Waverly is a small city in Morgan County, Illinois, United States. The population was 1,346 at the 2000 census. It is part of the Jacksonville Micropolitan Statistical Area. The two largest events in Waverly each year are the Waverly Holiday Basketball Tournament and the Old Fashioned Picnic. The Holiday Tournament is an invitational tournament held between Christmas and New Years. The Waverly Old Fashioned Picnic is held in late August, and includes music, games, food, carnival rides,the teen dance, the firemen games and most notably the bumpy wagon.