At the moment this process is comparing apples and oranges and it will give incorrect results.
This said, the process needed is to build in a reproject function to take the coordinates from Geographic Coordinates (decimal degrees) into Map units (meters).
#Todo Get distance between 2 point
Step 1: Build up representation of 1st point in memory as PointGeometry Object
Step 2; Reproject point in map units
Step 3: Build up representation of 2nd point in memory as PointGeometryObject
Step 4: Reproject this into Map Units
Step 5: Compare the 2 points using Pythagoras Formula.
Attached is a function to perform the Reproject using the arcpy module
#projectSR
def projectSR (pt, sr): #sr = spatial reference, pt is geometry in memory
#constantts
gcs = arcpy.SpatialReference(2193) #2193 = factory code for NZ Transverse Mercator
gt = 'NZGD_2000_To_WGS_1984_1' #geographic transformation, if application
coords = []
ptgeom = arcpy.PointGeometry(pt, nztm).projectAs(gcs, gt)
coords.insert(0,(ptgeom.centroid.X))
coords.insert(1,(ptgeom.centroid.Y))
del ptgeom
return coords
Call projectSR to get the coordinates in map units meters and then you'll be able to use the Pythagoras theorem.
Susan