The 28-year old scored 24 goals for the League One outfit last season.
Vaughan has represented England at the U17, U19 and U21 levels.
The Everton youth academy product holds the record for being the youngest player to score a Premier League goal at 16 years and 271 days.
Despite his promise, injuries have dampened Vaughan's career. He has also played for Norwich City and Birmingham as well as various loan spells.