Nuveen Texas Quality Municipal Income Fund

 

 

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-06384

Nuveen Texas Quality Municipal Income Fund

(Exact name of registrant as specified in charter)

Nuveen Investments

    333 West Wacker Drive, Chicago, Illinois 60606    

(Address of principal executive offices) (Zip code)

Gifford R. Zimmerman

Vice President and Secretary

    333 West Wacker Drive, Chicago, Illinois 60606    

(Name and address of agent for service)

Registrant’s telephone number, including area code:    312-917-7700    

Date of fiscal year end: February 28

Date of reporting period: May 31, 2018

Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (§§ 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

 

 

 

 

 

Item 1. Schedule of Investments

 

 

NTX
Nuveen Texas Quality Municipal Income Fund
Portfolio of Investments    as of May 31, 2018
(Unaudited)
Principal Amount (000)   Description (1)   Optional Call Provisions (2) Ratings (3) Value
    LONG-TERM INVESTMENTS – 155.7% (100.0% of Total Investments)        
    MUNICIPAL BONDS – 155.7% (100.0% of Total Investments)        
    Consumer Discretionary  – 2.7% (1.7% of Total Investments)        
$ 4,060   San Antonio Convention Center Hotel Finance Corporation, Texas, Contract Revenue Empowerment Zone Bonds, Series 2005A, 5.000%, 7/15/39  –  AMBAC Insured (Alternative Minimum Tax)   8/18 at 100.00 A3 $ 4,060,690
    Education and Civic Organizations – 11.6% (7.4% of Total Investments)        
2,500   Board of Regents of the University of Texas, Permanent University Fund Bonds, Refunding Series 2015A, 5.000%, 7/01/28   7/24 at 100.00 AAA 2,876,025
2,000   Board of Regents, University of Texas System, Financing System Revenue Bonds, Refunding Series 2012B, 5.000%, 8/15/22   No Opt. Call AAA 2,242,920
    Clifton Higher Education Finance Corporation, Texas, Education Revenue Bonds, Uplift Education Charter School, Series 2013A:        
1,000   4.350%, 12/01/42   12/22 at 100.00 BBB- 1,011,790
1,000   4.400%, 12/01/47   12/22 at 100.00 BBB- 1,011,780
1,230   Danbury Higher Education Authority, Texas, Charter School Revenue Bonds, John H. Wood Jr. Public Charter District, Inspire Academies, Series 2013A, 6.000%, 8/15/28   8/23 at 100.00 BBB- 1,359,507
1,000   Hale Center Education Facilities Corporation, Texas, Revenue Bonds, Wayland Baptist University Project, Improvement and Refunding Series 2010, 5.000%, 3/01/35   3/21 at 100.00 A- 1,063,350
1,000   Harris County Cultural Education Facilities Finance Corporation, Texas, Medical Facilities Revenue Bonds, Baylor College of Medicine, Refunding Series 2012A, 5.000%, 11/15/26   11/22 at 100.00 A 1,104,150
3,000   Harris County Cultural Education Facilities Finance Corporation, Texas, Revenue Refunding Bonds, Young Men's Christian Association of the Greater Houston Area, Series 2013A, 5.000%, 6/01/38   6/23 at 100.00 Baa3 3,183,270
2,000   Lone Star College System, Harris, Montgomery and San Jacinto Counties, Texas, Revenue Financing System Bonds, Series 2013, 5.000%, 2/15/36   2/21 at 100.00 AA 2,152,900
1,240   Texas Public Finance Authority, Revenue Bonds, Texas Southern University Financing System, Refunding Series 2016, 5.000%, 5/01/27  –  BAM Insured   5/26 at 100.00 AA 1,426,595
15,970   Total Education and Civic Organizations       17,432,287
    Energy – 1.4% (0.9% of Total Investments)        
2,000   Gulf Coast Industrial Development Authority, Texas, Solid Waste Disposal Revenue Bonds, Citgo Petroleum Corporation Project, Series 1995, 4.875%, 5/01/25 (Alternative Minimum Tax)   10/22 at 100.00 BB 2,070,380
    Health Care – 4.8% (3.1% of Total Investments)        
1,000   Harris County Cultural Education Facilities Finance Corporation, Texas, Hospital Revenue Bonds, Memorial Hermann Healthcare System, Refunding Series 2013A, 5.000%, 12/01/35   12/22 at 100.00 A+ 1,098,900
1

