was adjourned from October
28, 2005 to November 22, 2005, where shareholders voted on the election of
trustees.
With regard to the election of the following trustee by the preferred
shareholders of the Trust:
# OF SHARES
----------------------------
IN FAVOR WITHHELD
------------------------------------------------------------------------------------------
Hugo F. Sonnenschein........................................ 4,547 -0-
The other trustees of the Trust whose terms did not expire in November 2005 are
David C. Arch, Jerry D. Choate, Rod Dammeyer, Linda Hutton Heagy, R. Craig
Kennedy, Howard J Kerr, Jack E. Nelson, Wayne W. Whalen and Suzanne H. Woolsey.
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.
1 Parkview Plaza
P.O. Box 5555
Oakbrook Terrace, IL 60181-5555
www.vankampen.com
Copyright (C)2006 Van Kampen Funds Inc. All rights reserved.
Member NASD/SIPC.
VCV SAR 6/06
(VAN KAMPEN INVESTMENTS SHINE LOGO) RN06-01538P-Y04/06
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/ Ronald E. Robison
----------------------
Name: Ronald E. Robison
Title: Principal Executive Officer
Date: June 20, 2006
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/ Ronald E. Robison
----------------------
Name: Ronald E. Robison
Title: Principal Executive Officer
Date: June 20, 2006
By: /s/ Phillip G. Goff
--------------------
Name: Phillip G. Goff
Title: Principal Financial Officer
Date: June 20, 2006