Just as a follow up. Rolling back to the stable branch does not fix the issue. I also can confirm that I finished a game using steam controllers on October 10, 2020. From the change logs there has been numerous changes to Steam Input even in the stable branch.
After a bit of troubleshooting I have determined that this is not a Steam Client issue. My system is Devaun Beowulf with eudev (3.2.7-6) and elogind (241.4). It seems the system was not properly honoring the uaccess tags and assigning device permissions. Work around was to get permissions to trigger on a second console login and log out of the xsession and back in and it did finally properly trigger. In my troubleshooting I did a number of changes (like switch from slim to lightdm as the display manager) but I am not confident that I have pinpointed the error. This may also be fixed in newer revisions to elogind (241.4 is basically a year old at this point) but I have not moved to the testing branch to find out. I am not sure why the issue revealed itself in the last month but regardless I am closing this issue with comments.
Nothing extracted yet.
Your system information
Please describe your issue in as much detail as possible:
At some point the controller input has stopped working on a previously working setup. The Steam Controller dongle and steam controllers are being recognized by the OS but not the client. Controller is recognized by the client when connected through a Steam Link device but controller input is not being sent to games. Controller has been tested with evtest and jstest with satisfactory results. Whether client is in Big Picture Mode (BPM) or not, it has no effect.
As a troubleshooting step the following have been made:
steam-devices is and has been installed
System Messages during USB dongle insert and system information:
https://gist.github.com/longshanks197/a3d4c2f8ee567e7b020be982bad4b0e8
Steps for reproducing this issue:
EDIT: fixed gist link