NTX Nuveen Texas Quality Municipal Income Fund (continued)
  Portfolio of Investments as of May 31, 2018
  (Unaudited)
Principal Amount (000)   Description (1)   Optional Call Provisions (2) Ratings (3) Value
    Health Care (continued)        
$ 1,000   Harris County Cultural Education Facilities Finance Corporation, Texas, Revenue Bonds, Houston Methodist Hospital System, Series 2015, 5.000%, 12/01/45   6/25 at 100.00 AA $1,114,620
1,350   Harrison County Health Facilities Development Corporation, Texas, Hospital Revenue Bonds, Good Shepherd Health System, Refunding Series 2010, 5.250%, 7/01/28   7/20 at 100.00 A 1,405,931
515   Tarrant County Cultural Education Facilities Finance Corporation, Texas, Hospital Revenue Bonds, Hendrick Medical Center, Refunding Series 2013, 5.125%, 9/01/33   9/23 at 100.00 A 563,765
1,250   Tarrant County Cultural Education Facilities Finance Corporation, Texas, Hospital Revenue Bonds, Scott & White Healthcare Project, Series 2016A, 5.000%, 11/15/32   5/26 at 100.00 AA- 1,433,200
1,590   Tarrant County Cultural Education Facilities Finance Corporation, Texas, Revenue Bonds, Christus Health, Refunding Series 2008A, 6.500%, 7/01/37  –  AGC Insured   1/19 at 100.00 AA 1,631,594
6,705   Total Health Care       7,248,010
    Housing/Multifamily – 2.2% (1.4% of Total Investments)        
3,000   New Hope Cultural Education Facilities Finance Corporation, Texas, Student Housing Revenue Bonds, CHF-Collegiate Housing Foundation - College Station I LLC - Texas A&M University Project, Series 2014A, 5.000%, 4/01/46  –  AGM Insured   4/24 at 100.00 AA 3,254,880
    Tax Obligation/General – 31.9% (20.5% of Total Investments)        
500   Austin Community College District, Texas, General Obligation Bonds, Refunding Limited Tax Series 2016, 5.000%, 8/01/23   No Opt. Call AA+ 570,525
1,620   Cameron County, Texas, General Obligation Bonds, State Highway 550 Project, Series 2012, 5.000%, 2/15/32  –  AGM Insured   2/22 at 100.00 AA 1,765,119
1,500   College Station, Texas, Certificates of Obligation, Series 2012, 5.000%, 2/15/32   2/21 at 100.00 AA+ 1,611,405
1,000   El Paso County Hospital District, Texas, General Obligation Bonds, Refunding Series 2013, 5.000%, 8/15/33   8/23 at 100.00 AA- 1,084,010
1,565   El Paso County, Texas, Certificates of Obligation, Series 2001, 5.000%, 2/15/21  –  AGM Insured   No Opt. Call AA 1,686,350
2,000   Houston, Texas, General Obligation Bonds, Refunding Public Improvement Series 2017A, 5.000%, 3/01/31   3/27 at 100.00 AA 2,344,080
3,255   Hutto Independent School District, Williamson County, Texas, General Obligation Bonds, Refunding Series 2012A, 0.000%, 8/01/45   8/21 at 100.00 A+ 724,498
1,360   Jacksonville Independent School District, Cherokee County, Texas, General Obligation Bonds, School Building Series 2014, 5.000%, 2/15/39   2/24 at 100.00 Aaa 1,515,734
    Katy Independent School District, Harris, Fort Bend and Waller Counties, Texas, General Obligation Bonds, School Building Series 2017:        
2,000   5.000%, 2/15/39   2/27 at 100.00 AAA 2,314,080
10,000   4.000%, 2/15/47 (UB) (4)   2/27 at 100.00 AAA 10,463,400
2,675   Laredo Community College District, Webb County, Texas, General Obligation Bonds, Series 2014, 5.000%, 8/01/34   8/24 at 100.00 AA- 2,996,027
1,350   Lubbock Independent School District, Lubbock County, Texas, General Obligation Bonds, School Building Series 2013A, 5.000%, 2/15/43   2/23 at 100.00 AAA 1,493,599
1,750   Martin County Hospital District, Texas, Combination Limited Tax and Revenue Bonds, Series 2011A, 7.250%, 4/01/36   4/21 at 100.00 BBB 1,895,005
2

