Gary has relinquished its claim as the region's most populous city to Hammond, according to 2010 census counts released Thursday.

The Steel City sustained a nearly 22 percent drop in population during the last decade, U.S. Census Bureau figures show. The census lists Gary's population at 80,294, down from 102,746 in 2000.

Hammond's population, by contrast, dropped 2.7 percent during that same period. At 80,830 residents, it now has 536 more residents than Gary, according to census data.

Throughout the region, the 2010 census count revealed a continued population shift away from northern Lake County into southern Lake County and Porter County.

But Hammond and Gary remain the largest cities in Northwest Indiana. Portage, with 36,828 residents, is now the third-largest city in the region.

Hammond Mayor Thomas McDermott Jr. said he is thrilled by Hammond's population count but shocked by Gary's decline.

"Wow, I can't believe it," he said. "That's shocking. There's obviously a serious issue going on over there."