In a large kettle, combine water and cinnamon sticks. Bring mixture to a boil; reduce heat, cover and simmer for 10-15 minutes or until liquid turns light brown. Remove cinnamon sticks and discard.
In another bowl, combine the chocolate syrup, milks and vanilla; slowly stir into cinnamon water. Return mixture to a simmer just to heat through. Top servings with whipped cream, cinnamon and cinnamon sticks if desired.