Principal Amount (000)   Description (1)   Optional Call Provisions (2) Ratings (3) Value
    Tax Obligation/General (continued)        
    McCamey County Hospital District, Texas, General Obligation Bonds, Series 2013:        
$ 1,000   5.750%, 12/01/33   12/25 at 100.00 B1 $1,058,540
1,000   6.125%, 12/01/38   12/25 at 100.00 B1 1,067,000
1,425   Port of Houston Authority, Harris County, Texas, General Obligation Bonds, Series 2010E, 0.000%, 10/01/35   No Opt. Call AAA 794,594
4,000   Prosper Independent School District, Collin County, Texas, General Obligation Bonds, Refunding Series 2015, 5.000%, 2/15/40   2/25 at 100.00 AAA 4,544,320
205   Reagan Hospital District of Reagan County, Texas, Limited Tax Revenue Bonds, Series 2014A, 5.125%, 2/01/39   2/24 at 100.00 Ba2 213,612
2,000   Texas State, General Obligation Bonds, Transportation Commission Highway Improvement Series 2012A, 5.000%, 4/01/42   4/22 at 100.00 AAA 2,187,360
2,000   Texas State, General Obligation Bonds, Transportation Commission Highway Improvement, Series 2014, 5.000%, 4/01/44   4/24 at 100.00 AAA 2,241,760
2,000   Texas State, General Obligation Bonds, Transportation Commission Mobility Fund, Refunding Series 2014, 5.000%, 10/01/34   4/24 at 100.00 AAA 2,254,380
    West Texas Independent School District, McLennan and Hill Counties, General Obligation Refunding Bonds, Series 1998:        
45   0.000%, 8/15/22   No Opt. Call AAA 35,873
45   0.000%, 8/15/24   No Opt. Call AAA 32,164
9,000   Wylie Independent School District, Collin County, Texas, General Obligation Bonds, Capital Appreciation Series 2015, 0.000%, 8/15/45   8/25 at 44.15 Aaa 3,006,990
53,295   Total Tax Obligation/General       47,900,425
    Tax Obligation/Limited – 24.8% (16.0% of Total Investments)        
2,000   Austin Community College District Public Facility Corporation, Texas, Lease Revenue Bonds, Highland Campus - Building 3000 Project, Series 2018A, 5.000%, 8/01/42   8/27 at 100.00 AA 2,283,740
1,000   Bexar County, Texas, Venue Project Revenue Bonds, Refunding Combined Venue Tax Series 2010, 5.250%, 8/15/38  –  AGM Insured   8/19 at 100.00 AA 1,039,920
    Bexar County, Texas, Venue Project Revenue Bonds, Refunding Combined Venue Tax Series 2015:        
1,060   5.000%, 8/15/34  –  AGM Insured   8/24 at 100.00 AA 1,177,130
1,160   5.000%, 8/15/35  –  AGM Insured   8/24 at 100.00 AA 1,286,115
1,175   Dallas Area Rapid Transit, Texas, Sales Tax Revenue Bonds, Refunding Senior Lien Series 2014A, 5.000%, 12/01/36   12/24 at 100.00 AA+ 1,331,193
1,680   Dallas Area Rapid Transit, Texas, Sales Tax Revenue Bonds, Refunding Series 2016A, 5.000%, 12/01/48   12/25 at 100.00 AA+ 1,899,122
500   Flower Mound, Texas, Special Assessment Revenue Bonds, River Walk Public Improvement District 1, Series 2014, 6.500%, 9/01/36   9/19 at 103.00 N/R 509,255
2,500   Harris County Metropolitan Transit Authority, Texas, Sales and Use Tax Revenue Bonds, Contractual Obligations Series 2015B, 5.000%, 11/01/25   No Opt. Call AA+ 2,938,700
1,390   Harris County Metropolitan Transit Authority, Texas, Sales and Use Tax Revenue Bonds, Refunding Series 2011A, 5.000%, 11/01/41   11/21 at 100.00 AA+ 1,506,621
3

