Financial terms of the deal were not disclosed by the team for Pato, who joined Orlando last February but injured his right knee in the 2021 season opener against Atlanta United.
The 32-year-old Brazilian was limited to just four appearances last season due to the injury.
"Pato's ability is proven and we know the untapped potential in what he can bring to our team," Orlando general manager Luiz Muzzi said in a statement.
"He's been working hard to return to top form and we're looking forward to him having an impactful year for the club. We're excited for him to return and play an important role both on the field and in the locker room this season."