"Override term links" not working

I'm trying to override a taxonomy's default links, but this module doesn't seem to be working correctly in that regard. The Vocabulary table is updated to point to panels_taxonomy, so the issues must exist in the panels_taxonomy_term_path function. I can't quite pin down the logic that's being used there, but there is obviously some error, because the taxonomy term links aren't changing from their default ("taxonomy/term/xxx").

Any idea what the issue might be?