NTX Nuveen Texas Quality Municipal Income Fund (continued)
  Portfolio of Investments as of May 31, 2018
  (Unaudited)
Principal Amount (000)   Description (1)   Optional Call Provisions (2) Ratings (3) Value
    Tax Obligation/Limited (continued)        
    Harris County-Houston Sports Authority, Texas, Revenue Bonds, Junior Lien Series 2001H:        
$ 450   0.000%, 11/15/24  –  NPFG Insured   No Opt. Call Baa2 $358,664
210   0.000%, 11/15/32  –  NPFG Insured   11/31 at 94.05 Baa2 116,565
260   0.000%, 11/15/33   11/31 at 88.44 Baa2 134,992
2,045   0.000%, 11/15/34  –  NPFG Insured   11/31 at 83.17 Baa2 991,927
1,130   0.000%, 11/15/36  –  NPFG Insured   11/31 at 73.51 Baa2 479,403
4,370   0.000%, 11/15/38  –  NPFG Insured   11/31 at 64.91 Baa2 1,630,578
2,260   0.000%, 11/15/39  –  NPFG Insured   11/31 at 60.98 Baa2 789,056
400   Harris County-Houston Sports Authority, Texas, Revenue Bonds, Refunding Second Lien Series 2014C, 5.000%, 11/15/34   11/24 at 100.00 A3 439,196
1,000   Harris County-Houston Sports Authority, Texas, Revenue Bonds, Refunding Senior Lien Series 2014A, 5.000%, 11/15/28   11/24 at 100.00 A2 1,128,940
3,440   Harris County-Houston Sports Authority, Texas, Revenue Bonds, Senior Lien Series 2001G, 0.000%, 11/15/41  –  NPFG Insured   11/31 at 53.78 A2 1,115,145
1,000   Harris County-Houston Sports Authority, Texas, Revenue Bonds, Third Lien Series 2004A-3, 0.000%, 11/15/33  –  NPFG Insured   11/24 at 59.10 Baa2 463,640
1,015   Houston, Texas, Hotel Occupancy Tax and Special Revenue Bonds, Convention and Entertainment Facilities Department, Refunding Series 2014, 5.000%, 9/01/34   9/24 at 100.00 A2 1,121,808
1,470   Houston, Texas, Hotel Occupancy Tax and Special Revenue Bonds, Convention and Entertainment Project, Series 2001B, 0.000%, 9/01/32  –  AMBAC Insured   No Opt. Call A2 855,187
10,000   Texas State Transportation Commission, Highway Fund Revenue Bonds, First Tier Series 2016A, 5.000%, 10/01/30 (UB) (4)   10/26 at 100.00 AAA 11,761,300
1,735   Via Metropolitan Transit Advanced Transportation District, Texas, Sales Tax Revenue Bonds, Refunding & Improvement Series 2014, 5.000%, 8/01/38   8/24 at 100.00 AAA 1,971,550
43,250   Total Tax Obligation/Limited       37,329,747
    Transportation – 21.8% (14.0% of Total Investments)        
3,000   Austin, Texas, Airport System Revenue Bonds, Series 2015, 5.000%, 11/15/39 (Alternative Minimum Tax)   11/24 at 100.00 A1 3,293,970
665   Central Texas Regional Mobility Authority, Revenue Bonds, Refunding Subordinate Lien Series 2013, 5.000%, 1/01/42   1/23 at 100.00 BBB 713,206
    Central Texas Regional Mobility Authority, Revenue Bonds, Senior Lien Series 2010:        
2,945   0.000%, 1/01/36   No Opt. Call BBB+ 1,423,407
2,205   0.000%, 1/01/37   No Opt. Call BBB+ 1,018,842
2,160   0.000%, 1/01/38   No Opt. Call BBB+ 953,748
1,000   0.000%, 1/01/40   No Opt. Call BBB+ 403,600
1,000   Dallas-Fort Worth International Airport, Texas, Joint Revenue Bonds, Refunding Series 2010A, 5.000%, 11/01/42   11/20 at 100.00 A+ 1,060,950
1,165   Dallas-Fort Worth International Airport, Texas, Joint Revenue Bonds, Refunding Series 2012B, 5.000%, 11/01/35   11/20 at 100.00 A+ 1,237,976
1,670   Grand Parkway Transportation Corporation, Texas, System Toll Revenue Bonds, First Tier Series 2013A, 5.125%, 10/01/43   10/23 at 100.00 A- 1,842,511
1,640   Grand Parkway Transportation Corporation, Texas, System Toll Revenue Bonds, Subordinate Lien Series 2013B, 5.000%, 4/01/53   10/23 at 100.00 AA+ 1,799,408
4

