Sacramento is the fastest growing large city in California.

That's according to an annual population report released Monday by the California Department of Finance.

The Golden State's population is now pushing 40 million residents after adding 300,000 people in 2016.

Sacramento grew by nearly 1.5 percent, the highest percentage than any other city in the state. The counties surrounding Sacramento were some of the fastest growing in California.

Amador County topped the list due to prison expansion, growing by 1.9 percent. The next fastest growing counties were Placer County and Yolo County, by 1.8 and 1.6 percent respectively.

California's statewide housing was up 31 percent from the previous year in 2016 but the same can't be said for the city of Sacramento.

Sacramento's population may be experiencing a growth spurt but the city is not adding enough housing units to keep up. However, the city of Rocklin did see a boost in population due to housing development and because of that is the second fastest smaller city in the state, according to the report.

The population growth and lack of housing is one of the main reasons rent in Sacramento has seen a spike in rent prices.

See the full statement from the DOF HERE.