Principal Amount (000)   Description (1)   Optional Call Provisions (2) Ratings (3) Value
    Transportation (continued)        
$ 1,165   Harris County, Texas, Toll Road Revenue Bonds, Refunding Senior Lien Series 2012C, 5.000%, 8/15/31   8/22 at 100.00 AA $1,285,706
5,150   Harris County, Texas, Toll Road Revenue Bonds, Refunding Senior Lien Series 2016A, 5.000%, 8/15/41   8/26 at 100.00 Aa2 5,885,317
2,000   Houston, Texas, Airport System Revenue Bonds, Refunding Subordinate Lien Series 2012A, 5.000%, 7/01/31 (Alternative Minimum Tax)   7/22 at 100.00 A+ 2,165,080
1,750   Love Field Airport Modernization Corporation, Texas, General Airport Revenue Bonds Series 2015, 5.000%, 11/01/35 (Alternative Minimum Tax)   11/25 at 100.00 A1 1,947,715
3,000   Love Field Airport Modernization Corporation, Texas, Special Facilities Revenue Bonds, Southwest Airlines Company, Series 2010, 5.250%, 11/01/40   11/20 at 100.00 A3 3,205,410
    North Texas Tollway Authority, System Revenue Bonds, First Tier Series 2009A:        
20   6.100%, 1/01/28   1/19 at 100.00 A1 20,471
375   6.250%, 1/01/39   1/19 at 100.00 A1 384,037
2,500   North Texas Tollway Authority, System Revenue Bonds, Refunding First Tier, Series 2008D, 0.000%, 1/01/36  –  AGC Insured   No Opt. Call AA 1,356,300
2,500   San Antonio, Texas, Airport System Revenue Bonds, Refunding Series 2012, 5.000%, 7/01/27 (Alternative Minimum Tax)   7/22 at 100.00 A+ 2,713,375
35,910   Total Transportation       32,711,029
    U.S. Guaranteed – 18.1% (11.6% of Total Investments) (5)        
2,500   Bexar Metropolitan Water District, Texas, Waterworks System Revenue Bonds, Refunding Series 2010, 5.875%, 5/01/40 (Pre-refunded 5/01/20)   5/20 at 100.00 AA 2,688,250
185   El Paso County, Texas, Certificates of Obligation, Series 2001, 5.000%, 2/15/21  –  AGM Insured (ETM)   No Opt. Call AA 199,802
8,500   Grand Prairie Independent School District, Dallas County, Texas, General Obligation Bonds, Capital Appreciation Refunding Series 2009, 0.000%, 8/15/39 (Pre-refunded 8/15/18)   8/18 at 22.64 AA 1,918,280
2,000   Laredo Community College District, Webb County, Texas, Combined Fee Revenue Bonds, Series 2010, 5.250%, 8/01/35 (Pre-refunded 8/01/20)  –  AGM Insured   8/20 at 100.00 AA 2,140,100
4,000   Laredo, Webb County, Texas, Waterworks and Sewer System Revenue Bonds, Series 2010, 5.250%, 3/01/40 (Pre-refunded 3/01/20)   3/20 at 100.00 AA- 4,229,080
365   Lone Star College System, Harris and Montgomery Counties, Texas, General Obligation Bonds, Series 2009, 5.000%, 8/15/34 (Pre-refunded 8/15/19)   8/19 at 100.00 AAA 379,250
25   Lower Colorado River Authority, Texas, Revenue Bonds, Refunding Series 2012B, 5.000%, 5/15/29 (Pre-refunded 5/15/22)   5/22 at 100.00 N/R 27,732
1,500   Montgomery County, Texas, General Obligation Bonds, Refunding Series 2008B, 5.250%, 3/01/32 (Pre-refunded 3/01/19)   3/19 at 100.00 Aaa 1,540,170
845   North Central Texas Health Facilities Development Corporation, Hospital Revenue Bonds, Presbyterian Healthcare System, Series 1996A, 5.750%, 6/01/26  –  NPFG Insured (ETM)   No Opt. Call Aaa 964,981
2,000   North Central Texas Health Facilities Development Corporation, Texas, Revenue Bonds, Children's Medical Center Dallas Project, Series 2009, 5.750%, 8/15/39 (Pre-refunded 8/15/19)   8/19 at 100.00 Aa2 2,095,780
885   North Central Texas Health Facilities Development Corporation, Texas, Revenue Bonds, Children's Medical Center Dallas Project, Series 2012, 5.000%, 8/15/32 (Pre-refunded 8/15/22)   8/22 at 100.00 Aa2 990,598
5

NTX Nuveen Texas Quality Municipal Income Fund (continued)
  Portfolio of Investments as of May 31, 2018
  (Unaudited)
Principal Amount (000)   Description (1)   Optional Call Provisions (2) Ratings (3) Value
    U.S. Guaranteed (5) (continued)        
$ 3,000   North Texas Tollway Authority, Special Projects System Revenue Bonds, Current Interest Series 2011D, 5.000%, 9/01/31 (Pre-refunded 9/01/21)   9/21 at 100.00 N/R $3,285,000
2,000   North Texas Tollway Authority, Special Projects System Revenue Bonds, Series 2011A, 5.500%, 9/01/41 (Pre-refunded 9/01/21)   9/21 at 100.00 N/R 2,217,920
    North Texas Tollway Authority, System Revenue Bonds, First Tier Series 2009A:        
80   6.100%, 1/01/28 (Pre-refunded 1/01/19)   1/19 at 100.00 N/R 82,018
1,625   6.250%, 1/01/39 (Pre-refunded 1/01/19)   1/19 at 100.00 N/R 1,667,380
    Tarrant County Cultural Education Facilities Finance Corporation, Texas, Hospital Revenue Bonds, Scott & White Healthcare Project, Series 2010:        
95   5.250%, 8/15/40 (Pre-refunded 8/15/20)   8/20 at 100.00 N/R 101,772
1,155   5.250%, 8/15/40 (Pre-refunded 8/15/20)   8/20 at 100.00 AA- 1,239,916
410   Tarrant County Cultural Education Facilities Finance Corporation, Texas, Revenue Bonds, Christus Health, Refunding Series 2008A, 6.500%, 7/01/37 (Pre-refunded 1/01/19)  –  AGC Insured   1/19 at 100.00 AA 421,279
1,000   Uptown Development Authority, Houston, Texas, Tax Increment Contract Revenue Bonds, Infrastructure Improvement Facilities, Series 2009, 5.500%, 9/01/29 (Pre-refunded 9/01/19)   9/19 at 100.00 BBB 1,045,070
32,170   Total U.S. Guaranteed       27,234,378
    Utilities – 15.6% (10.0% of Total Investments)        
2,000   Austin, Texas, Electric Utility System Revenue Bonds, Refunding Series 2012A, 5.000%, 11/15/40   11/22 at 100.00 AA 2,195,920
3,000   Austin, Texas, Electric Utility System Revenue Bonds, Refunding Series 2015A, 5.000%, 11/15/38   11/25 at 100.00 AA 3,393,450
2,560   Brazos River Authority, Texas, Pollution Control Revenue Refunding Bonds, TXU Electric Company, Series 1999C, 7.700%, 3/01/32 (Alternative Minimum Tax) (6)   8/18 at 100.00 N/R 26
2,000   Brownsville, Texas, Utility System Revenue Bonds, Refunding Series 2015, 5.000%, 9/01/31   9/25 at 100.00 A+ 2,273,880
3,000   Lower Colorado River Authority, Texas, Revenue Bonds, Refunding Series 2010A, 5.000%, 5/15/40   5/20 at 100.00 A 3,143,970
1,150   Lower Colorado River Authority, Texas, Revenue Bonds, Refunding Series 2012A, 5.000%, 5/15/36   5/22 at 100.00 A 1,245,243
1,975   Lower Colorado River Authority, Texas, Revenue Bonds, Refunding Series 2012B, 5.000%, 5/15/29   5/22 at 100.00 A 2,168,827
1,500   Matagorda County Navigation District Number One, Texas, Pollution Control Revenue Refunding Bonds, Central Power and Light Company Project, Series 2009A, 6.300%, 11/01/29   7/19 at 102.00 A- 1,598,775
1,000   Sam Rayburn Municipal Power Agency, Texas, Power Supply System Revenue Bonds, Refunding Series 2012, 5.000%, 10/01/20   No Opt. Call BBB+ 1,063,090
3,000   Texas Municipal Gas Acquisition and Supply Corporation I, Gas Supply Revenue Bonds, Senior Lien Series 2008D, 6.250%, 12/15/26   No Opt. Call A- 3,511,830
1,000   Texas Municipal Gas Acquisition and Supply Corporation I, Gas Supply Revenue Bonds, Series 2006A, 5.250%, 12/15/20   No Opt. Call A- 1,073,640
6

Principal Amount (000)   Description (1)   Optional Call Provisions (2) Ratings (3) Value
    Utilities (continued)        
    Texas Municipal Power Agency, Revenue Bonds, Refunding Transmission Series 2010:        
$ 640   5.000%, 9/01/34   9/20 at 100.00 A+ $679,398
1,000   5.000%, 9/01/40   9/20 at 100.00 A+ 1,058,400
23,825   Total Utilities       23,406,449
    Water and Sewer – 20.8% (13.4% of Total Investments)        
1,450   Austin, Texas, Water and Wastewater System Revenue Bonds, Refunding Series 2016A, 5.000%, 11/15/41   11/26 at 100.00 AA 1,668,457
1,575   Bell County Water Control Improvement District 1, Texas, Water Revenue Bonds, Series 2014, 5.000%, 7/10/38  –  BAM Insured   7/23 at 100.00 AA 1,729,145
2,500   Canadian River Municipal Water Authority, Texas, Contract Revenue Bonds, Conjunctive Use Groundwater Supply Project, Subordinate Lien Series 2011, 5.000%, 2/15/31   2/21 at 100.00 AA 2,682,950
2,000   Corpus Christi, Texas, Utility System Revenue Bonds, Improvement Junior Lien Series 2013, 5.000%, 7/15/43   7/23 at 100.00 A+ 2,201,220
5,000   Dallas, Texas, Waterworks and Sewer System Revenue Bonds, Refunding Series 2017, 5.000%, 10/01/46   10/27 at 100.00 AAA 5,781,550
2,000   Houston, Texas, First Lien Combined Utility System Revenue Bonds, Refunding Series 2012D, 5.000%, 11/15/42   11/22 at 100.00 AA 2,214,520
710   North Fort Bend Water Authority, Texas, Water System Revenue Bonds, Series 2011, 5.000%, 12/15/36  –  AGM Insured   12/21 at 100.00 AA 767,624
3,860   North Harris County Regional Water Authority, Texas, Water Revenue Bonds, Refunding Senior Lien Series 2013, 5.000%, 12/15/33   12/22 at 100.00 AA- 4,248,277
1,000   Nueces River Authority, Texas, Water Supply Revenue Bonds, Corpus Christi Lake Texana Project, Refunding Series 2015, 5.000%, 7/15/26   7/25 at 100.00 AA- 1,163,390
2,640   San Antonio, Texas, Water System Revenue Bonds, Refunding Junior Lien Series 2015B, 5.000%, 5/15/34   5/25 at 100.00 AA 3,004,320
5,000   Texas Water Development Board, State Water Implementation Revenue Fund Bonds, Master Trust Taxable Series 2018A, 5.000%, 10/15/43   4/28 at 100.00 AAA 5,843,550
27,735   Total Water and Sewer       31,305,003
$ 247,920   Total Long-Term Investments (cost $221,702,698)       233,953,278
    Total Long-Term Investments (cost $221,702,698)       233,953,278
    Floating Rate Obligations – (10.6)%       (16,000,000)
    MuniFund Preferred Shares, net of deferred offering costs – (47.7)% (7)       (71,628,467)
    Other Assets Less Liabilities – 2.6%       3,971,303
    Net Asset Applicable to Common Shares – 100%       $ 150,296,114
7

NTX Nuveen Texas Quality Municipal Income Fund (continued)
  Portfolio of Investments as of May 31, 2018
  (Unaudited)
Fair Value Measurements
Fair value is defined as the price that would be received upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment. A three-tier hierarchy is used to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability. Observable inputs are based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. Unobservable inputs are based on the best information available in the circumstances. The following is a summary of the three-tiered hierarchy of valuation input levels.
Level 1  –     Inputs are unadjusted and prices are determined using quoted prices in active markets for identical securities.
Level 2  –     Prices are determined using other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
Level 3  –     Prices are determined using significant unobservable inputs (including management’s assumptions in determining the fair value of investments).
The inputs or methodologies used for valuing securities are not an indication of the risks associated with investing in those securities. The following is a summary of the Fund’s fair value measurements as of the end of the reporting period:
  Level 1 Level 2 Level 3 Total
Long-Term Investments:        
Municipal Bonds $ — $233,953,278 $ — $233,953,278
Income Tax Information
The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to timing differences in recognizing taxable market discount, timing differences in recognizing certain gains and losses on investment transactions and the treatment of investments in inverse floating rate securities reflected as financing transactions, if any. To the extent that differences arise that are permanent in nature, such amounts are reclassified within the capital accounts on the Statement of Assets and Liabilities presented in the annual report, based on their federal tax basis treatment; temporary differences do not require reclassification. Temporary and permanent differences do not impact the net asset value of the Fund.
The table below presents the cost and unrealized appreciation (depreciation) of the Fund's investment portfolio, as determined on a federal income tax basis, as of May 31, 2018.
Tax cost of investments $205,399,920
Gross unrealized:  
Appreciation $ 13,085,558
Depreciation (532,200)
Net unrealized appreciation (depreciation) of investments $ 12,553,358
(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.  
(2) Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns.  
(3) For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.  
(4) Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.  
(5) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest.  
(6) As of, or subsequent to, the end of the reporting period, this security is non-income producing. Non-income producing, in the case of a fixed-income security, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund’s Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has ceased accruing additional income on the Fund’s records.  
(7) MuniFund Preferred Shares, net of deferred offering costs as a percentage of Total Investments is 0.0%  
ETM Escrowed to maturity.  
UB Underlying bond of an inverse floating rate trust reflected as a financing transaction.  
8

Item 2. Controls and Procedures.

 

  a. The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rule 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934 (17 CFR 240.13a-15(b) or 240.15d-15(b)).

 

  b. There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 3. Exhibits.

File as exhibits as part of this Form a separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)), exactly as set forth below: See EX-99 CERT attached hereto.

 

 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

(Registrant)    Nuveen Texas Quality Municipal Income Fund   
By (Signature and Title)    /s/ Gifford R. Zimmerman                                                       
   Gifford R. Zimmerman   
   Vice President and Secretary   

Date: July 30, 2018

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

By (Signature and Title)    /s/ Cedric H. Antosiewicz                                                        
   Cedric H. Antosiewicz   
   Chief Administrative Officer (principal executive officer)   
Date: July 30, 2018      
By (Signature and Title)    /s/ Stephen D. Foy                                                                    
   Stephen D. Foy   
   Vice President and Controller (principal financial officer)   
Date: July 30, 2018